Business Policy And Strategic Management

What do you mean by business?

Business A business (also called firm or an

enterprise) is a legally recognized organizational entity designed to provide goods and/or services to consumers or corporate entities such as governments, charities or other businesses.

Policy A policy is a deliberate plan of action to

guide decisions and achieve rational outcome(s). The term may apply to government, private sector organizations and groups, and individuals. Presidential executive orders, corporate privacy policies, and parliamentary rules of order are all examples of policy.

Business Policy/ Strategic Management

It refers to those set of perspective management measures taken with a view to ensuring the survival and long term success of an enterprise in a competitive environment.

Business policy A business policy is a principle for the

conduct of a business enterprise or some phase of its activities.

A policy is a verbal, written or implied overall guide setting up boundaries that supply the general limits and direction in which managerial action will take place.

Characteristics of business policy Definite Positive Clear Easily understandable Simplicity Flexibility Stability

Differences between a policy & strategy

Policy is concerned with day to day activities, where as strategy is concerned with strategic decisions.

While policy mainly provides guidelines for those activities which are repetitive in nature, strategy deals with those decisions which have not been encountered before in the same form.

Cont..

Policy covers both thought and action, but strategy mostly concentrated on action.

Policy formulation is the responsibility of the top management and the strategy formulation is usually done by middle level management.

Vision Description of something ( an organization,

corporate culture, a business, a technology, an activity) in the future.

Vision is the ability to see things ahead of themselves.

Mission Mission is a statement which defines the

role that an organization plays in a society. The definition of mission has gradually

expanded to represent a concept that embodies the purpose behind the existence of an organization.

HERO HONDA'S MISSION HERO HONDA'S MISSION  Hero Honda’s

mission is to strive for synergy between technology, systems and human resources, to produce products and services that meet the quality, performance and price aspirations of its customers. At the same time maintain the highest standards of ethics and social responsibilities.

This mission is what drives Hero Honda to new heights in excellence and helps the organization forge a unique and mutually beneficial relationship with all its stake holders.

Bajaj company’s policy Quality Policy We at Bajaj Auto continue to firmly believe in

providing the customer Value for money, for years through our products and services. This we shall maintain and improve,In our decision making, quality, safety and service will be given as much consideration as productivity, cost and delivery. Quality shall be built into every aspect of our work life and business operations. Quality improvements and customer satisfaction shall be the responsibility of every employee.

TPM Policy We at Bajaj Auto adopt Total Productivity Maintenance as a means of creating a safe and participative work environment in which all employees target the elimination of losses in order to continuously enhance the capacity, flexibility, reliability and capability of its processes, leading to higher employee morale and greater organizational profitability.

Padmashree Dr. D.Y.Patil University ( VISION) To provide quality in all spheres of higher

learning in general and health services in particular to all including those in the rural and urban areas of the nation, keeping in view the societal needs in the global context.

Padmashree Dr.D.Y.Patil University (GOAL)

To be recognized as one of the leading institutes of higher learning in India within the next 5 years and reorganization in the global arena.