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What Is Strategic Enterprise Management?

By Whitney Leigh White
Updated: May 17, 2024
Views: 4,889
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Strategic enterprise management is a system utilized by businesses of all types and sizes. This type of system helps a business to effectively make important business decisions. Different types of tools are included within different types of strategic enterprise management systems, including various software programs. Many times, a business will utilize a strategic management system so that it can overcome the extrication found between business employees that formulate strategies and business employees that have the responsibility of implementing any approved strategies. This type of system is generally accompanied with three key concepts, including improving a business’s competitive system, enhancing its cooperative system, as well as revitalizing or changing its operations.

All businesses must employ operational processes that enable it to be competitive. Through a strategic enterprise management system, a business can build efficient operational relationships. These relationships allow a business to save money, which can then be invested back into customer segments and high quality products and/or services. Many times, this type of system is utilized in parallel to a quality management system. Several strategic enterprise management systems will use activity-based management, a mapping tool, to assist in the building of appropriate operational relationships.

A cooperative organizational system is achieved through a strategic enterprise management system due to established knowledge networks. Most systems will measure and manage a business’ workforce, based on its employees’ skills and knowledge base. By measuring these two key elements, the system can help organizational employees define business goals, and then pass this information onto employees that make the business’s strategic decisions. All decision-making employees of a business are able to access necessary data through this type of system, which enables them to make the most strategic and effective decisions possible. This type of system also enables a decision-making employee to monitor the implementation of his or her decisions, ensuring that all organizational employees are effectively cooperating with all decisions made.

Many, and sometimes all, of a business’ organizational processes are altered through the implementation of a strategic enterprise management system. In fact, the system is aimed at modifying business policies so that it can maintain a competitive edge. This type of system involves many ongoing processes, which are used to continually and innovatively improve a business’ strategic decision-making procedures. A business will often find that it completely shifts from focusing on operational management to focusing on strategic management when utilizing this type of system, which enables it to increase efficiency and profit levels.

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