Strategic Planning Institute of Management

Transcript:Strategic Planning Institute of Management:
Strategic Planning Institute of Management Accountants NorthEast Regional Council 10th Annual Fall Conference Thomas A. Barron, Jr., Ed.D. Director, M.S. in Organizational Effectiveness & Leadership Charter Oak State College Agenda The Nature of Strategic Planning Value Proposition & Business Model Strategic Analysis Models Strategic Formulation Models Strategic Plan Conclusion The Nature of Strategic Planning The Strategic-Management Model Copyright ©2013 Pearson Education, Inc. publishing as Prentice Hall Strategic Decisions Long-term in nature (> 1 year) Rare: Unusual and have no precedent to follow Consequential: Commit substantial resources & demand a great deal of commitment from people at all levels Directive: Set precedents for lesser decisions & future actions throughout the organization Pitfalls in Strategic Planning Doing strategic planning only to satisfy accreditation or regulatory requirements Failing to communicate the plan to employees Failing to involve key employees in all phases of planning Top managers not actively supporting the strategic-planning process Failing to use plans as a standard for measuring performance Thinking tactically instead of strategically Copyright ©2013 Pearson Education, Inc. publishing as Prentice Hall Value Proposition & Business Model Value Proposition An innovation, service, or feature intended to make a company or product attractive to potential customers. Focus: What problem or need is not being addressed in the market? What product or service can you provide that will add more value or better solve a problem than current offerings in the market? Value Proposition Competitive advantage Anything that a firm does especially well compared to rival firms Goal: Utilize a firm’s competitive advantage to create economic value for both the firm and its customer Value Proposition Value Proposition Value Map Products & Services List of products & services a value proposition is built around Gain Creators Describe how your products & services create customer gains Pain Relievers Describe how your products & services alleviate customer pain Customer Profile Customer Jobs Describe what customers are trying to get done in their work & in their lives (their own words) Pains Describe bad outcomes, risks & obstacles related to customer jobs Gains Describe the outcomes customers want to achieve or the concrete benefits they are seeking Value Proposition Steps: Step 1: Create the Customer Profile Step 2: Create the Value Map Step 3: Determine the Fit Customer Profile: Identify Jobs The types of things your customers are trying to get done in their work or personal lives Functional Jobs- Customers attempt to complete