Process of Strategic Planning In order for any company to be successful, it must have a plan. This can be as simple as a statement stating that your company wants to be the best at, to having every detail mapped out from point a to point b. Companies will not get where they plan to be without first knowing where they came from, and where they want to go. A plan is a proposed or intended method of getting from one set of circumstances to another (Wikipedia,2006). In order to have a successful plan, companies must develop a strategy on how they plan to accomplish their goals and missions. A good business strategy is to know your business inside and out, to include, strengths, weaknesses, opportunities, threats, and company trends.
Having a plan is one thing, but having a strategy to accomplish that plan is another. Strategy is a long term plan of action designed to achieve a particular goal, as differentiated from tactics or immediate actions with resources at hand.
Knowing your company is good, but knowing your competition is even better. Strategies formulations according to Wikipedia.com, involve four steps, doing a situation analysis : both internal and external; both micro-environmental and macro-environmental. Concurrent with this assessment, objectives are set. This involves crafting vision statements (long term view of a possible future), mission statements (the role that the organization gives itself in society), overall corporate objectives (both financial and strategic), strategic business unit objectives (both financial and strategic), and tactical objectives. These objectives should, in the light of the situation analysis, suggest a strategic plan. The plan provides the details of how to achieve these objectives.
Strengths and Weaknesses Identifying a companies strengths and weaknesses is a key place to start. If we know what our strengthens are we...