Strategic planning is a complicated process for foreseeing the future of business and making plans to achieve the goals. The objectives of the business and the actions required for achieving those with the available resources is the primary criteria for strategic planning. Managers should follow a systematic process to find out the critical issues that might arise during various processes and forming the base for the team in large organizations upon which final decisions are taken.
The process involved in Strategic Planning are as follows. Making a description of a the mission and vision along with the fundamental values to be followed in an organization. Finding out the target areas for the business and study in detail what threats may arise during different stages of the business and also be foreseeing the opportunities that will obtain. Knowing what are the current priorities and aligning them with future priorities. Examine the company’s strong and weak points with respect to the competitors and reaching the decision to make or buy the raw product. Finding out an evaluating alternative strategies for the organization. Developing a business model that will have several advantages over the competitors. defining expectations for investors and making compelling and clear objectives. Preparation of basic programs for the business as well as policies and plans for implementing different strategies. Strategic planning also involves establishing supportive organizational structures and decision processes. the hiring and training systems also need to be developed during different stages during the operation of a business. Allocation of various resources for developing different capabilities and monitoring them also need to be done.
Strategic planning is used for changing the direction and performance of the business. Politically sensitive issues are discussed based upon information. Creating common rules for taking decisions within and outside the organization will come under strategic planning. Fund to be allocated in business and evaluating performance for training freshers is also part of strategic planning.