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OBJECTIVES
This document provides a compilation of successful strategic planning practices based on experience and methodologies from the ASP Advisory Council Members.
ASP ADVISORY COUNCIL
The ASP Advisory Council is a select group of thought leaders and practitioners who are passionate and have a common goal to further the discipline of strategic planning, leadership, and management.
One of the Council’s guiding principles is to “lift all ships” and elevate thought leadership in strategic planning. This Council candidly shares experiences, best
practices, and challenges in an effort to support each other and overall ASP goals.
ASP ADVISORY COUNCIL Lee Crumbaugh, ASP President • Founder & President at Forrest Consulting, • Chicago, IL • Strategic Planning, Org Leadership, Customer Acquisition, & Business Insight • Univ. of Chicago, Booth School of Business
Dr. Mohamed Moustafa Mahmoud, ASP Advisory Council Member • Executive Director at MILE • Saudi Arabia • Org Development, Strategy, Leadership Development, Training • Univ. of Pennsylvania, Wharton School, Mansoura Univ.
Patrick Tam, ASP Advisory Council Chair • Director, Corporate Planning at Cisco • San Jose, CA • Corp Planning, Strategy, PMO, Exec Board Operations, Author • UC Berkeley, Harvard & Stanford Exec Programs
Ahmed Samy, ASP Board Member & Advisory Council Co-Facilitator • Director, Strategy & Performance Management at UAE Govt. Administration • Abu Dhabi, UAE • Strategy, Performance Management, Portfolio & Program Management, Org
Excellence, Decision Sciences R&D • Auburn Univ.
Ed Dillenschneider, ASP Board Member & Advisory Council Member • Deputy Director, Strategy & Integration at HQ Dept of the Army, G-4 • Washington, D.C. • Enterprise Strategic Planning, Policy, Leadership, Program Management, Scuba Diving • Eastern New Mexico Univ., Univ. of Oklahoma, US Army War College, Univ. of Phoenix
Somitra Saxena, ASP Advisory Council Member • Director, IT Strategy, Portfolio Planning & Operations at Stanford Hospital • Palo Alto, CA • Management Consulting, Business Development, Business/IT Transformation,
Business Strategy • UC Berkeley, Haas School of Business
Sean D’Souza, ASP Advisory Council Member • Head of Planning, Google for Work • Mountain View, CA • Strategic Planning, Portfolio Management, Business Arch • Duke Univ., Thunderbird School of Global Management
Cathryn Lyman, ASP Advisory Ops Lead • Manager, Corporate Planning at Cisco • San Francisco, CA • Strategic Planning, Communications, Org Capability Alignment, Business Process
Optimization • University of Texas
Alan Leeds, ASP Board Member & Advisory Council Co-Facilitator • President, Y-Change • San Francisco Bay Area, CA • Strategic Planning, Performance Management, Business Strategy, Magic • Syracuse Univ., State Univ. of New York College
Milan Mukherjee, ASP Advisory Council Member • Manager, Corporate Strategy at Harley--Davidson Financial Svcs • Chicago, IL • Strategic Planning, Annual Planning, Continuous Improvement • DePaul University, MBA
KEY THEMES AND FINDINGS
• Strategic planning enables organizations to make better, more educated decisions.
• Understanding what it is you are trying achieve and/or solve for leads to ensuring you are asking the right questions , collecting the right information, including the key stakeholders, and ultimately making decisions to enable and achieve your goals.
• Businesses are experiencing rapid change. In order to achieve success, organizations must define long-term goals while also balancing the shorter-term objectives, ensuring alignment, and prioritizing initiatives to enable reaching the desired outcomes.
• Communicate. Communicate. Communicate. Collaborating across multiple functions is a common challenge for organizations big and small. Being transparent and using standard processes and templates to document plans, assumptions, risks etc. result in more successful strategic plans.
• Accountability is key. Being clear on who is accountable vs responsible for inputs and decisions is critical in driving a strategic planning discipline.
• Using a consistent approach and methodology like “Think, Plan, Act” will drive structured and sustainable processes within an organization and will help to ensure action and execution to plan.
CISCO : INTERLOCKED PLANNING AND EXECUTION
CONTRIBUTORS
Patrick Tam Director, Corporate Planning
Cathryn Lyman Manager, Corporate Planning
Challenge: Cisco implemented a new operating model in 2011 with a goal of interlocked plans and targets and driving accountability for execution. Cisco is a large (>70k employees and ~$50B Revenue), complex company.
Changes implemented:
• Implemented a new Corporate Planning Team and Discipline
• Established KPIs, targets, and a “get well plan” process to be reviewed on a quarterly basis with top leadership
• Identified key S&P points of contact across every Business Entity, Sales Region, and Function and pulled them together into a Strategic Planning Virtual Team
• Tightly aligned Corp Finance and Corp Planning
• Created a structured approach to help the business interlock on plans, facilitated by Corp Planning and Finance
Key Learnings:
• Establish a planning culture and mindset
• Importance of Communications – transparency, visibility, and tight engagement across the company is critical
• Alignment and interlock – driving the business to agree on the same key numbers in a collaborative way based on data and forecasts
GOOGLE : STRATEGIC PLANNING SIMPLIFIED
CONTRIBUTORS
Sean D’Souza Head of Planning, Google for Work
• Strategy is really about Decision-Making... • Decision-Making is about asking the right Questions... • Questions clarify the need for useful Information… • Information is collected from a thoughtful Planning Process.
