Strategic Decision Making Method Analysis - 2120 Words

Introduction Strategic Decision Management (strategic decision-making technique, SDM) is a decision-making method that has been devised by Ronald Howard Professor of Stanford University in the 1960s. It is considered â€Å"decisions are quality (Decision Quality)†, and has the purpose of enhancing the quality of decisions. Strategic decisions are related to the management at the strategic level. The great thing about strategy decision-making method is the method of producing the choices you has cover (Adam Nain, 2012). Strategic management consists of a series of business decision and action that determines the long term performance of a company. Strategic management enables the company to operate in a complex and dynamic environment. In a†¦show more content†¦The following statement is elaborated in this essay, which declares: â€Å"The external environment is so complex and chaotic, the behaviour of individuals so unpredictable, that strategic managers can have little claim to the outcome of a crisis† Discussion According to Manski Neri (2013), an organization acts as a ‘social entity’ where activities are controlled in a systematic manner to meet the definite objectives, with consideration to the external environment; comprising of factors including Political, Economic, Social, Technological, Environmental, and Legal; which are uncontrollable in nature and must be monitored to supersede the competitors. For an organization to get the sustainable competitive advantage, strategists have promoted that the key components, for example, clients, government and competitors must be concentrated on formulating a powerful corporate methodology, which would help in adjusting the progressions created by these units. Strategic decisions are impressively portrayed as the choices made at corporate level, which incorporate high capital investments with more chances to yield profit, expanded risk, and expanded necessity for flexibility and long run prospects. Strategic decisions are additionally described as the decisions made at functional level, which incorporate usage of suitable techniques at the business and corporate levels, retaining low risk and activity oriented operational issues. Owing to social