Business and Strategic Planning

Facilitated by: Neil Johnstone

©Photos licensed to Neil Johnstone

Housekeeping

What will we cover?• The importance of having a clear strategic direction• Common problems in being strategic and how to

tackle them• The process for developing a plan• Leading the planning process• Tools and techniques to draw up and present the plan• Costing the plan and developing a sustainable

business model

• Time Keeping• Confidentiality• There’s no such thing as a silly question• Experiment and take risks – see

possibilities not limits• Respect – space and values for others• Participation – involvement/contribution• Bit of fun!

Working Together

Introductions• Who you are• What do you do• Where• For how long• Love about your job• Personal objective

©Photos licensed to Neil Johnstone

What do you already know?

Where are you going?‘Would you tell me please which way I ought to walk from here?’ said Alice to the Cat

‘That depends a good deal on where you want to get to; said the Cat

‘I don’t much care where’ said Alice

‘Then it doesn’t matter which way you walk’ said the Cat

Lewis Carroll, Alice’s Adventures in Wonderland

Vision and MissionVisions are:

Inspirational Motivational Achievable Believable Memorable

Missions are:

Specific Measurable Attainable Relevant Time bound

Determine position

•Market•External

assessment•Internal

assessment

Develop the strategy

•Priorities•Strategic

objectives•Financial

forecasting

Build the plan

•Financial planning

•Resource planning

•Golden thread

Manage performance

•Monitor –actual/forecast

•Incentives•Act•Review &

evaluation

Where are you trying to get to?

Strategic planning framework

The Golden ThreadVision

Mission

Strategic Objectives

Departmental Plans

Personal Objectives

Rarely changes

Every 5 – 10 years

Every 3 – 5 years

Every year

Every year

Fundamentally two approaches both rely on knowing your desired future state.

1. A systematic process of envisioning a desired future, and translating this vision into broadly defined goals or objectives and a sequence of steps to achieve them.

Strategic planning begins with the desired-end and works backward to the current status. At every stage of the planner asks, "What must be done at the previous (lower) stage to reach here?"

Strategic planning

Fundamentally two approaches both rely on knowing your desired future state.

2. A systematic process beginning with the current status and lays down a path to meet envisioned desired future. At every stage the planner asks, "What must be done here to reach the next (higher) stage?"

Strategic planning

Determine position

•Market•External

assessment•Internal

assessment

Develop the strategy

•Priorities•Strategic

objectives•Financial

forecasting

Build the plan

•Financial planning

•Resource planning

•Golden thread

Manage performance

•Monitor –actual/forecast

•Incentives•Act•Review &

evaluation

Where are you trying to get to?

Strategic planning framework

Shared values

Skills

Style

Systems

Strategy

Structure

Staff

Determine positionPolitical Economic

Social Technological

Legal Environmental

P.E.S.T.L.E analysis S.W.O.T analysis

Strengths Weaknesses

Opportunities Threats

External

Internal

McKinsey 7 S model

PRODUCT

PLACEPRICE

PROMOTION

Scaling – 4 steps1.Frame the questions – Where are you in terms

of achieving your future perfect state?2.On a scale from 1 – 10, where... 1 is only just

started and 10 is we’re nearly there where would you put yourself?

3.So you’re at ‘X’ - so what is it you do currently that has got you to ‘X’? What are you doing well, what are you good at…?

4.What small step could you take that would get you further up the scale?

Based on the work of Paul Z Jackson and Mark McKergow.

Planning

VISION

Mission

Objective M1

Objective M1.1

Objective M1.2Objective

2Objective

3

ValuesValue V1

Value V1.1Value V1.2

Value 2

Strategic objective

Departmental objectives KPI’s Resource needs Budget

Objectives

Strategy

Mission

Vision xyz

abc

1 2

2.1

Business Planning

© Red Ochre 2018

May be 2 versions – one for external and another for internal Content will be adapted to meet the needs of the audience External audience use it to: To understand your enterprise To take decisions Support – Fund – Partner

Internal audience use it for: Planning, prioritising, reporting, motivating, focusing,

measuring etc.

Purpose

© Red Ochre 2018

Create credibility Inspire confidence Convince reader that risk is minimal Excite the reader Inspire the reader to take action Convince the reader they will benefit from

association

Contents

© Red Ochre 2018

Statutory & regulatory information of the enterprise A summary of what the organisation does It’s vision and mission – what it aims to achieve Strategy – What it will do Organisation – How it will achieve it (operations) Capability – governance, finance, expertise, skills etc

Top tips

© Red Ochre 2018

Tell a story – inspirational, emotional etc – not boring Include an executive summary Keep the main strategic documents as short as

possible (put the detail in the appendices) Remember Aristotle – Pathos, Ethos and Logos

Appendices

© Red Ochre 2018

Financial forecasts Management & Governance Market research Stakeholder analysis Legal information Risk management Operational information Anything else the audience might find useful.

The end

Thank youPhoto - © godfer