How can the power of strategic decisions be understood in just one simple paragraph? Decisions made in business are what form a company’s outlook, operations, image, forecasts, product or service price, range and business competitiveness. Strategic decisions can be made collectively or by individuals and impact the business direction at all levels and at any time.
Understanding Strategic Decisions That Compound All Levels
Complicated? There’s a reason businesses like Asda, Harrods, Chessington World of Adventures and Rainforest Cafe have their own employee handbooks. This is because they believe in making note of their successful strategic decisions and learning from those that fail and yes some do. Some are a work in progress, others are a 100 year old history on retail operation do’s and don’ts but are current.
Imagine running a business for 100 years that’s grown from one little shop on the corner of South London to a flagship store on Regent Street.
Company Handbooks Are The Result Of Years Of Compiled Strategic Decisions
The company has had hundreds of thousands of staff, some of which made strategic decisions on distribution, cutting fuel costs, sourcing certain products over others, choosing management structure, trialed customer greeters, neon lights and window displays.
They also compared different merchandising and marketing techniques. These handbooks are the bible of the company and all assembled thanks to those who stood up, thought deep and conjured strategic decisions to take the business they were a part of, forward.
Imagine if nothing was written down, no one learned from past mistakes or made plans to make the business more efficient by looking into the past to ensure the future is brighter, strategic decisions are the lifeblood of a company, they are the success story.
Making Strategic Decisions And Business Strategy
As a business leader, CEO, Chairman or management within a company structure it’s your responsibility to ensure your department is working and pulling its weight, keeping costs down, coming up with new ideas and ensuring your staff are happy in their job.
Another part of that is ensuring your underlings have every opportunity to feel party to strategic decision making. This is achieved through ideas, competition, pay scale and incentives, formation of supervisory roles and, positions of responsibility.
Some of the best ideas come from the shop floor, those selling and interacting with the customer day in day out. Strategic decisions are determined and chosen at the highest level of management and possibly shareholders, but the input can come from all levels.