Summary:

Abundant opportunity linked to individual dreams and passions is what makes Cornell great. However, universities are facing a set of circumstances unlike any seen since the Great Depression. Don’t be lulled into thinking that this is just another cyclic financial downturn: this Great Recession will affect the lives of individuals, families and, yes, universities for many years to come.

In light of this, many universities are adjusting their need-based student aid programs to reflect difficult budgetary realities. Despite budget pressures, Cornell is resisting this trend because providing an extraordinary academic environment for the most promising students from all backgrounds is one of their foundational principles and fundamental values.

Article Quote:

“The answer is to take strategic planning seriously and to think as Cornellians first and as members of our particular colleges or schools or programs second. As faculty, staff and student leaders conceive of ways to continue Cornell’s excellence with fewer resources, we must be open to novel and even radical ideas and not reject them solely because they threaten the status quo.”

Link: http://www.cornellsun.com/section/opinion/content/2010/03/01/taking-strategic-planning-seriously

Strategic planning in a bad economy means some tough decisions need to be made. Cornell, like many other universities, is trying to maintain high quality standards with dwindling resources and budget shortfalls.

This is a time for creative thinking with possibilities for diversification or differentiation. Several campuses may close before the recession ends, but those that survive will be the ones that used all the resources available to them to develop a realistic and well structured strategic plan.

For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/

Summary:

Toyota gained market share in the automotive market by focusing on quality – this was their strategic competency.  This single-minded concentration on quality built trust with consumers worldwide, a trust that has been shaken by a recent recall of millions of Toyota vehicles.

The recent recall shows how Toyota’s loss of focus on quality has severely damaged the trust that had been built up over decades.  The cost of the recall will be millions of dollars in the short-term, but the loss of future sales and its reputation is incalculable.

Before Toyota set their sights on becoming the world’s largest automobile manufacturer, they mentored their engineers for 10 years so they became fully imbued in the quality culture and focus on detail that was Toyota’s primary focus.  As their strategic focus changed from high quality to “biggest”, they hired many new engineers globally and spent far less time analyzing consumer complaints.

Article Quote:

“When you lose sight of your strategic competency, the very differentiator that gives you your competitive advantage, you will damage your reputation in the market.”

Link: http://www.cssp.com/strategicplanning/blog/?p=563

Commitment to the strategic competency that differentiates a company from others, even as growth occurs, will help keep the company shielded from the kind of disaster currently happening at Toyota. This means that you must have plans to ensure your intellectual capital (strategic competency) grows at the same pace as your sales growth.

For more on strategic planning, seehttp://www.performancesolutionstech.com/category/strategicplanning/

Summary:

Strategic planning methodologies are like shoes – one size does not fit all. Some companies use an autocratic approach, in which the plan gets created by a small group of senior managers and handed down to the rest of the organization. Others prefer a more democratic approach, with employees at all levels contributing their ideas and input to the plan. However, most companies employ a hybrid of these two models.

There are several factors to consider when deciding which approach you choose, such as company size, culture, type of workforce, and management style. However, every strategic plan should include the following five “must-haves”:

1. Mission. This defines why you exist as an organization.

2. Guiding principles. Also called organizational attributes, these describe how you expect people to behave with each other and with other stakeholder groups.

3. Value propositions. These explain the value you provide to your organization’s different stakeholder groups, both internal and external.

4. Destination points. These identify where your organization wants to go within a specified time frame.

5. Areas of focus/strategies. These define, in a broad sense, how the organization will get to where it wants to go.

Article Quote:

“Effective strategic planning also requires that you set goals and define team and individual accountabilities, as these link the big picture to individual goals and competencies. Ultimately, strategic planning is like a jigsaw puzzle – all the pieces must be in place in order to complete the picture.”

Link: http://www.innovationheat.com/2010/02/26/five-must-haves-for-a-strategic-plan/9160/

Having the best strategic plan won’t get you far if you don’t implement it. Successful implementation requires breaking down, or chunking goals into manageable tasks to incorporate into daily to-do’s. By chunking your work and doing a little at a time, the plan will be worked and your goals will be achieved.

Keeping your strategic plan visible will help to measure your progress and make course corrections if needed. Maintaining flexablility is important so you don’t get caught up in working a flawed plan.

