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© 2011 Berlin Asong. All rights reserved.   2
© 2011 Berlin Asong. All rights reserved.   3
© 2011 Berlin Asong. All rights reserved.   4
© 2011 Berlin Asong. All rights reserved.   5
© 2011 Berlin Asong. All rights reserved.   6
?Planning
Strategic

© 2011 Berlin Asong. All rights reserved.   7
A process in which a firm
defines its long-term goals; and defines
      a strategy to achieve them.

© 2011 Berlin Asong. All rights reserved.   8
Corporate Plan



     Business units Plan



         Functional Plan



        Other sub-plans


© 2011 Berlin Asong. All rights reserved.   9
© 2011 Berlin Asong. All rights reserved.   10
Mission


                                                  Vision


                                            Goals | Objectives


                                            Strategic Analysis

                                             Strategic Choices

                                                Strategy
                                             Implementation

                                             Strategy Control


                                            Strategy Evaluation



© 2011 Berlin Asong. All rights reserved.                         11
Mission

                                                  Vision

                                            Goals | Objectives

                                            Strategic Analysis

                                             Strategic Choices

                                                Strategy
                                             Implementation

                                             Strategy Control

                                            Strategy Evaluation



© 2011 Berlin Asong. All rights reserved.                         12
purpose
of an organisation.
 © 2011 Berlin Asong. All rights reserved.   13
“


    © 2011 Berlin Asong. All rights reserved.   14
© 2011 Berlin Asong. All rights reserved.   15
“To help people around &
businesses throughout the world
   realise their full potential”
 © 2011 Berlin Asong. All rights reserved.   16
What do these three mission
statements have in common?
© 2011 Berlin Asong. All rights reserved.   17
1




   benefit
                                            Each renders a




     humanity               to                               .


© 2011 Berlin Asong. All rights reserved.                        18
2




                                            Each has a


brand identity.
© 2011 Berlin Asong. All rights reserved.                19
3




                                            Each has a


     purpose                                             .


© 2011 Berlin Asong. All rights reserved.                    20
© 2011 Berlin Asong. All rights reserved.   21
1




Source of inspiration
                   As a review tool in times of corporate crisis


© 2011 Berlin Asong. All rights reserved.                          22
“To inspire and nurture the human
 spirit— one person, one cup, and
   one neighborhood at a time.”
 © 2011 Berlin Asong. All rights reserved.   23
“…to lower the cost of
     living for everyone.”
© 2011 Berlin Asong. All rights reserved.   24
2




© 2011 Berlin Asong. All rights reserved.   25
© 2011 Berlin Asong. All rights reserved.   26
1




            Negligence
© 2011 Berlin Asong. All rights reserved.   27
2




                 Ignorance
© 2011 Berlin Asong. All rights reserved.   28
3




  MS does not guarantee
organisational effectiveness.
© 2011 Berlin Asong. All rights reserved.   29
Mission

                                                  Vision

                                            Goals | Objectives

                                            Strategic Analysis

                                             Strategic Choices

                                                Strategy
                                             Implementation

                                             Strategy Control

                                            Strategy Evaluation



© 2011 Berlin Asong. All rights reserved.                         30
… it’s about what the firm
wants to become.
© 2011 Berlin Asong. All rights reserved.          31
“In a world where complexity increasingly touches every aspect of our daily lives,
 we will lead in bringing sense
and simplicity to people .”
 © 2011 Berlin Asong. All rights reserved.                                    32
“To be the most creative
    organisation in the world.”
© 2011 Berlin Asong. All rights reserved.   33
“To build artificial intelligence search-
engines so powerful they would understand
  exactly everything that the user needs.”
© 2011 Berlin Asong. All rights reserved.   34
What do these three vision
statements have in common?
© 2011 Berlin Asong. All rights reserved.   35
1




                        It’s futuristic
© 2011 Berlin Asong. All rights reserved.   36
2




They are bold &                             ambitious.
© 2011 Berlin Asong. All rights reserved.           37
2




                 They are directional
  & have a long-term focus.

© 2011 Berlin Asong. All rights reserved.   38
Mission

                                                  Vision

                                            Goals | Objectives

                                            Strategic Analysis

                                             Strategic Choices

                                                Strategy
                                             Implementation

                                             Strategy Control

                                            Strategy Evaluation



© 2011 Berlin Asong. All rights reserved.                         39
SPECIFIC
                  future states
                  the firm wants to attain.

