BACKGROUND OF THE STUDY
The economic environment is rapidly changing, with phenomena such as globalization, shifting customer and investor expectations, and ever-increasing product-market rivalry driving this transformation. “Strategic management is an ongoing process that evaluates and controls the company’s business and industries, assesses its competitors, and sets goals and strategies to meet all existing and potential competitors, and then reassesses each strategy annually or quarterly (i.e. on a regular basis) to determine how well it has been implemented and whether it needs to be replaced (Lamb, 1984). The major goals that business organizations should strive for are gaining a competitive advantage position and improving firm performance in comparison to their competitors. (2009) (Raduan, Jegak, Haslinda, and Alimin).
The size of a company and the inclination for change in its business environment might affect strategic management. As a result of its scale, scope of activities, and need to include stakeholder opinions and requirements, a worldwide transnational organization may use a more formal strategic management approach.
Major management theories, such as Chandler’s (1962) and Child’s (1972), both referenced in Meier, O’Toole, Boyne, and Walker (2012), stress the ability of private firms to exercise strategic choice despite external limitations. The way they approach strategic problems can have an impact on the organization’s overall growth and development. Fundamental concerns such as resource base, infrastructural constraints, acceptable degree of technology, and raw materials input must all be addressed in the strategic framework.
STATEMENT OF THE PROBLEM
In recent years, organizations’ performance has been the subject of much investigation. The extent to which an organization’s policies and programs are implemented and its strategic aim in terms of goals and vision is a major problem. Managers in both private and public organizations are increasingly aware that having an appropriate system for attracting and managing the organization’s human resources is a critical source of competitive advantage. Indigenous products and services, best public relations strategy, state-of-the-art technology, and having an appropriate system for attracting and managing the organization’s human resources are all important sources of competitive advantage.
Based on the above and current trends, it is clear that the space of change in our corporate environment brings new problems on a daily basis. As a result, if the industrial industry is to effectively handle its difficulties, a cure must be discovered. As a result, many businesses must come up with creative concepts in order to establish distinctive brands, consumer-friendly products/services, and competitive advantages in terms of brand preference and client confidence.
Despite this, no research has been done in Nigeria to look at the influence of strategic management as a whole on organizational growth and development. In Nigeria, there is a number of research targeted at improving human resource development (eg Oladipo and Abdulkadir, 2010; Oladipo and Abdulkadir, 2011; Abdulkadir, 2012). Strategic planning (a subset of strategic management) was research that was related to this one (see Ilesanmi, 2011 and Akinyele & Fasogbo, 2007). None of the research in Nigeria looked at the influence of strategic planning management on the industrial sector. To that end, the purpose of this study is to investigate how manufacturing businesses in Anambra State may employ strategic management to build successful growth and development strategies.
OBJECTIVE OF THE STUDY OBJECTIVE
The overall goal of the research is to:
1. Investigate the impact of strategic management on the performance of the organization.
2. Investigate the factors militating against strategic management in Krisoral group of companies.
3. Investigate the impact of strategic management on companies sustainability in competition market.
The following research questions guide the objective of the study.
1. What is the impact of strategic management on the performance of the organization?
2. What are the factors militating against strategic management in Krisoral group of companies?
3. Does strategic management have a positive impact on companies sustainability in competition market?
SIGNIFICANCE OF THE STUDY
This research will also add to the current body of literature on this subject and will also act as a resource for academics, researchers, and students interested in conducting future research on this or a similar topic.
SCOPE OF THE STUDY
The study seeks to investigate the impact of strategic management on the performance of the organization, and also investigate the strategic method the management of the Krisoral group of companies applies, and lastly, investigate the impact of strategic management on the level of competition. The Krisoral group of companies is located in Onitsha, Anambra state,
1.7 LIMITATION OF STUDY
The study was limited to the Krisoral group of companies, hence the results will be based on the response from that particular group.
1.8 DEFINITION OF TERMS
STRATEGIC MANAGEMENT: Strategic management is the ongoing planning, monitoring, analysis, and assessment of all the necessities an organization needs to meet its goals and objectives.
ORGANIZATIONS PERFORMANCE: Organizational performance comprises the actual output or results of an organization as measured against its intended output.