I have another, bigger dream: to be remembered as a respected businessman. I don't want to be remembered for being rich, or for having made a lot of money, but as an enterprising man who has struggled his whole life to realize his dreams. Kim Woo-Choong, founder of DAEWOO group)
Introduction
Business is much more complicated today than it was years ago, globalization, competition and technological change are constant, so there is a need to rethink and with a creative mind promote the economic dynamics that are the basis of the analysis of economic growth, for this The role that women entrepreneurs have had in the creation of new companies, contributing to the long-awaited economic development, in emerging countries and countries like Brazil, Argentina and Mexico, as well as in industrialized countries, cannot be ignored.
The entrepreneurial capacity of women has characteristics and ethical principles which are evident in society when exercising their entrepreneurial activity. Success comes when opportunity and preparation come together.
The theme of creating a business is to satisfy the needs of people and the knowledge that one has to reach this goal, where skills and knowledge allow us to identify advantages and reduce risks, that is, to set aside certain mental and cultural barriers that They can hinder creativity to generate business ideas, and thus not slow down business development, Jason Jennings says: COMPANY THAT DOESN'T ADVANCE, GO BACK!
Competition is tougher today than before, the economy is more fragile, increasing incomes is not easy, even more so if the issue of access to capital is of great importance for the start of productive activities, whether to promote small and medium-sized companies where women develop their full potential, and not only capital but also academic training and access to technology, that is, the link that must exist between the capital market and the people who demand this capital for the generation of companies, be them or them. Rylan comments that the theory of capital markets is deeply controversial.
Running a company is not an easy situation, it is even more complicated and requires exerting a lot of influence on the human resource that is immersed in the organization, of course if it aims to achieve efficiency and productivity, while effectiveness is not more than the result of all the efforts that the personnel make so that the organization achieves its goals.
Changes in a globalized world are constant and the environment today is more turbulent, so women who do business in Latin America must consider several aspects that are essential to carry out this work. Technological change considering computers and modern communication systems allow transactions to be completed quickly and at low cost.
In the new scenarios, through which we are transiting, three aspects that stand out for their importance can be identified: globalization, the permanent change of context and the valuation of knowledge.
In order to face these changes and follow the development of trends, it is necessary to apply new approaches, policies, readjust organizations, prepare for change, and face new leadership styles and an organizational culture consistent with the development that has come upon us.
Focusing or dying, there will come a time when you will have to choose the precise tasks that you should carry out and which ones you should delegate, what direction you should take and not go around all around without aiming.
Through planning, we structure many possibilities to see the future, through the dreams and goals that we want to achieve, this change is possible as long as you want to appropriate the future and start the process of creating the desired future, all this works even in the small company, either with them or them, that is to say that this set constitutes a set of fundamental decisions that allow the company to project itself into the future.
This is known as a strategy which shows us the path that the organization must follow, not in isolation or as a pure philosophy, but rather as part of a comprehensive and coherent system that gives meaning to what you want to achieve or achieve..
Hans Ulrich states that the company is like a productive social system that must fulfill purposes, where not only the female entrepreneur must carry out tasks and services differentiated from the rest of the people who make up the organization.
Therefore planning is essential in any organization regardless of its structure, because through it the goal that it estimates for its organization can be achieved, because this implies that the efforts of all resources are added in order to achieving the purpose, whether in the short, medium or long term, in this part leads us to define the mission and vision of the organization, including diagnosing the internal and external environment where we can identify strengths, weaknesses, threats and opportunities, in order that this allows us and leads us to specify the strategies that we will use to define goals, develop plans, organize, determine responsibilities, and the participation and involvement of all levels of the organization.
According to Shumpeter, an entrepreneur is one who revolutionizes the production system, is innovative and has a creative capacity, with leadership and who also achieves success based on the repetitive application of the process.
All this is planning in the world of business or a business activity where it can be carried out, this is that you must choose missions and objectives that allow you to arrive where you want to start and it is what makes sense when trying to translate the vision, within which the strategy is related to what it intends to achieve with the organization in which leadership prevails, either hers or himself.
