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4. What type of goals should you start thinking about in creating a
personal mission and vision?
5. How are your strengths and weaknesses relevant to mission and
vision?

6. What stakeholders seem relevant to your personal mission and
vision?

Chapter 3
Strategizing

WHAT’S IN IT FOR ME?
Reading this chapter will help you do the following:
1. See how strategy fits in the planning-organizing-leading-controlling (P-
O-L-C) framework.
2. Better understand how strategies emerge.
3. Understand strategy as trade-offs, discipline, and focus.
4. Conduct internal analysis to develop strategy.
5. Conduct external analysis to develop strategy.
6. Formulate organizational and personal strategy with the strategy
diamond.
Strategic management, strategizing for short, is essentially about choice—in
terms of what the organization will do and won’t do to achieve specific goals and
objectives, where such goals and objectives lead to the realization of a stated mission
and vision. Strategy is a central part of the planning function in P-O-L-C. Strategy is
also about making choices that provide an organization with some measure of
competitive advantage or even a sustainable competitive advantage. For the most
part, this chapter emphasizes strategy formulation (answers to the “What should our
strategy be?” question) as opposed to strategy implementation (answers to questions
about “How do we execute a chosen strategy?”). The central position of strategy is
summarized in the following figure. In this chapter, you will learn about strategic
management and how it fits in the P-O-L-C framework. You will also learn some of
the key internal and external analyses that support the development of good
strategies. Finally, you will see how the concept of strategy can be applied to you
personally, in addition to professionally.
5.1 Strategic Management in the P-O-L-C Framework
LEARNING OBJECTIVES
1. Be able to define strategic management.
2. Understand how strategic management fits in the P-O-L-C framework.
3. Broadly identify the inputs for strategy formulation.
What Is Strategic Management?
As you already know, the P-O-L-C framework starts with “planning.” You
might also know that planning is related to, but not synonymous with, strategic
management. Strategic management reflects what a firm is doing to achieve its
mission and vision, as seen by its achievement of specific goals and objectives.

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