Understanding the Process of Strategic Planning

This presentation provides an in-depth understanding of the process of strategic planning in business. It covers topics such as business mission, vision, objectives, goals, and competencies, factors to consider while formulating a strategic plan, micro and macro environments, and the effectiveness of techniques like BCG and SPACE analysis. The presentation also includes references for further reading.

Business Strategy
(Understanding the process of strategic planning)

Table of Content
• Introduction
• Business Mission, Vision, Objectives, Goals and
Competencies
• Factors to be considered while formulating plan
• Micro Environment
• Macro Environment
• Effectiveness of Techniques
• BCG Analysis
• SPACE Analysis
• References

Introduction
• Business strategies are the part of the managements.
Generally it is refers to a long term plan of action
framed to achieve a certain objective or goals.
• The Volkswagen is the German auto-makers which
was founded on nearly my 28,1937 by German
labour front and have headquarter in Wolfs burgs.

Cont...
Kirsty's is the company which was formed in year 2013, the
several goods and services provide by firm was healthy ice-
creams. In which firm may not use any harmful product.
The main aim of this company is to attract large number of
customer through provide quality goods and services to
people.

Business Mission, Vision, Objectives,
Goals and Competencies
The managers and leaders are responsible for line up several
elements for the purpose of gain market consistency:
Mission: The mission of firm is to enhance market share
through improve way to manage business.
Vision: The business organization wants to improve overall
performance and manage work quality as well. It aims to
perform various activities with a aim of:
– Quality
– Standards

Cont...
Goals: Company have to provide best quality and services
to people for the purpose of earn profit and increase level of
sale.
Objectives: They state about how business organization will
attain its goals:
•Try to fulfil expectation of customer and meet their level of
satisfaction.
•Use several innovation and creation.

Cont...
Core Competencies: Kirsty's is engaged in the process
of offering healthy meals to its targeted customers via
several modes. It can serves through restaurants, super
stores and canteens.

Factors to be Considered while
Formulating Strategic Plan
There are several types of factors has been used by
company in order to meet set of target within
stipulated time period. Furthermore, there are two type
of environment which having impact on company:
Micro and Macro. Factors that are considered at time
of framing planing is known as SWOT analysis and
PESTEL for the environment.

Continue...
Some of the major elements which must be considered while designing
an effective strategy are discussed as follows:-
 Internal assessment.
 External analysis.
 Capital

Micro Environment
It can be managed with the help of several rules, regulation and
policies of the company. Micro environment has been considered
as internal analysis. It has to be evaluated by Using SWOT
analysis:
Strength: For automotive firm their equipment as, services and
their products an be its strength that help to build quality image
in customers mind.
Weaknesses: Unnecessary activities and untrained staff can be
their weaknesses.
Opportunity: Quality services and cost or standard
Threats: Competitive organisations.

Macro Environment
There are various types of external factors which having impact
on the overall growth and development of firm. it should be done
through PESTLE analysis:
Political:
•Legal authorities attitude towards company in food sectors
which having impact on business.
•They are facing different political difficulties in various
countries.

Economic:
•Economic growth rate of
entire country.
•Dynamic changes in rate of
unemployment.
•Inflation and deflation rate
which can be change
according to the condition of
country.
Cont...
Social:
• The company affect the
social factors of the society
which has to be operated.
• Volkswagen provide
employment opportunities
to society people.
• There are more than 500000
employees who works in the
firm.

Cont...
Technological: Volkswagen also adopt latest techniques and
methods for making innovative car models and serve to the
customers. The firm will help all new technologies for making
such cars that includes Audi and Bentley
Legal and Environment: Volkswagen needs to focus on
competition law, intellectual property and consumer protection
law. Car using diesel and petrol are polluted the surrounding air.
Also the material which are used for making roads are affect the
society environment.

Effectiveness of Techniques
There are several tools has been used by top management of
firm as to analyse efficiency of opted methods.
The two strategies used by Kirsty's are:
•BCG Matrix
•Space Analysis

BCG Matrix
The cited firm have to classify as well as manage entire
goods and services in a actual manner with this matrix. It
help in portfolio or investment management.

SPACE Analysis
SPACE analysis has been stated to be an technique which is
opted by top management in Kirsty's to achieve as well as
strategies future business activities.
Financial strengths: The Kirsty's is the company which is
trying to improve its profitability by 4% in next one year.
Competitive advantage: Inventive, planned or dynamic
approach.

Continue...
 Aids in attaining strategical goals in a defined time frame.
 Control the possibilities of losses.
 Provide best facilities to the clients as well as employees.
 Assist the staff members towards corrective path.

References
Aaltonen, K., 2011. Project stakeholder analysis as an
environmental interpretation process. International journal of
project management. 29(2). pp.165-183.
Afifi, G. M., 2011. E-learning as an alternative strategy for
tourism higher education in Egypt. Quality Assurance in
Education. 19(4). pp.357-374.
Arora, P. and Dharwadkar, R., 2011. Corporate governance and
corporate social responsibility (CSR): The moderating roles of
attainment discrepancy and organization slack. Corporate
governance: an international review. 19(2). pp.136-152.

Thank You