Strategies, Policies & Planning Premises

Presented By :- Bindiya Rathod

Aayushi Shah
Khushbu Chudasama

:- Dr. Jay Badiyani

Guided By

Submitted To :- Department Of Business

Administration, MKBU,
Bhavnagar.
 Flow of Presentation
 What is Strategic Planning?
 Process of Strategic Planning.
 Levels of Strategy
 What is Policies?
 Features of policies
 Different between Policies and Strategy
 What is Planning Premises?
 Types of Premises.
 What is Strategic Planning?
 Strategic Planning is an Organization’s process of
defining its strategy,or direction,and making
decisions on allocating its resources to pursue this
strategy.

 The determination of the basic long-term goals and

objectives of an enterprise, and the adoption of
courses of action and the allocation of resources
necessary for carrying out these goals.
 Process of Strategic
Planning
1.Determine your Strategic Position
2.Prioritize you Objectives
3.Develop a Strategic Plan
4.Execute and Manage Your Plan
5.Review and Revise Your Plan
 Levels of Strategy

Strategy can be formulated at 3 levels namely,

(i)Corporate level
(ii)Business level
(iii)Functional level
1. Corporate Level Strategy
 Defines the business area in which your
firm will operate.
 Involves integrating and managing the
diverse businesses and realizing synergy
at the corporate level.
 Top management team is responsible.
2. Business level Strategy

Involves defining the competitive

position of a strategic business
unit.
Decided upon by the heads of
strategic business units and their
teams.
3. Functional level Strategy

Formulated by the functional

heads along with their teams.
Involves setting up short-term
functional objection.
 Definition of Business Policy
• Business Policy defines the scope or spheres within which
decisions can be taken by the subordinates in an organization.
It permits the lower level management to deal with the
problems and issues without consulting top level management
every time for decisions.
• Business policies are the guidelines developed by an
organization to govern its actions. They define the limits within
which decisions must be made. Business policy also deals with
acquisition of resources with which organizational goals can be
achieved. Business policy is the study of the roles and
responsibilities of top level management, the significant issues
affecting organizational success and the decisions affecting
 Features of Business Policy

An effective business policy must have following features:-

 Specific
 Clear
 Reliable/Uniform
 Appropriate
 Simple
 Inclusive/Comprehensive
 Flexible
 Stable
 Difference between Policy and Strategy

• The term “policy” should not be considered as synonymous to

the term “strategy”. The difference between policy and
strategy can be summarized as follows-
• Blueprint of the organizational activities. While strategy is
concerned with those organizational decisions which have not
been dealt/faced before in same form.
• Responsibility of top level management. Middle level
management.
• Policy deals with routine/daily activities. While strategy deals
with strategic decisions.
• Policy is concerned with both thought and actions. While
strategy is concerned mostly with action.
• A policy is what is, or what is not done. While a strategy is the
 Meaning of Planning
Premises

• Planning premises means

systemic and logical estimate
for the future factor affecting
planning.
 Definition of Planning
Premises

 According to knootz O'Donnell,

”The assumption derived from
forecasting and used in
planning are caused planning
premises.
 Types of Planning Premises

 Internal and External

 Tangible and Intangible
 Controllable, semi-controllable
 Un-controllable
 Constant and variable.
 Reference
MANAGEMENT (Fourth Edition)
BOOKS:- - JAMES A. F. STONER
- R.EDWARD FREEMAN

MANAGEMENT (Fourth Edition)

- JAMES A. F. STONER
- R. EDWARD FREEMAN
- DANILE R. GILBERT, JR.

https://seprianhidayatamin.wordpress.com/2
LINKS:- 016/04/237-the-three-levels-of-strategy/

https://accountlearning.com/7-important-
steps-in-planning-process/
 ou
k Y
a n
T h