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Strategic Planning. An Overview. General Definition. The process of strategic planning involves deciding where you want to go, how you want to be positioned, how you think you can get there, what you have to watch out for, and what it is likely to cost you.

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general definition
General Definition
  • The process of strategic planning involves deciding where you want to go, how you want to be positioned, how you think you can get there, what you have to watch out for, and what it is likely to cost you.
  • It is a long-range planning activity, typically done in 3 to 5 year increments with at least an annual review.
what it is not
What it is not…
  • It is not a box of tricks or a bundle of techniques. It is analytical thinking and commitment of resources to action.
  • It is not the application of scientific methods to business decisions. It is the application of thought, analysis, imagination and judgment. It is responsibility rather than technique.
what it is not continued
What it is not continued…
  • It is not forecasting or masterminding the future. Any attempt to do so is foolish; the future is unpredictable. Strategic planning is necessary because we cannot forecast the future.
  • It does not deal with future decisions. It deals with the futurity of present decisions. Decisions only exist in the present.
what it is not continued5
What it is not continued…
  • We cannot ask what the organization should do tomorrow. The question is what futurity do we have to build into our present thinking and doing, what time span do we have to consider, and how can we use this information to make a rational decision now?
what it is not continued6
What it is not continued…
  • Strategic planning is not an attempt to eliminate risk. We must understand the risks we take. We must be able to choose rationally among risk-taking courses of action rather than make decisions based on hunch, hearsay or experience, no matter how meticulously this is measured and researched.
what is strategic planning
What is Strategic Planning?
  • The process of determining the long-term objectives of organizations as a means of formulating strategies to accomplish these objectives.
  • These activities and objectives lead to action today that require an appreciation of what the outcomes of strategic decisions will be in the future.
what is strategic planning8
What is Strategic Planning?
  • An effective strategic plan can help the organization fulfill its mission by articulating a vision of its role, and its potential.
  • There is no one acceptable way to engage in strategic planning—each organization or department is unique.
parts of a strategic plan
Parts of a Strategic Plan
  • Mission Statement
  • Definition of Major Objectives
  • Action Plan
  • Description of Resources Needed
  • Procedure for Monitoring Performance
  • Evaluation System
mission statement
Mission Statement
  • Defines the scope and focus of an organization’s activities.
  • Should be broad enough to encompass potential activities.
  • Should allow for flexibility and creativity.
definition of major objectives
Definition of Major Objectives
  • Should reflect what is of greatest significance for the current and future direction of the organization.
  • The efforts of the organization should be based on its major objectives and how they fit in with its structure, purpose and goals.
  • The objectives should be developed by those who will participate in achieving them.
  • The objectives should be clearly stated and should be measurable quantitatively and/or qualitatively.
action plan
Action Plan
  • Contains the strategies and activities for achieving the objectives.
  • Usually requires the ability to develop new ways of doing things.
  • Should be action-oriented and should be allowed to develop over time. Each plan should be given time to reach fruition.
  • Each plan must reflect the overall mission of the organization.
resources needed
Resources Needed
  • The resources will be used to implement the strategic plan and are therefore essential to its success.
  • Should include personnel, financial, equipment and space requirements.
  • Should include a breakdown of activities and the necessary allocations.
  • The strengths and the expected impact of the plan should also be presented.
procedure for monitoring performance
Procedure for Monitoring Performance
  • Key point is to monitor how well the action plan is progressing towards its objective.
  • The assessment may lead to reconsideration (redirection) and possible refinement of the objectives, modification of the activities, alteration of the allocation of resources, refinement of roles, and reassignment of individuals.
procedure for monitoring performance15
Procedure for Monitoring Performance
  • Measures the effectiveness of the strategic plan.
  • May be done through survey forms, status reports, and/or follow-up strategic planning meetings.
evaluation system
Evaluation System
  • Should include at least an annual review that addresses all relevant factors, including the action plan, the institutional objectives and resources as well as the problems, successes, weaknesses, and strengths of the plan.
  • Participants should include all key personnel and support staff that will be affected by the plan.
  • May include revisions or modifications of the plan.
summary
Summary
  • Strategic planning is indispensable for guiding toward success.
  • It involves a commitment to current and future courses of action.
  • An effective plan will be productive enough to pay off the investment of time and energy.
  • Information taken from ”Management Principles for Health Professionals,” 4th Edition by Joan Gratto Liebler & Charles R. McConnell