Management

Levels of Planning

What is strategic plan? And why is it so important for big business to have one to become successful in future? When strategic planning should be done? Strategic planning determines where an organization is going over the next year or more, how it's going to get there and how it'll know if it got there or not. The focus of a strategic plan is usually on the entire organization, while the focus of a business plan is usually on a particular product, service or program. It is very important for any kind of businesses to have for there future success and to determine where business will be going next year and how much revenue will be flowing.

There are a variety of perspectives, models and approaches used in strategic planning. The way that a strategic plan is developed depends on the nature of the organization's leadership, culture of the organization, complexity of the organization's environment, size of the organization, expertise of planners. There are a variety of strategic planning models, including goals-based, issues-based, organic, scenario. Goals-based planning is probably the most common and starts with focus on the organization's mission and vision and/or values, goals to work toward the mission, strategies to achieve the goals, and action planning (who will do what and by when). Issues-based strategic planning often starts by examining issues facing the organization, strategies to address those issues, and action plans. Organic strategic planning might start by articulating the organization's vision and values and then action plans to achieve the vision while adhering to those values. Some planners prefer a particular approach to planning, appreciative inquiry. Some plans are scoped to one year, many to three years, and some to five to ten years into the future. Some plans include only top-level information and no action plans. Some plans are five to eight pages long, while others can be considerably longer. Organization's strategic planners already know much of what will go into a strategic plan. It is true for business planning, too. However, development of the strategic plan greatly helps to clarify the organization's plans and ensure that key leaders are all "on the same script". Far more important than the strategic plan document, is the strategic planning process itself.

There are lots of benefits of doing strategic planning. Strategic planning serves a variety of purposes in organization. Clearly define the purpose of the organization and to establish realistic goals and objectives consistent with that mission in a defined time frame within the organization's capacity for implementation. Communicate those goals and objectives to the organization's constituents. Develop a sense of ownership of the plan. Ensure the most effective use is made of the organization's resources by focusing the resources on the key priorities. Provide a base from which progress can be measured and establish a mechanism for informed change when needed. Bring together of everyone's best and most reasoned efforts have important value in building a consensus about where an organization is going. Bridges staff and board of directors in the case of corporations. Builds strong teams in the board and the staff (in the case of corporations). Provides the glue that keeps the board together it is important in business to play team work and to keep everyone together. Produces great satisfaction among planners around a common vision. Increases output from increased efficiency and effectiveness. Solves foremost tribulations.

When Should Strategic Planning Be Done? The scheduling for the strategic planning process depends on the nature and needs of the organization and the its immediate external environment. For example, planning should be carried out frequently in an organization whose products and services are in an industry that is changing rapidly . In this situation, planning might be carried out once or even twice a year and done in a very comprehensive and detailed fashion (that is, with attention to mission, vision, values, environmental