© 2011 Berlin Asong. All rights reserved.     40
Sales revenues
                                             Earnings
                                            Dividends
                                        Rising stock price
                                            Cash flow
                                             Costs cut
© 2011 Berlin Asong. All rights reserved.                    41
Mary Coulter, (2010) “Strategic Management in Action”
© 2011 Berlin Asong. All rights reserved.                                                     42
© 2011 Berlin Asong. All rights reserved.   43
SMART
                                            Strive for



                                       goals/objectives.


© 2011 Berlin Asong. All rights reserved.                  44
© 2011 Berlin Asong. All rights reserved.   45
Mission

                                                  Vision

                                            Goals | Objectives

                                            Strategic Analysis

                                             Strategic Choices

                                                Strategy
                                             Implementation

                                             Strategy Control

                                            Strategy Evaluation



© 2011 Berlin Asong. All rights reserved.                         46
Scanning and evaluating
the state of the firm’s internal and external environments.



© 2011 Berlin Asong. All rights reserved.               47
Internal Audit
                               Organisation
                                              Markets:




                                                            External Audit
                                              Consumers |
                                              Competitors
                                              Industry

                                              Macro-
                                              environment




© 2011 Berlin Asong. All rights reserved.                                    48
Mission


                                                  Vision


                                            Goals | Objectives


                                             Strategic Analysis


                                             Strategic Choices


                                                Strategic
                                             Implementation

                                            Strategic Evaluation



© 2011 Berlin Asong. All rights reserved.                          49
Formulate strategic choices            Strategy Selection




© 2011 Berlin Asong. All rights reserved.                        50
Mission

                                                  Vision

                                            Goals | Objectives

                                            Strategic Analysis

                                             Strategic Choices

                                                Strategy
                                             Implementation

                                             Strategy Control

                                            Strategy Evaluation



© 2011 Berlin Asong. All rights reserved.                         51
Why could it be said that strategy
  implementation is often the most difficult
stage in the strategic-management process?

 © 2011 Berlin Asong. All rights reserved.   52
People                         Leadership        Culture
     Business Environment                   Support Systems   Structure
© 2011 Berlin Asong. All rights reserved.                                 53
Mission

                                                  Vision

                                            Goals | Objectives

                                             Strategic Analysis

                                             Strategic Choices

                                                Strategic
                                             Implementation

                                             Strategy Control

                                            Strategic Evaluation



© 2011 Berlin Asong. All rights reserved.                          54
Measures aimed at
        keeping goals & strategy
              are on track.
© 2011 Berlin Asong. All rights reserved.   55
Established goals, targets,
      policies, expectations, etc.
© 2011 Berlin Asong. All rights reserved.   56
Standards                                        Standards                  Standards




Ethics standards                    Cultural standards     Sales standards   Profit standards

 © 2011 Berlin Asong. All rights reserved.                                                57
Mission

                                                  Vision

                                            Goals | Objectives

                                             Strategic Analysis

                                             Strategic Choices

                                                Strategic
                                             Implementation

                                             Strategy Control

                                            Strategic Evaluation



© 2011 Berlin Asong. All rights reserved.                          58
Sales revenue | Market share
                                               Net profit
                                          Operating cash flow
                                           Earnings per share
                                     Return on shareholder equity
                                                 ROCE
                                                  etc.
© 2011 Berlin Asong. All rights reserved.                           59
Customer & employee satisfaction
                             Organisation learning
                                   Reputation
                Relationship with suppliers & other stakeholders
                                      etc.

© 2011 Berlin Asong. All rights reserved.                          60
© 2011 Berlin Asong. All rights reserved.   61
© 2011 Berlin Asong. All rights reserved.   62
1

             The process is information driven—could improve the


                          quality                   of


                         strategic
                         decisions.
    © 2011 Berlin Asong. All rights reserved.                      63
The analytical aspect of the process could improve the


                      quality                     of


                     strategic
                     decisions.
© 2011 Berlin Asong. All rights reserved.                         64
2




                            Improved
                           managerial
                           knowledge
                                                of business environment.
    © 2011 Berlin Asong. All rights reserved.                              65
3




                                Strategy is known in advance; critical

        resources could be
          made available
                                                for implementing strategy.

    © 2011 Berlin Asong. All rights reserved.                                66
4




                                better          Firm is


                             prepared
    to confront market risks; to exploit market opportunities.

    © 2011 Berlin Asong. All rights reserved.               67
5




                     sales
            Could lead to improved              and


               profitability                     .


    © 2011 Berlin Asong. All rights reserved.         68
To improve the
                          effectiveness of
                           management.

© 2011 Berlin Asong. All rights reserved.    69
© 2011 Berlin Asong. All rights reserved.   70
1




    © 2011 Berlin Asong. All rights reserved.   71
2




                                                The quality of

     information                   that guide strategic decisions.