Planning needs to be simple enough to stay focused on what it is trying to solve for… making better decisions.
• Business Strategy creates Requirements • Operations create Capabilities • Planning needs to distill the Connections between the generation of
Requirements to the Capabilities needed to fulfill them. • Decisions that understand these Connections up front are much
more likely to succeed in the long run.
Decision-Making
Connections
HARLEY-DAVIDSON FINANCIAL SERVICES: COMPANY WIDE CONTRACTING
CONTRIBUTORS
Milan Mukherjee Manager, Corporate Strategy
Challenge: All functions follow the business unit planning process to plan for the upcoming year. The process starts in February and goes through November. There are inconsistencies in how functions solicit help from other functions or collaborate on projects, share resources on key initiatives to provide maximum value to the organization, and there was an opportunity to further streamline and standardize this process.
Approach:
• Functions are required to define project roles on initiatives that needs collaboration from other areas. Project roles are defined as either, champion, process owner, subject matter expert or project lead with responsibilities defined for each role
• All functions identify support required for each action plan in the upcoming year
• Using a standardized contracting matrix, they select the level of support needed from each department (High, Medium or Low) using the following guidelines: High: > 80 Hours, Medium: Between 40 - 80 Hours ,Low: < 40 Hours
• Functions discuss and assign contracting responsibilities for all action plans that require collaboration
• All functions conduct contracting discussions with required stakeholders and modify support requirements based on feedback from stakeholders
• Contracting Matrix is updated to indicate contracting status on all action plans across the organization and shared with all teams to ensure full visibility and understanding on key initiatives
• Process is facilitated by corporate strategy group to ensure companywide alignment
STANFORD HOSPITAL : LEAN TOOLS
CONTRIBUTORS
Somitra Saxena Director, IT Portfolio Planning & Operations
Healthcare Industry Challenges: The industry
is rapidly changing due to the confluence of
several market forces:
• Regulations to make healthcare more accessible, reduce costs
and improve quality (e.g., Affordable Care Act).
• Payor: Momentum towards Accountable Care Organization, move
from fee-for-service to outcomes based models
• Providers: Reducing reimbursements, changing payor-mix, need
to reduce costs and improve quality of care
• Demographics: Aging population, increasing incidence of chronic
diseases (e.g., diabetes, cardio-vascular)
• Technology is critical for care delivery (provider), payor and
patients (e.g., EHR, Tele-Medicine, HIE, etc.)
• Consumer driven healthcare – access to patient health records
and options to make informed choices
Strategic planning in this rapidly evolving
environment requires an eye towards the
long-term goals, while focusing on more
immediate objectives, and gaining
alignment within the entire organization
(e.g. Service Lines, Support Functions –
IT, Business Development, Finance, etc.).
STANFORD HOSPITAL : LEAN TOOLS
CONTRIBUTORS
Somitra Saxena Director, IT Portfolio Planning & Operations
Use of Lean Management System: Healthcare organizations are
utilizing Hoshin Kanri X-Matrix to provide the discipline for planning and
operating an Healthcare organization in this rapidly evolving environment. In
Japanese, hoshin means "compass needle" or "direction“, and Kanri means
"management" or "control“. Hoshin Kanri is the management control system to
align the organization to the “True North”.
• Use of Hoshin Kanri X Matrix, a lean based strategic planning tool, helps develop
and implement plans that are both strategic, tactical, and coordinated across the
organization
• X-Matrix (see enclosed graphic) allows the organization to go through an iterative,
step-by-step approach to identify long term goals (3-5 years), align them with short
term objectives (1-2 years), and specific initiatives that will realize the desired
outcomes. Additionally, it goes on to identify the measures for success, and
accountabilities.
• Catchball is a participative approach in lean decision-making in which information
and ideas are thrown and caught back and forth, up and down throughout the
organization to gain alignment. Typically, an X-Matrix is taken through several
catchball exercises, up-and-down and horizontally across the organization.
• As the organization proceeds with the identification of the specific initiatives/value
streams, A3 is the lean problem solving tool, which allows the organization to think
through the problem in a structured manner (identify the problem statement, current
and target state, the gaps, root causes, and counter-measures to address the
gaps).
US ARMY : LOGISTICS STRATEGIC PLANNING
CONTRIBUTORS
Ed Dillenschneider Deputy Director, Strategy & Integration
Background • New guidance to Create the Army of 2040 • New Army Chief Logistics officer (DCS G-4) Level-C leader
Think — Need a new strategy Plan — Apply ASP Body of Knowledge to create strategy Act — First ever Logistics Strategic Planning Guidance created
o Nested and aligned with Army strategic guidance Focus on three lines of effort (LOE)
o C suite executives developed supporting objectives
Includes ends (goals), ways (how), means (resources), deliverables (what), timelines (when), responsible officer (who) metrics, and why (how supports LOE(s)).
o Each individual’s evaluation objectives includes alignment LOE
Think – what updates are needed to the Logistics Strategic Planning Guidance? Plan – release update prior to the next budget cycle Act – update/refine create new objectives, continue metrics reporting. Repeat
US ARMY : LOGISTICS STRATEGIC PLANNING
CONTRIBUTORS
Ed Dillenschneider Deputy Director, Strategy & Integration
Collaborative partnership with AMC, ASA(ALT), G-4 and CASCOM!
REFERENCE
• Contact Patrick Tam ([email protected]) with any questions or for more information
• Snapshots will be available on the ASP website