The difficult balance is to adapt sufficiently to the competitive environment in which we find ourselves, without the costs drowning us. Technology has a lot to say in this regard.
A new world is emerging and it is necessary to learn to act in this global scenario, we must also take advantage of these new drivers of power and economic growth, such as technological advances, with which we have entered a world without borders, and a digital era with market integration.
1. The beginning
What should a woman entrepreneur consider to undertake business?
The strategy is a concrete way of planning and making decisions that addresses the future that they want for their companies, it should be noted that it constitutes a locomotive that drags the train of the company's activities (administrative process), such as planning, the organization, the provision of personnel, the direction and the control, is therefore a continuous process that reflects changes in the environment and that each company must adapt to them, in addition, in this process specific and measurable goals must be established, with limits realistic and achievable time frames.
Without a plan, they cannot lead the company, nor know how to organize their personnel, their resources, they cannot lead with confidence or expect others to follow them, they have no chance of achieving goals, nor do they know when and where they deviated from the road.
Planning and measuring effectively are two actions that are closely linked and are vital in strategic management.
In an increasingly complex and changing environment, it is important to focus efforts on what really adds value and allows us to differentiate ourselves from competitors.
For this, it is important to establish the appropriate mechanisms to ensure the alignment of resources with the objectives of the company, and to have an effective management tool that offers them timely and relevant information on management results.
2. The tool
How can strategic management help in the creation of companies by women entrepreneurs?
Strategic management requires reflection, in the short, medium and long term, on a given project. In the development of strategic management, we can define the objective to be achieved, and therefore it is where all the necessary mechanisms are implemented to achieve them, of course as long as all these efforts are oriented in the same direction.
Implementing a strategic management process, either by them or by them, includes the definition of the strategic framework, organization and direction of the company. Drucker says: To lead in the future, managers will need an information system integrated with their business strategy.
In the operational field, there are no defined action plans that contribute to the competitiveness and performance of personnel, so it is necessary to implement it based on the definition of Action Plans in the organization itself. These are the concrete actions that they must carry out to achieve the objectives and, therefore, to ensure the success and fulfillment of the strategic framework.
The strategic management process is a system that they must create, if they want to work with efficiency, effectiveness and effectiveness, it is not only an important instrument to manage, it is one of the resources through which management can create a shared vision of what the company can become, but you have to consider the values that are beliefs that govern behavior, this is what Ken Blanchard says in his book the secret, a business story.
This process contributes to forming a business culture, the very fact of instructing the process when none had been used before, this indicates to all members of the company that things are changing, and that the process comes alive and the company is leaving. embarking on a professionalization program, since this approach provides direction, and the staff meets the proposed goals, and that, in addition, they are motivated to face any type of difficulty that may arise.
Strategic management involves deciding the "Course of the company" and what is required to achieve them. It involves analyzing the environment of the company, in order to assess future opportunities and threats, it consists of formulating objectives and establishing goals as precise plans in order to achieve them. In his strategy book, Jeremy Kourdi comments that in order to establish a strategic direction and set priorities to guide decisions, you must think about the scenarios.
Strategic management must be effective and not only cover external opportunities, but also internal ones, the final goal is to formulate the future direction, that is, how does the company plan to compete in the market ?, and thus compete effectively and fulfill your long-term mission.
In other words, they must define well and take into account that the strategic is what gives realism to a plan, since it constitutes the art of directing a set of operations aimed at achieving a goal, by virtue of the fact that the strategy makes reference to the procedures that must be established to reach the objectives and goals. strategic management is a logical and systematic process that will allow them to reach consensus on the company's decisions, and in this way bridge the gap that exists between now and the place they want to go, with the objectives that are proposed to the company, as well as the resources it will employ and that will be used, which makes things happen that would not have happened otherwise, such as exploring the environment in order to assess where the company expects to compete.