    © 2011 Berlin Asong. All rights reserved.                        72
3




                                    The speed of environmental



    changes                                                           .

    © 2011 Berlin Asong. All rights reserved.                    73
Out sync                            of   with



        reality
© 2011 Berlin Asong. All rights reserved.               74
Strategic planning
                becomes a frequent,
                 on-going activity.
© 2011 Berlin Asong. All rights reserved.   75
4




                                                It might hinder


      flexibility                                                 .


    © 2011 Berlin Asong. All rights reserved.                     76
5




                                                It might hinder


      creativity                                                  .


    © 2011 Berlin Asong. All rights reserved.                     77
6




     Not involving lower-levels
    staff into the process could
          trigger resistance.
    © 2011 Berlin Asong. All rights reserved.   78
7




                           It presumes the absence of strategy



                 failure                                         .

    © 2011 Berlin Asong. All rights reserved.                        79
It presumes future
   market forces are constant.
© 2011 Berlin Asong. All rights reserved.   80
What guarantees a marketing strategy
   crafted in 2010 is the right strategy for the
               company in 2013?


                  For example, the strategy for meeting our
                           2011-2015 goals.
© 2011 Berlin Asong. All rights reserved.                     81
© 2011 Berlin Asong. All rights reserved.   82
© 2011 Berlin Asong. All rights reserved.   83
© 2011 Berlin Asong. All rights reserved.   84
Confident
© 2011 Berlin Asong. All rights reserved.   85
Highly
             Predictable
© 2011 Berlin Asong. All rights reserved.   86
Longer
© 2011 Berlin Asong. All rights reserved.      87
High
© 2011 Berlin Asong. All rights reserved.          88
Top Execs
© 2011 Berlin Asong. All rights reserved.   89
© 2011 Berlin Asong. All rights reserved.   90
© 2011 Berlin Asong. All rights reserved.   91
Uncertainty
© 2011 Berlin Asong. All rights reserved.   92
Less
             Predictable
© 2011 Berlin Asong. All rights reserved.   93
Shorter
© 2011 Berlin Asong. All rights reserved.   94
Short
© 2011 Berlin Asong. All rights reserved.       95
Cross-functional teams


© 2011 Berlin Asong. All rights reserved.   96
© 2011 Berlin Asong. All rights reserved.   97
© 2011 Berlin Asong. All rights reserved.   98
Corporate Plan



    Business units Plan



        Functional Plan



       Other sub-plans


© 2011 Berlin Asong. All rights reserved.   99
© 2011 Berlin Asong. All rights reserved.   100
© 2011 Berlin Asong. All rights reserved.   101
© 2011 Berlin Asong. All rights reserved.   102
© 2011 Berlin Asong. All rights reserved.   103

