STRATEGIC FINANCIAL ACCOUNTING
In order to sustain in the market a business organization should plan for long term. Long term strategy will help an organization to have an aim and work on that. If an organization carry out their day to day activities according to a plan, the management will be easily find the errors and take actions to correct them to achieve long term sustainability. Nowadays most organizations build a strategic plan based on having a vision, mission, objectives, tactics and strategies included in their strategic plan. Strategic plan is a tool for organizing the present on the basis of the projections of the desired future. That is, a strategic plan is a road map to lead an organization from where it is now to where it would like to be in five or ten years, better to have strategic plans in divisional or departmental wise.
strategic plan should be simple, written, clear, based on the real current situation, have enough time allowed to give it a time to settle. It should not be rushed. Rushing the plan may cause problems. There are several pitfalls associated with strategic planning. First, the plan may not turn out as well as expected because of changes in the environment in which the plan is supposed to operate. Also, strategic planning is worthless in getting an organization out of a major crisis. If the occurring problem is not solved the organization’s strategic plan may not be useful. The definitions of vision, mission, objectives and tactics are discussed below. Vision: Defines the way an organization or enterprise will look in the future. Vision is a long-term view, sometimes describing how the organization would like the world to be in which it operates. For example, a charity working with the poor may have a vision of "A World without Poverty." Mission: Defines the fundamental purpose of an organization or an enterprise, succinctly describing why it exists and what it does...
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