strategic-business-plan

Strategic Planning Basics – Part 2

Strategic Business Planning

By failing to prepare, you are preparing to fail.

Benjamin Franklin

Let’s plan! Planning is an art and science so you need to convert your ideas into an actionable plan.

The conceptual planning or the art of planning is where experience and knowledge of your environment are combined to develop solutions, objectives and assumptions. Understanding the competitive environment, the capabilities of your team and maintaining relationships with customers and partners will help you plan to achieve your goals.

The science of planning involves using measurements and analysis. How long does it take to build your product? How long does shipping take? What are your organization’s procedures and policies? This data will provide you with limitations and help you build your schedule based on measured performance.

I will focus on a blend of conceptual and detailed planning. The following are my steps for strategic planning:

  • Define your goals

    This is the first and the most important step. What are you trying to accomplish? What is your company’s goal? Clearly define your goals. If your goal has been assigned to you or to your department, ensure that you completely understand the goal.

  • Analyze the environment

    What will it take to accomplish your goals? What are your barriers to success–both internal and external to your organization? Who are the stakeholders? Who will you collaborate with? Determine the interdependencies that you will rely on to accomplish the goal.What resources might be required? Have you done a SWOT analysis? If so, how will you react to threats and opportunities? Maximize your strengths and minimize your weaknesses? Finally, uncover all of the assumptions about your environment that your planning is based on and make sure they’re valid.

  • Develop objectives

    What are your long-term objectives? What are your short-term objectives? Do you have milestones? Deliverables? What resources are required? As you develop your objectives, create small executable steps, so progress can be easily measured and those executing the objectives are not overwhelmed by the enormity of the task.

  • Create road maps, general strategies

    This is where the plan comes together; here we create the map or schedule to be followed.How do we accomplish our objectives? Who accomplishes them? When will they be complete? What are the risks associated with the schedule? Explain the strategy here.

  • Execute the plan

    Finally, time to execute! You’ve gone through all of that effort to create the plan– now use it. The planning process should have prepared you and your team to meet your goals.

  • Review, fix the plan if broken

    What worked in the plan? What objectives were not met? Planning is both a continuous and a cyclical activity of the operations process. Regular reviews of your plan should be established and assessments of the plan accomplished.

During the planning process, be careful not to forecast events too far into the future. Too much detail or using too formal of a planning method will delay the plan and complicate the process—and itwon’t improve the end results since planning can never exactly predict future results. The most important aspect about the planning process is what you learn about yourself while you’re planning. Planning helps anticipate future action and will help you adapt to changes.

2 replies
  1. Josh Burnam says:

    Hi Michael, wanted to say thanks for the good information you provided in this blog. This works very well for me as a quick checklist of things NOT to forget during the planning process. Keep the blogs and ideas coming!

    Josh

    Reply
    • Michael James Smyth says:

      Hi Josh,
      Thanks! We have more planning blogs, tools and apps in production. Please continue to follow us!
      Michael

      Reply

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