Setting up a company in Hong Kong is not easy. Managing a local business is even harder. The founder and/or entrepreneur would have to make plans to find the right co-founders, hire the right key employees, understand the target market and audience, finding an office space, and get the paperwork done by going through the Hong Kong company incorporation. Someone along there will come the part where the entrepreneur will have to deal with managing the company strategy with a proven process. It happens when the company enters the stage of continuous growth. Strategic management process may be categorized in five separate stages.
- The assessment of the company’s current strategic direction. For example, your product is to be sold to the Hong Kong market, or to audience elsewhere in the world.
- The identification and analysis of internal and external strengths and weaknesses.
- The formulation of pragmatic action plans that will bring results (e.g. such as reflecting in product sales numbers).
- The execution of the action plans. The plans should include hiring of staffs who are to work from the Hong Kong office locally, or to work remotely from other places.
- The evaluation of what degree the action plans have been successful. Changes must be made according to individual situations when expected results are not achieved.
One very important aspect in strategic management is communication. The communication may include face-to-face among staffs in your Hong Kong head office, or out of the HK office space.
Actually, effective communication, data collection and company culture would all play important roles in the strategic management process; especially the company is large or complicated. When the frequent sign is having inadequate communication or a rather negative company culture, things may start to get rotten. You will start seeing project results that are in misalignment of the company’s strategic management plan.
This is the combination of the actions that have been done by different business units or departments. The best option is to have a strategy management plan that includes the analysis of cross functional business decisions. Once this step is aligned with the rest, then the implementation or execution of the daily operations may start.
The balanced scorecard is a management system that can convert strategic goals into items that can be measured, monitored, and changed. The balanced scorecard has to incorporate traditional financial analysis including metrics such as operating income, sales growth and return on investment. It allows customer analysis which virtually takes care of customer satisfaction and retention.
An internal analysis on how business processes are linked to strategic goals should be used. A learning and growth analysis must be performed that would reflect the satisfaction and retention of employees, and performance of the company’s information services.
At the end of the day, the balanced scorecard should result in the connection of dots between the big picture strategy items including the mission, the vision, the core values, and all the strategic focus areas.