Coursework Sample on Business
Contemporary world of business is a complex system of processes running within different segments of economy. It is a fact that the development of every company depends on the way it responses to the external threats of the environment, tendencies in the economic development and the diversity of aspects triggered by the processes running in the economy. However, the company's ability to meet needs and requirements of customers exerts the main influence on the company's success achievement. It is the main source providing companies with rapid growth and development. The company's intention to achieve success is accompanied by the desire to exceed its level of performance. However, there is a concept, which is common for many companies. It occurs as soon as the company fails to evaluate the necessity of changing strategic approach to management. The concept is called strategic drift. It occurs, when the company becomes overwhelmed with the success achieved.
The company forgets to switch to another strategic approach as long as it believes that its previous strategy is appropriate for further growth and development. Thus, it leads to the slow motion in the process of meeting the latest tendencies in the business world's development. Apparently, the main tendency proved by the evidence of many companies is that strategic drift manifests itself on the surface of company's problems when it is too late. However, it depends on the company's response and regulative measures whether strategic drift becomes costly and problematic for further development (Zafar, Butt & Afzal 2014). Strategic drift may also happen for the reason of professionals' selfish nature of performance. Professionals may act only for the sake of their success and achievements, leaving the company on the halfway to success. Thus, it is the company's duty to have employees, who dedicate their work for the company's development. However, when it does not happen, the company undergoes the loss of intellectual resources and receives an increased employee turnover rate. The named above reasons prove that it is necessary to establish an effective system of measures, which will help the company cope with strategic drift and decrease the risk of its occurrence. In fact, intended strategy development and emergent strategy development can become two main key points in the company's intention to fight and avoid strategic drift. It is important to take into account both strategies in order to evaluate advantages and disadvantages of each of them (Zahn n.d.). Finally, it will help to understand in what way it is appropriate to help the company avoid problems in the prospect of its strategy.
In general, both intended and emergent strategy development can boost transformation of the company and help it to avoid strategic drift. However, it is necessary to evaluate peculiarities of every strategy in order to understand benefits, which they can bring to the company's activity. An intended strategy is a set of activities, which the company plans to implement in order to achieve the goal. Hereby, it reflects the company's intentions to grow and develop. However, the strategy may become an obstacle on the way to the company's success as soon as it faces difference between the intended and realized strategies. Intended strategy should be a mandatory element in the general strategy in order to be an effective tool regulating processes which can cause strategic drift. The company should plan its performance in order to promote its further development with minimized risk of finding itself in the stage of strategic drift. The company should take care of developing an effective intended strategy which would take into account all aspects of its performance in order to establish appropriate directions of economic growth. In the prospect of strategic drift avoidance, it is necessary to establish a plan which would promote the company's success achievement. It is possible to divide the development of intended strategy into several steps. In addition, critical view on every step can help to evaluate the most useful steps which can guarantee sustainable development of the company.
An intended strategy is a plan that includes the course of actions which are most likely to bring the company to success. In order to avoid strategic drift, it is important to take appropriate steps with the aim of enhancing successful implementation of the course. First, the company should involve all employees in brainstorming process, which will include all ideas and key points of all team members (Baumgartner & Korhonen 2010). Apparently, this step can guarantee that neither professionals nor ordinary employees will swerve from the company's plan implementation. As long as strategic drift can become a consequence of professionals' selfish attitude towards success achievement, this step will ensure that all employees become part of the plan, promoting both individual and organizational development.
In addition, employees can become part of positioning, which evaluates external and internal threats to success achievement. Thus, employees will help to boost the process of threats evaluation and enhance the support of the processes that aim to protect the company. Another step of the intended strategy development in the prospect of strategic drift avoidance should become an evaluation of the company's responses to the external environment changes. It is necessary to establish a system of links transforming external processes and internal development into motion, thereby allowing the company to adjust to the changeable processes of the economic sphere (Liu 2009). Positioning of the company's perspective on the development is the key to the enhancement. Another step of the company's intended strategy evaluation is that it should realize that it creates a prism through which it will see the surrounding world. Therefore, it is important to conduct SWOT analysis of the company's environment in order to establish a course of actions which will minimize the influence of weaknesses and increase the impact of strengths on the company's development. It is an important aspect to involve employees in regulation of the company's sustainable growth. The reason is that it will not only reduce employee turnover rate, but will also help quickly response to the processes influencing the company's performance. It is important to mention that intentions formulate the regulator defining the behavior of the company and its employees.
Another aspect in establishing intended strategy is the company's awareness that intentions are the core of the decision-making process. In order to avoid strategic drift, it is important to establish a strategy which will provide top management with sufficient information for maintenance of sustainable development. Intended strategy has a significant influence on the company's performance. It defines its position on the market according to the intention to grow and develop. Thus, it is an important aspect of the company's performance as long as it sets the direction of the company's activity. However, strategic drift can become a fiction if the company prepares itself for possible external threats. For example, the company can include technological improvement according to the requirements of the surrounding business environment. Hereby, it can have an intention to implement new technologies in a systematic way, which will help the company have sustainable development. Intended strategy development should have a comprehensive approach, involving both strengths and weaknesses of the company. Moreover, the main focus should be total quality management and improvement of the company's performance. In this case, it will be possible to avoid imbalance in the company's activity and competitor's achievements. Finally, the last point in the development of the company's intended strategy should become an approach towards its implementation. Every action taken by the company should promote the implementation of the next point of the course. If the company meets obstacles on the way to the achievement of success, it should have alternative options mentioned in its intended strategy plan, which will help to reflect threats of the external environment. Moreover, the company should plan a set of indicators, which will help it to understand when it is the most appropriate moment to switch its activity to another strategy, thereby intensifying its market position (Kraus & Kauranen 2009). In general, intended strategy development can become one of the main keys to sustainable growth. In addition, it can become transition to the emergent strategy development, having the diversity of advantages and disadvantages, which should become the key points in the avoidance of strategic drift.