Strategic management is an essential element that they must consider for the success of their business, but many women business leaders do not use it effectively to guide their activities. Some of the main reasons are to mix the basic or daily aspects of the business with future activities, Vague Missions and Visions, and lack of monitoring and follow up on progress.
3. Knowledge
Why use strategic management to generate companies?
The Vision must guide all organizational change and all improvement activities. The best way to do this is to capture the Vision on a long-term goal. Then three to five key activities should be identified to ensure that the Vision will be achieved. Michel Syrett in his book Business Strategy says: Vision without execution means nothing.
This long-term plan is the starting point for the annual planning process. The annual plan identifies the essential things we must accomplish that year to achieve the Vision. All other critical activities and processes must then be deployed in all necessary areas of the organization. The owners of these critical activities and processes must be identified and assigned to then develop performance measurements that will allow us to monitor progress.
In many developing countries, companies do not have a strategic management plan, which has not allowed them to have a good competitive performance by their employees, and in the same way, the company achieves sustainable growth to consolidate a strategy. business in order to achieve a lasting balance that allows them to compete with the environment, and with this ensure the survival of the company in the future.
Strategic management is an extensive process through which the business woman formulates specific objectives in the company and develops plans to achieve them, this planning process is vital, since both the objectives and the goals that are set delimit the scope of the activities of the organization and that of their plans.
For strategic management to be effective, it must be systematic and projected into the future, when developing strategies, the business woman must take into account the limitations imposed by the environment on the company.
The purpose of strategic management is to understand a series of concepts such as the following:
Both the goals and objectives contain a series of specific achievements that will help the survival of the company while guiding the actions of management and the efforts of employees.
The strategic and operational plans outline the paths that must be followed for the fulfillment of the mission and objectives.
Effective strategic management requires a systematic approach.
The business foundations are the guiding principles of the organization's actions, elements from which the organization's management is structured, also because they express the interest in the growth and development of people.
The work of Management is complicated, demanding and requires a special touch, which is why the business woman must exert a great influence to achieve an adequate level of efficiency and productivity, while the degree of effectiveness is given by personal effort, for which you must have the ability to choose and apply methods or techniques that are appropriate for a given situation.
Women entrepreneurs must fulfill and develop basic functions that affect daily work such as:
Interpersonal Relations: By virtue of being the visible head of the company, and being the representative of formal acts or the liaison of various departments.
It is Informative: Because it constitutes the disseminator of information, and the valid interlocutor.
It is decisive: since it is the most difficult and delicate role that it is called upon to fulfill, since it must distribute the resources of the company.
Skills also play a role and these have to do with the intellectual part, in that it has to analyze and interpret and solve problems that are complex.
In order to expand these concepts a little more, the resources should not be forgotten, which can be tangible as well as intangible, since from which the objectives of the company can be met.
As Eric Flamholtz would put it, managing corporate culture, as all organizations have a culture that is nothing more than a set of shared values, beliefs, and norms that govern the ways in which staff are expected to run the business. daily.
4. The plan
Why implement a strategic management model in the organization?
Implementing a Strategic Management model in any organization will allow the company to project itself into the future, control changes, adapt to market conditions, and seek ways to channel continuous improvement in the company.
This is why taking these considerations into account will greatly benefit women entrepreneurs so that they can implement strategic relationships with their environment (internal-external), integrating into their management system an instrument that allows them to project and control changes, with the purpose to achieve an adequate positioning in the market, and in this way channel continuous improvement in the organization.
The management roles and practices are determined to create and maintain competitive qualities in the personnel who work in the organizations that they can create, maintaining the Drucker line that suggests "making ordinary people do extraordinary things".
Administrative process: The business woman must consider must consider the administrative process within her daily activities. Mintzberg says: The manager encompasses interpersonal, informational and decision-making functions.
Strategic management for the support of women entrepreneurs in Latin America
Plan: that is, establish a global objective that brings together the actions of all employees. Example. How many units must they produce, in order to meet a goal or otherwise set longer-term goals which can vary from one to five years.