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Strategic Planning

  • 1.
  • 2. © 2011 Berlin Asong. All rights reserved. 2
  • 3. © 2011 Berlin Asong. All rights reserved. 3
  • 4. © 2011 Berlin Asong. All rights reserved. 4
  • 5. © 2011 Berlin Asong. All rights reserved. 5
  • 6. © 2011 Berlin Asong. All rights reserved. 6
  • 7. ?Planning Strategic © 2011 Berlin Asong. All rights reserved. 7
  • 8. A process in which a firm defines its long-term goals; and defines a strategy to achieve them. © 2011 Berlin Asong. All rights reserved. 8
  • 9. Corporate Plan Business units Plan Functional Plan Other sub-plans © 2011 Berlin Asong. All rights reserved. 9
  • 10. © 2011 Berlin Asong. All rights reserved. 10
  • 11. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategy Implementation Strategy Control Strategy Evaluation © 2011 Berlin Asong. All rights reserved. 11
  • 12. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategy Implementation Strategy Control Strategy Evaluation © 2011 Berlin Asong. All rights reserved. 12
  • 13. purpose of an organisation. © 2011 Berlin Asong. All rights reserved. 13
  • 14. © 2011 Berlin Asong. All rights reserved. 14
  • 15. © 2011 Berlin Asong. All rights reserved. 15
  • 16. “To help people around & businesses throughout the world realise their full potential” © 2011 Berlin Asong. All rights reserved. 16
  • 17. What do these three mission statements have in common? © 2011 Berlin Asong. All rights reserved. 17
  • 18. 1 benefit Each renders a humanity to . © 2011 Berlin Asong. All rights reserved. 18
  • 19. 2 Each has a brand identity. © 2011 Berlin Asong. All rights reserved. 19
  • 20. 3 Each has a purpose . © 2011 Berlin Asong. All rights reserved. 20
  • 21. © 2011 Berlin Asong. All rights reserved. 21
  • 22. 1 Source of inspiration As a review tool in times of corporate crisis © 2011 Berlin Asong. All rights reserved. 22
  • 23. “To inspire and nurture the human spirit— one person, one cup, and one neighborhood at a time.” © 2011 Berlin Asong. All rights reserved. 23
  • 24. “…to lower the cost of living for everyone.” © 2011 Berlin Asong. All rights reserved. 24
  • 25. 2 © 2011 Berlin Asong. All rights reserved. 25
  • 26. © 2011 Berlin Asong. All rights reserved. 26
  • 27. 1 Negligence © 2011 Berlin Asong. All rights reserved. 27
  • 28. 2 Ignorance © 2011 Berlin Asong. All rights reserved. 28
  • 29. 3 MS does not guarantee organisational effectiveness. © 2011 Berlin Asong. All rights reserved. 29
  • 30. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategy Implementation Strategy Control Strategy Evaluation © 2011 Berlin Asong. All rights reserved. 30
  • 31. … it’s about what the firm wants to become. © 2011 Berlin Asong. All rights reserved. 31
  • 32. “In a world where complexity increasingly touches every aspect of our daily lives, we will lead in bringing sense and simplicity to people .” © 2011 Berlin Asong. All rights reserved. 32
  • 33. “To be the most creative organisation in the world.” © 2011 Berlin Asong. All rights reserved. 33
  • 34. “To build artificial intelligence search- engines so powerful they would understand exactly everything that the user needs.” © 2011 Berlin Asong. All rights reserved. 34
  • 35. What do these three vision statements have in common? © 2011 Berlin Asong. All rights reserved. 35
  • 36. 1 It’s futuristic © 2011 Berlin Asong. All rights reserved. 36
  • 37. 2 They are bold & ambitious. © 2011 Berlin Asong. All rights reserved. 37
  • 38. 2 They are directional & have a long-term focus. © 2011 Berlin Asong. All rights reserved. 38
  • 39. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategy Implementation Strategy Control Strategy Evaluation © 2011 Berlin Asong. All rights reserved. 39
  • 40. SPECIFIC future states the firm wants to attain. © 2011 Berlin Asong. All rights reserved. 40
  • 41. Sales revenues Earnings Dividends Rising stock price Cash flow Costs cut © 2011 Berlin Asong. All rights reserved. 41
  • 42. Mary Coulter, (2010) “Strategic Management in Action” © 2011 Berlin Asong. All rights reserved. 42
  • 43. © 2011 Berlin Asong. All rights reserved. 43
  • 44. SMART Strive for goals/objectives. © 2011 Berlin Asong. All rights reserved. 44
  • 45. © 2011 Berlin Asong. All rights reserved. 45
  • 46. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategy Implementation Strategy Control Strategy Evaluation © 2011 Berlin Asong. All rights reserved. 46
  • 47. Scanning and evaluating the state of the firm’s internal and external environments. © 2011 Berlin Asong. All rights reserved. 47
  • 48. Internal Audit Organisation Markets: External Audit Consumers | Competitors Industry Macro- environment © 2011 Berlin Asong. All rights reserved. 48
  • 49. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategic Implementation Strategic Evaluation © 2011 Berlin Asong. All rights reserved. 49
  • 50. Formulate strategic choices Strategy Selection © 2011 Berlin Asong. All rights reserved. 50
