Business Strategies and Decision Making Essay Example | Topics and Well Written Essays - 2000 words

Business Strategies and Decision Making - Essay Example Several authors have observed a consistent pattern in strategy development and there is no empirical doubt that managers are for it (Higgins, 2013:30). Managers in various organisations, as evident in several publications, agree that it is not easy to hold together all the components of an organisation if a well-patterned strategy is not developed. The importance of such a plan can be drawn from the point those core goals, actions and policies are integrated into a strategic plan that drives the success of a business-both large and small. Managers though, observe that developing a strategy alone is not sufficient for a corporation to realise its success, but rather, should be a well-engineered plan that brings together and allocates resources equitably in all operations. Nevertheless, all corporations-large or small- need a form of a patterned strategy put in place so as to experience success as other successful firms. The effect of ignoring such plans may result in haphazard resources spending and consequently, lead to wasteful use of the already limited resources. In comparison, large organisations’ strategies are formalised as compared to small-sized ones. However, small sized organisations are of late realising the importance of developing critical strategies that are formal and communicated to staffs. As much as patterned strategy development has been taking centre stage in several organisations, there has a negative counter-development- strategy drift. A business external environment such as competitors, consumers, suppliers among others, is essential to any firm. When a firm fails to respond to such aspects, the condition is termed as a strategy drift. It is not a new phenomenon to find a formally stable business close down as a result of failing to effectively respond in a strategic manner to its external environment (Wild, Wild and Han, 2008:230).