Strategic planning is important

Without a strategic plan a company may experience difficulty with keeping on track with their plans, goals, and responsibilities; making it hard to be successful” (Mitarica, 2018) That is so true and a rather important part for any company to be aware of and vital to the success of the company. The components of the strategic planning you mentioned the different components but you left out the meanings of the components. What is a mission, a vision, objectives, strategies, and actions plan? Why are these pieces important? I like that you mentioned that the components together can lead to a smoother transition to success in reaching goals for the organization. For example, I would have included that a mission statement is a formal summary of the aims and values of a company, organization, or individual. (dicitionary.com) “Mission statements demonstrates the organizations values to both their employee and the general public, simply stating the company’s desire to be the best in the field and or product” (Weibezahn, 2017) An example of a mission statement would be maybe providing a mission statement of your favorite company. I agree that the differences in the single and multi- business strategic planning should be viewed at what the need is of the company/companies. Smaller business strategic planning could be very informal where are meeting with the intricate people managers and maybe owner and literally having an agreement of the plan, versus a multi-business company having to communicate on a wider spectrum because there are different locations, stockholders, CEOs, managers, etc. Single businesses or smaller businesses strategic planning would probably be less formal, the president and a handful of managers would get together frequently to resolve strategic issues and outline their next steps without elaboration or formalized planning system. (Lorange, Vancil, 1975). Whereas a multi-business or larger, diversified corporations offer a different setting for planning. Multi-businesses would probably have a product or marketing division that would include responsible managers whom are analyzing, planning, and executing steps strategically with prior mistakes within the different locations to see what works and what doesn’t work to accomplish a goal for success for each business.

Strategic planning is important to a company because it sets direction and priorities, gets everyone on the same page, simplifies decision-making, and serves as a communication guide to everyone involved (Wilkison, 2011) A practical example would be a company providing their employees with their annual reviews, and within that review they are given the goals, what they obtained and where they may have missed the goals. While getting that information the company also communicates the goals in which they will implement to strive towards obtaining the goal in the future. Throughout your discussion is was the same things really good information that provides the definition of the headings/questions but nothing to support the information given. Another example would be the listing of the components of a strategic plan and explaining the importance of each component. The first thing you mentioned was the mission which is great, you provided what the mission involves and answers but do not provide the importance of the mission to a company. “Mission statements demonstrates the organizations values to both their employee and the general public, simply stating the company’s desire to be the best in the field and or product” (Weibezahn, 2017) An example of a mission statement would be maybe providing a mission statement of your favorite company.

References:

Lorange, P., Vancil, R.F., (1975) Strategic Planning in Diversified Companies

Weibezahn, L., (2017) What is a Company Mission Statement and Why is it Important? Retrieved by: http://www.freemanagementresources.com

Wilkinson, M., (2011) Why You Need a Plan: 5 Good Reasons Retrieved by: http://www.freemanagementresources.com