1. Strategic Planning
Dr. Fred Mugambi
JKUAT

2. What is Strategic Planning?
A process of developing and maintaining consistency or fit between an organization’s objectives and its resources and its changing ext. environ

3. Why do Strategic Planning?
Defines the organization’s direction
Communicates the overall corporate thinking
Ensures effective use of resources
Serves as a framework for decisions or for securing support
Sets the framework for monitoring progress and evaluating results
Stimulates change
Avoids wastage of time and other resources

4. Components of the Strategic Planning Process
Vision
Mission
Core values
Objectives
Strategies
Policies
Other components of the operating environment

5. How does planning influence or guide change?
It is the first step in initiating organizational change
It helps to trigger or preempt change
It helps to determine where an organization is headed, how it will get there and how it will know it actually got there

6. Summary of Strategic Planning
Stage
Outputs
Where are we?
External environmental analysis
Internal environmental analysis
Where do we want to go?
New vision, mission & core values
Strategic objectives
HOW do we get there?
Strategies
Results and operational plans
Required resources
What practical next steps must be made to get there?
Short-term budgets
Short-term organizational,
managerial, HR, etc. decisions and
actions (“Quick Wins”)
How do we monitor & evaluate the plan?
M&E plan

7. What is a Vision? Planning begins with a vision. Possible definitions:
Answers the question: What will success look like in future?
A mental perception of the kind of environment is to be created within a broad time horizon
A shared image of what an org. wants to become – resonates with all & helps them feel proud, excited & part of something bigger…
Notes:
Vision is more emotional than analytical – a dream…
It is the pursuit of the dream, share image of success or shared perception of the future environment that really motivates people to work together

8. Characteristics of an effective vision:
Imaginable: Conveys a picture of what the future will look like
Desirable: Appeals to the long-term interests of employees, customers and stakeholders
Feasible: Comprises realistic, attainable goals
Focused: Is clear enough to provide guidance in decision making
Flexible: Is general enough to allow individual initiative and alternative responses in light of changing conditions
Communicable: Is easy to communicate

9. Examples of Visions:
“Become the company most known for changing the worldwide image of Japanese products as being of poor quality.” (Sony 1950s)
“An Apple on every desk” (CEO, Apple Computers)
“To be a university of global excellence in training, research and innovation for development” (JKUAT)

10. What is a Mission?
An elaboration of the vision statement
Defines the basic reasons for the existence and helps legitimize existence in society
Common intent to which everyone in the organization can point - captures the broad purpose and functions of the organization
Contents of a mission statement:
Purpose statement – Why do we exist? What is the ultimate result of our work?
Business statement – What activities do we do to accomplish the purpose?

11. Examples of Mission statements:
“To drive the integration of ICT in research and learning through quality, cost effective and efficient provision of ICT services and to be a key partner in the evolving information society” (Kenya Education and Research Network)
To offer accessible quality training, research, and innovation in order to produce leaders in the fields of Agriculture, Engineering, Technology, Enterprise Development, Built Environment, Health and other Applied Sciences to suit the needs of a dynamic world (JKUAT)

12. What are Guiding Values?
Other names: core values, corporate philosophy or guiding principles
Definitions:
values that guide principles for corporate actions and ethical behaviour, define the character of relations with stakeholders, and set management style and corporate culture
the organization’s essential and enduring tenets - a small set of timeless guiding principles that require no external justification
reflection of the deeply held values and tend to be independent of the external environment

13. CVs describe what organizational members:
really care about
hold dear
makes them stick
One way to determine whether a value is a CV is to ask:
“would this value continue to be supported if circumstances changed?”
Examples of CVs:
integrity
fairness and justice
excellent and friendly customer service
team work
innovation
professionalism, etc

14. Integrating Vision, Mission, Guiding Values
Future
Guiding Values
Vision
Mission
Today

15. Vision, Mission, Guiding Values
Arrow connects Today and Future
Means Mission statement must “work” not only today but for the intended life of strategic plan
Vision
Arrow does not begin at Today but at some point in the future
Means Vision statement is not true in the present, but only in the future
Guiding Values
Both Vision and Mission statements “reside in a sea of guiding values” – GVs influence everything

16. What is SWOT?
S&W are realistic and objective appraisal of the resources or capabilities that help (S) or deficiencies that hinder (W) an organization to accomplish its mission
O&T are ext. factors or situations that affect an org. in a favorable (O) or negative way (T)
Importance of SWOT:
clarifies the conditions within which an organization operates
provides good indication of strategies – build on S, take advantage of O & minimize the effects of W&T
N.B. If not addressed, W&T become S&O for others

17. Critical Questions after SWOT
How can X use its strengths to take advantage of the available opportunities?
How can X use its strengths to overcome the threats identified? W
What does X need to do to overcome the identified weaknesses in order to take advantage of the opportunities?
How will X minimize its weaknesses to overcome the identified threats?

18. What are Strategic Issues?
A strategic issue (SI) is a fundamental challenge affecting an organization’s mandate, mission, product, service delivery or clients
Identifying SIs or Overarching Issues enables an organization to focus on the key challenges or policy choices
SIs should be are derived from SWOT analysis and consistent with the mission and vision
SIs are few
Objectives, strategies and activities are developed around strategic issues
Vital for strategic issues to be dealt with expeditiously & effectively for survival and prosperity

19. Importance of identifying SIs:
Focuses attention on what is really important
Emphasizes issues rather than answers
Can create “useful tension” necessary for true change
Helps in identifying solutions

20. What are Strategic Objectives?
Definitions:
Broad statements about where the org. wants to be at some point in the future
Goals to be achieved within a period of x years in order to address the SIs and meet the vision and mission in the context of core values
The end state to be achieved – “sum total” of objectives = mission, vision
Note:
Each strategic issue has preferably one or two strategic objectives

21. What are Strategies?
Strategies are statements that set how the organization will achieve its objectives
They are the many ways to achieve objectives
Strategies define the alternatives selected by the organization

22. Thank you