An enhanced strategic planning template is provided in the Integrated Enterprise Excellence (IEE) Business Management System. In the 9-step IEE system, predictive analytics techniques are used to determine where strategic focus should be given to make organizational improvements so that the enterprise as a whole benefits.
The traditional strategic planning and execution process for the purpose of defining organizational direction can have issues and cause misdirection relative to corporate success. What is needed is an enhanced strategic planning template.
Common Issues with the Traditional Strategic Planning Template and Execution Process
Content of this webpage is from Chapter 3 of Integrated Enterprise Excellence Volume III – Improvement Project Execution: A Management and Black Belt Guide for Going Beyond Lean Six Sigma and the Balanced Scorecard, Forrest W. Breyfogle III.
Business leaders conduct strategic planning to develop strategies for the purpose of meeting their objectives. Without a strategy, time and resources can be wasted on piecemeal, disparate activities. Without a strategy, mid-level managers will fill the void with their interpretation of what the business should be doing, typically resulting in a disjointed set of activities.
However, “strategy has become a catchall term used to mean whatever one wants it to mean. Executives now talk about their ‘service strategy,’ their ‘branding strategy,’ their ‘acquisition strategy,’ or whatever kind of strategy that is on their mind at a particular moment.”1
Consider the company strategy in Figure 1, which typifies other companies’ strategies. An organization can spend much time creating such a strategic listing; however, it can often have difficulty interpreting what it should do relative to addressing the passed-down strategy.
Company’s objective is to maintain its position as one of the leading manufacturers of connectors, PC enclosures, and other precision components, and to successfully develop products and market its products for use in network communication and consumer electronic products. A number of strategies have been developed to attain this objective:
Develop strategic relationship with industry leaders–By working closely with top-tier PC and IC companies, Company is able to predict market trends accurately and introduce new products ahead of its competitors.
Focus on the development of global logistic capabilities–This enables Company to respond quickly and efficiently to the customer’s requirements around the world.
Expansion of production capacity–Company currently has production facilities in Asia, Europe, and the United States. Expanding its existing production capacity increases economics of scale.
Achieve further vertical integration–Further integration of the production process allows Company to exercise better control over the quality of its products.
Maintain technologically-advanced and flexible production capabilities–This increases Company’s competitiveness relative to its peers and allows it to stay one step ahead of the opposition.
New products–Company will leverage off its manufacturing expertise and continue to move tirelessly into new areas of related business.
Figure 1: Corporate strategy example described on the Internet.
In addition, what data analyses were conducted ahead of time, which influenced the creation of the corporate strategy? Even if there were good pre-strategy-build data analyses, can the direction of the entire company rest on a few statements, which can change when there is leadership change?
IEE Enhanced Strategic Planning Template and Execution Process
Figure 2 describes a nine-step business management system that leads to specific actionable items with goals. In this Integrated Enterprise Excellence (IEE)2 business management system, it is important that the creation of strategies is step five (not step one or two), where the specifics of the strategy creation are developed from executing steps one – four of the nine-step business management system roadmap.
Figure 2: IEE nine-step Business Management System
What does this mean for your organization’s corporate strategy? Talk to us about how to put strategy creation in the proper order of your business system. The references and links below provide more information about these methods. Call Smarter Solutions at +1 512.918.0280 to discuss in further detail.
Enhancements to Traditional Strategic Planning and Execution
The following articles provide information about enhancements to traditional strategic planning and its execution:
- Project Selection with Whole-enterprise Benefit
- Business Management System: Issues and Resolution
- Enhanced Business Management System: Descriptive Videos
- Chapters 8 – Integrated Enterprise Excellence Volume II – Business Deployment: A Leaders’ Guide for Going Beyond Lean Six Sigma and the Balanced Scorecard, Bridgeway Books/Citius Publishing, 2008.
The IEE with its enhanced strategic planning template, address the business management scorecard and improvement issues described in a 1-minute video:
How-to Implement Information and Benefits
References
- D. C. Hambrick and J. W. Fredrickson, Are you sure you have a strategy? Academy of Management Executive 15(4), 2001.
- Forrest W. Breyfogle III, Integrated Enterprise Excellence Volume II – Business Deployment: A Leaders’ Guide for Going Beyond Lean Six Sigma and the Balanced Scorecard, Bridgeway Books/Citius Publishing, 2008
Contact Us to set up a time to discuss with Forrest Breyfogle how your organization might gain much from an Integrated Enterprise Excellence (IEE) Enhanced Strategic Planning Template.