Stated simply, strategy is a road map or
guide by which an organization moves from a current state of affairs to a
future desired state. It is not only a template by which daily decisions are
made, but also a tool with which long-range future plans and courses of action
are constructed.
ü Strategy allows a NGO to position itself effectively within its
environment to reach its maximum potential, while constantly monitoring that
environment for changes that can affect it so as to make changes in its strategic
plan accordingly.
ü In short, strategy defines where you are, where you are going, and
how you are going to get there.
ü Basic strategic planning is comprised of several components that
build upon the previous piece of the plan, and operates much like a flow chart.
ü The strategic-planning team should be composed of top-level managers
who are capable of representing the interests, concerns, and opinions of all
members of the organization.
ü As well, organizational theory dictates that there should be no more
than twelve members of the team. This allows group dynamics to function at
their optimal level.
Continuous Implementation
ü The idea behind this continual process is that each step of the
planning process requires some degree of implementation before the next stage
can begin.
Values Assessment
ü All project decisions are fundamentally based on some set of values,
whether they are personal or organizational values.
ü Strategic planning that does not integrate a values assessment into
the process is sure to encounter severe implementation and functionality
problems if not outright failure.
ü Briefly put, form follows function;
o the form of the strategic plan must follow the functionality of the
organization, which is a direct result of organizational values and culture.
Vision and Mission
Formulation
ü This step of the planning process is critical in that is serves as
the foundation upon which the remainder of the plan is built.
ü A vision is a statement that identifies where an organization wants
to be at some point in the future.
ü It functions to provide a NGO with
o directionality,
o stress management,
o justification and quantification of resources,
o enhancement of professional growth,
o motivation,
o standards, and
o succession planning.
ü Porrus and Collins (1996) point out that a well-conceived vision
consists of two major components: a core ideology and the envisioned future.
Strategy Design
ü This section of strategy formulation involves the preliminary layout
of the detailed paths by which the NGO plans to fulfill its mission and vision.
ü This step involves four major elements:
o identification of the major lines of business (LOBs),
o establishment of critical success indicators (CSIs),
o identification of strategic thrusts to pursue, and
o the determination of the necessary culture.
Performance Audit Analysis and SWOT Analysis
ü Conducting a performance audit allows the organization to take
inventory of what its current state is.
ü The main idea of this stage of planning is to take an in-depth look
at the NGO's internal strengths and weaknesses and its external opportunities
and threats.
ü This is commonly called a SWOT analysis.
Gap Analysis
ü A gap analysis is a simple tool by which the planning team can
identify methods with which to close the identified performance gap(s).
ü All too often, however, planning teams make the mistake of making
this step much more difficult than need be.
ü Simply, the planning team must look at the current state of affairs and
the desired future state
ü The first question that must be addressed is whether or not the gap
can feasibly be closed.
ü If so, there are two simple questions to answer:
o "What are we doing now that we need to stop doing?" and
"
o What do we need to do that we are not doing?"
ü In answering these questions and reallocating resources from
activities to be ceased to activities to be started, the performance gap is
closed. If there is doubt that the initial gap cannot be closed, then the
feasibility of the desired future state must be reassessed.
Action Plan Development
ü This phase of planning ties everything together. First, an action
plan must be developed for each line of business, both existing and proposed.
It is here that the goals and objectives for the organization are developed.
ü Writing goals statements is often a tricky task. By following an
easy-to-use formula, goals will include all vital components.
o Accomplishment/target
o A measure
o Standards
o Time frame
Contingency Planning
ü The key to contingency planning is to establish a reactionary plan
for high impact events that cannot necessarily be anticipated.
Implementation
ü Implementation of the strategic plan is the final step for putting
it to work for an organization.
ü To be successful, the strategic plan must have the support of every
member of the firm.
ü As mentioned in the beginning, this is why the top office must be
involved from the beginning.
ü A NGO's leader is its most influential member.
ü Positive reception and implementation of the strategic plan into
daily activities by this office greatly increases the likelihood that others
will do the same.
0 comments:
Post a Comment