The Application of Strategic Management Plan in a Palm Oil Production Firm

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The application of strategic management plan in a palm oil production firm Introduction It is best to begin a conversation about strategic management planning by Coming to understanding of what “strategy” is. Here a strategy is a plan process for making Key decision and agreeing on actions that will shape and guide what an organization is, what it does, and why it does it. Strategy is a long term action designed to achieve a particular goal, most often “winning” The source of this term is strictly military all about leading human and other resources to win battles and wars. In the true business management senses, strategy is distinguished by several key dimensions. ✓ A strategy aims to steer the direction of the overall organization. It affects the long – term well – being of the organization. ✓ A strategy has a long time horizon, usually measured in years rather than months or weeks. A typical strategic plan may set goals to be achieved five or more years in the future. ✓ A strategy has an impact that is more likely to be felt through out the entire organization rather than with in a single component of the organization. ✓ A strategy builds on and exploits to the fullest extent the organization’s resources and abilities to have a competitive advantage and maximize profit. Palm oil production firm is an agro-industrial business which has as its principal purpose, the growing of oil palm trees and supplying good quality red Palm oil. Resourcing the strategic plan in a palm oil production firm Strategic planing is the art and science of formulating, implementing, and evaluating, cross-functional decisions that enables an organization to achieve its objectives. Therefor in a palm oil production firm, it is a management function which is involved in planning, organizing, directing, controlling and staffing. • At the corporate level,

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