Strategic planning

What is strategic planning about?

Strategic planning is a process where a business defines its strategy, sets goals, and outlines the steps necessary to achieve those goals. It involves determining the direction for the business and making decisions on allocating resources to pursue this strategy.

What is involved?

Strategic planning is more than just setting goals and creating action plans.

Business owners often overlook the importance of a comprehensive analysis of internal and external environments, continuous monitoring, and the need for flexibility to adapt strategies based on performance data and market changes.

Effective strategic planning is an ongoing process that requires alignment across the organisation and regular adjustments to remain relevant and competitive.

Mission and Vision Development:

• Defining the company’s mission, vision, and core values.

Environmental Scanning:

• Conducting SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis.
• Assessing internal and external environments.

Goal Setting:

• Establishing long-term and short-term objectives.
• Setting SMART (Specific, Measurable, Achievable, Relevant, Time-bound) goals.

Strategy Formulation:

• Developing strategic initiatives and action plans.
• Identifying key performance indicators (KPIs).

Resource Allocation:

• Allocating resources (financial, human, and technological) to strategic initiatives.

Implementation:

• Executing the strategic plan through projects and programs.
• Ensuring alignment across departments and teams.

Monitoring and Evaluation:

• Tracking progress against goals.
• Adjusting strategies based on performance data and feedback.

Review and Adjustment:

• Periodically reviewing the strategic plan.
• Making necessary adjustments to stay aligned with the changing business environment.