What is a strategic Plan?

Strategic planning is a business activity that is important to a company's ability to succeed.  The strategic plan is a detailed document used to report the company's functions and goals. There is no specific format, but all good plans require regular updating and revision.

Some Key Elements of a Strategic Plan

  • Vision and mission statements (purpose)
  • Core values  (philosophy and principles 
  • SWOT analysis (Strengths, Weaknesses, Threats, and Opportunities)
  • Detailed goals and objectives 
  • Action plans and scorecards (tracking)

Business Plan Components

Components of some Strategic Plans

  • Table of Contents

  • Executive Summary: snapshot of company 

  • Mission & Vision: purpose, (Mission), perception, growth and potential (Vision), Goals and objectives 

  • Business Description: background information, brief history, company principals.

  •  Market: target market, targeted clients,  market share. May include:

  • Industry Analysis  (External Environment Analysis): industry structured, trends and statistics, key players, segmentation, sales and distribution channels etc.

  • Competitive Analysis: major competitors, strengths and weaknesses

  • Customers: customers (demographic data), buying habits, market share/market size, consumer preferences: 

  • Advertising and Promotion

  • Pricing 

  • Location

  • Products & Services

  • Organization & Management 

  • Marketing & Sales Strategy 

  • Financial Analysis (Ratio analysis)

  • Appendices

Marketing Macro-Environment

Market macro-environment analysis

Analyzing the economic macro environment by  identifying trends in gross domestic product (GDP), employment, spending, monetary & fiscal policy, inflation, and more. 

CDSTEP

  • Competitors/Culture (Morals, beliefs, values)
  •  Demographics (characteristics of the human population)   age, gender, and geographic location
  • Social/cultural trends (how people act and buy things) - customer values, risk tolerance, or buying behaviors)
  •  Technological advances - trends in usage, security, and innovation
  • Economic situation - recession, currency value, and disposable income
  • Political/legal - local legislation, policies, and licensing regulations