Organize: be aware of the tasks that must be done, that is, establish the relationships that must exist between the different jobs.
Staffing: filling vacancies in order to develop the jobs required by the organization.
Leading: knowing how to provide adequate motivation and leadership in order to bring encouragement and a spirit of achievement and cooperation.
Control: stay alert and check that things are going according to plan.
This process or cycle is the one that women entrepreneurs must fulfill in companies, since this will keep them busy, as well as the roles they must assume.
Each company must evaluate its own strategic management process and determine if it is being used effectively. If the management process is not generating the desired results, then the process should be changed or improved.
If you opt for strategic management, the first step is to evaluate the future opportunities of the company, as well as to analyze and define the type of business of the company, understand which are its markets and what customers need.
When analyzing competition in an objective and well-reasoned way, this constitutes a prerequisite and essential for competitive success, since they must make an analysis of the trend or exploration of the environment in economic, political, legal and cultural terms., because they can influence the future of the company.
The next step is to evaluate the company from the point of view of the market, of the product and service, of the resources, of the operating systems, of the administration and finally of the business culture.
The third step is to prepare a management plan, also known as a strategic plan or strategic development plan, based on the exploration of the environment and the evaluation of the organization (mission, results of the sectors, objectives, goals, plans of action). The Mission and Business Foundations describe what the company's business is. The Company Vision describes what the business of the future should be. Visions appeal to emotions. They describe the future in terms of metaphors, symbols, and feelings. A Vision is a very powerful image that draws people to it, just as light attracts insects in the dark of night.
The next step is to prepare the budget, that is, to take the general plan into financial language, and finally, the management review, a procedure by which the performance of the organization is evaluated.
Effective follow-up evaluations require the process owner to bring all necessary supporting information to the meeting. The basic aspects of the business must be evaluated first.
The use of management indices is one of the important premises since these will allow you to remain vigilant of all the processes within the company. These indicators are aimed at evaluating all processes, and clearly define their behavior, while at the same time constituting a fundamental element in decision-making, they serve to improve the expectations of internal and external customers.
Let's talk now about the perspectives of the company, which we can define as:
Competitive perspective: set of indicators that allow measuring the competitiveness of the business, by analyzing the variables related to the behavior of the sector, the bargaining power of suppliers and customers, the threat of substitutes, the intensity of competition and barriers to entry and exit from the business or each of the sectors. Therefore, they are indicators of permanence, growth and profitability of the business.
Financial perspective: set of indicators that allow the organization's performance to be measured against its owners in terms of profitability, solidity, and especially the added value it generates.
Internal perspective: Understood as the set of indicators that measure the efficiency and effectiveness of internal processes, in terms of the value it generates by facilitating the organization's performance vis-à-vis the market and the customer.
Perspective of human talent: Refers to the set of indicators that measure the processes of continuous improvement and incorporation of learning from the organization, translated in terms of creativity and innovation in response to the market and growth of the organization.
Generally all these aspects will be behaving as expected and therefore this part of the monitoring process should be relatively quick; you don't need to spend too much time on things that are going well. On the other hand, if the performance of a basic aspect of the business exceeds the expected boundaries during the period evaluated, the owner of the process must describe the situation and the actions taken to solve the problem and prevent it from reoccurring.
After reviewing the basics, progress should be evaluated towards achieving the futuristic goals. This assessment should be done by comparing what was expected to be achieved against what was actually achieved. Any deviation should be thoroughly analyzed until its root cause is found.
Based on the understanding of the root cause, the implications for the future should be discussed until agreements are reached on the expected results in the period contemplated until the next follow-up.
As time progresses, it may become obvious that the original goals are not going to be achieved. This may be caused by changes in the business environment that may require changes in plans; or also for the fact of having underestimated the required resources. If this occurs, the monitoring process should be used to document the changes instead of recreating a new Strategic Management. Doing so will prevent it from being unnecessarily modified or neglected because it no longer reflects the current situation.
