Objective:It refers to the desired future positions that an organisation seeks to reach. They are the ‘ends’ of managerial activity i.e. the end result of activities.
They are framed by the top management and accordingly objectives are set for different departments and units. Objectives should be set in specific, quantitative terms, in the form of a written statement of desired results, to be achieved within a given time period. These provide the base for controlling the activities, e.g. increase in sales by 10%, increase in profits by 15%, etc.
Strategy:It is a comprehensive plan, which includes three dimensions for achieving organisational goals:
(i) Determining long-term objectives.
(it) Adopting a particular course of action.
(Hi) Allocating resources necessary to achieve objectives.
It helps to define the organisation’s scope and direction in the long-run. Therefore, it is formed on the basis of changes occurring in business environment.