What Is Strategic Planning

1st year Master Management Teacher: Mrs. ELIAS ELHANNANI F.
Strategic planning
What is Strategic Planning?

Strategic planning is an organizational management activity that is used to set priorities, focus
energy and resources, strengthen operations, ensure that employees and other stakeholders are
working toward common goals, establish agreement around intended outcomes/results, and
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, and why it does it, with a focus on the future.
Effective strategic planning articulates not only where an organization is going and the
actions needed to make progress, but also how it will know if it is successful.
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 are 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 Are the Attributes of a Good Planning Framework?
The Association for Strategic Planning (ASP), a U.S.-based, non-profit professional
association dedicated to advancing thought and practice in strategy development and
deployment, has developed a Lead-Think-Plan-Act rubric and accompanying Body of
Knowledge to capture and disseminate best practice in the field of strategic planning and
management. ASP has also developed criteria for assessing strategic planning and
management frameworks against the Body of Knowledge.
How Strategic Planning works:
A successful Strategic Planning process should:
 Describe the organization’s mission, vision and fundamental values
 Target potential business arenas and explore each market for emerging threats and
opportunities
 Understand the current and future priorities of targeted customer segments
 Analyze the company’s strengths and weaknesses relative to competitors and

determine which elements of the value chain the company should make vs. buy
 Identify and evaluate alternative strategies
 Develop an advantageous business model that will profitably differentiate the

company from its competitors
 Define stakeholder expectations and establish clear and compelling objectives for the
business
 Prepare programs, policies and plans to implement the strategy
 Establish supportive organizational structures, decision processes, information and

control systems, and hiring and training systems
 Allocate resources to develop critical capabilities
 Plan for and respond to contingencies or environmental changes
 Monitor performance
Companies use Strategic Planning to:
 Change the direction and performance of a business
 Encourage fact-based discussions of politically sensitive issues
 Create a common framework for decision making in the organization
 Set a proper context for budget decisions and performance evaluations
 Train managers to develop better information to make better decisions
 Increase confidence in the business’s direction

What Is Strategic Planning

Uploaded by

Copyright:

Available Formats

What Is Strategic Planning

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

What Is Strategic Planning

Uploaded by

Copyright:

Available Formats

1st year Master Management Teacher: Mrs. ELIAS ELHANNANI F.

What is Strategic Planning?

A successful Strategic Planning process should:

 Describe the organization’s mission, vision and fundamental values

 Understand the current and future priorities of targeted customer segments

 Analyze the company’s strengths and weaknesses relative to competitors and

 Identify and evaluate alternative strategies

 Develop an advantageous business model that will profitably differentiate the

 Prepare programs, policies and plans to implement the strategy

 Establish supportive organizational structures, decision processes, information and

 Allocate resources to develop critical capabilities

 Plan for and respond to contingencies or environmental changes

Companies use Strategic Planning to:

 Change the direction and performance of a business

 Encourage fact-based discussions of politically sensitive issues

 Create a common framework for decision making in the organization

 Set a proper context for budget decisions and performance evaluations

 Train managers to develop better information to make better decisions

 Increase confidence in the business’s direction

You might also like