The Strategic Planning Process  
Submitted by: Darlene Janulis

The essence of strategic planning is managing uncertainty instead of becoming the unwitting victim of it.  It means looking ahead and managing future risks. Strategic planning involves thinking beyond day-to-day routine activities, operational processes and small-scale changes, and enables you to develop a framework to think purposefully about the future.

There is an old, but true, saying: “If you don’t know where you’re going, any road will get you there”.  Strategic planning is the organization’s way of choosing its destination, charting the route and deciding the resources that will needed along the way.

A strategic plan should:

• Serve as a framework for decisions or for securing support and approvals;
• Provide a basis for more detailed action plans;
• Define the organization to inform, motivate and involve others;
• Assist benchmarking and performance monitoring activities;
• Stimulate positive change; and,
• Become a building block for the next plan.

The strategic plan should not be confused with a business plan, operational plan or capital plan.  The strategic plan is visionary, conceptual and directional. In contrast, operational, business or capital plans are shorter term, tactical, actionable and measurable.  The strategic plan must be realistic and attainable as to allow its leaders and managers to think strategically and act operationally.  The plan should represent a common sense consensus on the future vision, roles and focus areas for action to be pursued over a three, five and perhaps even a ten year period.

A stakeholder information process must be in place to provide assessment on the activities that move the strategic plan forward. Leadership needs to see a balanced picture and receive information in a user-friendly way. 

Many assessment programs can break down. Why?  One reason is because stakeholders that who supply the feedback are not engaged in the action planning and problem solving based on that feedback.  When feedback is provided; action is needed!  A catalyst, such as an outside consultant, can often bring energy, expertise, and perspective to the problem-solving process.  If problems are not solved based on feedback, people can become disillusioned with the strategic plan because their expectations are not met. 

In his book “Principle-Centered Leadership”, Stephen R. Covey lists the eight steps that the classic problem-solving process involves.  They are:

1. Gather data
2. Diagnose data
3. Select and prioritize your objectives
4. Create and analyze alternatives
5. Select one of them (make a decision)
6. Plan the action steps to carry out that decision
7. Implement the plan
8. Study the results against the objectives

After you complete these eight steps, repeat the process.

If you set up sound stakeholder information systems, you gradually create a powerful win-win culture to guide your successful strategic plan.

Umbaugh has assisted numerous clients in their strategic planning process.  If we can provide any assistance or further information, please contact us at footnotes@umbaugh.com.