Planned And Emergent Strategy For Business And Marketing Planning Essay

Planned And Emergent Strategy For Business And Marketing Planning Essay Planned And Emergent Strategy For Business And Marketing Planning â€" Essay Example > SIMILARITIES AND CONTRAST BETWEEN SCENARIO PLANNING AND COMPETING ON EDGE. (2006)INTRODUCTIONThe global business in contemporary era is characterized by keen competition and dynamic nature of conducting the day to day business. Hence, there is the need to curve a niche for an organization before it gains competitive advantage over its rivals. It then requires that the adoption of a more effective and pragmatic strategy is germane in attaining this height. Strategic management which entails how an organization adapt in its environment by the adequate utilization of its resources in meeting its sets goals and objectives, is a significant management techniques adopted in modern organization management in the effective attainment of set targets. The uncertainties that are facing business organization are further intensified by the dynamic nature of conducting business operations. Thus, there is a need to enforce the management of change through an effective strategic technique. Strate gic planning is an invaluable tool in the hands of managers of businesses, in meeting the challenges of uncertainties and stiff competition in the business industry they operate in. In this instance, Brown Eisenhardt (1998:4), defined strategic as basically consisting two things: deciding where you want your business to go and figuring out how to get there”. There are many models of strategic planning; thus applying the right one for the right organizational problem would result in the maximization of optimum result. This essay tends to compared and contrasts between strategic framework, i.e. Scenario Planning and Competing on Edge. These strategic approaches would be compared on how effectively they are in maximizing the result expected in a given period of uncertainty. Also, the differences in the two approaches would be given looking at their advantages and disadvantages. CONCEPTUALIZATION OF TERMSScenario planning: Scenario planning is considered as a tool for businesses in different industry in coping with the unpredictability, and gives insights to them in finding better solution for the future problems as they arise. Rigland (1998:12), defined it as “scenario are often thought of as a management development tools as a way of creating shared vision, as well as better plans in organizations”. To Shoemaker (1991:549), scenario is defined as a script- like characterization of a possible future presented in considerable detail, with special emphasis on causal connections, internal consistency, and concreteness. Thus, corporate planning, make use of multiple scenarios to characterize the range within which the future is likely to evolve. Scenario planning is used not only in investment and portfolio management, it also involve the creation of foresight and developing an international perspective for the organization. It is an adequate tool for planning for uncertainties and brainstorming towards seeking ways to handle a foreseen problem. Drawing a b oundary or sphere of applying scenario planning, Wack (1985), cited in Shoemaker (1991: 550), argues that “scenarios are not states of nature or predictions. The focus is not on forecasting the future, or fully characterizing its uncertainty, but rather on bounding the uncertainties”. Competing on the Edge: ‘Competing on Edge’ is a modern strategic technique use in the management of change that occurs in an organization. According to Brown Eisenhardt (1998:4), competing on the edge is defined as a strategy which entails the creation of a relentless flow of competitive advantages that, taken together, form a semi coherent strategic direction. Competing on the edge acknowledges the key driver of superior performance as the ability to change. And success is measured by the ability to survive, to change, and ultimately to reinvent the firm constantly over time. Thus, competing on the edge is a strategy more pragmatic in the management of unpredictable and uncontrollable dynam ics of modern business. “The underlying insight behind competing on the edge is that strategy is the result of a firm’s organizing to change constantly and letting a semi coherent strategic direction emerge from that organization. In other words, it is about combining the two parts of strategy by simultaneously addressing where you want to go and how you are going to get there” (ibid: 7)