Overview of effective strategic planning process

1. Strategic Planning Dr Stuart Hazell PhD MASM GAICD

2. Overview Management Processes Strategic Focus Vision Mission The Strategic Plan Operational Plans Staff Action & Development Plans 2

3. 3

4. What Is Strategic Planning? 4

6. Why Is EffectiveStrategic Planning important? 6

7. Changing PerformancePanbio Ltd 2002 - 2007 7

9. In Strategic Planningwe start with a Vision and MissionThe Strategic Focus dictates the nature of the Vision and Mission 9

10. Strategic FocusWhat are you trying to do? 10

11. Vision “We shall not flag or fail. We shall go on to the end. We shall fight in France. We shall fight on the seas and oceans. We shall fight with growing strength in the air. We shall defend our island, whatever the cost may be. We shall fight on the beaches. We shall fight on the landing grounds. We shall fight in the fields and in the streets. We shall fight in the hills. We shall never surrender.” 11

12. Client Company Vision What is the vision of the Client Company? 12

13. Mission "I believe that this nation should commit itself to achieving the goal, before this decade is out, of landing a man on the moon and returning him safely to the Earth." John F Kennedy 13

14. Your Mission What is the mission of the Client Company? 14

16. Strategic Planning 16

17. Analysis 17

18. Developing a Strategic Plan Know your industry and where it is going Know your business and where it wants to go SWOT Commit to looking from the outside in (research) Don’t reinforce your bias and blind spots Don’t believe your own PR Aim to consult at least 2 authoritative sources regarding key internal perceptions Break the circle (don’t do it the same way every time) The strongest voice is not always right Where do you fit Barriers to entry and cost of entry Look at the gulf between where you are and where you want to be (Gap Analysis) 18

19. SWOT 19 Operational Issues Strategic Issues Strength Opportunity Weakness Threat

20. Developing a Strategic Plan A Strategic Plan is an Outward Looking Document Linked to the actionsthose who will determine your success – your Stakeholders From the Stakeholders you need to select your Strategic Partners Note: Your Strategic Partner may not know you need them to be on your side! 20

21. Developing a Strategic Plan How do you identify Stakeholders? They have a claim They can influence your success (positively and negatively) 21

23. Distributors

24. Opinion leaders

25. Competitors

26. Potential acquirer

27. Other funding body22

28. Developing a Strategic Plan How do you identify the Stakeholders you should address first? Power Legitimacy Urgency Saliency PLUS 23

29. Developing a Strategic Plan Power Urgency Dangerous Stakeholder Demanding Stakeholder Dormant Stakeholder Definitive Stakeholder Dominant Stakeholder Dependent Stakeholder Non-Stakeholder Discretionary Stakeholder Legitimacy Ref: Mitchell et al. Academy of Management Review 1997: 22; 853 24

31. Determine Your Success

32. Can’t be ignored

33. Are your Strategic Partners

34. Have wants andneeds that can and should be addressed

35. Their wants and needs can be leveraged to address your wants and needs25

36. Wants & Needs Assessment 26

37. Strategic Partner Strategy Reliable supply Trading terms Exclusivity Product training Marketing support Value for customers Profit Price Technical support Profit Market intelligence Price New product ideas Revenue growth Trading terms Forecasts Improved sales of slow moving lines Stock levels Distributor You 27

38. 28

39. Strategic Partner Strategy - Distributor 29

40. Strategic Plan Remember, not doing something or stopping an activity can be as an important outcome as planning a new action. 30

41. Developing a Strategic Plan When you have the Strategic Plan Set: Targets and timelines Accountability KPIs Review framework 31

42. Process So Far Strategic Plan – Driven by Vision & Mission Grounded in solid intelligence and real work Developed by the CEO with support of staff and approved by the Board (months) Owned by all the people in the company. The Strategic Plan may redefine the Vision and Mission. 32

43. When you have a Strategic Plan Push it down 33

44. Operational Plans The operational plan is in essence the actions that will improve the efficiency and performance of the business internally while serving the strategic objectives of the organisation. 34

46. Operational Plans Sales and Marketing have carriage of the strategic plan with respect to driving the key goals related to the Strategic Partner - Distributor Elements of a Marketing Operational Plan 36

48. Vision Mission Strategic Plan Unit Operational Plan Unit Operational Plan Individual Performance Goals Individual Performance Goals Performance Linkage 38

49. Suggested Reading Good to Great – Jim Collins (Harper Business) Strategic Planning – George Steiner (Free Press Paperbacks) Sure-Fire Steps to Small Business Success – Graham Kenny (President Press) 39

50. Conclusion Once a departmental operational plan has been developed, individuals need to be held accountable. Everyone needs to know who is going to do what and that all actions are a critical element of the whole. The Strategic Plan and the Operational Plans form part of one document owned by the company. 40

51. Helping develop your LIFE SCIENCE business www.fusidium.com