For more on strategic planning, seehttp://www.performancesolutionstech.com/category/strategicplanning/

Summary:

Strategic planning is a great way to advance your business and achieve your goals. Being a seat-of-the-pants entrepreneur, it might feel challenging at first, but stick with it and you will soon see the reward of using strategic planning throughout every department of your company.

Key to strategic planning is the vision you have for your business. Building from your clearly defined vision, set two to three realistic goals and then develop a plan on how to achieve those goals. Goals should be able to be broken down into timelines that you can integrate into daily or weekly tasks.

Article Quote:

“If you are a seat-of-the-pants entrepreneur, then strategic planning can make you feel like a fish out of water. However, strategic planning is neither boring nor unimportant. In fact, it’s necessary to help you assess where your business currently stands, and how to push forward toward your goals.”

Link: http://www.wahm.com/articles/strategic-planning-for-seat-of-the-pants-entrepreneurs.html

Integrating goals in a way that is manageable and measurable allows for incremental successes that build up and help get the goal accomplished. Develop shorter strategies that range from six to eight months that are also included in the bigger picture.

Working on your strategic plans requires commitment. Finding the right balance between daily operations and incorporation of the strategic plan can be obtained with the use of performance technology.

For more on strategic planning, seehttp://www.performancesolutionstech.com/category/strategicplanning/

Summary:

Starting off the new year with a strategic plan and high hopes to achieve success won’t get you far if your plan is flawed, as most are. The following steps outline the basics when developing a strategic plan.

1. Know the difference between a strategy and a tactic. Strategy is the plan that defines where you’re going.  Tactics are the things you do and use to get to the destination.

2. Be specific. A few words can make all the difference in the direction you take your firm, and the tactics you use to implement a strategy.

3. Engage the aging process. Like great wine, the making of a strategic plan takes time.  A strategic plan is NOT built during a weekend retreat!  It evolves out of thoughts, research, information, and experiences.

4. Keep it simple. Use the A-B-C approach:

A. Establish what you want to achieve: STRATEGY.
B. List available, realistic ways to make it happen: TACTICS
C. Select options that give the highest rewards for the lowest output: IMPLEMENTATION.

5. Follow the plan. Most plans are developed, and then put on a shelf.

6. Be flexible. If, during the course of the year, you find that the plan needs some tweaking, you can certainly modify it.  Be careful not to switch directions too often, as this will discredit you and your plan in the eyes of its followers.

Article Quote:

“Every year, we meet thousand of decision makers around the country in our consulting and speaking work.  Like you, they’re smart, ambitious, and they’re doing a decent job.  But, they’re also often frustrated that they aren’t doing better.  When we break down the element for them, we find that few if any of them have a good strategic plan they can work from.  In fact, most of them don’t even know how to create one.”

Link: http://lazerpromotions.com/blog/general/6-ways-to-build-a-stronger-strategic-plan

All the steps listed above are important to follow when building and implementing your strategic plan. Another useful tool is performance technology that not only keeps the plan visible to all users, but allows management an instant view of progress and accountability. ManagePro software is one such application that allows users to execute and monitor their strategic plans.

For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/

Summary:

Unfortunately, most new businesses fail for two main reasons: a lack of capital resources to carry the business until it becomes established and profitable; and a lack of management skills. Strategic planning that incorporates both of these elements will help ensure the business doesn’t fail. New business ventures need a lot of capital in the beginning for equipment purchases, supplies, and training new employees.

There are two forms of capital from which to choose: debt or equity financing. There are advantages and disadvantages to choosing to finance a bank loan for a new business idea. When financing with a bank, you can negotiate the terms of repayment and having a set payment plan helps stabilize expenses. However, the payment must be made whether or not there are profits to cover such payment.

Article Quote:

“Whether you are starting your business or expansion of IT financing, you will need to do strategic planning. This is particularly relevant for the new companies that have just started up.”

Link: http://www.usestock.net/business-finance-strategic-planning/.html

Strategic planning is essential whether businesses are start ups or well established corporations. Planning seeks to answer the question, “Where do we want to be and how are we going to get there?” There are several methods that can be used, such as swot analysis or scenario planning or hiring a strategic planning consultant.

Once a plan is developed, implementing it successfully is the next challenge. Strategic plans need to be translatable into daily activities that can be monitored for effectiveness. Monitoring allows for course corrections when the opportunities or threats present themselves.

For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/