Strategic Planning. Leader's Coaching Toolkit.
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- Winifred Smith
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1 Strategic Planning
2 Welcome to The Leader's Coaching framework: Strategic Planning Situations/Presenting Problems: The individual needs to plan strategic direction but lacks a framework to do so. A team can't agree on what strategy is or how to get it done. The individual has a strategy but it is not getting implemented. The individual doesn't want to spend a fortune on an outside consultant for an invasive strategic planning session. The individual wants to use strategic planning as a way to develop employees, by having a team participate. Benefits: This particular framework covers the 3 key areas of strategy and so is comprehensive (big picture strategic questions, priorities, execution). Gives a common language for discussing strategy to the individual and his or her team, and so strategy gets done more efficiently. Takes the typical consulting jargon out of the process, because this is a very practical yet effective approach. Individual can plan strategy for a fraction of the cost of hiring a consulting firm, and yet still have an objective outsider moves things forward with efficiency. The individual can discover ways to give the organization an edge in the market. Moves from big picture ideas to actually making things happen. With this approach, a big binder won't be sitting on the shelf collecting dust. Individuals who can benefit from the "Strategic Planning" framework might also benefit from these: Framework Influence others Succession planning Rationale Strategic planning relies on strong influence skills as different directions are considered. Succession planning begins with an understanding of current and future strategic drivers, and the implications of these drivers on talent and capacity needs. (Continued)
3 (Continued) Individuals who can benefit from the "Strategic Planning" framework might also benefit from these: Framework Communicate simply and powerfully Build high-performing teams The attitudes of the leader Engage and mobilize employees Rationale Strategy gets done more often when leaders can communicate strategic direction clearly. High-performing teams work together to plan and implement strategy. Strategy requires leadership, and leaders need the right attitudes to make strategy happen. An engaged group of employees is more likely to work together to implement challenging strategies.
4 Strategic Planning: Table of Contents Area of Inquiry The Process Mission Vision Core Values Customers Products Competitors Other Environmental Factors Strengths and Weaknesses Opportunities and Threats Our Edge Initiative List Initiative Plan of Action Rationale Start by understanding the goals, timing, and overall strategic planning process. Help the individual get clarity about mission -- but without tedious mission crafting meetings. Vision is an important part of any strategic plan. The strongest organizations know who they are, including a strong sense of values. There is no strategy without a focus on current and prospective target markets and customers. Strategy defines how we serve customers with specific products, services, and solutions -- and how we don't. Strategic planning must consider who the competition is and where they are heading. Other factors also come into play, such as government, labor markets, and new technologies. The traditional SWOT analysis can reinforce the aspects of strategy already covered. Ditto. One of the most important strategic questions to answer is, "What is our edge?" or "What do we do best?" All of the above areas of inquiry are not there for academic reasons. They are designed to uncover potential strategic initiatives, and from there develop a short list of no more than 3 key priorities, along with an overarching strategic theme. Strategy is meaningless without execution. Execution often requires tough decisions about roles, taking things off employees' plates, new hires, resources, compensation, communication, and accountability.
5 Planning Out the Strategic Planning Process Define the outcome you want from the strategic planning process, including key areas of focus or decision points: Who leads the process? Who from senior leadership is involved? Which other employees are involved, and in what role? How will decisions be made about the strategy? (Continued)
6 (Continued) By when does the process need to be complete? Who develops the schedule, participant list, and agenda? Who drives the process of involving employees, conducting research, and synthesizing findings? What is the time frame of the strategy (1 year? 2 years? 3 years?)?