The real-life performance of the company can be far from the intended strategy. Thus, it is not enough to have only a course of the company's development without thinking about emergencies caused by external environment. Regardless of the amount of professionals involved in the development of the intended strategy, it is impossible to have a course of actions which can be useful in different aspects of the company's performance (Iaquinto 2011). Emergent strategy development should also become a mandatory element of the company's performance. The reason is that it can prepare it for both threats and opportunities caused by the diversity of processes taking place in the external business environment. It is impossible to have a smooth performance without the impact of the economic segment. Hereby, the company should evaluate the moment to switch its strategy to another mode, which will take into consideration changes in the environment. In addition, emergent strategy development should not become a false belief based on the idea that a single person can rescue the company from a risky situation. In fact, an individual cannot bring a revolution in the company's development if others do not accept their intention to change (Roney 2010). The company should be an organism ready to give an appropriate response to the surprises it faces on the way to the success. The main idea of the emergent strategy development is that it should evolve along with internal and external environment. The evolution of the company's plan should keep a balance between its current stage of performance excellence and tendencies running beyond the company's borders. There should be the combination of the company's core set of actions that aim to achieve success and the flow of processes defining economic conditions of the company's performance.
The company's perfect approach towards success achievement and avoidance of strategic drift should include the core goals of the plan and objectives set by current conditions of the market. A key to the successful regulation of the company's performance is in continuous evolution of its strategy supported by the diversity of factors. In addition, it is necessary to remember that many goals may form along with the company's progress on the way to the achievement of success. It is not necessarily to formulate goals. However, strategic drift avoidance is possible when the company notices slightest details in changes of both internal and external environments. As long as emergent strategy development has its peculiarities according to the company's business approach, it is impossible to have a set of steps, which any company can apply. Nevertheless, it is possible to follow the guide of principles, which can help the company to establish an appropriate way of reacting to changes. First, emergent strategy can be successful in terms of collective decision-making process and action. A comprehensive approach towards collective response helps to boost the process of accommodation. Apparently, it enhances the overall successful implementation of the strategy. In addition, it can be appropriate in terms of unpredictable environment, which can make the company perform in conditions contributing to the establishment of the new strategy. If the company has an emergent strategy platform, it can accommodate to any environment and switch to the mode that can create the new path of the success achievement. In general, emergent strategy should become a shield in business performance. It should ensure that the company can quickly respond to the requirements of the economic segment and guarantee its ability to transform according to the tendencies of the changeable world of business. The final point should become the combination of the intended and emergent strategy development. It makes sense to conclude by mentioning aspects of its integration into the performance of the company.
In conclusion, it is obvious that it is necessary to unite both intended and emergent strategies by weighing threats and opportunities caused by the segment of the company's activity. It should become an approach towards the avoidance of strategic drift combining company's intention to grow with changes leading to the transformation of the main goals. It is possible to avoid strategic drift by evolving the company's effort to respond to the actual processes taking place beyond its borders.
- Baumgartner, RJ & Korhonen, J 2010, ‘Strategic thinking for sustainable development', Sustainable Development, vol.18, no. 2, pp. 71-75, viewed 8 October 2014, <http://sti.uem.mz/documentos/d_sustentavel/strategic_thinking_sd.pdf>
- Iaquinto, AL 2011, ‘Intended strategies and firm performance: The case of Japanese manufacturers', The Journal of Social Science, vol. 72, pp. 5-22, viewed 9 October 2014, <http://icussri.files.wordpress.com/2011/05/no72pfiaquinto_a.pdf>.
- Kraus, S & Kauranen, I 2009, ‘Strategic management and entrepreneurship: Friends or foes?', International Journal of Business Science and Applied Management, vol. 4, no. 1, pp. 37-50, viewed 7 October 2014, <http://www.business-and-management.org/library/2009/4_1--37-50-Kraus,Kauranen.pdf>
- Liu, Y 2009, ‘Analysis and evaluation of organizational change approaches', International Journal of Business and Management, vol. 4, no. 12, pp. 234-238 .
- Roney, C W 2010, ‘Intersections of strategic planning and futures studies: methodological complementarities', Journal of Futures Studies, vol. 5, no. 2, pp. 71-100, viewed 7 October 2014, <http://www.jfs.tku.edu.tw/wp-content/uploads/2014/01/152-A05.pdf>
- Zafar, F, Butt, A & Afzal, B 2014, ‘Strategic management: managing change by employee involvement', International Journal of Sciences: Basic and Applied Research (IJSBAR), vol. 13, no. 1, pp. 205-217, viewed 8 October 2014, <http://gssrr.org/index.php?journal=JournalOfBasicAndApplied&page=article&op=view&path=1715&path=1575>
- Zahn, EOK n.d., ‘Strategic management, systems thinking, and modeling', System Dynamics, vol. 2, viewed 6 October 2014, <http://www.eolss.net/sample-chapters/c15/e6-63-05-03.pdf>