This document provides an overview of strategic and operational management strategies for educational institutions. It discusses strategic management processes like strategic planning, implementation, evaluation and decision making. It also covers operational management techniques and decision making. Specific topics summarized include the strategic management process, SWOT analysis, benefits of strategic management, strategic decision making and the 7 steps of operational decision making.

1. Management Strategies in
Educational Institutions

2. STRATEGIC AND
OPERATIONAL MANAGEMENT
Course Code: 8615
Unit 3
By: Muhammad Inam Waris
PhD (Education) Scholar
Visiting Lecturer BZU Campus Vehari
0300-6263255
warisinaam@gmail.com

3. We will learn today about:
 Strategic Management Process
 Steps in Strategy Formulation Process
 Strategy Implementation
 Strategy Evaluation
 Strategic Decision Making
 SWOT Analysis
 Operational Management Techniques
 Operational Decision Making
UNIT 3: OUTLINE

4. OBJECTIVES
After reading this unit, you will be able to:
 Understand the concept of strategic
management and operational management
 Manage an organization on the basis f process
of strategic management
 Make better decisions for the development of
your organization

5. DEFINITION OF STRATEGIC MANAGEMENT
 Analysis
 Strategic goals (vision, mission, strategic objectives)
 Internal and external environment of the firm
 Decisions
 What industries should we compete in?
 How should we compete in those industries?
 Actions
 Allocate necessary resources
 Design the organization to bring intended strategies to reality

6. STRATEGIC MANAGEMENT
 The strategic management process means
defining the organization’s strategy. It is also
defined as the process by which managers make a
choice of a set of strategies for the organization
that will enable it to achieve better performance.
 Strategic Management is all about identification
and description of the strategies that managers
can carry so as to achieve better performance and
a competitive advantage for their organization.

7.  Strategic management is the study of why some firms
outperform others.
 How to create a competitive advantage in the market
place that is unique, valuable, and difficult to copy
 “Total organization” perspective, integrating across
functional areas.
 Strategic management consists of the analysis, decisions,
and actions an organization undertakes in order to create
and sustain competitive advantages.
Conti….

8.  Environmental Scanning
Environmental scanning refers to a process of collecting,
scrutinizing and providing information for strategic purposes.
 Strategy Formulation
The process of deciding best course of action for accomplishing
organizational objectives.
 Strategy Implementation
Strategy into action.
 Strategy Evaluation
Measuring performance, and taking remedial / corrective actions.
STRATEGIC MANAGEMENT PROCESS

9. CHRONOLOGICAL ORDER

10. STEPS IN STRATEGY
FORMULATION PROCESS
 The process of strategy formulation basically involves six
main steps. Though these steps do not follow a rigid
chronological order, however they are very rational and can be
easily followed in this order.
 1. Setting Organizations’ objectives - The key component of
any strategy statement is to set the long-term objectives of the
organization. It is known that strategy is generally a medium for
realization of organizational objectives.
 2. Evaluating the Organizational Environment - The next step
is to evaluate the general economic and industrial environment in
which the organization operates. This includes a review of the
organizations competitive position

11. CONT.……
 3. Setting Quantitative Targets - In this step, an
organization must practically fix the quantitative
target values for some of the organizational
objectives.
 4. Aiming in context with the divisional plans -
In this step, the contributions made by each
department or division or product category within
the organization is identified and accordingly
strategic planning is done for each sub-unit.

12. CONT.……
 5. Performance Analysis - Performance analysis
includes discovering and analyzing the gap
between the planned or desired performance.
 6. Choice of Strategy - This is the ultimate step
in Strategy Formulation. The best course of action
is actually chosen after considering organizational
goals, organizational strengths, potential and
limitations as well as the external opportunities.

13. STRATEGY IMPLEMENTATION
 Strategy implementation is the
translation of chosen strategy into
organizational action so as to achieve
strategic goals and objectives.

14. MAIN STEPS IN IMPLEMENTING A
STRATEGY
 Developing an organization having potential of carrying
out strategy successfully.
 Disbursement of abundant resources to strategy-
essential activities.
 Creating strategy-encouraging policies.
 Employing best policies and programs for constant
improvement.
 Linking reward structure to accomplishment of results.
 Making use of strategic leadership.

