Strategic Planning and Operation Policies

The operational policies consist of service policies and operations within an organization.

The service policies provide the ability of an organization to differentiate applications in accordance with their perceived levels of importance as well as target values. With regard to the strategic planning, operational control over resources in an organization should not matter. As a matter of fact, the fundamental rule in bureaucratic politics is that businesses that command larger workforce and wherewithal are more likely to have a lot of influence in the execution of operation policies (Allison & Kaye 2005, pp. 89-95). Consequently, the developing strategies and plans arise from the actions that have already been taken. In line with this, the departments within an organization that have the greatest resources are supposed to act first; thus, creating a conduit of dependencies as well as lock-ins from which planning units are not able to break away.

We Will Write a Custom Case Study Specifically
For You For Only $13.90/page!

order now

Problems of Strategic Planning and Methods of Solving Them The main problem with strategic planning is usually the failure that arises when it comes to implementing it. In order to resolve this problem, the answer is not to abandon the strategic plan. Rather, the management of a company needs to look at the changing process that was used in developing the strategic plan (Bryson 2011, pp. 145-53). Additionally, there are times when strategic planning requires being in a position of acclimatizing to numerous shifting operational and financial variables. In this regard, a company that is experiencing fiscal problems may decide to implement measure that can lower its burn rate or negative cash flows (Allison & Kaye 2005, pp.

67-73). To resolve this impasse, such a company may decide to cut its expenses until the problems subside. Again, in the presence of continuous dynamic adjustments of the strategic plan, the company is able to continue with its operations positively. Strategic planning is usually used by companies to ward off disapproval or conflict. Sometimes, they are used to impede resolutions.

At times, the management of a company may use it to validate putting decisions on hold, or even avoid taking a stand or making decisions. Such delays may sometimes result in the deepening of problems even as options narrow. Another problem with strategic planning is that it sometimes becomes a ritualized procedure with elements of improvisational play starring highly remunerated experts. To solve this, the management of an organization is supposed to streamline its operations to be aligned with its budget (Bryson 2011, pp. 107-112).

Limitations of Long-term Planning One of the key limitations of long term planning is that the future does not usually unfold as expected. Long-term planning necessitates a clear anticipation of the future environment in order to develop plans. However, it is not usually easy to predict the future. As a result, the belief is usually on the basis that if the future does not unfold as anticipated, then this invalidates the long term plans. However, recent research indicates that organizations that take long term plans attain enhanced performance than those which do not.

This happens regardless of whether they actually attained their intended objectives or not (Stahl & Mendenhall 20055, pp. 35-9). Another limitation to long term planning is the expense. Long term planning involves hiring external consultants to help in developing the plans. Some of these services turn out to be very expensive. However, in spite of the relatively high costs, it is still vital to ensure that the implementation of a long term plan is consistent with the needs of the company.

Additionally, appropriate controls ought to be set up to allow the cost benefit discussion to be carried out. This should be done before the implementation of a long term plan. Carrying out a long term plan may force an organization to decline some opportunities that may be available. In this regard, it is sometimes frustrating for a company to be unable to choose all the opportunities it is presented with. This, in essence, impedes flexibility.

Additionally, the lack of innovation and creativity may suppress the capability of an organization to develop the right strategies.Conclusion By and large, within the milieu of the volatile growth of companies in the international mergers and acquisitions arena in the recent past, a number of changes occur with regard to corporate control under the unstable fiscal conditions. In many countries around the globe, mergers and acquisitions play a major role in increasing corporate value. On the other hand, corporate streamlining serves to modify assets to the chief treasured uses. It is, therefore, of a great importance for businesses to look into effective ways to maximize on their potentials. This may include taking drastic measures like mergers and acquisitions, strategic planning, as well as long term planning.