Introduction
Strategic management refers to strategies that are used by managers in organizations to ensure that they achieve their organizational goals. In order to attain these objectives, they must come up with the strategies aimed at improving the performance of organizations. This means that managers must focus on the implementation of organizations’ mission and vision statements.
They should ensure that workers understand the organization’s mission statement to align their efforts with the expectations of the company (Hill and Jones, 2012). They should ensure that a vision statement is clear to all, as well. This is important because it gives everyone an idea of where the organization expects to be in the future, hence focusing on meeting those expectations.
Body
For this case study, the world’s largest mobile phone manufacturer, Nokia, was examined. Nokia has been able to beat its competitors in the mobile phone industry due to proper strategic management. In fact, the multinational corporation has around 132,000 employees who work in various branches worldwide. This means that managers have a lot of work to do to control such a large number of staff and ensure that they work towards achieving organizational goals (Hill and Jones, 2012).
Nokia’s mission is to connect people throughout the world, so it works towards making sure that the company provides quality mobile phones to the market. This means that managers must emphasize the importance of the production of high-quality mobile phones to attain a large market share. In fact, Nokia Corporation has been able to achieve this since it controls 28% of the total mobile phone market size.
The organization makes sure that it advances with technology in a timely manner, and this has helped Nokia to work effectively and develop. For instance, Nokia Corporation always ensures that it provides a high quality of its mobile devices, which implement the latest technological advancements, to enable its customers to get more opportunities due to those phones.
For instance, Nokia mobile phones are known to access the internet very fast, hence ensuring that customers can easily access information from wherever they are (Haberberg and Rieple, 2008). Also, Nokia devices do not have problems in accessing service providers’ networks. This means that Nokia mobile devices are manufactured with strong antennas that make it possible for them to access services even in places with weak signals.
Nokia Corporation has vast resources, which help the company survive in the business, regardless of the dynamic economic conditions. This is very important because organizations need resources in order to facilitate their operations throughout the world effectively. For instance, financial statements for the year 2010 show that Nokia’s total assets were valued at €39,123 million.
This means that the company is financially very strong, and hence, it has the ability to expand its business to desired levels without facing financial difficulties. In addition, managers make sure that they retain highly qualified personnel in order to maintain the high quality of its products (Martin, 2010).
In addition, employees are often trained to improve their skills to meet market expectations. Since technology is rampantly changing, it is very important for organizations to ensure that their employees are updated in a timely manner. Finally, the company enjoys a very strong brand name and trademarks which help it be on the top of the market. In fact, Nokia Corporation sets the pace for the other players in the world’s mobile phone industry.
Conclusion
Strategic management is very important in organizations because it helps in achieving organizational goals. In the process, performance is improved, hence making sure those organizations remain profitable. This includes equipping employees with adequate knowledge required to match the expectations of the organization and the customers. Therefore, managers in organizations should work hard to ensure that they manage their organizations strategically and effectively if they want to remain successful.
References
Haberberg, A. & Rieple, A. (2008). Strategic Management: Theory and Application. London: Oxford University Press.
Hill, C. W. & Jones, G. R. (2012). Strategic Management: An Integrated Approach. New York: Cengage Learning.
Martin, T. F. (2010). Strategic management. Michigan: Cengage Learning EMEA.