Strategic Management

It helps to consider the two words separately first. Strategies are the initiatives a company takes to maximize its resources and to grow its business. This might involve financial planning, human resources management or focusing on a mission statement. Management is the process of operating the business on a day-to-day basis and planning for future success. When you put the two words together, strategic management is about driving the company’s growth through effective management techniques focused on goal-setting.

Corporate Governance

An effective organization is often one that has initiated programs and services within its structure that ensure open communication, good management and effective leadership. Without these hallmarks of corporate governance, it is difficult to manage strategically because the basic framework of goal-setting and decision making are missing. Setting up a control and reporting mechanism is also important to strategic management as part of a wider corporate governance push. This allows the organization to make changes when they are needed to constantly monitor its own progress.