Strategic Management as an Instrument of Rural Development

Abstract

The article attempts to define basie instruments of strategie management of local development on the commune level. The basie instrument of local development management is a strategy which facilitates current decision making in connection with interna] and external conditionings with the awareness of long-term outcomes. It is a record of aims and strategie activities expressed in development plans. One of such plans is a long-term investrnent plan, which contains a list of investment tasks planned for realization together witch material and financial sphere for individual years. The long-term financial plan plays an important role in the process of determining enterprise ability of investing (financial condition) its own and extemal funds in current and investrnent tasks. Budget is one of the tools of commune finances management; it reflects the programmes of commune activity, i.e. strategies and communes policy assumptions.