Notice anything on the heading of this page? Do you see a missing word?
G3CFO never uses the term or activity called strategic planning. Strategic planning is a big business created in the last century by a large, international consulting firm. Boutique firms followed suit because the activity could be easily packaged into a sellable product.
Strategic planning typically looks like the below mind map that I created after reading the book Strategic Planning for Dummies by Erica Olsen:
Many of the questions and exercises addressed in strategic planning exercises are meaningful such as:
- mission statements
- purpose statement
- core values
- unique value proposition
- SWOT analysis
- competitive analysis
- the five-year plan
Who, Where, and How
Planning is a critical process in any business. Peter Drucker has stated that effective executives develop actions after they determine what needs to be done. According to Stephen Ambrose in the book D-Day, operation Overlord was the most thoroughly planned amphibious operation in history.
This operation is planned as a victory, and that’s the way it’s going to be. We’re going down there, and we’re throwing everything we have into it, and we’re going to make it a success.Ambrose, Stephen E.. D-Day: June 6, 1944: The Climactic Battle of World War II . Simon & Schuster. Kindle Edition.
Planning is critical. But let’s not include the adjective ‘strategic’ to planning. Planning needs a job to perform. Planning follows a clearly set objective. Strategies follow once the plan is put into place.
Accordingly, G3CFO will also address your most important strategy which starts with the following fundamental questions:
- Who is your customer?
- Where will we play with the customers we choose to do business with?
- How will we achieve the above?
The third bullet point is where tactics are created and employed.
To recap, strategy is a stand-alone conversation. First, what’s the objective in the business? Next, what plan or plans will be created to fulfill the objective? Strategy or strategies follow.
Need to work on your mission statement and core values? Do that separately in a different discussion with staff.