While many organizations have heard of strategic planning, and
even claim to strategically plan, few actually do so effectively. Many
organizations and their leaders discuss strategic planning as if it is
some sort of panacea for "fixing" the organization. That expression is
almost as misused as "getting to the next level." It is somewhat amazing
that few organizations, and few leaders seem to comprehend that
strategic planning must be an ongoing process, if it is to be an
effective use of time. Otherwise, what many organizations refer to as
strategic planning ends up being little more than an exercise in
philosophy and oration. This not only applies to organizations, but to each of us, in terms of our personal needs, goals, and priorities, as well as how to proceed, in terms of buying or selling homes, or investing philosophies. Home buyers must identify how much they can afford, as well as be comfortable with, and qualify for a mortgage, and maintain a strategy. Homeowners must have a flexible, realistic pricing and negotiating philosophy and approach. When investing money, one must clearly identify his objectives, and strategically seek either growth, income, a combination, or speculation, etc. The bottom line is, regardless of the circumstances, until, and unless, one has a vision, goals, priorities, needs and a clear - cut strategy, how can anything meaningful be achieved? The balance of this article shall be from the perspective of organizations, but the concepts are applicable to other aspects of life.
The first step in effective strategic planning is to properly identify where an organization is at presently, and how it got there. What is the history of the organization, and how does that and the organization's mission impact its planning? How can the organization evolve to improve, while maintaining its reason for being? Strategic planners must carefully understand the ramifications of its actions, or conversely, what the impact of not acting might be.
This process must identify both the strengths and weaknesses of the organization, as well as the reasons and causes for each. All too often, so-called strategic planners inaccurately identify either strengths or weaknesses, or both, and then make decisions or recommendations based on false or faulty premises. This is often seen, especially on the weaknesses sign, when an organization is facing a challenge in a specific area, and often oversimplifies, misinterprets, or misunderstands the reason for the obstactle. When planning begins based on inaccurate premises, the plan is doomed from the onset.
Strategic planners must consider all alternatives in their deliberations. They must consider factors such as short-term, intermediate-term and long-term impacts, ramifications, costs both in terms of financial as well as personnel related. Costs include not only direct costs, but also indirect costs, such as the wastes and excesses. Planners must consider multiple alternatives, and weigh all relevant factors in analyzing ideas.
Strategic planning necessitates entering the process with an open mind, and considering alternatives. Where many organizations drop the ball, however, is that after they expend considerable time, energy and other resources in the process, they do not develop an action plan to assure the timely achievement of the plan.
The first step in effective strategic planning is to properly identify where an organization is at presently, and how it got there. What is the history of the organization, and how does that and the organization's mission impact its planning? How can the organization evolve to improve, while maintaining its reason for being? Strategic planners must carefully understand the ramifications of its actions, or conversely, what the impact of not acting might be.
This process must identify both the strengths and weaknesses of the organization, as well as the reasons and causes for each. All too often, so-called strategic planners inaccurately identify either strengths or weaknesses, or both, and then make decisions or recommendations based on false or faulty premises. This is often seen, especially on the weaknesses sign, when an organization is facing a challenge in a specific area, and often oversimplifies, misinterprets, or misunderstands the reason for the obstactle. When planning begins based on inaccurate premises, the plan is doomed from the onset.
Strategic planners must consider all alternatives in their deliberations. They must consider factors such as short-term, intermediate-term and long-term impacts, ramifications, costs both in terms of financial as well as personnel related. Costs include not only direct costs, but also indirect costs, such as the wastes and excesses. Planners must consider multiple alternatives, and weigh all relevant factors in analyzing ideas.
Strategic planning necessitates entering the process with an open mind, and considering alternatives. Where many organizations drop the ball, however, is that after they expend considerable time, energy and other resources in the process, they do not develop an action plan to assure the timely achievement of the plan.
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