Strategic planning

What is Strategic Planning?

Strategic planning is an organizational management activity that is used to set
priorities,
Resources,
strengthen operations,
ensure that employees and other stakeholders are working toward common goals,
establish agreement around intended outcomes/results,
assess and adjust the organization's direction in response to a changing environment.
It is a disciplined effort that produces fundamental decisions and actions that
shape and guide
what an organization is?
who it serves?
what it does?
why it does it, with a focus on the future.
Effective strategic planning articulates
where an organization is going and the actions needed to make progress,
how it will know if it is successful.

STRATEGIC MANAGEMENT AND PLANNING

What is a Strategic Plan?
A strategic plan is a document used to communicate with the
organization the organizations goals, the actions needed to achieve
those goals and all of the other critical elements developed during
the planning exercise.
What is Strategic Management? What is Strategy Execution?
Strategic management is the comprehensive collection of ongoing
activities and processes that organizations use to
systematically coordinate and align resources and actions with
mission, vision and strategy throughout an organization.
Strategic management activities transform the static plan into
a system that provides strategic performance feedback to decision
making and enables the plan to evolve and grow as requirements and
other circumstances change.
Strategy Execution is basically synonymous with Strategy
Management and amounts to the systematic implementation of a
strategy.

What Are the Steps in Strategic Planning & Management?

There are many different frameworks and methodologies for
strategic planning and management.
While there is no absolute rules regarding the right framework,
most follow a similar pattern and have common attributes.
Many frameworks cycle through some variation on some very basic
phases:
1) analysis or assessment, where an understanding of the current
internal and external environments is developed,
2) strategy formulation, where high level strategy is developed and a
basic organization level strategic plan is documented
3) strategy execution, where the high level plan is translated into
more operational planning and action items, and
4) evaluation or sustainment / management phase, where ongoing
refinement and evaluation of performance, culture, communications,
data reporting, and other strategic management issues occurs.

What is STRATEGIC PLANNING?

Strategic planning is a process of defining organizational strategy
and to focus on creating the future. It is a creative process that at
times does not flow smoothly but does come together in the end.
A good planning process will align all the members of the
organization toward common goals. With a clear picture of the
future decisions become natural decision where limited financial
and people resources are to be invested.
Strategic planning is a disciplined and guided effort to make
fundamental decisions and take action that will shape and guide
the organization toward the future.

It determine where it is going, the organization first needs to know

where it is now and then work on closing that gap as detailed as
reflected in a document called the strategic plan.

What is STRATEGIC PLANNING?

Strategic plans are talked about as being
future oriented, but when pressed, reveal
more about todays problems than
tomorrows opportunities. Good thinking
should result in ideas that will differentiate
you from the competition with a sustainable
advantage. The real winners will reinvent
their industry with radical and innovative
ideas.

What is STRATEGIC PLANNING?

Examine the current reality

Test assumptions

Gather and incorporate information about the present

Anticipate the environment of the future

Prepare to respond to the circumstances of the organization's environment

Intentionally set goals

Develop an approach to achieving and measuring those goals

What is STRATEGIC PLANNING?

The 7 benefits of strategic planning:

Make your future happen dont let it happen to you

Establishes direction

Make smarter business decisions

Longevity of the business

Increased profitability and market share

Unique differentiation: avoid competitive convergence

Increased job satisfaction successful, focused, meaningful

The 7 Benefits of Strategic Planning

If you dont know where you are going, then any road will take you
there.
For some, Strategy and Strategic Planning is something that is done
once a year which results in a report. Others think it is market position,
operational effectiveness or an idea or business model.
Strategy is choosing to perform different activities that can be preserved
and that will provide a sustainable competitive advantage. It is a
mental exercise. It is a way of thinking about the world and approaching
business.
Strategic planning is a process to produce innovative and creative ideas
which serve as the core framework for the company and designing its
future.
Strategic planning can have an immediate influence on your company
and organization.

The 7 Benefits of Strategic Planning

Make your future happen dont let it happen to you
It is the difference between being proactive or reactive. Be on the
defensive or the offensive. Be a victim of circumstances or be
victorious in the fight. Not every situation can be foreseen but you
can make decisions and react to changing market conditions with
the end in mind.
Make wise business decisions
How do you distinguish between a good idea and a great
idea? Without a clear vision of what you want to achieve, and
mission or purpose for doing it, everything seems like a good
idea. What project do you invest in? How should you and your
staff invest your time? Having clarity about what you want to do,
who you need and how to get there will focus limited financial and
people resources.

The 7 Benefits of Strategic Planning

Create longevity of the business
The world market and industries are changing faster than ever and
those companies who do not have a solid foundation and have
relied on luck or opportunity most likely will not be around for the
future. Data reflects that one out of every three companies at the
top of their industry will not make be there in five years. Focus is
powerful. Scientists focus light so intently that it becomes a laser
which is used for surgery or able to cut through glass and metal.
Increased profitability and market share
Focused planning and strategic thinking will uncover the customer
segments, market conditions, and product and service offerings
that are in the best interest of your firm. An intentful and targeted
approach to markets and opportunities which guide your sales and
marketing efforts, distribution and other business decisions which
ultimately mean more profit to the bottom line and a stronger
market position.

The 7 Benefits of Strategic Planning

Unique differentiation: avoid competitive convergence
Companies have gotten so used to looking at their competitors and
their best practices and then trying to duplicate them that it
becomes harder to tell the companies apart. They all start to look
the same with less distinction in unique value. Strategy means
having a unique differentiation that sets you apart from your
competitors.
Increased job satisfaction meaningful and full of purpose
Consistently one of the top reason for leaving a firm is the lack of
job satisfaction. People need to have a motivation to come to work
and feel like part of the team. It has been proven that employees
are the greatest source for innovative ideas. If your employees
were in essence bricklayers, would they say that they are building a
wall with each brick they lay each day or building a cathedral? The
purpose and meaning of work gives a new focus and reason to
show up each day.

The 7 Benefits of Strategic Planning

Establish direction
Clearly defines the purpose of the
organization and establishes realistic goals and
objectives consistent with the mission which
can be clearly communicated to
constituents. Provides a base from which
progress can be measured, employees
compensated and boundaries established for
effective decision making.