MNG3701 EXAM MAY/JUNE 2022_2023 Discussion_Q&A_

MNG3701 EXAM MAY/JUNE 2022_2023 Question 1 - With reference to the different strategic planning champions, explain who is involved in the strategic management process. [5] All management levels and employees have specific roles to fulfil in ensuring successful strategizing. The role of the top management team is to set the overall strategic direction of the organisation by formulating the strategy, allocating the resources and reviewing the strategic success. They are responsible for gathering information from both the internal and external environment, and choosing strategies and actions to help the organisation gain a sustainable competitive advantage. They then communicate this to middle level management, explaining the rationale behind strategic choices so that middle managers can link the strategies and strategic goals to implementation efforts. The top managers are also responsible for the review of strategies. A strategist who is responsible for guiding the strategic planning in an organisation is often referred to as a ‘strategic planning champion’ (SPC). There are three roles that SPC’s must perform to work effectively:  The social craftsperson;  The artful interpreter;  The known stranger. The senior or top management team needs to have sufficient detail of the organisation to ensure that the strategizing is sound and able to allocate scarce resources to put strategies in place. Boards of directors of companies influence strategizing in organisations, being the focal point and custodians for corporate governance. The board of directors influences the overall direction and monitors the relationship between management and other stakeholders to ensure that the organisation is sustainable in the long-term. The King III report on Corporate Governance requires the board to ensure that strategy is aligned with the purpose of the organisation. The role of the board is more aligned to monitoring and reviewing strategies than crafting them. ............................................continued...............................................