A successful business requires strategic management and planning. Every business begins with the expectation of success and the key to that success lays in strategic planning. One particular business model is a drink, snack, and study shop with gift shop located within the area of colleges. THE SHACK fulfills this business model. As with any successful business, strategic management and planning is essential to the success of THE SHACK. Consideration for funding and return on investments is important in strategic operational planning. Another element of consideration is defining necessary resources and attaining them. Success of THE SHACK is dependent upon the four functions of management including planning, organizing, leading, and controlling.
Strategic Management and Planning
Starting up a business begins with strategic management and planning. What exactly is strategic management? According to Pearce and Robinson (2009), "[Strategic management is] the set of decisions and actions that result in the design and activation of strategies to achieve the objectives of an organization."
The basis of strategic management begins with a mission and vision statement. These two statements go hand-in-hand and play critical roles in communicating the business plan to stakeholders, informing of the strategy development, and developing measurable goals and objectives. Management uses these statements as tools to gauge the effectiveness of their current strategy plans.
Strategic planning is the key to success for THE SHACK. Management may use the mission and vision statements to set in place measurable action plans that will accomplish the goals and objectives. Management may evaluate the performance results in comparison to the set goals. If the results are not up to standard, a different plan or tactic may be formulated.
A Business Model
A business model consisting of a drink and snack shop with a study room...