Strategic Management

Strategic management assists a organization in sustaining extensive conditions and accomplishments. Organizations that are not keeping up with the practice of strategic management make it extremely difficult to accomplish and to maintain long-term goals reached. When nearly all organizations clearly achieve a high performance level they soon start experiencing decreases in their performance. Strategic management allows companies to accept, and become aware of their surrounding around them is changing and growing. Strategic management lets company's focus on the strategies that are important and beneficial, which assists the process in building a better understanding of strategies in regards to the corporation.

The essential features of the development of strategic management, is strategy formulation, environmental scanning, evaluation and control, and strategy implementation. The actions of establishing extensive conditions and plans for the future of an organization, by using their strengths and weakness for the successful handling of environmental threats and opportunities are strategy formulation. The characteristic of environmental scanning is explained as the monitoring, evaluating, and disseminating of information from the external and internal environments to key people within the corporation (Wheelen & Hunger, 2010). Strategic maneuvers, which environmental scanning is classified to be used for will guide the future of the organization. Monitoring the organizations activities and performance in order to examine the actual results, to the ones that are setting the goals is called evaluation and control. And final the most critical part to a company's success, strategy implementation, it addresses the who, where, when, and how a company will respond in reaching the desired goals and objectives

Farmers Insurance

In the 16 years that I have been associated with the Farmers Insurance, there have been many changes in their overall strategy. In the past 10 years there has been a marked change in the way they communicate their strategy. The company has clearly described their goals and their vision and restated their objectives yearly. "What began as a simple Car insurance company for farmers has become a multi-line, multi-company insurer and financial services group with a solid reputation for doing the right thing for the right reason" (farmers.com).