Menguzzatu and Renua, comment in their book "The Strategic Management of the Company" that the analysis of competition between companies can be carried out from two perspectives. On the one hand, the competition that takes place between companies located in the same strategic group. On the other, the competition developed between companies belonging to different strategic groups, and thus be able to carry out this analysis where it is necessary to identify the existing strategic groups.
5. Competitiveness
When should we start?
When we come across the related topic, technology influences a great deal of pressure towards the competitiveness of current businesses or companies, which face continuous challenges to shorten production cycles, improve product quality, reduce costs, be more flexible., and all this only in order to stay afloat.
Based on what has been said today, we must understand competitiveness as the ability of a company to systematically maintain comparative advantages that allow it to reach, sustain and improve a certain position in its environment.
Competitiveness has an impact on the way of planning and developing any initiative of the company, which is obviously causing an evolution in the business model and the female entrepreneur.
The comparative advantage of the female entrepreneur is in her ability, in managing the resources, knowledge and attributes, etc., that she has in the company, and that her competitors may lack or that they have to a lesser extent what she makes possible. obtaining higher returns than their opponents.
The use of these concepts supposes a continuous orientation towards the environment and a strategic attitude on the part of the female entrepreneur.
On the other hand, the concept of competitiveness makes us think of the idea of "excellence", that is, with characteristics of efficiency and effectiveness.
An organization, whatever its activity, if it wants to maintain an adequate level of competitiveness in the long term, must use sooner or later a process of "strategic management". The function of this process is to systematize and coordinate all the efforts of the units that make up the organization aimed at maximizing overall efficiency.
To better explain such efficiency, consider the levels of competitiveness: internal competitiveness and external competitiveness.
Internal competitiveness refers to the organizational capacity to achieve the maximum performance from the available resources, such as personnel, capital, materials, ideas, etc., and the transformation processes. When talking about internal competitiveness comes the idea that women entrepreneurs must compete against themselves, as an expression of their continuous effort and improvement.
External competitiveness is oriented towards the elaboration of achievements by women entrepreneurs in the context of the market, or the sector to which it belongs. As the reference system or model is foreign to the company, it must consider the exogenous variables that are in the environment such as, the degree of innovation, the dynamism of the industry and economic stability, to estimate its competitiveness in the long term. term.
The business woman, once she has reached a level of external competitiveness, must prepare to maintain her future competitiveness, based on generating new ideas and products and in this way seeking new opportunities in the market, because:
- Competitiveness means achieving a sustainable benefit for the company. Competitiveness is achieving constant quality improvement and innovation. Competitiveness is strongly related to productivity, so investments, like human resources, have to be fully integrated, since they are of equal importance.
The world is undergoing a process of accelerated change and global competitiveness in an increasingly liberal economy, a framework that requires a total change of focus in business management.
In this stage of change, companies seek to raise their productivity rates, achieve greater efficiency and provide quality service, which is forcing the entrepreneurial woman to adopt participatory management models, taking the human element as the central base, developing the teamwork, to achieve competitiveness and responds in an ideal way to the growing demand for optimal quality products and services at all levels, which in turn are more efficient, faster and of better quality.
Competitiveness is the new challenge that women entrepreneurs must face, as well as the different companies that do national and international work.
One of the main elements to achieve competitive development by women entrepreneurs is innovation.
Today the role of knowledge has changed markedly due to the new concepts associated with the information society and the new knowledge-based economy.
Under this dynamic, the information technology processes that are the basis of the productive, administrative and accounting processes, help women entrepreneurs to establish the conditions associated with the implementation of knowledge management, supported by the generation of competitive advantages based on in the capacity for innovation and the exploitation of the capacities of each of the members of the organization.
In order to see how the requirement gives more efficiency to the management of women entrepreneurs in the competitiveness part, it is important to note that:
"To know is to compete with an advantage"
Therefore, the female entrepreneur is confronted today with greater requirements that result from the different trends from which they are distinguished:
- Competition for the marketSuccessful industrialization processesDemand differentiationShortening production cyclesImplementation of radical innovations: new techniques of which those related to organizational concepts stand out, forcing the redefinition of the borders between the different disciplines, for example, between computing and telecommunications.
