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APRIL 06, But have they produced a plan with a strategy? At the start of my public seminars on strategic planning I ask attendees, who rank from board members and CEOs to middle management, to write down an example of a strategy on a sheet of paper. They look at me quizzically at first as they realize that this is a tough assignment.

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APRIL 06, But have they produced a plan with a strategy? At the start of my public seminars on strategic planning I ask attendees, who rank from board members and CEOs to middle management, to write down an example of a strategy on a sheet of paper.

They look at me quizzically at first as they realize that this is a tough assignment. I reassure them that this is indeed a hard question and they plow ahead. The results are always astonishing to me and them. Sorry folks, but not even one of these responses is a strategy.

Why this confusion? The problem starts with the word itself — a scarily misunderstood concept in management and board circles. Grasp this, I tell my audience, and your day will be well spent. CEOs have an advantage here because only they have a total view of the organization. What exactly is positioning? An organization exists as part of a system composed of transactions between itself and its key stakeholders such as customers, employees, suppliers and shareholders.

A strategy serves an objective by providing a position on the relevant strategic factors — in this case for customers. Now to ensure implementation, a strategic planning team must identify some project- or program-level actions. Periodic special offerings to spur customer interest. You can envision the high-level actions that might follow such as: Design a training program for all staff in made-to-order food handling procedures. Each key stakeholder group is taken in turn to work out what an organization wants from it an objective and what the key stakeholder wants from it strategic factors — for example, customers want effective performance on factors such as price and customer service.

This will be conditioned, of course, by customer research. Having done this, key stakeholder by key stakeholder, the next step is to ensure congruence — a fit between employee relations and customer relations, customer relations and supplier relations, and so on — system design. My experience in working with clients over many years is that executive teams fail to approach strategic planning from a system-design perspective.

A major cause of this is that managers within these teams approach the task from their own functional-management view, e. Strategic planning is a journey, not a project. Plans require on-going. Yes, kick-start yours with a two-day retreat. But never end it there. Graham Kenny is managing director of Strategic Factors, a Sydney-based. Leave a Comment. Post Comment. Krzysztof Cembrowski. Valuable points. Thank you for naming them and providing well laid distinction.

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