In this blog we are going to look at what, in Bendel Services’ view, constitutes an effective strategic plan.  Let’s start off with an all-too familiar occurrence.

Organizations are proud to display their strategic plans to clients, associated personnel, government officials and employees.  The plans are usually encoded in glossy pamphlets or booklets with attractive planning charts and photos and a plethora of terms like:

• strategic initiatives
• primary goals
• essential deliverables
• key performance indicators
• pillars

Many of these plans say the same thing and while the terminology may be impressive, the very use of too many terms like these make the plan overly complex and confusing.

When it comes right down to it, an effective strategic plan should be built around three questions:

1. What does the organization want to accomplish during its upcoming planning cycle?
2. How are the strategic initiatives that are the essence of the plan to be accomplished?
3. How will the organization know if it has been successful in realizing the plan?

As noted in the March 11th blog, it is vitally important that the planning begins only after there has been a comprehensive review of the last plan and, most particularly, the successes and failures that were evident.  If an organization has not done that kind of analysis, it risks committing the same errors in the new plan.  Let’s assume that the review of the last plan has been carried out and it’s time to begin anew with past learnings about planning processes as a basis for future activity.

Bendel Services has developed the following list of 9 characteristics of an effective strategic plan. Characteristics #1 and #2 will be discussed in this blog. Characteristic #6 will be discussed in March 25^th’s blog.  These three, in the opinion of this writer, are the most important and the ones in most need of explanation.

1. Directed toward the achievement and strategic initiatives
2. Aligned to the mission/vision of the organization
3. Measurable
4. Realistic in terms of the time identified for the achievement of all initiatives
5. Properly sequenced
6. Supported by detailed action plans which are directed to achievement of objectives
7. Conceived realistically in terms of the availability of resources
8. Supported by a scheduled process on interim and final evaluations
9. Aligned to the lifespan of the governing board (if possible and applicable)

Characteristic #1 is the most important of all and its importance surrounds the meaning of the word strategic.  In this case strategic means something that will result is a substantial change in the nature of the products or services the organization delivers and/or the workflow of the organization, a change that is justified in the pre-planning work discussed in this blog.  If the plan codifies simply what has been done in the past, it is not a strategic plan but an operational one.

By including the notion of change, as well, planners should be respectful of the time, effort and resources the change will take.  That means, for instance, that the strategic initiatives can likely be realized in full after 3-5 years in the implementation phase.  It also implies that these initiatives should be few.  When one looks at a plan of 25 or 30 initiatives, one can assume rightly that the initiatives are either not substantial enough as to be “strategic” or, because of the sheer number, will not be achieved within a normal planning cycle.  The equation that should underline the identification of a strategic initiative should be as follows:  Strategic Plan as Change in Substance and Workflow = Identification of a Limited Number of Initiatives Directed to Change + Time and Resources to Realize Those Initiatives

The real test comes at the end of the planning cycle and the answer to this question: Does today’s organization reflect genuine differences from the one that existed at the beginning of the planning cycle?  If the answer is “Yes,” then strategic planning has worked.  If the organization looks too much like the old organization, the plan has not worked as a strategic initiative.

Characteristic #2 is alignment.  Most organizations are poorly aligned which means, among other factors, that the products and services that are created are not in line with the values and mission statements that govern the organization.  Before an organization begins its strategic planning process, it would be well served by a review of the charter or terms of reference under which the organization exists (and perhaps cannot change).  In this way, the organization serves one integrated set of purposes and stays true to its roots, to the reasons why it was created in the first place.

Characteristic #6 is the detailed development of a series of action plans that guide the plan’s achievement.  Bendel has a suggested model for this key area of planning and the way the model can be used to supervise the workflow and, incidentally, individual performance – all in the context of a well-constructed strategic plan.  That’s the topic for March 25th’s blog.

Dr. Dan