Business planning in different environment - Entrepreneurial level Business planning – Multistage wealth creation model for entrepreneurs – Planning for large and diversified companies

1. Entrepreneurship and Strategy Making
MBA Programme – BIET, DavangereProf. Vijay K S
Unit – 5 Part “A”

2. Strategic Management
18MBA25
As Per the VTU Syllabus
MBA Programme – BIET, DavangereProf. Vijay K S
Unit – 5 Part “A”

3. The key
differences
between
strategic
planning and
business
planning
 Strategic Plans:
 A strategic plan is an overarching plan that sets the
strategic direction of the organisation.
 A strategic plan is primarily used as an internal planning
tool, although it may be shared with users or external
stake holders. It can be used to motivate, inspire and
lead staff and volunteers, and to communicate the
future direction of the organization to users and funders.
 A strategic plan can therefore lend itself to a range of
presentation formats. Organisations can choose the
format that best reflects their culture and approach.
 A strategic plan can provide a basis for more detailed
planning including business plans, marketing strategies
and funding strategies.

4. The key
differences
between
strategic
planning and
business
planning
 Business Plans:
 A business plan is an externally focused document that
provides more detailed information on the proposed
development of an organisation, and is likely to be
shared with potential investors - funding bodies for the
voluntary and community sector.
 A business plan will usually include more detailed
information on the financial position of the organisation,
financial forecasts, and competitor and market analysis.
 A business plan is more formal and detailed in its
structure and contents.
 It may be more difficult to present the level of detail
required within a business plan in a pictorial format, for
example.

5. Strategic Planning Business Planning
Develop organization in responses to
Opportunities and threats
Articulate a strategy
Define programme model
Confirm a need for a change to the
business model
Determine a means to increase mission
impact
Test the economic logic and operational
feasibility of a proposed decision or
response
Test and elaborate the core elements of a
strategy
Show how the programme would be
economically and operationally feasible
Describe how and why the new business
model is going to succeed
Test the assumption that proves the
change is feasible

6. Business Plan
A business plan is an externally focused document
that provides more detailed information on the
proposed development of an organisation, and is
likely to be shared with potential investors -
funding bodies for the voluntary and community
sector.

7. Business Plan
A business plan will usually include more detailed
information on the financial position of the organisation,
financial forecasts, and competitor and market analysis.
A business plan is more formal and detailed in its structure
and contents.
It may be more difficult to present the level of detail
required within a business plan in a pictorial format, for
example.

8. Purpose of
Business
Planning
Provides clarity of thought and purpose
It introduces business Model
Introduces the company and the team
Attempts to persuade the investors
Highlights the risks and challenges
Services as an entry point for further discussion

9. Entrepreneurial
Level Business
planning
A business owner has to choose a model of planning, such
as strategic planning, that will guide the entire business.
Planning is about setting goals that can be timed and
measured to determine if a company meets the desired
level of performance.
Without a strategic plan, a business owner will make more
reactive decisions in response to the market.
With a strategic plan, all of the firm's employees will know
what direction to take.

10. Multi stage
wealth creation
model for
entrepreneurs
Entrepreneur
 Resource capabilities , Values/beliefs , Characteristics
 Networks
Environment
 Dynamism
 Heterogeneity
Strategic Orientation
 Risk taking Innovation, Pro activeness, Autonomy

11. Planning for Large and
Diversified companies

12. Planning for
Large and
Diversified
companies
Planning in Small company V/S Large
and diversified companies

13. Planning for
Large and
Diversified
companies
Large and diversified companies
- Formal
- Decentralized
- Levels of Strategy
- Corporate (Head Quarter)
- Business (Division)
- Functional (Department)

14. Planning for
Large and
Diversified
companies
Large and diversified companies
- Formal
- Decentralized
- Levels of Strategy
- Corporate (Head Quarter)
- Business (Division)
- Functional (Department)