Wednesday, 25 April 2012

Strategic Planning

         Strategic planning has been defined as that which has to do with determining the basic objectives of an organization and allocating resources to their accomplishment. A strategy determines the direction in which an organization needs to move to fulfil its mission. A strategic plan acts as a road map for carrying out the strategy and achieving long-term results. Occasionally a large gap exists between the strategic plan and real results. To boost organizational performance, people must be a key part of the strategy. A stronger, more capable and efficient organization can arise by defining how its members can support the overall strategy.

Strategic planning is different from long-term planning. Long-range planning builds on current goals and practices and proposes modifications for the future. Strategic planning, however, considers changes or anticipated changes in the environment that suggest more radical moves away from current practices. When doing strategic planning, the organization should emphasize team planning. By involving those affected by the plan, the manger builds an organization wide understanding and commitment to the strategic plan. The elements of strategic plans include: 

· Organization mission statement - What
· Strategic analysis - Why
· Strategic formulation - Where
· Long-term objectives implementation - When and How
· Operational plans - When and How

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