STRATEGIC PLANNING PROCESS

Strategic Planning Process



Strategic Planning Process

Introduction

Strategic planning is long-term planning that takes into account the internal and external variables and identifies sectors and market segments and targeted method of competition. Strategic planning is the process of rolling is updated every year to study the external and internal developments (Mintzberg, Lample, Quinn & Ghoshal 2009). Planning of activities is the most important function of management. This issue is devoted to leading experts, dealing with management in the service sector and others, like in the fast food chain of Kentucky Fried Chicken (David, 2009).

Process and Dimension in Strategic Planning

Carry out the formulation and solution of strategic tasks recommended in stages. Each stage can be characterized by a certain order of the business activity.

At the initial stage of strategic planning involves conceptualization of organizational policy of a package of operational policies for an extended period.

The second stage is based on the programming effects. Crucial to develop activities that integrate economic, social, economic, and organizational and other areas may have targeted the problematic programs focused on achieving goals.

The third stage involves developing a set of regulatory actions, ensure implementation of identified activities (Andrews 2008).

The most important stage of strategic planning is a situational analysis, including collection and evaluation of an extensive database that characterizes the current situation. (Chandler, 2009).

Diagnosis of the Microenvironment

Although the macro forces affecting the operations of all businesses in general, a more specific group of forces and powerfully affect directly influence strategic planning of the activities of the organization (Mintzberg, Lample, Quinn & Ghoshal 2009). For the analysis of the microenvironment of the company, we can use the five forces proposed by Professor Michael Porter of Harvard University.

Threat of new entrants

Rivalry among existing competitors

Threat of substitute products or services

Bargaining power of customers

Bargaining power of suppliers

These ...