Transcript Slide 1
The Case for Strategic Planning
We can help you Plan for Success ©
What is strategic planning?
• Strategic planning is the process of: – Finding an ideal future vision for the organization – Identifying the gap between the vision and the current reality and direction of the organization – Developing strategies and action steps to close the gap and move the organization toward the vision • It’s not operations planning or budgeting; it provides the basis for operations planning and budgeting.
• It’s not an event; it’s an on-going process.
The case for strategic planning is clear
• Organizations that plan do better than those who don’t. – Businesses that use strategic planning are 12 percent more profitable - M3 Planning – Data from 26 studies of the value of strategic planning concludes that strategic planning positively influences firm performance - C. Chet Miller, Baylor University, and Laurel B. Cardinal, University of Texas at Dallas – World Class companies are experiencing real and material benefits from their planning processes (far beyond those of average companies) - Financial Executives Research Foundation, Inc., and The Buttonwood Group LLP
Planning is even more important now
• Every organization needs a current strategic plan and to be acting to execute the plan. Especially in these challenging times!
“I notice a high correlation between poor strategy and disastrous performance in recessions.
That isn’t to say that good strategy makes you completely immune to a downturn, but you will weather the storm much better with a good game plan in place.” - Robert Bradford
But most organizations don’t plan
• Strategic planning should be part of every organization’s ongoing discipline – but typically isn’t.
“One study of 29,000 business startups noted that 26,000 of them failed. Of those failures, 67% had no written business plan.” - Terri Zwierzynski “…those businesses that perform at the highest levels usually have some sort of formalized strategic plan in place and have implemented it well. On the other hand, those businesses that struggle usually have no plan in place and seem to flounder in their attempts to be successful.” - Chris Arringdale
So why don’t many organizations plan?
• Most strategic planning approaches focus on delivering a document rather than on actionable insight.
“Strategic planning is worthless – unless there is first a strategic vision.” - John Naisbitt “Plans are worthless. Planning is essential.” - Dwight D. Eisenhower
Effective planning is about strategies
• Effective strategic planning is not delivery of a plan. It’s crafting a vision and key strategies, and executing the strategies to move to the vision.
"Setting a goal is not the main thing. It is deciding how you will go about achieving it and staying with that plan." - Tom Landry
Effective planning is about action
• Without action, assessment, and re-planning, a strategic planning exercise is a waste.
“Our goals can only be reached through a vehicle of a plan, in which we must fervently believe, and upon which we must vigorously act. There is no other route to success.” - Stephen A. Brennan “Plans are only good intentions unless they immediately degenerate into hard work.” - Peter Drucker
Effective planning is a team effort
• Often the strategic plan wrongly states what the leader wants rather than what can emerge from the team’s knowledge, expertise and vision.
The organizational leader is the wrong person to lead the planning process. When he or she appears to have it right, things seem great, even though the organization could be seriously sub-maximizing. When he or she has it wrong, the results can be devastating.
“None of us is as smart as all of us.” Ken Blanchard
Effective planning is led by an outside facilitator
• Too often strategic planning fails because the facilitator is tied to the organization, biased by the past and over-influenced by the leader.
“Facilitation works best when the facilitator… is trusted by all group members as a neutral party who has no biases or vested interest in the outcome.” - Thomas Pyzdec
Organizations need to plan efficiently
• Most strategic planning approaches are over involved, time-consuming and expensive.
Among the basic reasons why organizations don't plan strategically: “It's a very lengthy process.” “Fear of endless planning with no action.” “It's an expensive process.” - Bill J. Harrison
Our mission: All organizations plan
• Strategic Business Leader © is committed to rescuing the value of strategic planning.
– We deliver a planning system and tools that work – We provide support – We avoid what’s wrong with strategic planning as it has generally been applied
Fast Track Strategic Planning System © • Strategic Business Leader’s planning system focuses on what’s most important: – Vision – Strategic Gaps – Strategies with Action Steps to close the gaps and move toward the vision
Fast Track Strategic Planning System
© • Our planning system uses the knowledge and insights of the participants.
– The process and the facilitator provide the structure – The planning team decides where to go and how to get there – Based on the tenets of Participative Process Consulting
Fast Track Strategic Planning System
© • Our planning system is tested and uses a highly efficient process.
– It recognizes the reality that in today’s world organizations can devote only so many hours to planning – It’s derived from experience working with many organizations – from large corporations and businesses to associations, educational institutions and not-for profits
Fast Track Strategic Planning System
© • Our planning system makes effective planning accessible to all organizations.
– It offers tools, agendas, scripts and much more – Various levels of assistance as well as facilitation are offered as needed