Standards for Dividing the Management Strategy
The management strategy is required at all the levels in different organizations of any enterprise. For this reason, the management strategy also plays a role of providing guidelines for an organisational cooperative working. The proposition “Organisation is based upon the strategy” expresses this most clearly.
However, in today’s scenario the management strategy can not be arrived at according to the instructions of any particular individual in large enterprises. Rather lit may be better to understand that the people form an organization collectively, make the decision and the management strategy evolves as a result of thorough communication among them.
From this point of view, it can be said that the organization it self is responsible for giving birth to strategy. This means that there is another proposition now where it is said "Strategy is based on the organization".
In the way, the management strategy and the organization depend upon each other mutually and it is not true that one is followed by the other.
It is important to note that different management strategies exist to meet the varying requirements of different organizational levels. The management strategy is system which has multilayer structure formed from different types of sub-systems. The overall strategy of a company plays the role of integrating these sub systems. Core of this strategy are the defining of the domain and decision with regard to the operation portfolio as well as the resource development.
There are basically two factors which form the standards for division of management strategy into sub-systems. One is the profession (function) and the other is the operation field. The coordination of the strategy on the basis of one of these axis is determined by organizational structure of the enterprise and the conditions under which the enterprise is working.