business to better: strategic planning
TRANSCRIPT
Full Steam Ahead:Strategic Planning for Success
Upcoming Workshops at GFCU
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Stephen Oliver, CPA, CVA, CFEManagerPadgett Stratemann & Co.210.253.1565 [email protected]
Full Steam Ahead:Strategic Planning for Success
Agenda
• What is Strategic Planning• Considerations when developing a plan• Embedding into daily practice• Making it a “Living Document?”• Automating your plan to “Bring it Alive”
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“The real path to greatness, it
turns out, requires simplicity and
diligence. It requires clarity, not
instant illumination. It demands each
of us to focus on what is vital and to eliminate all of the extraneous
distractions.”- Jim Collins,
author5Full Steam Ahead: Strategic
Planning for Success
Full Steam Ahead: Strategic Planning for Success
What is Strategic Planning?
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Strategic PlanningHelps you pave the most direct path towards your vision, saving you time
and money
By the book (sort of)
Full Steam Ahead: Strategic Planning for Success
What is Strategic Planning?
Getting there faster…
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Your Business
Your Vision
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Focus, Focus, Focus
The bottom line…
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11% net profit
12% sales volume
17% bottom-line
performance
25% employee
commitment
Enhances leadership’s organization performance
Impact of strategic planning
Impact of market & community focus
Strategic Planning is…
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Organizational history
Logical & brief
Straightforward
Understanding momentum
Strategy & tactics
A statement of direction
Action plans
Full Steam Ahead: Strategic Planning for Success
Sharpen the Saw
Synergize
Seek to understand
Think win-win
First things first
The end game
Be proactive
Strategic Planning Cycle
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Goals
Desired outcomes
StrategiesMeasures & targets
ResultsMission
Where do we want to go?
How do we get there?
How do we measure success?
How did we do?
How can we improve?
Considerations when developing
a plan
Developing a Strategic Plan
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Establish strategic direction & guidelines – who and what, vision is constant until complete, mission never changes, core values
Formulate corporate strategy and target setting – goals and objectives
Conduct external and internal analysis – competitors, customers and industry
Create and align business unit strategies – bottom-up/360 ⁰analysis
Build the Budget – level of detail and timeframe considerations
Celebrate the strategic plan – communicate clearly, create support for execution
Establishing Strategic Direction
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Establishing direction
Where are we now?
Where do we want to be?
How do we get there?
Objective: clarify vision, validate mission, defineplanning process steps and responsibilities
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NatureSweet Tomatoes “On a Mission From Good”
Goodness – found in land & people
Starts with land from Central Mexico
Harvesting through teamwork: (people, families, &
communities)
Two goals: 1. Employee home purchase2. Educational opportunities
through funding
Goodness comes from a World of Efforts – One Company
Target Setting: Goals & Objectives
Picture source: http://www.cmadesign.com/naturesweet/
How Strategic Plans Work
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Historical Assessment
Internal Environment
External Environment
How it works
Historical Assessment
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What have we accomplished?
Financials &Budgets
(3-5 years of data)
Customers
(Are we listening & serving)
Markets &Demographics
(Needs & wants)
Products & Services
(Offer the best with value)
Growth
(Personnel & facilities)
Internal Factors
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Internal Factors
Organizational structure
Markets served
Training & compensation
programs
Growth patterns
Information systems &
communications
Customer satisfaction
Facilities & equipment
Full Steam Ahead: Strategic Planning for Success
External Factors
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External Factors
The economy
The customer
The competition
Regulatory considerations
Technological advances
International impact
Full Steam Ahead: Strategic Planning for Success
Embedding into daily practice
1. Performance vs. Mission
2. Environmental Scanning
3. Issue Determination
4. Planning Assumptions Capabilities
5. Company Objectives
6. Strategy Development
7. Resources Budgets
9. Accountability
8. Revise Objectives Plans
10. Feedback & Analysis
Embedding Your Plan - Continuous
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Planning Assumptions
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• Core values and mission• Product/Service offerings• Financial, operational, people• Opportunity – Markets and community
World1960 $3 Billion
2015$7 Billion
Implementing the Plan
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Goals
How are we going to do it?
Objectives
What is to be accomplished?
Action Plan
Who, what, & when will tasks be
accomplished?
Full Steam Ahead: Strategic Planning for Success
Discover Design Develop Demonstrate Deploy Disengage
PLAN AND GO – Build it and they will come!
• Operational• Financial• Marketing• People & Processes• Technology
Goals – First Things First
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S Specific
M Measurable
A Attainable
R Realistic
T Timely
Full Steam Ahead: Strategic Planning for Success
Planning Assumptions
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Objectives – Be Proactive
• Financial performance• New products/services• New markets• Diversification• Growth: organic or acquisition• Productivity and quality• Culture and change
Periodic Measurement & Accountability
Make it a “Living Document”
A Living Document
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Build an effective
budget for all areas
Measure results (First
things first)
Develop accountability (compensation)
Create scorecards (Synergize)
Communicate (Monthly & quarterly meetings
360 ⁰feedback
(Listen to your team and
customers)
Reassess direction
(Be proactive)
Full Steam Ahead: Strategic Planning for Success
Celebrate each success
BIG DEAL!
Automating your plan to
“Bring it Alive”
Automation
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msp
Strategy Development
Goal Setting/ Goal
Cascading
Performance Tracking
Financial Budgeting
Balanced Scorecard
Action Planning & Alignment
One-Click Reporting
360 Degree Analysis
Benefits to Your Company
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• Consistency in planning• Easily adaptable and revisable• Eliminates various versions of your plan• Provides people with the information they need to execute• Ability to develop consistent reports• Improves accountability• See progress on achieving goals & outcomes
Envisioned Structure
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How goals & actions cascade & rollup
DivisionPlan
DepartmentPlan
Unit Plan Unit Plan
DepartmentPlan
Unit Plan
CorporatePlan
• Division Purpose Statement • Long-Term Initiatives• Division Goals & KPIs• Division Actions/Dept.Goals
• Dept. Purpose Statement• Dept. Actions/Unit Goals• KPIs
• Unit Actions
Permissions by User Level (write access)
Types of Reports
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Report TypesFull strategic plan: “The Living Document”
Executive Summary: Good for management teams and boards
Strategy Map: Full-color overview of your entire strategic plan
One-Page Strategic Plan: Ideal for communicating your plan to the entire organization
Action Plan: A quick view of unit goals and action items
Full Steam Ahead: Strategic Planning for Success
Automation
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Why automate?
Flexible
Simplify
Execute
Consistent
Accountability
Feedback
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Know what mountain you are climbing
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To your path of success, wherever it may lead you
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Stewardship = Achieving the Strategic Plan
?
Thank You
Stephen Oliver, CPA, CFE, CVAPadgett, Stratemann & Co., LLPManager210.253.1565 | [email protected]
Austin811 Barton Springs, Suite 550Austin, TX 78704512.476.0717
Houston1980 Post Oak Blvd., Suite 1100Houston, TX 77056713.335.8630
San Antonio100 NE Loop 410, Suite 1100San Antonio, TX 78216210.828.6281