Strategic management is one of the vital aspects of a successful business. The perspectives on the strategic management appropriate in various situations for suitable for different leaders are multiple. Besides, these perspectives may differ dramatically.
The Islamic perspective on strategic management is rather different from the one dominant in the West and is recognized as the conventional one. While the conventional business leaders treat their business success as the result of intuitive decisions and profitable and timely deals connected with a lot of risks, the Islamic leaders prefer “driving safely” (Fontaine and Ahmad 4). In other words, the risk is something the Islamic strategic management is attempting to avoid at any cost. Such an approach is partly dictated by the moral obligations and rules enforced by the Islamic religion, where the fair treatment of the partners is deemed necessary.
It is important to mention that even though religious beliefs have a strong impact on the vision of the strategic management practiced by the Islamic leaders and organizations, the moral aspect is not the most important part here (Fontaine and Ahmad 4). Analyzing the Islamic idea of the strategic management of an organization, one has to notice the fact that risk-taking, in general, is not regarded as a worthy activity, and thus it is avoided. Such an attitude is quite logical, knowing that a leader is in charge of multiple levels of outcomes making a decision. For instance, one strategic risk is able to benefit thousands of employees, bring in large capitals, positively affect the well-being of the whole company, and please the shareholders. At the same time, if the risky decision made by the leader does not work out, it is likely to harm the same number of people and cause the loss of even larger capitals.
Even though risky solutions are known for attractive short-term benefits such as fast and large profits, long-term benefits are recognized as more stable forms of income and longer-lasting effects. That way, the Islamic leaders prefer to stay true to their obligation to the employees, shareholders, and partners leading the company towards success in a slow but determined and purposeful manner (Fontaine and Ahmad 4).
When it comes to the differentiation between the conventional and the Islamic approaches to the strategic leadership, I agree with this kind of division because the two perspectives are truly different in some of the most significant aspects. Risk-taking and the point of view of the relation of the leader and all the other individuals involved in the business making process are the determinants that form the leadership style and the strategy of the company from the very beginning of its existence. At the same time, even though the Islamic perspective on strategic management is more thorough and based on ethical demands from a leader, its preference for the long-term benefits may be a disadvantage sometimes. For instance, if a project that is initially not viewed as very profitable takes too long to generate income, the pursuit of safe strategic management may be inappropriate.
To conclude, the conventional and Islamic perspectives on strategic management differ based on the aspects of moral views of the leader, and the favored way to obtain profit. The Islamic perspective is safer and more responsible compared to the conventional one, but it has a disadvantage – the long period of time required to make the business and the investments pay off.
Works Cited
Fontaine, Rodrigue and Khalid Ahmad. Strategic Management from an Islamic Perspective: Text and Cases. Hoboken, New Jersey: Wiley, 2013. Print.