Strategic planning is carried out at different levels within an organization. At the corporate headquarters level, strategic planning involves defining the corporate mission, establishing strategic business units, assigning resources to each unit, and assessing growth opportunities. Within each business unit, strategic planning involves defining the unit's mission, conducting a SWOT analysis, formulating goals and strategies, developing implementation programs, and providing feedback and control. The goal is for business units to have their own strategic processes that are aligned with the overall corporate mission and strategic plan.

1. is strategic planning
carried out at
How
different levels
of the organization?

2. Strategic planning
happens within the context of
the organization

3. Corporate and Division
Strategic Planning

4. All corporate headquarters

5. All corporate headquarters
1. Define the corporate mission.

6. All corporate headquarters
1. Define the corporate mission.
2. Establish strategic business units

7. All corporate headquarters
1. Define the corporate mission.
2. Establish strategic business units
3. Assign resources to each
strategic business unit.

8. All corporate headquarters
1. Define the corporate mission.
2. Establish strategic business units
3. Assign resources to each
strategic business unit.
4. Assess growth opportunities.

9. A little more about…
Defining the
Corporate Mission

10. Organizations define corporate
mission statements to share with
employees and customers.

11. Organizations define corporate
mission statements to share with
employees and customers.
Good mission statements have
following characteristics…

12. They focus on a limited
number of goals
#1

13. They stress the
company’s major
policies and values
#2

14. They define the major
competitive spheres within which
the company will operate
#3

15. They take a
long-term view
#4

16. They are as short, memorable
and meaningful
as possible
#5

17. A little more about…
Establishing
Strategic Business Units

18. An SBU (Strategic Business Unit)
has 3 characteristics…

19. It’s a single independent business,
or a collection of
related businesses
#1

20. It has it’s own set of
competitors
#2

21. It has a manager responsible for
strategic planning
and profit performance
#3

22. A little more about…
Assigning
Resources to each SBU

23. The management decides
how to allocate corporate
resources to each SBU

24. The management decides
how to allocate corporate
resources to each SBU
It can grow, ‘harvest’ (draw cash
from) or hold on to the SBU.

25. Business Unit
Strategic Planning

26. Business
mission
The Business Unit
Strategic Process
Each Business Unit defines it specific mission.

27. Business
mission
SWOT
analysis
The Business Unit
Strategic Process
The overall evaluation of a company’s strengths,
Weaknesses, opportunities and threats

28. Business
mission
SWOT
analysis
Goal
formulation
The Business Unit
Strategic Process
The goals must be arranged hierarchically, should be
quantitative whenever possible, realistic and consistent.

29. Business
mission
SWOT
analysis
Goal
formulation
Strategy
formulation
The Business Unit
Strategic Process
3 genetic strategies – Overall cost leadership, Differentiation
and Focus

30. Business
mission
SWOT
analysis
Goal
formulation
Strategy
formulation
Program
formulation
The Business Unit
Strategic Process
Chalk out all the steps to be taken to attain objectives

31. Business
mission
SWOT
analysis
Goal
formulation
Strategy
formulation
Program
formulation
Implem-
entation
The Business Unit
Strategic Process
Implement these steps

32. Business
mission
SWOT
analysis
Goal
formulation
Strategy
formulation
Program
formulation
Implem-
entation
Feedback
And
control
The Business Unit
Strategic Process
Responding effectively to a changing environment

33. Thank You

34. Created by Prasid Mitra,
Jadavpur University
During an internship by
Sameer Mathur, IIM Lucknow
www.iiminternship.com