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Most people view effective leadership as the core to success for any business. However, this makes it difficult to understand why some employees don’t depict and motivate their behaviors. In many cases, the obvious answer is always a lack of incentives. Employers are always willing to give out incentives though it comes with an additional cost when it involves financial rewards. Because of this, most organizations are looking for nonfinancial rewards which can reduce their cost of managing employees and other people (Schmidt Para 2).
Despite the attempts to reward employees and motivate them to some kind, many people believe that leadership is the key to their motivation. One of the reasons for this is that employees interact with their leaders day by day hence acting as their motivation. On the other hand, rewards that employees think is their motivator come after a long time and a period of time. Therefore, showing good leadership will be essential in motivating employees as the more they interact, the more they learn from leaders to show their productivity.
Similarly, showing leadership will translate into five sources of motivation as pay based system of motivation only taps self-based external sources at their best. Therefore, it is very important for organizational leadership to define different forms of influencing the employees in order to get motivated. Some of the approaches to consider include forms of task-based leadership, transactional approach, and transformational approach among others.
Business Environment and Enterprise
This may be customers, suppliers, and be performing its transactions within the frameworks of the rules and regulations of the environment. All these stakeholders, policies, and institutions form part of the business environment which acts as forces towards accomplishing the objective.
In order for an organization to understand its environment well, it must carry out environment scanning. Environmental scanning is the process where businesses monitor their surrounding in order to identify threats and opportunities that may affect them. This is important when carried out because it will help the business to understand and find out different factors and people who influence the business operations. This makes it important for any organization to conduct it as no one can survive the market if it ignores the role of the business environment. It gives the business a chance of making changes to policies that comply with the business environment.
Many organizations have come to recognize the essential part that the business environment plays in the success of their business. For instance, it provides constraints and opportunities for organizations and businesses. For instance, there are Acts that regulate and restrict businesses from doing certain activities, as result, they put constraints on business. On the other hand, some policies liberate hence bringing opportunities to businesses and organizations.
Strategic Management
Organizations or businesses use strategic management in determining their values, goals, vision, mission, timelines roles, and responsibilities among others. It gives the organization an overview of what they want to achieve and ways of achieving it within the set time frame. This is very essential in steering the organization towards achieving the mission and vision statement.
In order to have strategic management, organizations develop a strategic plan. It is the formal outline of how an organization will achieve its goals. There are different strategic planning which exist and organizations can choose which one to adopt depending on the nature of the plan and the goals it wants to achieve. For instance, the organizational strategy outlines the planning avenues geared for organizational development. This may be in relation to the selection of business, merger, and earned income among others. The programmatic strategy involves ways of developing, delivering, and managing programs. Similarly, functional strategies deal with ways of managing administration and the support needs that may interfere with organizational efficiency. These strategies may be in relation to developing a financial system that provides accurate statements related to finance, billing, or any other thing within the organization.
Strategic management will then encompass all the strategies put in place in ensuring that an organization achieves its goal. Some of the strategic management aims may be to evaluate the direction that the organization has to take in order to realize the goals. This may be through adopting short-term plans, mid-term plans, or long terms plans to set way. Similarly, strategic management will call for review and evaluations of the measures put in place to achieve the goals and the targets. This shows how important strategic management is essential to any organization as it shows the means of achieving the goals.