Strategy is one of the most popular terms in the business management context. It is a concept plagiarismsearch.com that has attracted a lot of debates among the industry leaders. Strategy describes the actions undertaken by the organization over a long duration of time with a purpose or objective. The modern businesses are operating in a dynamic environment where competition is very intense. Therefore, they must rely on a strategy that is clearly defined. The organization must have the right strategy content which defines the strategies and the course of action that should be taken for the firm to achieve its purpose. The strategy context on the other hand is the circumstances that exist during the strategy formulation process. The most eminent debate is whether the outcome of the strategies is greatly influenced by the strategy process or rather the context of the strategy. The main purpose of the paper is to determine the importance of the strategy process and the context in determining the effectiveness of the strategy content. This paper will demonstrate the significant role of the strategy process and the context in delivering effective content.
The strategy process is a broad process that entails a wide range of factors that can be classified as political, social, cognitive among others. The process of forming a strategy is classified to be very important in influencing the content of the strategy. The strategy process involves identification, diagnosis, conception as well as the realization of the strategy. During the identification stage, the main activities involves setting agenda and the mission. Internal and external assessment is also done which is later followed by the identification of the relevant strategic actions and the implementation.
The writing of a strategy content is not a onetime thing. It is a process that is usually fragmented and evolutionary. The real strategy emerges as the flow of events from the external and the internal context. The context refers to forming a better understanding of the environment surrounding the decision-making process. The context of the strategy revolves around getting a better understanding of the environment and how the different players in the environment impact the content of the strategy. Through the above definiation, it is easy to understand the variation between the context and the process of the strategy formation.
One of the most fundamental aspects of the strategy process is to understand the problem that the organization is facing. The identification of the problem helps in defining the other stages of the strategy process as well as the content of the process. This is because different problems will call for different strategy content. It is important to note that an effective strategy process is very important in the strategy content and it has a lot of benefits. By following the right strategy process, it is easy to get the right strategy content. When an organization adopts an affective strategic process that is supported by the management good will, it is easy to achieve the right strategic content since the key players are aware of what they are supposed to do in the process. The strategy process is classified as a structural as well as a functional process that determine the content of the strategy that the form wishes to establish. Therefore, the development of the right strategy content is highly dependent on the strategic processes. If the strategy process is well defined and organized, then it is eminent that the organization will adopt the right strategy content.
Another important aspect of the strategy process is the strategy context. This refers to the circumstances that exist during the process of forming the strategy. The context is classified as the “where” of the business strategy. It is the backdoor in which an organization operates. It is usually unique in different organization. A good example is the macro-environment that occurs during the recession. This usually hurts the public housing sector while at the same time, it is very favorable to the off-licence businesses where the consumers shift from the expensive items to the les expensive items. This clearly illustrates that the different macro environments mean different things to the different industry segments. The strategy context is further classified the industry context where the main focus is on understanding of the organization behavior, competitors as well as the competitors and buyers. There is also the organization context which focusses on understanding the leadership of the organization and how it controls the process of decision making. Another aspect is the international context where the company must focus on the global and local demands of the organization. The context in which the organization is proposed and formulated, relies on the understanding of the environmental factors that are unique to the organization.
The context is all about developing a sociological understanding of how the different players in the firm interact with each other. understanding the context at which the strategy is formed in a firm is very beneficial in developing the most effective strategy. Leaders need to understand that the context of the strategy is not constant and it changes with time. Therefore, there is a need to understand the right context and develop an effective strategy that will fit the context of the organization. Businesses must understand the alterations of the business context and ensure that there is continuity and consistency in the business process. How the managers interpret an understand the context of the environment is one of the most important aspect of the strategy context. Understanding the context and reacting early, is one of the ways of ensuring that the right strategy content will be formed. This calls for organization to invest in research so that they can keep pace with the ever-changing business environment. Therefore, the role of the strategy context in influencing the organization strategy and content cannot be ignored. It is an important part of the strategy formulation and process.
Debates have arisen on the differences between the context and the strategy process in influencing the content of a strategy. The most eminent thing is that in both cases there is some divergence with each concept presenting some merits as well as demerits. However, the most eminent thing is that understanding the strategy context and formulating the right strategic plan is one of the most fundamental concepts of determining the content of the strategy. Failure to understand the environment, will lead to a strategy that is half baked. The strategy will not be effective in achieving the organization goals and objectives since it will be out of context. On the other hand, the failure to use the right strategy process will lead to a failure in the proposed context.
The whole process of strategy formulation leads to the final dimension of the strategy which is the content. The content shapes the organization position based on its environment and even its capabilities. It influences and alters all the other dimensions of the strategy because the strategies concept is dynamic. The content dimension answers the what question. It guides the organization on the best course of action that will help the organization to achieve its purpose. The content of the strategy must be well aligned with the internal as well as the external context. The most important aspect of the strategy is that it should align the operation and the corporate level strategies of the businesses.
The context and the process of the strategy formulation gives meaning to the content of the strategy. A company cannot decide the best course of action if it does not have an idea of the business context in which it is operating. On the same note, failing to use the right process and failure to identify the problem at hand better will usually lead to the wrong content. Therefore, it is undisputable that the context and the process of the strategy are the key determinants of the effectiveness of the business strategy. They influence the formation of the right strategy content. It is very hard to make a fair evaluation of the influence of the context and strategy process on the content of the strategy. This is because the two aspects are independent and they have a continuous impact on the content throughout the process of strategy formulation. The elements of the strategy context and the elements of the strategy process can guide the company in the development of a wrong strategy or otherwise an effective strategy. It is very easy to see and understand the importance of the two dimensions in influencing the content of the strategy but it is hard to separate the two or assess their influence.
Strategy formulation is usually a multidimensional process. It is a process that is affceted by different aspects. It is not a one-time process, but it is a process that takes time. It relies on the context as well as the process of the strategy. All these elements have a significant impact on the strategy that the company will adopt.