Strategic Planning Formulation and Execution

Question: Discuss about the Strategic Planning for Formulation and Execution. Answer: Introduction: Strategic Planning refers to a predefined plan made to anticipate future opportunities and threats to the organization. It also states the vision and mission behind the plan. It is important because it is a blueprint which will help in decision-making for all the different business units and the organization as a whole (Simerson, 2011). The benefits of strategic planning are that it increases the profitability, market share and goodwill of the organization. Managers get more clarity about what to do next. It will set a different identity than that of its competitors. It increases the job satisfaction of the employees. The more the employees will be satisfied the more will be their productivity. Therefore, they will make an effort together to achieve the organizational goals (Mitchell, 2007). Yes, strategic planning is one of the only sole responsibility of the senior management and leadership. The senior management has to take care that the plans are made very clear. They also monitor the implementation and constant improvement in the plans and policies when needed. Leadership is important to know the extent to which the authority and responsibility should be delegated. It is essential to put the right person in the right place. No, it is not the only sole responsibility of the senior management and leadership but it is one of them. They also have the responsibilities of the stakeholders who are the suppliers, customers, shareholders and employees of the organization. They are the ones who have their interest in the company and can affect or get affected by the plans, policies, decisions, activities and objectives of the organization (Freeman, 2010). From the above discussion it can be concluded that the strategic planning portrays the picture of a particular business unit and not the whole of it. Therefore, it is not the only duty of the senior management. As they need to keep their eye open for the proper functioning of the organization. References: Simerson, B, K. (2011). Strategic Planning: A Practical Guide to Strategy Formulation and Execution, ABC-CLIO, LLC, California, USA. Mitchell, H, M. (2007). The 7 Benefits of Strategic Planning. Viewed on 7th January2017 from: https://www.strategicmgmtresources.com/7benefits.html. Freeman, R, E. (2010). Strategic Management: A Stakeholder Approach. Cambridge University Press, New York, USA.