In discussing the significance of Strategic Planning it is important to clarify the process, though complex, in a definable manner. (i)“The GUIDING MEMBERS of an organization ENVISION its future and develop the necessary PROCEDURES and OPERATIONS to achieve that future. The strategic plan sets the stage for creating the marketing plan and the financial plan. The risk analysis section of the strategic plan includes the development of a succession plan”1 (ii)A dynamic and stated force which helps drive an organization forward by coordinating and channeling resources towards achievement of pre-determined goals Significance in a business context will invariably implicate effective results in most cases, profitability and subsequently, at the least, successful survival of an organization. While Strategic Planning does not guarantee success (implementation of the plan will govern that) it does improve the chances of success and minimizes the risk of failure, as without planning, events will be left to chance.
Factors Contributing to significant Strategic Planning
Consistent to this opening basis, the elements of significant or effective strategic planning need to be outlined and should consist of some of the following aspects:
(i) Strategies need to be discussed and established ahead of time to be proactive. A primary purpose of strategic planning and consequently of its preeminence is to avoid a crisis, Rubin’s Law says "When a crisis forces choosing among alternatives, most people will choose the worst possible one."
(ii) Ownership of and participation with strategies by the people who have to execute them is a key to success. Strategic decisions will be affected by the values and expectations of people in power within the organization. To achieve this, as many managers as possible should be involved, “Plan with people, not for people”.
(iii) Effective Implementation...