Importance of Strategic Planning in Corporate World

Strategic planning is a method in which organizational leaders determine their vision for the future as well as identify their goals and objectives for the organization. The process also includes foundation of the sequence in which those goals should fall so that the organization is enabled to reach its stated vision. Strategic planning is used to clarify the overall purpose and priorities of the company.

Why do we need strategic planning?

1. Makes us aware about the available resources and helps us to utilize the resources to the fullest which increases the efficiency
2. It also help us to be prepared about the business risk. Planning help us in forecasting risk and be prepared about the uncertainty of the future
3. Helps us coordinate between the teams. To work towards the short term and long term goals
4. Planning helps in organizing all resources effectively
5. Planning helps us set targets for each one to achieve
6. It helps in monitoring the performance of the employees and achieving the set targets of the organization
7. Planning helps in encouraging creativity and innovational strategies in the organization by the managers
8. Helps the higher management to choose the best of all available strategy and implement for the betterment and success of the organization

Strategic Planning Process

Collect ideas

Ideas can be collected from the managers, employees or experts.

SWOT Analyses

• Know your company’s Strengths and weaknesses and find out the opportunities and threats for the company
• Strength can include best services professional or team of experts
• Weakness may include high price or poor execution etc
• Threat can be internal or external it can be the market slow down etc
• You will have to be true about weakness and threats as identifying the real threats and weakness will only provide the solution

Set targets (long term and short term)

• Targets can be to get maximum productivity from the resources we have, getting client database, increasing revenue or increasing more and more clients using services
• Keep your targets realistic and achievable
• Also make sure to set time limits to achieve targets it can be daily targets, weakly targets or monthly targets
• Long term targets can be to be the best service provider in the market. To create a brand

Creating strategies to achieve those targets

• Now we need to identify the steps in order to achieve those targets
• How to assign task to the staff. Setting time limits to achieve targets. or eg. Daily targets can be to contact 30 people introducing with your service weekly targets can be to make sure at least 10 people visit your shop or office. Monthly target can be to generate maximum revenue out of them
• For surviving in the market one can work on the services can provide quality services in affordable price. Companies with happy customers are the one who achieve success in a longer run

Implementing your strategies

• Make an operational plan assign the tasks to the managers and employees
• Creating separate teams and reporting system
• Providing with the proper recourses
• Introduce reward system to keep the employees motivated

Evaluate your plan and strategies

• Keep a check that the plan are implemented and check the results
• Keep a check on your customer satisfaction
• Introduce new technologies, plans and strategies this helps in staying updated and benefits in the long run

This blog is written by Ms. Smita Thomas, Business Advisor at Flyingcolour Business Setup, VAT and Accounting Services, Dubai. If you have any query related to setting up any business in Dubai or anywhere across the UAE then feel free to call +971 4 4542366 today for a quality consultation or please send inquiry to info[at]flyingcolour[dot]com.