This is to help understand how we can approach designing a strategy around any given requirement. The stepwise approach helps identify the goals and establish evaluation criteria for devising a strategy around any given scenario. You will find this useful for Go-To-Market strategy, transformation strategy etc. This helps target the selective initiatives one needs to take to ensure quality delivery and efficient implementation.

1. Strategic Planning
Process
Understanding the Strategy
Development Framework with in-
depth discussion on the Process,
Pitfalls and Implementation
12th January, 2019

2. Let’s understand Strategic Planning
What is Strategic Planning Why do we Plan How do we Plan1 2 3
• Defines what the Business
Stands for (Mission and
Vision)
• Defines the target areas of
interest
• Defines Business approaches
its target areas of interest
• Provides insight into resource
requirement and allocation
• Provides Focus to Business
• Identifies opportunities across
focus areas
• Identifies risks associated with
accomplishing business
mission
• Set a clear direction and stay
in your lane without
modifying your strategy every
year
• Avoid Distractions in your
Strategy by avoiding any new
initiatives
• Hedge resources through
diverse initiatives

3. Avoid Major Risks to Planning !!!
Analyzing streams
of data sources
without
actionable
intelligence in
sight
Too many people
/ Too many
iterations / Too
many approvals
Too many
initiatives – it is
overwhelming
Too many big
changes /
initiatives
resulting in poor
resource
allocation
Meagre initiatives
with incremental
contribution to
overall growth
Focusing
initiatives on only
those business
segments that are
already large and
compromising
future
Analysis
Paralysis
Cumbersome
Too Many
Initiatives
Too Big
Initiatives
Too Small
Initiatives
Starving the
Growth Segment

4. Areas of Consideration for Strategic Planning
Define the principles of strategic planning
Identify forces used to assess the market
Explain how to conduct a SWOT analysis
Articulate how to establish guiding principles and set goals
Leverage strategic filters
Describe the steps of a strategic planning process

5. Set a Direction
1. Articulate the
following:
• Mission
• Vision
• Goals
2. Define core
competencies
• What are we great at
• How can we compete
Define Strategic Filters
• These filters are
objective functions
we must achieve
• They Serve as the
evaluation criteria for
shortlisting initiatives
Defining focus areas
• Bucket the initiatives
as per impact
• Resource the initiative
accordingly
Diversify Portfolio of
initiatives
Balance to be
maintained across:
• Short term and Long
term initiatives
• Core competencies
Execute/ImplementPlan
21 3 4
Document outlining
Defined Core
Competencies
Prioritized list of initiatives
Implementation and
sequencing plan
Steps involved in a Strategic Planning Process

6. Tools for Defining a Strategic Environment – Five Forces
Supplier
Power
Threat of
New
Entrants
Buyer
Power
Threat of
Substitution
Internal
Competition
• Understand if the
market is
dominated by
vendors
• Are they in a
position to
influence pricing
• How difficult is it
for a new entrant
to join the
competition
• Understand if the
market is
dominated by
customers / clients
• Are they in a
position to dictate
pricing
• Are there any
alternative
products or
services
• Understand what
customer buy
rather than what
we sell
• How many
competitors are
there in the
market place
• Market share
distribution
• GTM strategy
• Core
Competencies
Questions that need to be asked for each of the forces

7. Tools for Defining a Strategic Environment – SWOT Analysis
STRENGTHS
• International Brand
• Supply Chain
• Sales Force
• Plant safety
• Widest range of products available in the
marketplace
OPPORTUNITIES
• Local economy and population; local market
dominance
• Trade area is sizeable
• Majority of the transactions are in physical
stores
WEAKNESSES
• Relatively recently established
• Sales performance issues and in-fighting
• High traffic leading to customers not receiving
the attention they deserve
THREATS
• Increased priced of raw materials
• Local competitors
• Stringent government regulations

8. Elements of Strategic Direction
1
3
2
4
Articulate Mission
Guiding Principles
Articulate Vision
Goals
• Why does the
organization exist
• What is its Purpose
• Where do we want to
be in what time
• What to do we want
achieve
• How do we want
people to behave
• What are lenses we
need to evaluate our
company
• Quantitative (Revenue,
Profit, Sales nos.)
metrics within defined
timeframe

9. Determining Core Competencies
• Defining Core Competencies requires clear understand of our strengths.
• Examples: Quality of Product, Ability to Innovate, Efficiency of Supply Chain, Brand Strength, Technology Infrastructure
• Once identified, we look through our initiative pipeline and map it on the below chart….
LOW
LOWHIGH
HIGH
C1
C2
PURSUE
AVOID
CONSIDER
OWN IT !!
Let’s Evaluate STARBUCKS, whose core competencies are
QUALITY (C1) and Service (C2), against following
initiatives:
1. Launch of New Holiday Coffee Drink
Since it is their product – Product Quality is HIGH
Since it will be delivered by their Baristas –Service
to deliver this is HIGH
Conclusion: OWN THIS INITIATIVE
2. Outsource coffee manufacturing and sell it through
Big Box Retailers
Since it is not their product – Product Quality is
LOW
Service is also outsourced – Service Quality is LOW
Conclusion: AVOID THIS INITIATIVE

10. Creating Strategic Filters
Step 1 Step 2
Get the Right People
• Managers
• Direct Staff
• Supporting Staff
Remember Core
Competencies
• Vision
• Mission
• Goals
• Guiding Principles
Step 3
Generate Filter
• Qualitative Filters
• Quantitative Filter
Step 4
Get Everyone in a
Meeting
Let everyone propose
what they think the
initiative evaluation
criteria should be
Bucket the Evaluation Criteria in 6-12 Filters
HARD FILTERS – If an
initiative fails to pass
through this filter then
initiative is dropped
SOFT FILTERS – These
are filters with a priority
scale that ranges from
High to Low

11. Assessing Initiative Portfolio – 2X2 Matrix
LOW
LOW
HIGH
HIGH
GROWTH(TOPLINE)
PROFIT
Priority 1
Priority 2
Priority 2
Priority 2
Once all the initiatives are passed
through the 2X2 Matrix we are able
to assess if the overall portfolio of
initiatives will deliver growth or
profit for the Business
A D F
KM
B C
GE
H I
LJ
Z
X

12. Planning Resources
Define Organization
Structure
1 2
Identify Human Resource
Needs
3
Define the Resources as per
the organization structure
against each initiative