There is an assumption that strategic plans are meant for bigger businesses and organizations which are endowed with highly skilled manpower that can develop the plan. The truth however is that strategic plans are necessary for every business irrespective of its size and manpower capacity. It is a combination of tools that address the company opportunities and threats from its competitors and the general economic environment. The firm management team is entrusted with the responsibility of setting long-term goals for the company. The conclusion of a strategic plan is composed of strategies and plans that will be instigated to move the firm towards its desired objectives.
Company mission and values statements- the mission of the company is a clear statement illustrating how the company prefers its customers, competitors and other stakeholders to perceive it. The value statement describes the contributions that you want the company to make to the community and the whole world at large. Formulating these statements needs thorough brainstorming in relation to the company’s social policy.
The second step involves the description of your immediate world. Consider the challenges and opportunities in your line of business. Opportunities are factors such as the high growth rate of your market while challenges could be negative factors such as economic stagnation or lack of raw materials. The biggest threats to the business are challenges from the increasing numbers of competitors.
Evaluation of the company’s current position- This step involves an honest review of the company’s financial position, its failures and the outstanding achievements. This step is concerned with factors that put the company above its competitors, and the shortcomings that make it rate poorly among other companies. The weakness recognized in this step is aimed at helping the company work hard to grow and overcome them.
The company vision. This is the unique description of the company’s achievements and its future success. It is the most important segment of a strategic plan and it requires creativity of the highest order. When articulating vision, describe the market size and presence that you wish the company to achieve.
Company Objectives- The objectives that you set in this step should be achievable. They are a simplified and quantified points related to the vision. Objectives are the targets that the company aspires to achieve. When writing objectives, remember to include the unit sales, business revenues and the targeted number of customers.
Strategies and action plans- this step determines how the company’s limited resources will be deployed. It entails the description of the market products and services, the prospective market and marketing methods to be used. Indicate the person responsible for the implementation of the strategic plan and the time frame within which you intend to achieve given goals.
Projected earnings- indicate the target earnings of your company and the money to be spent in order to achieve this target. This section is the forecast that lists all the expenses and revenues. Make your projections achievable and realistic.
Free Management Library: Basic Description of Strategic Planning
Free Management Library: Developing Your Strategic Plan
Free Management Library: Strategic Planning
PlanWare: Business Planning Papers: Developing a Strategic Plan
Quick MBA: The Strategic Planning Process
Allbusiness.com: Ten Preliminary Steps You Should Take Before Writing a Business Plan
MasterCard International: The Plan: A Step-By-Step Business Plan Workbook