7 Mission: A three-step process for an instant mission We use our core talents: We do the following things to express those talents: In order to create a world in which all people:
8 Vision Here is a clear picture of where we want to be in: Time Frame We are famous for Our customers include Locations Number of employees Revenues Profits Products/ Services Breakthroughs 1 year 3 years 5 years
9 Core Values My top 5 non-negotiable core values include: Examples of how we live these values Idea Joggers Accountability Dignity Justice Responsibility Achievement Diversity Knowledge Results Adaptability Empathy Leadership Reverence Advancement Energy Learning Risk Taking Adventure Enthusiasm Listening Safety Attentiveness Entrepreneurship Long-term View Security Authority Environmental Awareness Love Service Balance Ethics Loyalty Socializing Being the Best Fairness Making a Difference Spirituality Belonging Faith Money Stamina Caring Family Opportunities Status Caution Friendship Organization Success Challenge Focus Partnering Teamwork Collegiality Forgiveness Peace Tolerance Collaboration Honesty Positivity Tradition Community Humor/Fun Power Trust (Continued)
10 Idea Joggers (continued) Compassion Improvement Prestige Unity Competition Independence Productivity Variety Confidence Influence Profit Vision Contribution Initiative Purpose Wealth Control Innovation Quality Winning Cooperation Integrity Recognition Wisdom Creativity Intelligence Resilience Customer satisfaction Involvement Respect
11 Customers Target Markets Growth Potential (High, Med, Low) Profit Potential (High, Med, Low) Life Cycle (Emerging, Mature, Etc) Definition of an Ideal Customer in that Segment Definition of a "B" or "C" Customer in that Segment Our Current Share of Market Our Potential Share of Market Their Key Buying Criteria How They Learn About Us Competitors and their Strengths Opportunities to Better Serve Each Customer Fit with our "Sweet Spot" Possible Initiatives
12 Products Product Primary Customer(s) for Product Growth Potential (High, Med, Low) Profit Potential (High, Med, Low) Market Share Potential (High, Med, Low) Strengths vs. Competition Weaknesses vs. Competition Fit with our "Sweet Spot" Possible Initiatives
13 Competitors Competitor Name Their Strengths Their Weaknesses Their Niche Their Strongest Target Market Main Threat to Us Potential Initiatives to Beat Them
14 Other Environmental Factors Factor Trends and Changes Implications for Our Strategy Emerging Technologies Emerging Information Capital Markets Government Suppliers Labor Market Other
15 Strengths and Weaknesses Start with the list below and add other strengths and weaknesses within your company. Factor Strengths Weaknesses Implications for Strategy Service Quality Cost Speed Innovation Understanding customer needs Customer loyalty Proprietary technology Alignment of executive team Information systems Strategic alliances (Continued)
16 (Continued) Factor Strengths Weaknesses Implications for Strategy Scale/size Sales and distribution Operational efficiency Financial strength Financial controls Marketing strategy and execution Recruiting, retaining, and developing top talent HR Systems Products and Services Other Other Other
17 Opportunities and Threats Key Opportunities How We Will Build on Strengths to Seize Opportunities How We Will Shore Up Our Weaknesses to Seize Opportunities Key Threats How We Will Build on Strengths to Defend Threat How We Will Shore Up Our Weaknesses to Defend Threat
18 Our Edge Choose what your company does best now, and what it needs to be best at in the future. Consider reading "The Discipline of Market Leaders" for a good framework (Operational Excellence, Product Leadership, and Customer Intimacy). Also consider options that might include: scale or size, marketing, distribution, sales, licensing technology, finding exclusive sources of supplies or labor, making deals (e.g. Berkshire Hathaway), etc. What We Do Best What We Should Do Best Going Forward Implications for Strategy/Potential Strategic Initiatives
19 Initiatives List Given all of the previous work done, what are the key initiatives to put in place during the period that the new strategic plan covers? Rank each one so you know which the top 3-5 priorities are. For this exercise, focus on large-scale organizational initiatives. The next tab will allow you to have "trickle down" initiatives for various units. Initiative Initiative Champion(s) Priority?
20 Initiative Plan of Action For each initiative, list what needs to be done for the initiative to succeed: Initiative Name: Champion: Definition of Success/Metrics for Overall Success: Key Stakeholders Involved: Budget: Key Short-Term Milestones To Prove Momentum: Additional Milestones New Roles Required: Training Required: Capital Equipment: Communication Plan: Other Support/Success Factors: Key Risks and How We Manage Them: What We Stop Doing or Take off People's Plates to Free Time and Capacity:
21 What Else is Required for True Accountability and Alignment: The following areas must cooperate as follows: Area Their Responsibilities/Sub-Initiatives Marketing Sales Distribution Quality Human Resources Finance Accounting R&D Product Development Manufacturing and Operations Sourcing/Supply Chain Other Other
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