WHY STRATEGIC PLANNING IS IMPORTANT?

Strategic planning is an important activity directed towards achieving success & growth in all aspects of business. It sets the targets, possibilities & ways to achieve the set targets. Without strategy or game plan, no business can move into the right direction, the direction of growth.

All businesses big or small must concentrate on developing strategy for their work so that everything can be managed and optimum results can be achieved in due course of time. Along with that the next achievable targets can be set up. The strategy plays a pivotal role in viewing & re-viewing the results and making necessary changes and take correct decisions at right time.

Strategy can’t play the role if there is no execution & flexibility enough so as to change the rule of games. The strategy should be measurable in terms of quality, quantity, time & cost. Accountability is very important in all phases of the plan.

From launching a new product to introducing new collection or jumping into new markets- a clear approach is required. Once the approach is aligned well with the vision & targets, there is no stopping!

A strategic plan is developed in the following ways-
• Setting up goals
• Setting a plan of where you are now & where you want to go
• Investing time & work into it to make it achievable
• Developing a structure of follow-ups & reviews

1. It helps your competitive advantage
Strategic planning helps building up a strong competitive advantage that helps in gaining foothold & hence developing good partnerships & brand preferences in future. It also immunes the brand from tough price war if focused perfectly. Hence it asses the competition & competitive environment.

2. Communicates your strategy to staff
Strategy involves all the employees; hence it creates a movement within the organization and makes them know what is expected and how to achieve it. It gives clarity to all.

3. Prioritizes your financial needs
It is one of the effective ways to set & prioritize and make checklist of financial goals and needs for present and future. It helps in gathering old data with research and plan activities to get the better out of everything.

4. Provides focus and direction to move from plan to action
The main agenda of strategy is to provide ways for execution. The action oriented strategy is the best one always. It can motivate you to turn ideas & projections into reality; no one can beat the importance of such a strategy.

5. Provides structure to ideas
A systematic structure & process to achieve the goal is clearly visible in a strategy.

6. It contains the vision for future & positions the business for future

7. It can help in identifying new strengths and leverage on them. Also on the other hand it can find out limitations & help in overcoming all those in due time

8. It can lead to brand recognition & increase brand value & awareness in the market
Whether it is launch, brand expansion, mobilization or entering new vistas of operations- a strategy does it all

9. It answers the 6 questions of utmost importance – Who What Why When Where & How

10. It binds the entire organization with a common thread i.e. the bigger purpose giving a sense of belongingness & achievement to the involved people

11. It helps in information exchange between team & can lead towards achieving results together. It helps in creating KPIs for each employee & each department and on the basis of KPIs, individual performance can be measured & hence improved

12. It brings clarity in goals & purpose of existence A strategy always revolves around a goal and that is the sole reason why it comes into picture. The goal becomes clearer over time and develops new ways of functioning & operations.

13. It brings the brand in limelight & prepares the brand for future What strategic planning does is presenting probable future in front of the eyes. Once it starts being followed, it organizes the brand and make it more solid internally and presentable externally, thereby brining it in limelight with activeness of dealings & associations as an overall impact.

14. It identifies loopholes & how to turn weaknesses into strengths Hence, it can be rightly said that strategic planning is the soul of business that gives profitability for its existence & growth.