Competitiveness within global competition is analyzed in order to successfully meet the new demands, the business woman needs to readjust both internally and in her immediate environment; and also analyze that it is necessary to introduce profound changes in three different planes:
1 - In the organization of Production: whose objective is to shorten production times in order to respond promptly to the wishes of customers.
2 - In the organization of product development: that is to say, the strict separation between development, production and commercialization by virtue of which in many cases costs are more expensive.
3 - In supply relations: today's business woman must focus on the specialty that ensures her competitiveness; reorganizing the supply, reducing the number of direct suppliers and elevating some of them to the category of integrated system suppliers, with the purpose of developing the product.
It is clear that the objective is to integrate these three levels in a creative way, in order to be able to face the new customer profiles and their new needs, with the purpose of facing the organizational dynamics with a new approach.
Under this situation, the female entrepreneur must have the necessary physical resources to face the competition; knowing in advance that the resource that will differentiate and that will give the key in this situation so that it is sustainable and sustainable in the long term, is knowledge.
6. The human resource
Where and with whom should we start this process?
Intellectual Capital: To better understand this concept, it is important to see some of the descriptions that some experts make on the subject:
"It is the sum of everything that everyone in a company knows, which generates a line of competitiveness for it." Thomas A Steward. Intellectual Capital USA.
It consists of the knowledge, applied experience, organizational technology, consumer relations and business contacts that an organization possesses and that allow it to reach an advantageous position in the market ”. Guillermo Pérez Bustamante
Intellectual Capital: These are the non-financial resources that enable responses to market needs to be generated and help exploit them. These resources are divided into three categories: Human capital, Structural capital and Relational Capital.
Human Capital: These are the capacities of individuals in an organization that are required to provide solutions to clients. Within this category are the individual and collective capacities, leadership, experience, knowledge, skills and special abilities of the people participating in the organization.
Structural Capital: They are the organizational capacities necessary to respond to market requirements. Within this category are patents, know-how, business secrets in the design of products and services, accumulated knowledge and their availability, systems, methodologies and the organization's own culture.
Relational Capital: It is the depth, (penetration), Width (Coverage), and profitability of the organizational rights. Within this category are Brands, Consumers, loyalty, reputation, channels and special contracts.
Ecuador has entered the third millennium, with the challenge of becoming a competitive nation, in order to measure itself against the most important nations in the world. In this way, Ecuadorian companies led by women entrepreneurs are identifying their competitive advantages to exploit the market.
Small and medium-sized industries reveal a development and adaptation to dynamic conditions of change, including competitiveness, continuous improvement, computer development as a whole, moreover, there are even industrial organizations that are unable to respond promptly and accurately to these demands of the globalized environment. In addition, the consumer is the one who finally defines the needs and characteristics of the products, where the design and the sale price are being more individualized.
Donal Maclean in his article on Technological Advances and Strategic Alliances states that innovation management is at the center of most organizations today, both at a strategic and operational level. On the other hand, it indicates that collaboration is considered the key to competitive success and partnership is the hallmark of leadership.
Managing and competing effectively are two actions that are closely linked and vital in the strategic management of today's female entrepreneur.
In an increasingly complex and changing environment, it is important to focus our efforts on what really adds value and allows us to differentiate ourselves from our competitors. For this, it is important to establish the appropriate mechanisms to ensure the alignment of our resources with the objectives of the company and to have a more effective management tool that offers us timely and relevant information on the results of our management.
The Strategic Management requires a reflection, in the medium-long term, about a specific project. The development of strategic management defines the objective to be achieved and where all the necessary mechanisms to achieve it are implemented, orienting all efforts in the same direction.
