What does such a role involve? What does "strategy" mean in a business setting?

First, strategy is an organizing process that involves both formulation and implementation. Strategic management cannot be conceived as mere operational effectiveness alone, nor as just armchair theorizing and strategic planning; both are important aspects of strategy, and neither is a sufficient conception of strategic management without the other. ${?}^4$ Strategic management is dynamic, involving both content and process, pianning and action. Moreover, strategy can be emergent and is often the realization of both intentional strategy formulation and, as the organization acts on those plans, tactical responses to the unexpected.

Second, strategic management involves considerations and constraints that originate both inside and outside the firm. Managers must not only be clear about both the firm's distinguishing features and its organizational objectives, but also be able to marshal its resources and leverage its capabilities to achieve those objectives. Who are we$?$ How do we aim to create value? What capabilities do we need to possess in the future? How will we develop them?

A variety of external forces$-$technological, economic, and competitive$-$will also affect the firm's strategy, including the increased global reach of firms, the multinational distribution of labor pools and supply chains, and the worldwide interest and influence of stakeholders of all types. Moreover, in today's world, the speed and ease of access to information about corporate behavior greatly accentuates the impact of such forces. As such, strategic management requires clear thinking about the economic, technological, and societal environment in which the organization operates and an acute consideration of the activities and capabilities of one's competitors.

Third, strategic management is essentially an integrative exercise. The functional areas of finance, marketing, accounting, operations, and human resources often apply specific paradigms to specific business problems and considerations, usefully setting aside complexity in favor of a sharp focus on various disciplinary considerations. In contrast, strategy is about bringing all the underlying values of these disciplines back together. In practice, business managers do not typically encounter challenges as isolated, atomistic problems with narrow disciplinary implications; rather, they navigate business issues through a whole range of complex, crossdisciplinary considerations.