Introduction to Strategic Planning and Management Overview of Strategic Management Definition and importance Historical development Key Concepts Strategy vs. tactics Strategy Management Process Strategic Analysis • Internal Analysis o Resources, capabilities, and core competencies o SWOT Analysis (Strengths, Weaknesses, Opportunities, Threats) • External Analysis o PESTEL Analysis (Political, Economic, Social, Technological, Environmental, Legal) o Industry and competitive analysis (Porter’s Five Forces) • Case Study: Analysis of a company’s internal and external environment
Vision, Mission, and Goals Crafting Vision and Mission Statements Definitions and components Examples of effective statements Setting Strategic Goals and Objectives SMART criteria (Specific, Measurable, Achievable, Relevant, Time-bound) Workshop: Developing vision and mission statements Strategy Formulation • Types of Strategies • Strategic Choice and Decision-Making • Case Study: Formulation of strategies for a case organization Strategy Implementation Organizational Structure and Culture Aligning structure with strategy Role of organizational culture Resource Allocation and Budgeting Financial and non-financial resources Budgeting for strategy Change Management Managing organizational change Overcoming resistance to change Case Study: Implementation of a strategic plan
Strategic Leadership and Management Role of Leadership in Strategy Leadership styles and their impact on strategy Strategic leadership competencies Team Dynamics and Strategic Management Building effective strategic teams Communication and collaboration in strategy execution Workshop: Leadership skills for strategic managers Performance Measurement and Control • Strategic Performance Metrics o Key Performance Indicators (KPIs) o Balanced Scorecard approach • Strategic Control Systems o Monitoring and evaluation o Corrective actions and adjustments • Case Study: Performance measurement in practice Group Project/s: Development and presentation of strategic plans
Strategic Leadership and Management Role of Leadership in Strategy Leadership styles and their impact on strategy Strategic leadership competencies Team Dynamics and Strategic Management Building effective strategic teams Communication and collaboration in strategy execution Workshop: Leadership skills for strategic managers Performance Measurement and Control • Strategic Performance Metrics o Key Performance Indicators (KPIs) o Balanced Scorecard approach • Strategic Control Systems o Monitoring and evaluation o Corrective actions and adjustments • Case Study: Performance measurement in practice Group Project/s: Development and presentation of strategic plans Innovation and Strategic Change Role of Innovation in Strategy Types of innovation (product, process, business model) Fostering an innovative culture Strategic Change Management Strategies for managing change Innovation adoption and diffusion
Topics INTRODUCTION TO PLANNING AND MANAGEMENT - Overview of Strategic Management o Definition and importance o Historical development - Key Concepts o Strategy vs. tactics
MANAGEMENT Refers to the process of planning, organizing, leading, and controlling an organization's resources to achieve specific goals. It involves coordinating people, finances, and materials to reach objectives efficiently and effectively. PLANNING Setting goals and determining the best way to achieve them.
STRATEGIC PLANNING Strategic planning is the process of defining an organization’s direction and making decisions on allocating resources to pursue this direction. STRATEGIC MANAGEMENT The ongoing process of managing and implementing the strategic plan. It involves the continuous assessment and adjustment of strategies in response to internal and external changes.
Learning Activity 1: Is plan permanent? Elaborate your answer.
HISTORICAL DEVELOPMENT OF STRATEGIC MANAGEMENT Early Beginnings (Pre-1900s) Classical Management Theories: Early management practices can be traced back to classical theories of management, which focused on optimizing operational efficiency . Notable contributors include Frederick Taylor (Scientific Management) and Henri Fayol (Administrative Theory).
HISTORICAL DEVELOPMENT OF STRATEGIC MANAGEMENT Emergence of Strategic Management Concepts (1900s - 1950s) Corporate Planning Era: The concept of strategic planning began to take shape during the early 20th century as businesses started to recognize the importance of long-term planning. The work of pioneers such as Alfred Chandler (Strategy and Structure , 1962) highlighted the relationship between organizational structure and strategy, emphasizing that strategy should drive organizational structure and vice versa.
HISTORICAL DEVELOPMENT OF STRATEGIC MANAGEMENT The development of various strategic management frameworks occurred, including SWOT Analysis (Strengths, Weaknesses, Opportunities, Threats) and the Balanced Scorecard, introduced by Robert S. Kaplan and David P. Norton (1992). These frameworks provided tools for analyzing and implementing strategies.
HISTORICAL DEVELOPMENT OF STRATEGIC MANAGEMENT The 1990s and 2000s saw a focus on strategic leadership and innovation Globalization and Strategic Management Contemporary Developments (2000s - Present): digital strategy
STRATEGY vs. TACTICS Strategy refers to a long-term, overarching plan designed to achieve specific objectives or goals. It encompasses the broad approach an organization takes to reach its vision and mission. Scope: Strategies are high-level and provide direction for the entire organization. They focus on achieving long-term outcomes and addressing major goals. Time Frame: Typically long-term (3-5 years or more).
STRATEGY vs. TACTICS Tactics are specific actions or steps taken to implement parts of a strategy. They are the practical means or methods used to achieve short-term objectives that support the overall strategy. Scope: Tactics are narrower in focus and pertain to specific tasks or activities that contribute to achieving strategic goals. Time Frame: Short-term (weeks to months).
STRATEGY vs. TACTICS Relationship Between Strategy and Tactics Strategy Sets the Direction : Strategy provides the overarching goals and direction for the organization. It defines where the organization wants to go and what it aims to achieve. Tactics Implement the Strategy : Tactics are the means by which the strategy is executed. They involve day-to-day actions and decisions that help in achieving the strategic objectives.
STRATEGY vs. TACTICS Strategic Examples Strategy: A technology company decides to become a leader in artificial intelligence (AI) by investing heavily in R&D and forming strategic partnerships with leading tech firms. Tactics: Launching specific AI research projects. Attending and speaking at AI conferences. Implementing targeted marketing campaigns to attract top talent in AI.
STRATEGY vs. TACTICS Key Differences: Level of abstraction: Strategy is broad and abstract, focus on long term goals and overall direction Tactics- specific and concrete focus on immediate actions and operations
STRATEGY vs. TACTICS Key Differences: Purpose: Strategy aims at positioning the organization for future success Tactics-focus on achieving short-term objectives that align with the strategy
STRATEGY vs. TACTICS Key Differences: Flexibility: Strategy: stable and require significant time and resources to change, Tactics-more flexible and can be adjusted based on immediate needs and feedback.
Learning Activity 1: Is plan permanent? Elaborate your answer. Differentiate Strategic Planning and Strategic Management in terms of focus, timeframe,