What Are The Main Components Of A Strategic Plan?

What are the six major components of strategic planning?

6 Elements Of Effective Strategic PlanningDefine your vision.

The vision statement of an organization is an aspirational description of what an organization would like to achieve or accomplish in the future – it is the goal.

Create your mission.

Set your objectives.

Develop your strategy.

Outline your approach.

Get down to tactics..

How do you write a strategic plan?

Draft a planExecutive summary. You want the reader to quickly grasp the mission of your company, its values, issues and goals and key strategies to reach goals. … Signature page. … Company description. … Mission, vision and value statements. … Strategic analysis. … Strategies and tactics. … Action plan. … Budget and operating plans.More items…

What are the components of strategy statement?

There are three basic elements of a strategy statement: the objective, the scope and the competitive advantage. Defining the objective, scope and competitive advantage requires trade-offs, which are fundamental to strategy.

What are Porter’s four generic strategies?

Porter called the generic strategies “Cost Leadership” (no frills), “Differentiation” (creating uniquely desirable products and services) and “Focus” (offering a specialized service in a niche market).

What are the six elements of strategic thinking?

Six common components include: 1) tools for analysis; 2) strategic purpose; 3) values; 4) vision; 5) key goals; and 6) action planning.

What are the 6 steps in the planning process?

The six steps are:Step 1 – Identifying problems and opportunities.Step 2 – Inventorying and forecasting conditions.Step 3 – Formulating alternative plans.Step 4 – Evaluating alternative plans.Step 5 – Comparing alternative plans.Step 6 – Selecting a plan.

What are the four components of a strategic plan?

No matter what approach you take, focus on these four critical elements, which are common to all effective strategic plans:Vision. One’s vision for the business is where we imagine it will be at a future date. … Core competencies and market opportunities. … Effective execution.

What are the five P’s of strategy?

Each of the 5 Ps stands for a different approach to strategy:Plan.Ploy.Pattern.Position.Perspective.

What are the four types of strategy?

4 Levels of Strategy-Making / 4 Types of Strategic AlternativesCorporate level strategy.Business level strategy.Functional level strategy.Operational level strategy.

What are the steps of strategic planning?

What are the stages of the strategic planning process?Identify your strategic position. … Gather people and information. … Perform a SWOT analysis. … Formulate a strategic plan. … Execute the strategic plan. … Constantly monitor performance.

What is a strategic plan example?

Objectives include baseline performance, targeted performance, and an established date for achieving the objective. Any example of a strategic plan must include objectives, as they are the foundation for planning.

What’s the difference between a strategy and a plan?

A plan says, “Here are the steps,” while a strategy says, “Here are the best steps.” Strategy speaks to the reasons why, while the plan is focused on how. … A strategy is the overarching wisdom that coordinates all of the plans in order to effectively reach the goals.

What are the key elements of a strategic vision?

The 5 Key Elements of a Strategic PlanVision.Values.Clearly Defined Outcomes.Accountability.KPIs.

What are the 3 inputs to a business strategy?

Three Inputs Your Strategy Development Process Needs to ConsiderInput from employees throughout and across the organization.Customers’ needs, industry trends, and competitors’ strengths and weaknesses.Strategic management and strategy development process best practices.