Rationalize the link between

leadership and strategic planning

-> the process by which an
organization chooses the
most appropriate courses
of action to achieve its
defined goals.
-> the activities within a
workplace or organization
designed to manage the
activities associated with
the delivery of a strategic
plan.
-> is the ability to positively
influenced people and systems
to have a meaningful impact
and achieve results.
-> is a pattern or plan that
integrates an organization’s
major goals, policies, and
action sequences into a
cohesive whole.
-> is process of envisioning
an organization’s future and
developing the necessary
procedures and operations
to achieve that future.
IMPORTANCE OF STRATEGIC PLANNING
1. It allows organizations to be proactive rather than reactive

2. It sets up a sense of direction

3. It increases operational efficiency

4. It helps to increase market share and profitability

5. It can make a business more durable

Mission and Objectives
-> The mission statement describes the company's
business vision, including the unchanging values and
purpose of the firm and forward-looking visionary goals
that guide the pursuit of future opportunities.
Environmental Scan
Strategy Formulation
Cost Leadership Strategy -> This generic strategy calls for
being the low cost producer in an
industry for a given level of quality.
-> The firm sells its products either at
average industry prices to earn a
profit higher than that of rivals, or
below the average industry prices to
gain market share.
Differentiation Strategy -> This calls for the development of a
product or service that offers unique
attributes that are valued by
customers and that customers
perceive to be better than or
different from the products of the
competition.
Focus Strategy -> concentrates on a narrow
segment and within that segment
attempts to achieve either a cost
advantage or differentiation. The
premise is that the needs of the
group can be better serviced by
focusing entirely on it.
Strategy Implementation
 Evaluation Control
The implementation of the strategy must be monitored
and adjustments made as needed.

Evaluation and control consists of the following steps:

1. Define parameters to be measured

2. Define target values for those parameters

3. Perform measurements

4. Compare measured results to the pre-defined standard

5. Make necessary changes

“If you want to improve the organization, you have to improve
yourself and the organization gets pulled up with you.”

— Indra Nooyi