This approach focuses on the five forces that can impact the profitability of an organization: The Threat of Entry: Can new companies enter the market? Strategy mapping is often part of (but is not exclusive to) the balanced scorecard framework. The Threat of Other Substitute Products or Services: Is there a competitor on the market that your customers could use instead of your product or service? For example, governmental organizations or companies that receive grant funding might need to produce a strategic plan that fits into a formula the government dictates. SWOT Analysis or SWOT Matrix: SWOT (strengths, weaknesses, opportunities, and threats) offers a way to examine both internal and external forces impacting your company. The scenario model works well for businesses that need help planning for several potential situations. “McKinsey’s is one of my favorites because it applies to businesses small to large and generates excitement,” says Wright. One of the more popular strategic planning frameworks is the balanced scorecard. Many sections include examples, as well. Gap planning is sometimes known as gap analysis, needs assessment, or a strategic planning gap. Introduction This manual offers a framework for strategic planning with suggestions developed specifi- You will undoubtedly find that your organization becomes more … Without a strong mission statement, our strategic planning framework would be ineffective. “I think if you read a book and try to implement it exactly [as the book outlines it] to your organization, you will fail,” he says. In this section, we’ll explain the basics of how some departments typically approach strategic planning. Porter’s Five Forces approach helps companies assess the competitiveness of the market. Next, list the specific activities you must implement and who will participate in those activities. A strategy map is a visual tool designed to clearly communicate a strategic plan and … It functions as both a strategic planning and management system, and it helps connect a company’s plan to the operational elements that make it happen. Soon to be by Smartsheet. It makes sense to build the rest of your plan from these statements. People can refer back to it in order to stick to the overall plan when working on tasks or making decisions. Agile Strategic Planning Model: The flexibility of Agile planning allows for growth and change in strategic planning. Additionally, some methods work well together. This less systematic model requires patience since it involves constant dialogue and is never really finished. Still, the following general ideas persist: There will be a continued need to provide quality patient care. The idea is to pursue differentiation, thereby creating market share instead of trying to beat competitors. (There are many models for strategic planning -- this framework is for conducting a goals-based plan.) Lastly, create a simple monitoring plan to make sure your organization stays on track. The first step of any strategic planning starts with … You add a framework on top of the [strategic plan] to slice and dice the model.”. Look at the health of your organization and its developmental stage. But be careful with metrics that only consider financial success — there is much more to healthcare than profit. Free your team from content sprawl with Brandfolder, an intuitive digital asset management platform. Learn how the flexible, extensible Smartsheet platform can help your organization achieve more. They are the beliefs you have that will … 2. Review the current strategic plan and relevant business plans against new opportunities and risks. Wright says this framework helps companies think deeply about how they will achieve growth instead of merely saying they want to grow. The idea of a blue ocean is to create an uncontested market space for your company. Fast-growing and startup organizations might find McKinsey’s framework helpful. The strategic planning frameworks above are all meant, in different ways, to help you organize your objectives, measures, and projects. The key is to figure out which one best applies to your company and its needs — for example, VRIO can help you create a vision statement, and BSC can help keep plans on track. Download IT Strategic Planning Template - Excel. Get up and running fast with streamlined implementation and solution building to address your immediate business needs. Jackson advises simplifying some frameworks and adapting them, but he has some cautionary advice about trying to combine parts of different frameworks. Download HR Strategic Planning Template - Excel. He adds that it is an easy model because it does not involve much jargon and focuses on the future. Even though you should not use a strategic plan solely because a similar company does, it might help to look at their preferred framework to pick the one that is right for you. As the name implies, the organic model of strategic planning is more of a free-spirited conversation, rather than a set process. For each change in an external force, discuss how it could impact the future of your organization in the following three ways: After looking at the three potential impacts, figure out how to best respond to each. The basic model is not meant for organizations with significant resources to pursue ambitious visions and goals. The world of healthcare is changing, and healthcare organizations have to adapt. These frameworks look at an industry or business environment and see what factors could impact an organization’s overall health and well-being. This results in a competitive advantage in your marketplace. Elevator Pitch. Conduct an environmental assessment. Assess Industry, Competitor & Customer Trends. Sometimes, models can serve as a visual guide. Cascade’s Wright says the balanced scorecard works well for medium and large companies that don’t change very quickly or don’t need to make radical changes. Some models are sexier than others,” Wright explains. An example of an organization that found a blue ocean is Cirque du Soleil. In contrast, frameworks function as an overlay to a model that helps clarify particular items, such as goals. It helps companies that want to try to grow sales volumes or have it as a major focus area. Gap planning is the analysis and evaluation of that difference. The organic model relies on everyone having a shared vision and being willing to openly discuss how to get there using common values. People need to be involved.”. When you deploy it correctly, strategic planning highlights problems, helps find solutions, and monitors progress. In addition to the models and frameworks listed above, there are several other types, including the following: The Stakeholder Theory: This approach focuses on adding value to specific groups of people, including employees, customers, the community, shareholders, and society.