Author: Mohammad Hani Mohammad
Summary of the Book: Modern Strategic Management Strategic management is the art and science of formulating, implementing, and evaluating cross-functional decisions that enable an organization or business to achieve its objectives. It focuses on integrating management, marketing, finance, production, research and development, and computer information systems functions to achieve organizational success. The book identifies the most attractive strategic alternatives in light of the organization's mission, resources, and environmental conditions, selecting a set of long-term goals and general strategies that can help achieve the most attractive opportunities. It also evaluates the success of the strategic process and utilizes the generated information to increase the effectiveness of future strategic decisions.
The book, Modern Strategic Management, is divided into six chapters as follows:
Chapter 1: The Essence of Management
Chapter 2: The Essence of Strategy
Chapter 3: The Essence of Strategic Management
Chapter 4: Strategic Planning and International Variables in Management
Chapter 5: Strategic Management Processes
Chapter 6: Strategic Decision Making
The book emphasizes that planning is often considered the first function of management, serving as the foundation for other managerial functions. Planning is a continuous process that involves determining the course of action to answer questions like what needs to be done, who will do it, where, when, and how. Through planning, managers can largely determine the organizational activities necessary to achieve objectives. The general concept of planning answers four questions:
Where are we now concerning that goal?
What do we want to do?
What alternatives do we have to achieve the goal, and what is the best alternative?
What factors will help or hinder us in achieving the goal?
The book adds that through planning, the course of action for individuals, departments, and the organization as a whole will be determined for days, months, and even years to come.
The book also discusses the function of control, which is closely linked to planning. The primary purpose of control is to determine the success of the planning function. This process can be summarized in four basic steps applicable to any person, item, or process to be controlled and monitored. Setting performance standards is the most critical criterion for measuring quantity or quality, designed to help monitor people's performance, goods, or processes. Standards are used to determine progress or lag concerning goals. The nature of the standard used depends on the item being monitored. Any standards can be classified into one of these two groups: administrative standards or technical standards. Below is a description of each type:
Administrative standards include several items such as reports, regulations, and performance evaluations. They should all focus on the essential areas and the type of performance required to reach specified goals. Administrative measures express who, when, and why work is done. For example, a sales manager may require a monthly report from each salesperson detailing the work done during the month.
The book highlights several significant features of the modern era, including the simplicity and complexity of human life and the formation of different groups to control the environment in which humans live due to their limited capacities and capabilities. In primitive life, humans lived among their tribe members, relying on the tribe for protection against enemy attacks, with the tribal chief being responsible for them.
Modern Strategic Management stresses that strategic management involves directing affairs, distributing tasks among individuals, resolving conflicts, and making decisions for the collective good. It is a form of management practiced since ancient times, as humans naturally prefer not to live in isolation. Management is essential for steering both the group and the individual towards their goals and for steering the organization towards achieving its goals. Implementing management within an organization, whether large or small, commercial or industrial, sports or military, is crucial for success.
The author of Modern Strategic Management states, "The progress of nations is attributed to the management present within them. Management is responsible for the success of organizations within society because it can efficiently and effectively utilize human and material resources." Many countries have financial and human resources, but due to a lack of administrative expertise, they remain underdeveloped.
What is the relationship between the DocSuite HR system and the book Modern Strategic Management?
The DocSuite HR system is used to organize and manage employee information within an organization, including performance data, salaries, employment, and training. On the other hand, the book Modern Strategic Management is a knowledge source addressing strategic management topics and their modern applications in the daily work environment.
The relationship between them lies in the fact that the DocSuite HR system helps implement the concepts and principles of modern strategic management in the context of human resource management. By using the DocSuite HR system, an organization can apply advanced managerial strategies such as performance evaluation, human resource development, strategic data analysis, and more, contributing to improved organizational performance and achieving its goals more effectively.
You can download the book Modern Strategic Management directly from [here].