Strategic Planning Process
Strategic Planning – Week 1 Keyla (Bolin, Niu) Keiser University MKT531 Marketing Management Dr. Jeff Ritter 03/09/13 Strategic Planning Process Strategic planning is refers to the development of the organization’s long- term goals and put forward into practice (Peter, 2013).
Strategic planning system is the strategy, objectives, environmental factors, it is a process about the internal conditions and various elements integration and used to guide the rational allocation of limited resources enterprise for a certain period of time, in order to reach the goal of the management activities Some big enterprise have particular plan for next fifth years. Strategic planning can be separate to three steps, the first step is to determine the objective goals, during the enterprise development, it should be meet all kinds of challenges that successful achieve the goal.
The second step is to formulate the planning, after manger determine the goal, manager should consider what measures can be successfully to process the project, this is what I understannd about strategic planning. According to the requirements of the strategic planning, the characteristic about strategic planning can be summarizing by these points (Aldehayyat, ; Twaissi, 2011): 1. Strategic planning system set broke through the traditional thinking mode which is not planning at present project, but the goals are for enterprise future direction of planning and financial.
It pays much more attention to how to adjust business environment and innovation. 2. The settings of strategic planning are often led by very few top management leader directly control. It doesn’t like short-term business plan by a wide range of many people to participate in. 3. The strategic planning system is focus on the changing the external environment and innovation about enterprise, it involved the possibility of market opportunity which is hard to control and requires the enterprise have random and rapid response.
The strategic planning plan can be set with external environment, business industry structure, customer and competitor’s information; however, the enterprise manager can understand the company’s internal standards through this process. 5. Strategic planning is a big change plan which is enough to change the enterprise future direction. It is combined with the strategic business goals and strategic key points that will make the enterprise get comprehensive change.
The famous managerialist Drucker thinks that the enterprise of top managers’ first priority is to formulate and implement strategy.
Through the company’s mission, he thought, to reflect on the basic task of the management, is to put forward such a question: our company is what kind of business? It should reach to what kind of business? To this end, enterprises should develop their strategic target, strategic and plan, make decisions for the future. Clearly, this is actually the strategic planning process. From western developed countries the large enterprise, the management strategy is the framework of the strategic plan system.
Is not normative system, of course, also can produce excellent strategy? But, regardless of the manner, the formulation of strategic planning system is intertwined in the processes for management activities, and the strategic management plays an important guiding role. It makes enterprises at all levels of staff have been involved in the process.
I. e. , the enterprise employees should participate in the formulation or implementation of the strategic planning system, it’s just them to participate in different degree of prevention is.
Each employee in the enterprise bear the plan the worker roles at the same time, also has the characters such as organizer and commander. In this sense, the enterprise strategic planning system plays a sustained and coordinated the important role of strategic management and daily business activities, also prompted enterprise employees to form a strong cohesion and a sense of belonging (Robinson, ; Pearce, 1988).
The effective decision system of corporate strategic planning must start with a strong organization.
Enterprises in determining the strategic planning system, the corresponding processes must be designed so that the audit in the enterprise between various departments, as well as the correlation between their activities and planning, influence each other and mutual dependence. Generally speaking, due to the historical development of each enterprise, decision-making habits, thinking mode of different leaders, led to its approach in formulating strategic planning system is also ifferent. The strategic planning system of the scientific program should be determined based on the each company’s actual situation. Enterprise brand, family brand (brand) category and product brand constitute the brand level, different levels of brand both relate to each other, and influence each other (Kraus, & Schwarz, 2006).
For example General motors, the enterprise brand, Chevrolet is general motors’ family brand (brand) category, and sail (sail) is the product brand.
Gm gives customers the brand association is a U. S. auto giant, a global fortune 500 companies, has a good reputation, and so on; The Chevrolet brand is one of the largest brands, gm’s global sales volume since introduced the first product in 1912, total sales has more than 100 million vehicles, market coverage to 70 countries, has a record of sales of a new car every 40 seconds. Chevrolet 2004 global sales of more than 3. million units, in the global sales of every 16 a new car is a Chevrolet, Chevrolet brand to the customer’s brand association is a reliable, pragmatic, intelligent and friendly, full of vitality; And sail (sail) brand, convey the differentiation characteristics of the product.
The three levels of brand together, can put enough brand messages to customers, and make customer to sail (sail) this has just set up soon products produce good brand association and brand identity. References Robinson, R. B. ; Pearce, j. A. (1988).
Planned Patterns of Strategic Behavior and Their Relationship to Busi- ness-Unit Performance.
Strategic Management Journal, 9, 43-60. Peter, J. , ; Donnelly, J. (2013). Marketing Management Knowledge and Skills.
New York, NY: McGraw-Hill. Aldehayyat, j. S. ; Twaissi, N. (2011). Strategic Planning and Corporate Performance Relationship in Small Business Firms: Evidence from a Middle East Country Context.
International Journal of Business and Management, 6 (8), 255-263. Kraus, S. , Harms, R. , ; Schwarz, E. j. (2006).
Strategic Planning in Smaller Enterprises: New Empirical Findings. Management Research News, 29 (6), 334-344.