The most important reason for the importance of strategic management is that the success of the business depends upon it. Following are some of the reasons that provides basis for the importance of the strategic management. Strategic management is very important aspect of today’s business. In fact the internal environment is forced by the external environment to specify the goals and along with the guidance of external environment to achieve these goals. The goals are generally set by internal & external environment. Top management determines the strategic goals and the broader plans are activated to accomplish these goals. In this continuous process, the formulation & implementation of broader plans is made and finally these are also controlled. Strategic Management is the continuous process that takes place to the existence of the organization.
When imperfect plan which is implemented effectively, than it can provide more fruitful results than from any perfect plan which is not implemented properly. The change emerges from the implementation & evaluation efforts rather than from the formulation stage of plan. A lot of money, time & efforts are spent by the organizations for the development of strategic plans along with the circumstances & means for the implementation of that plans. Proper implementation is so important that even perfectly developed plan fails to fulfill any purpose if it is not implemented properly. All the divisional & functional areas are affected. The organization is affected from top to bottom through strategy implementation. Strategy implementation efforts bear problems when the employees lack proper understanding & commitment. Moreover all of them are committed to assist the organization to become successful by involving in the activities of strategy formulation. The translation is made quite easier when all the employees and managers of the organization know the business & consider them as part of the organization. In fact the strategic thought is translated into action in strategic management. The strategic management process is not limited to the formation & implementation of particular set of strategies. Moreover forces of external & internal environment changes with the passage of time therefore all the strategies also require modifications. This task of the management is better accomplished through strategy evaluation which provides needful information to the managers in this regard. It is the duty of the managers to have sufficient know-how about the problems and improper working of strategies. The final stage of the strategic management process is the strategy evaluation. Strategy evaluation is the last step of the stages of strategic management process. Strategy implementation is considered as utmost important in the stages of strategic management process. The strategy that is formulated but not implemented lacks any useful purpose. Personnel discipline, sacrifice & commitment are required in this stage of strategy implementation.
Strategy implementation stage is the most difficult stage among all other stages of strategic management. In fact the managers & employees are mobilized in implementing phase so that the formulated strategies are put into some action. The stage of strategy implementation is also referred to as action stage of strategic management.