A management process includes the definition of the strategic framework, the mission, the value proposition, the values, the strategies, the core of the Strategic Management, and how to implement the necessary mechanisms to achieve it in the medium and long term, also it is necessary to quantify and identify the objectives and risks, both negative and positive, whether in the operational field, it is also necessary to know how to implement it based on the definition of Action Plans.
These are the concrete actions to be carried out to achieve the objectives and therefore ensure success in complying with the strategic framework. The strategic approach process is one of the management systems that a company must create, if it wants to work effectively, it is not only an important instrument to manage, it is one of the resources through which management can create a shared vision of what the company can become.
This process contributes to forming the business culture, the very fact of instructing the process, when none had been used before, indicates to the members of the company that things are changing, the process comes to life and the company is embarking on a professionalization program, since this approach provides direction, the staff meets goals, and is motivated to face any type of difficulties that may arise.
The world economy has changed dramatically, borders are no longer limiting the production process, because geographical distance no longer isolates us from international competitors. Ignoring what happens in the environment is like persisting in swimming out of the water, and ignoring what we think and feel about it, is like denying the reason for our own existence.
Strategic management involves deciding the direction of the company and what is required to achieve them. He understands that he must analyze the environment of the company, in order to evaluate future opportunities and threats, formulate objectives and establish precise goals and plans in order to achieve them.
The plan must be effective and not only cover external opportunities, but also internal ones, the final goal is to formulate the future direction of the company, that is, how the company plans to compete in the market, and thus compete effectively and meet its long-term mission.
Strategy is what gives realism to a plan, since it constitutes the art of directing a set of operations aimed at achieving a goal, since the strategy refers to the procedures that must be established to reach the objectives and goals.
John Kao states that this is the era of creativity because companies are increasingly forced to reinvent themselves, in part and in their entirety, to achieve growth.
Each company should evaluate its own management process and determine if it is being used effectively. If the management process is not generating the desired results, then the process should be changed or improved.
The strategic management that the business woman of today must implement will be through an organizational design that she implements, which will involve selecting and combining control systems that allow her to follow an effective strategy, and thus achieve the achievement of the proposed objectives. as well as also control the results obtained. The Strategic Management sets the basic rules for the future behavior of the organization in the long term, and, in this way, achieves the competitive advantage when executing the important activities, in a cheaper way than its rivals.
The process of strategic management must necessarily be a collective process, in which a large group of capable minds participate, allowing it to reach a competitive position. The quality will be in an objective of the business woman, where the improvement will be linked to the demands of the clients.
It has been said that quality is the most proven strategy to improve productivity, while it is the most important factor to win customers, since you can compete only with quality, which will be present in all processes.
The main goal of the female entrepreneur is to accelerate the improvement in performance, which means that strategies are established to satisfy the different interest groups, where by the way continuous improvement in the processes are factors that are of great importance. Value-based management is a comprehensive process that improves strategic and operational decisions made in the long term, its purpose is to increase and manage the value of the organization, such as obtaining greater value from its assets, this requires connecting setting corporate goals and using resources.
The ability to learn to change within the imperatives of the environment is nothing more than responding quickly to changes. Change must be a constant within the organization created by women entrepreneurs, they must handle it with skill and effectiveness, that is, administrative techniques are implemented, which will be related to the strategies formulated, as well as to the business culture which today are essential to successfully manage change in the environments in which it is the business woman's turn to operate.
On the other hand, Knowledge Management is the new trend generating Competitive Advantages, this is reflected in the fact of improving processes and reducing costs. That is, more efficient by making fewer mistakes.
Knowledge Management is a cultural change that affects the organization, people, processes, technology and whose final value or result is clearly reflected in the income statement. It is important to see that there are a large number of companies, especially in developed countries, that have applied internal knowledge management to their business processes, and some have even incorporated the organization's intellectual capital into the income statement.
Jeffrey Lickson, comments in his book, that knowledge is a very important tool that helps us obtain quality. Continuous quality improvement involves a series of experiments, designed to study important aspects of our work process, which have an influence on what we produce for our clients.
