| At the time when China is to enter a new century, its economic system is in the stage where the planned economy is moving towards the market economic system. At this specific historic stage, an enterprise's production and operation witnesses a series of changes which directly affect the survival and development of an enterprise. A study of strategic development of an enterprise shows that a correct judgement should be made and a proper strategy developed in the light of an enterprise's environment and the changes of its own conditions in expectation of lifting itself out of difficulties which an enterprise is facing and of looking for a faster and better way for its development.This paper, by analyzing the external environment and internal conditions of an enterprise, has chosen an operational area, concept and strategic target for an enterprise and worked out a series of strategic plans in order to fulfill the mission and task of an enterprise. It is discovered via analysis that Liaoyang Petrochemical Fiber Company (herein after referred to as LYPFC) is faced with such severe test as integration of its raw material and product market with that of the would, heavy debt, paucity of fund, backwardness in technology, low productivity and strong competition with transnational companies. LYPFC, however, has certain strengths and how to use its strengths to avoid weakness and tap its potential has become a pressing matter of an enterprise. The writer, in line with principle of strategy management of an enterprise and based on an investigation and analysis, has found out the important factors affecting the survival and development of an enterprise , made the strategic plan for LYPFC's development, assessed and selected a plan by using the principle of strategy management, thereby becoming the strategy of an enterprise's development under the specific operational environment.To achieve a sustained development, LYPFC should uphold and implement the strategic measures as follows:1, cut down in organizations and optimization of structures, 2. separation of principal production unit from auxiliary one and running business with a principle of " responsible for one's own profits and losses, making ones own managerial decisions, self-development and self- control", 3. reduction and redirection of staffs and exercise of re-employment project, 4. separation of government institutions from enterprises and free of enterprise from social functions, 5. reform of the labouring system and establishment of competition, motivation and control system , 6. readjustment of structure and optimization and upgrading of industrial structure, 7. optimization of capital structure and reduction of debt burden 8. acceleration of technicalrenovation and efficient use of capital stored, 9. optimization of allocation of resources and adjustment of product structure.As a result of an effective exercise of the above strategy for development, and aided by years' efforts, organizations will be simplified to 60%, managerial personnels cut down to 50%, total number of the staffs and workers reduced to 2/3, operation costs decreased to 10%, the rate of assets and liabilities lowered to 50% or less, cruel oil refined to 7 million T/Y and the sales income amounted to RMB10 billion, hence transforming LYPFC into one of the largest petrochemical and fiber enterprise which operates with modernized enterprise system, owns advanced technology, possesses qualified personnel and rich economic resources with strong capacities for competition in the market, technical innovation and ability to withstand any risks in order for it to reach the advanced level in its main economic and technical targets in the 21 century.This paper contains an introduction and 6 parts, with part 1 covering analysis of LYPFC's internal conditions, part 2 analysis of external environment, part3 assessment of its environment, part 4 operational area, concept and target, part 5 strategy for its development, part 6 implementation and control of its strategy development along wi... |
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