COLLEGE OF BUSINESS, HOSPITALITY, AND TOURISM STUDIES DEPARTMENT OF MANAGEMENT, IR & OHS
POOJA PRIYANKA MAHARAJ
1. Define Strategic Management and critically discuss why strategic Management has become so important to a new company e.g. With the Fiji Airways.
Strategic management is a set of managerial decisions that determines the long term performance of a company or a business enterprise. Strategy is all about gaining a position of advantage over adversaries or best exploiting emerging possibilities. It is an ongoing process that evaluates and controls the business and industries in which the company is involved.it assesses its competitors and sets goals and strategies to meet all existing and potential competitors. It then reassess each strategy to determine whether it has succeeded or needs by a new strategy.
Strategic management can depend upon the size of an organization, and the proclivity to change the organization’s business environment. Strategic management is needed because it is clear that a poor or vague strategy can limit implementation efforts dramatically. Good execution cannot overcome the shortcomings of a bad strategy or a poor strategic planning effort performance can be improved, so that the forecasting of the business in this case as The Fiji Airways can become more reliable and accurate in providing services.
Armed with this understanding, the company designed a new strategic management plan that established who was accountable for what and made the connection between performance and reward. For instance, Stefan Pichler, Managing Director and CEO of Fiji Airways, says that The Fiji Airways is “Expanding the airline’s route network through key airline partnerships, increasing operating profits and passenger numbers, as well as growing the number of aircraft and available seats, are just some of the key focus areas for Fiji Airways within this plan.”...