The Role and Importance of the Strategic Plans As an Innovative Tool in Determining the Direction of Companies from the Financial Success Perspectives
Handbook of Research on Managerial Thinking in Global Business Economics (2019, Forthcoming)
7 Pages Posted: 13 Dec 2018
Date Written: November 19, 2018
Companies have a variety of aims. Among them, the most important one is to survive. However, survival is not an easy subject in the global environment. Even surviving becomes harder while competition increases. So, companies have to deal with both globalization and competition at the same time. Although it is possible to mention about lots of tools, one of the most important innovative management tools is strategic planning in terms of the financial success perspectives. The strategic plan (SP) is a tool that can be used to shape their future and to survive by companies. It is concluded that SPs have important benefits. Firstly, SPs make the contribution to the survival. Secondly, SPs are helpful to plan future. Thirdly, SPs are used as a guide. Fourthly, SPs trigger good management practices and innovation culture because of requiring transformation processes. Fifthly, due to triggering internal transformation works, SPs make the contribution to gain the comparative competitive advantage. Sixthly, by implementing SPs well, it is inevitable to reach good financial results.
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