Strategic Planning Process And Techniques
http://www.content-articles.com/Strategic-Planning-Process-And-Techniques/a1946_1
Bjornson Bernales
By Bjornson Bernales
Published on 02/7/2008
Strategic planning performed in the management level is an activity which has a significant impact to the future performance of an organization.
Strategic planning performed in the management level is an activity which has a significant impact to the future performance of an organization.Strategic Planning Process And Techniques
Strategic planning is a significant endeavor a business can undertake. It helps enterprises determine the right path to attain its goals and objectives. It is a process that the management of an organization has to implement to define its strategy as well as its direction towards the achievement of an enterprise's goals.
Making decision is also a part of strategic planning. It is an important component in determining the methods of allocating resources as well the appropriate activities a company has to venture in pursuing its objectives.
The primary objective of all for-profit enterprises is to gain profit. Profit is what every for- profit company has to attain, for wealth building and for increasing its market presence as well as its business size. Profit drives for-profit enterprises to create different strategies to attain it.
However, non profit organizations can also create a strategic plan that would help them in achieving their objectives. A strategic plan may be different or somewhat similar in every organization, be it for-profit or for a good cause.
Strategic planning is a significant activity that can be undertaken by every business. Owners and managers who run enterprises are generally responsible for creating an outline as well as details of their strategies. The business plan which may include the marketing plan of a start-up business is one of the physical evidences that strategic planning has been implemented. A business plan can contain the vision and mission statements, the core values aside from the objectives, goals, policies and targets of the business to be established or that has been operating.
Analysis of collected information is part of the strategic planning process. Before significant analysis is to be taken place, those responsible for the implementation of strategic planning must collect data and information which are significant in determining the possible measures for deriving the strategies of a company.
During the analytical process of strategic planning, different techniques can be used which could help the management of an enterprise in deriving a clear strategic plan. Popular tools used by many businesses in determining its future course include PEST Analysis and SWOT analysis.
The PEST analysis is a situational analysis that a business has to take into consideration. It helps a business determine the macroenvironment factors which may have direct or indirect effects in the implementation of a strategic plan. PEST stands for political, economic, social and technological. Each word constitutes factors and areas that a business has to provide bases in the execution of strategies.
Aside from PEST analysis, a business can make a strategic plan after determining its strengths, weaknesses, opportunities and threats. The SWOT analysis has been an integral component in the creation of a strategic plan. This can help a business determine several factors that are relevant in implementing the strategies during the course of the business operation. It describes the affirmations and barriers that could or might be encountered or that have already been present in an enterprise or that have the greatest or the least effect in coming up with a decision.
The creation of vision and mission statements is perhaps the most important undertaking of every management or of the person who has the drive and control to run an enterprise. The statements are the syntheses of the company's goals and objectives. The vision statement defines an organization's strategic goal that has to be attained in the future which is usually indicated and outlined.
Meanwhile, the mission statement reflects the present level of performance of the company. It defines the critical processes that have been being undertaken by the company. Likewise, it contains the information of the company's target market.
The core values are equivalently important. These values, protected by the company and should be instilled by every employee including employer are helpful in the way the objectives and goals are to be achieved. They are outlined for reflecting the culture of an organization.
It can be important that during the strategic planning process, every individual belonging to a company including the rank and file has a say in the creation of a strategic plan.
Making decision is also a part of strategic planning. It is an important component in determining the methods of allocating resources as well the appropriate activities a company has to venture in pursuing its objectives.
The primary objective of all for-profit enterprises is to gain profit. Profit is what every for- profit company has to attain, for wealth building and for increasing its market presence as well as its business size. Profit drives for-profit enterprises to create different strategies to attain it.
However, non profit organizations can also create a strategic plan that would help them in achieving their objectives. A strategic plan may be different or somewhat similar in every organization, be it for-profit or for a good cause.
Strategic planning is a significant activity that can be undertaken by every business. Owners and managers who run enterprises are generally responsible for creating an outline as well as details of their strategies. The business plan which may include the marketing plan of a start-up business is one of the physical evidences that strategic planning has been implemented. A business plan can contain the vision and mission statements, the core values aside from the objectives, goals, policies and targets of the business to be established or that has been operating.
Analysis of collected information is part of the strategic planning process. Before significant analysis is to be taken place, those responsible for the implementation of strategic planning must collect data and information which are significant in determining the possible measures for deriving the strategies of a company.
During the analytical process of strategic planning, different techniques can be used which could help the management of an enterprise in deriving a clear strategic plan. Popular tools used by many businesses in determining its future course include PEST Analysis and SWOT analysis.
The PEST analysis is a situational analysis that a business has to take into consideration. It helps a business determine the macroenvironment factors which may have direct or indirect effects in the implementation of a strategic plan. PEST stands for political, economic, social and technological. Each word constitutes factors and areas that a business has to provide bases in the execution of strategies.
Aside from PEST analysis, a business can make a strategic plan after determining its strengths, weaknesses, opportunities and threats. The SWOT analysis has been an integral component in the creation of a strategic plan. This can help a business determine several factors that are relevant in implementing the strategies during the course of the business operation. It describes the affirmations and barriers that could or might be encountered or that have already been present in an enterprise or that have the greatest or the least effect in coming up with a decision.
The creation of vision and mission statements is perhaps the most important undertaking of every management or of the person who has the drive and control to run an enterprise. The statements are the syntheses of the company's goals and objectives. The vision statement defines an organization's strategic goal that has to be attained in the future which is usually indicated and outlined.
Meanwhile, the mission statement reflects the present level of performance of the company. It defines the critical processes that have been being undertaken by the company. Likewise, it contains the information of the company's target market.
The core values are equivalently important. These values, protected by the company and should be instilled by every employee including employer are helpful in the way the objectives and goals are to be achieved. They are outlined for reflecting the culture of an organization.
It can be important that during the strategic planning process, every individual belonging to a company including the rank and file has a say in the creation of a strategic plan.