03 Branches of strategy

Branches of strategy

A strategy is a long-term direction for any organization to achieve its goals and objectives. Based on nature three main branches of strategy can be identified. The branches of strategy are important for managers in making effective and successful decisions. Apart from that, the branches of strategy can be used finding solutions for practical strategic issues.

01. Strategy Context

This is about the internal and external background of the organization.  The organizations should properly analyze the internal environment and the external environment of the organization before making strategic decisions.

When analyzing the organizational environment, the cultural environment indicates how strongly the culture of the organization as an internal factor influences organizational behavior. Apart from that, the external culture and the ethics of the environment in which the business operates shape the organizational qualities of the organization to survive in the industry. The organization has to fit in and mingle with the organizational external culture and may have to change its policies and procedures to survive in the industry.

The strategy context also concentrates on the resource-based view where the researchers are trying to concentrate more on the internal business environment and try to find the unique characteristics of the organization. This can lead to recognizing the competitive advantages or disadvantages of the product or service.

02. Strategic Content

This is about concentrating on different strategies that can be used in the organization’s decision making and the probability of each strategy to be a success. The organization has to conduct proper research to find the link between strategy and success. For this, the researches have to find the success of a different, broad set of strategies.

Out of all the analyzed strategies, the organization has to adopt the strategies that match with the organization’s culture and goals, and the strategies that can help to solve all the ongoing strategic issues. Since the issues are not limited to a certain period, the organizational researchers should be innovative and should be able to find strategic solutions continuously. They should get a proper understanding as to what strategy to be used in each condition in the organizational environment. 

03. Strategy process

The strategy process is about how to form the strategies and how to implement those strategies. This is the approach that is suitable for most managers in making their strategic decisions. Starting from the 1960s, the strategic planning researchers and the organizations used economics and management science to design and introduce an analytical system to plan and implement the best strategies for the businesses.  The researchers have identified choice and change as the human end psychological side of the strategy process.

The nature of the human and the changes in the thinking patterns motivated the researches and the organizations to come up with rational analysis. Rather than sticking with the guide books, the organizations have to look out at the society, the changes, the new generations who are conquering the market and change the business strategies to achieve competitive advantages in the market.

Based on the above-mentioned branches of strategy, it is clear that strategic planning is a process with a strong range of outlooks and insights of academic disciplines. To implement the correct strategies in the organization, the strategic issues should be identified accurately and the implementing strategies should be capable of solving all the organizational strategic issues.

Strategic decisions should be made to align with economical factors, psychological factors as well as social factors. If the organizational strategic decisions are failed to comply with any of the above-mentioned factors, it is difficult for the organization to survive in the industry and impossible to achieve competitive advantages. It is highly important for strategic planners to aware of the importance of branches of strategy and acts according to the strategic planning process.

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