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Strategic planning

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Strategic planning is the most general part as everything starts with the planning. Wrong strategy leads to collapse, when the right strategy is the key to success. It is important to define not only the direction client wants to take, but also to analyze how good is that direction for the client. If the answer is “yes”, it’s necessary to choose the best way to do it.

Strategic planning is fundamental for other types of company planning. It starts from the research of main goals and mission of the company, which is followed by more concrete objectives definition. It is necessary to gather all the information about internal environment of the company, its’ competitors, market situation and other information, which may have influence on company’s performance. After having SWOT-analysis done, it’s necessary to prepare detailed report on strengths and weaknesses  of the company as well as its’ opportunities and dangers in future.

Basing on the above information, it is decided what products and services are the most suitable for company business, what products and services shall be supported and in which way. Each department, responsible for separate products and services, shall make its’ detailed marketing and other plans in accordance with company general plan. Therefore marketing planning shall be made by department, responsible for separate business directions, products categories and markets.

Planning process includes four stages as follows: analysis, planning, realization and control.

Analysis. Planning process starts with overall analysis of situation in the company. The company shall analyze the environment to detect favorable opportunities and to avoid possible dangers. It’s necessary to analyze strengths and weaknesses of company, carried-out and possible marketing events in order to define new opportunities. The analysis provides next stages with the information. Consideration of financial reports is the main issue for understanding of current situation in the company and specific features of its’ development.

Business portfolio is the set of business activities and products the company deals with. It is suggested the best portfolio to adapt the  strengths and weaknesses of company with the conditions of economic environment first of all. Secondly, it’s important to prepare growth strategy for new business activities and products to be included into company portfolio. The companies that follow forcing strategy are concentrated on leadership in target market as defined. Their recipe for success is the adjustment of trade and services to loyal customers’ needs.

Mission shall establish the mail goal of the company and describe in general what the company is aimed at. The mission shall be realistic, concrete, based on specific features and stimulating. 


Strengths to be used in competition

To reach leading position on global market



To reach technological, social and marketing competitiveness by means of constant development

Entrepreneurship style

Ambition for leadership

To reach concrete goals and make it company’s competitive advantage


Involved in business

Managers and personnel work for and treat the company in the way the owners do

Management decision making process


Fast decision making process due to departments cooperation

New organizational structure

Close to customer

Marketing orientation ensures free enterprise


System integration

Orientation for products competitiveness support in decision making

Company will try to invest in more profitable activities and decrease lossmaking ones. The compact portfolio helps company to concentrate efforts on technological upgrade of certain products groups.

First it’s necessary to define key directions that follow company mission when analyzing business portfolio. Strategic business unit (SBU) is the company performance direction that has its’ own mission and goals, it can be planned regardless other direction.

On the next stage of business portfolio analysis company management shall estimate the attractiveness of different directions and decide on the way of support each of them requires. Management shall analyze all the directions and products and decide on input and output of each SBU.

The score of strategic planning is to find the ways of company capacity allotment to gain more advantages out of favorable marketing situation for company interests. That’s why SBU shall be estimated in view of market and sector attractiveness as well as in view of its’ position on the market or in the sector. Business portfolio analysis shall also prevent from investments in market sectors suggested to be attractive, but being unstable at the same time.

It is not right to consider only business portfolio analysis when choosing the most efficient strategy. Nevertheless it helps management to estimate the overall situation of the company and benefit from each direction or product, to allocate the resources within these directions and to target the company for success.

Strategic planning is one of the important aspects of strategic management and part of theory of business management.

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