Strategic Decision:

These decisions are associated to processes, products and facilities. They carry a strategic importance and have a long-term importance for the organization. These decisions are so significant that people from every sector get together and study the business opportunities carefully and at last arrive at a decision that put the organization in the best position for attaining its long-term goals. Examples of such a planning decision are following:

• Deciding on the launch of any new-product development project.
• Deciding on the design of any production procedure for a new product.
• Deciding the requirement of new factories and where to locate them.
• Deciding how to allocate scarce raw materials, production capacity, utilities and personnel among new and existing business opportunities.