Strategic Management & Planning. William Brown Bush School of Government & Public Service Texas A&M University

Transcription

1 Strategic Management & Planning William Brown Bush School of Government & Public Service Texas A&M University

2 Outline Strategic Management Cycle Vision Sketch Activity Review planning process Matrix Map exercise Components of strategic plan Case discussion Salvation or Soothsaying

3 Learning Outcomes Enhanced capacity to think strategically Understand and apply planning processes Understand the strengths and weaknesses of planning Integrate strategic plan components

4 What is Strategic Management? Effective positioning of the organization that capitalizes on unique capabilities and creates systems that supports performance to benefit the community Michael Porter

5 Four Questions 1. What is our purpose? Mission & vision 2. What is the organization going to do? What social issues does the organization address? What resource opportunities will sustain operations? 3. How are they going to do it? What systems and what capabilities? 4. How judge performance and allow innovation? What constitutes value? How does the organization learn and improve?

6 Strategic Management Cycle Operating Domains Mission & Values

7 Positioning External Environment Community Needs Service beneficiary interests Resource opportunities Money People Number and type of other providers Broader community influences Politics Culture

8 Capabilities & Systems Internal Environment Assets Money People Buildings Relationship Inside Outside Reputation Organizational Practices

9 Performance If it s not profit, What is our goal?

10 Potential Considerations 1. Mission/Service area accomplishments Outcomes/ Impact 2. Resource Accumulation Ability to secure 3. Management Practices & Productivity Fiscal accountability Customer Service 4. Perceived Value Socially Constructed

11 Outcome Performance Provide services to achieve objectives Advocate to change attitudes Assess accomplishments Examples Reducing homelessness Increasing academic performance (graduation rates) Changing rules and laws Improved health Limitations Difficult to assess Costly Quantification can over simplify

12 Resource Accumulation Secure necessary funds and labor For example Increased donations/revenue Expanding volunteer pool Employee retention Too much focus on inputs can lead to misguided activities.

13 Management Practices & Productivity Operate according to best practice guidelines and expand services Examples Expanded number of services provided More needs met Open and transparent Accountability methods Meet legal requirements Not always associated with the other measures

14 Perceived Value Gain support of key stakeholders They value your services and activities For example Perceptions of legitimacy Strong commitment from donors and volunteers Engagement of constituents Can shift purposes of organization to most powerful stakeholders

15 LEVELS OF DECISION- MAKING & PLANNING

16 Agree among your group which 2-3 you will complete VISION SKETCH ACTIVITY

17 Vision Sketch Discussion How much agreement on the current state? How much agreement on future? This gap Agreement in Current & future state Between current state and future state Requires planning

18 PLANNING PROCESSES

19 Planning the process whereby leaders engage stakeholders in forming strategy

20 Planning Process Inputs Planning team Framing Information Processes Analysis Review Interpretation Deductive Inductive Assess risk Consider alternatives Outputs Strategic priorities Goals Outputs Improved cause & effect understanding Guidelines/Policies Inputs Processes

21 Planning Team Who asks Framing Questions to guide the conversation Information Data to inform decisions INPUTS

22 Processes Processes Analysis Review Interpretation Deductive Inductive Assess risk Consider alternatives

23 An example of planning processes PORTFOLIO ANALYSIS

24 Portfolio Analysis Market Growth Description Describe the growth or changes in market features Issues and Benefits How to define market scope Estimates how demand may change over time Market Share Profitability or Net Revenue Consider range of activities in relation to other providers Consider revenue gained in relation to the activity Understanding other providers Aligning revenue with activities Challenges of linking service activity to charitable donations Mission Impact or benefit Mission alignment Describe public benefit and social value of activities Relate activities to organizational objectives and goals Long term impacts are difficult to assess Indirect beneficiaries are difficult to determine Distinctions with community needs or impacts Table 7-2

25 Market Growth BCG Matrix Market Share High Low High Low

26 Mission Impact Matrix Map Profitability High Low High Low Bell, et al., 2010, p. 93

27 Mission Impact Profitability High Low High Low Compare and Contrast Any stop signs? Any stars MATRIX MAP ACTIVITY

28 Inputs Outputs Processes Strategic Priorities Goals Improved cause and effect understanding Guidelines & Policies OUTPUTS OF PLANNING

29 Components of a Strategic Plan Problem statement Vision Mission Approach to social problem (Impact Model) Impact strategies Impact indicators Organizational capacity Team & Governance Financial revenue model Sustainability strategies Indicators of success Technology Marketing Organizational Performance Measures Risk Mitigation Work Plan & Timeline

30 Advantages & Disadvantages of Planning Advantages Provides rational framework to organize activates Clear steps that allow opportunities for participation Objective assessment Disadvantages/Weaknesses Can t account for all contingencies It can be expensive time consuming Can impede flexibility Potential disconnection in steps Weak/Limited implementation

31 CASE SALVATION OR SOOTHSAYING YOUTH HAVEN