Today we are in the first phase of the knowledge age. These intellectual assets are the ones that are going to differentiate the value of a company giving a greater added value in its market price.
Knowledge Management is people-oriented, as it facilitates communication and relationships and allows to create a new challenge for organizations, the state and society; It is a support process based on the dissemination of knowledge that is created within an organization and allows having sufficient bases to innovate and transform the entire macroeconomic context.
Knowledge management involves acquiring, using and improving knowledge to achieve the development of the organization, creating an environment that allows sharing and transferring it among workers so that they can use it instead of rediscovering it, this is how Rodolfo Faloh sees it, in an article written for the scientific and technological information magazine volume 6, No. 2, 2001. Knowledge management, since it emerged in the early 1990s, has become a hot topic in circles. of management, as it is considered as a management focus of the future.
According to Peter Drucker, in knowledge-based companies, it is the productivity of the individual worker that makes the system productive. In the traditional team of workers the individual serves the system; in a team of knowledge workers the system has to serve the worker.
The development and adoption of new technologies is not a simple matter of improving new hardware, but is a complex process of introduction and continuous improvement of corporate software. Practices and processes that have yielded benefits in the past are preserved, and are only altered if there is no other choice. Therefore, contrary to the wisdom of tradition, success does not always cause success.
Porter has provided some basis for dynamic theoretical models: Innovation is to be treated as a continuous process, and not as a means of going from one ordered state of equilibrium to another.
Elaine Monkhouse, Chris Pierce, comment that there are more and more supporters that innovation will be the competitive tool of the future, and that excellence driven by the movement towards quality will be a necessary condition for the survival of business, and its license of operation. As the pace of innovation increases, the challenge for managers does not come solely from product and process innovation. Perhaps the only source of sustainable competitive advantage is strategic innovation, creating a combination of actions unthinkable in another era.
And finally, Peter Drucker notes that: Qualified personnel is qualitatively different from less qualified personnel. It is true that those who work with knowledge constitute a minority of the population, but they are quickly becoming the most unique and numerous group, and they are already the greatest creators of wealth. The success and, to tell the truth, the very survival of any business will depend more and more on its personnel and knowledge.
recommendations
Strategic Management is in current times the result of a long creative process in which many academics, managers and professionals dedicated to the practical application of this science have contributed so that modern administration has a valuable work tool with which to interaction with the environment can be intelligently dealt with and the necessary changes can be made proactively.
This knowledge process is called scientific knowledge, which is the result of the activity carried out by man, which is obtained by applying a set of procedures, logical reasoning responding to an intentional search in research, which can be achieved through a series of man-made inquiries.
When qualifying it as a science, we must understand it as a set of rational, certain or probable knowledge, which is obtained systematically and therefore is verifiable, through the application of truthful, verifiable cognitive methods that can also be demonstrated in practice..
If the current conditions of the country (Ecuador) are observed, regarding the economy and business competitiveness, it can be seen that in many companies there is a lack of research regarding current management techniques that have been developed by businessmen and academics, this in the micro and small companies, which does not allow the participation of women in the business process to increase.
Conclusions
The female entrepreneur must be involved with the business strategy, know the mission of the organization, the objectives, at the macro level, in order to ensure that all the actions are aligned with the prevailing principles.
Women can make significant financial contributions by moving from the labor sector to the ranks of women entrepreneurs and business owners.
Lacking access to capital for micro, small and medium-sized companies that allows growth of companies owned by female entrepreneurs to be achieved, the capital market does not meet financial needs due to a number of obstacles and obstacles that they put into accessing credits, even more if they are new investments.
Every company, regardless of its size or the sector in which it operates, needs to prepare a business plan. This must meet a series of requirements to be effective and requires from those responsible, a realistic approach to the situation of the organization, that its elaboration is detailed and complete, must include and develop all the objectives, must be practical and affordable for all personnel, of a determined periodicity, with its corresponding improvements, and shared with all the personnel of the organization. A great challenge that arises for the management of the organization in this century is the productive factor and that of Management Capacity.
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