15. STRATEGY FORMULATION VS STRATEGY
IMPLEMENTATION
Strategy Formulation
 Strategy Formulation includes
planning and decision making
involved in developing organization’s
strategic goals and plans.
 Strategy Formulation is placing the
Forces before the action.
 Strategy Formulation is an
Entrepreneurial Activity based on
strategic decision-making.
Strategy Implementation
 Strategy Implementation involves
all those means related to
executing the strategic plans.
 Strategy Implementation is
managing forces during the
action.
 Strategic Implementation is mainly
an Administrative Task based on
strategic and operational decisions

16. CONT.……
Strategy Formulation
 Strategy Formulation emphasizes on
effectiveness.
 Strategy Formulation is a rational
process.
 Strategy Formulation requires co-
ordination among few individuals.
 Strategy Formulation requires a
great deal of initiative and logical
skills.
 Strategic Formulation precedes
Strategy Implementation.
Strategy Implementation
 Strategy Implementation emphasizes
on efficiency.
 Strategy Implementation is basically
an operational process.
 Strategy Implementation requires
co-ordination among many
individuals.
 Strategy Implementation requires
specific motivational and leadership
traits.
 Strategy Implementation follows
Strategy Formulation.

17.  Strategic decisions have major resource propositions for an
organization. These decisions may be concerned with possessing new
resources, organizing others or reallocating others.
 Strategic decisions deal with harmonizing organizational resource
capabilities with the threats and opportunities.
 Strategic decisions deal with the range of organizational activities. It is
all about what they want the organization to be like and to be about.
 Strategic decisions involve a change of major kind since an
organization operates in ever-changing environment.
 Strategic decisions are complex in nature.
 Strategic decisions are at the top most level, are uncertain as they deal
with the future, and involve a lot of risk.
STRATEGIC DECISION MAKING

19.  Financial Benefits: It has been shown in many studies that firms that engage in
strategic management are more profitable and successful than those that do not
have the benefit of strategic planning and strategic management.
 Non-Financial Benefits: The section above discussed some of the tangible
benefits of strategic management. Apart from these benefits, firms that engage
in strategic management are more aware of the external threats, an improved
understanding of competitor strengths and weaknesses and increased employee
productivity.
 Closing Thoughts: In recent years, virtually all firms have realized the
importance of strategic management. However, the key difference between
those who succeed and those who fail is that the way in which strategic
management is done and strategic planning is carried out makes the difference
between success and failure.
Benefits of Strategic Management

20. SWOT ANALYSIS
SWOT is an acronym for
Strengths,
Weaknesses,
Opportunities and
Threats.
By definition, Strengths (S) and Weaknesses (W) are
considered to be internal factors over which
you have some measure of control. Also, by definition,
Opportunities (O) and Threats (T) are
considered to be external factors over which you have
essentially no control.

21. SWOT Analysis helps in strategic planning in following
manner.
 It is a source of information for strategic planning.
 Builds organization’s strengths.
 Reverse its weaknesses.
 Maximize its response to opportunities.
 Overcome organization’s threats.
 It helps in identifying core competencies of the firm.
 It helps in setting of objectives for strategic planning.
 It helps in knowing past, present and future so that by using
past and current data, future plans can be chalked out.
Advantages of SWOT Analysis

22. SWOT ANALYSIS FRAMEWORK

23. LIMITATIONS OF SWOT ANALYSIS
 a. Price increase;
 b. Inputs/raw materials;
 c. Government legislation;
 d. Economic environment;
 e. Searching a new market for the product which is not having
overseas market due to import restrictions; etc.
 Internal limitations may include:
 a. Insufficient research and development facilities;
 b. Faulty products due to poor quality control;
 c. Poor industrial relations;
 d. Lack of skilled and efficient labour; etc

24. OPERATIONS MANAGEMENT
 Operations management is the administration
of business practices to create the highest level of
efficiency possible within an organization. It is concerned
with converting materials and labor into goods and services
as efficiently as possible to maximize the profit of an
organization.
 Operations Management as the process whereby
resources, flowing within a defined system, are combined
and transformed by a controlled manner to add value in
accordance with policies communicated by management.

26. OPERATIONAL DECISION MAKING

27. 7 STEPS OF THE DECISION-
MAKING PROCESS
 Identify the decision.
 Gather relevant info.
 Identify the alternatives.
 Weigh the evidence.
 Choose among the alternatives.
 Take action.
 Review your decision.

28. QUESTIONS

30. ASSIGNMENT
Strategic Planning–Forced Choice
Model
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