  • 51. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategy Implementation Strategy Control Strategy Evaluation © 2011 Berlin Asong. All rights reserved. 51
  • 52. Why could it be said that strategy implementation is often the most difficult stage in the strategic-management process? © 2011 Berlin Asong. All rights reserved. 52
  • 53. People Leadership Culture Business Environment Support Systems Structure © 2011 Berlin Asong. All rights reserved. 53
  • 54. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategic Implementation Strategy Control Strategic Evaluation © 2011 Berlin Asong. All rights reserved. 54
  • 55. Measures aimed at keeping goals & strategy are on track. © 2011 Berlin Asong. All rights reserved. 55
  • 56. Established goals, targets, policies, expectations, etc. © 2011 Berlin Asong. All rights reserved. 56
  • 57. Standards Standards Standards Ethics standards Cultural standards Sales standards Profit standards © 2011 Berlin Asong. All rights reserved. 57
  • 58. Mission Vision Goals | Objectives Strategic Analysis Strategic Choices Strategic Implementation Strategy Control Strategic Evaluation © 2011 Berlin Asong. All rights reserved. 58
  • 59. Sales revenue | Market share Net profit Operating cash flow Earnings per share Return on shareholder equity ROCE etc. © 2011 Berlin Asong. All rights reserved. 59
  • 60. Customer & employee satisfaction Organisation learning Reputation Relationship with suppliers & other stakeholders etc. © 2011 Berlin Asong. All rights reserved. 60
  • 61. © 2011 Berlin Asong. All rights reserved. 61
  • 62. © 2011 Berlin Asong. All rights reserved. 62
  • 63. 1 The process is information driven—could improve the quality of strategic decisions. © 2011 Berlin Asong. All rights reserved. 63
  • 64. The analytical aspect of the process could improve the quality of strategic decisions. © 2011 Berlin Asong. All rights reserved. 64
  • 65. 2 Improved managerial knowledge of business environment. © 2011 Berlin Asong. All rights reserved. 65
  • 66. 3 Strategy is known in advance; critical resources could be made available for implementing strategy. © 2011 Berlin Asong. All rights reserved. 66
  • 67. 4 better Firm is prepared to confront market risks; to exploit market opportunities. © 2011 Berlin Asong. All rights reserved. 67
  • 68. 5 sales Could lead to improved and profitability . © 2011 Berlin Asong. All rights reserved. 68
  • 69. To improve the effectiveness of management. © 2011 Berlin Asong. All rights reserved. 69
  • 70. © 2011 Berlin Asong. All rights reserved. 70
  • 71. 1 © 2011 Berlin Asong. All rights reserved. 71
  • 72. 2 The quality of information that guide strategic decisions. © 2011 Berlin Asong. All rights reserved. 72
  • 73. 3 The speed of environmental changes . © 2011 Berlin Asong. All rights reserved. 73
  • 74. Out sync of with reality © 2011 Berlin Asong. All rights reserved. 74
  • 75. Strategic planning becomes a frequent, on-going activity. © 2011 Berlin Asong. All rights reserved. 75
  • 76. 4 It might hinder flexibility . © 2011 Berlin Asong. All rights reserved. 76
  • 77. 5 It might hinder creativity . © 2011 Berlin Asong. All rights reserved. 77
  • 78. 6 Not involving lower-levels staff into the process could trigger resistance. © 2011 Berlin Asong. All rights reserved. 78
  • 79. 7 It presumes the absence of strategy failure . © 2011 Berlin Asong. All rights reserved. 79
  • 80. It presumes future market forces are constant. © 2011 Berlin Asong. All rights reserved. 80
  • 81. What guarantees a marketing strategy crafted in 2010 is the right strategy for the company in 2013? For example, the strategy for meeting our 2011-2015 goals. © 2011 Berlin Asong. All rights reserved. 81
  • 82. © 2011 Berlin Asong. All rights reserved. 82
  • 83. © 2011 Berlin Asong. All rights reserved. 83
  • 84. © 2011 Berlin Asong. All rights reserved. 84
  • 85. Confident © 2011 Berlin Asong. All rights reserved. 85
  • 86. Highly Predictable © 2011 Berlin Asong. All rights reserved. 86
  • 87. Longer © 2011 Berlin Asong. All rights reserved. 87
  • 88. High © 2011 Berlin Asong. All rights reserved. 88
  • 89. Top Execs © 2011 Berlin Asong. All rights reserved. 89
  • 90. © 2011 Berlin Asong. All rights reserved. 90
  • 91. © 2011 Berlin Asong. All rights reserved. 91
  • 92. Uncertainty © 2011 Berlin Asong. All rights reserved. 92
  • 93. Less Predictable © 2011 Berlin Asong. All rights reserved. 93
  • 94. Shorter © 2011 Berlin Asong. All rights reserved. 94
  • 95. Short © 2011 Berlin Asong. All rights reserved. 95
  • 96. Cross-functional teams © 2011 Berlin Asong. All rights reserved. 96
  • 97. © 2011 Berlin Asong. All rights reserved. 97
  • 98. © 2011 Berlin Asong. All rights reserved. 98
  • 99. Corporate Plan Business units Plan Functional Plan Other sub-plans © 2011 Berlin Asong. All rights reserved. 99
  • 100. © 2011 Berlin Asong. All rights reserved. 100
  • 101. © 2011 Berlin Asong. All rights reserved. 101
  • 102. © 2011 Berlin Asong. All rights reserved. 102
  • 103. © 2011 Berlin Asong. All rights reserved. 103
  • 104. © 2011 Berlin Asong. All rights reserved. 104