Strategic Planning Process

Many factors influence and help shape a business. Managers, when attempting to assess a firms performance, must fully understand a laundry list of interrelated issues. The Strategic Planning Process is a way in which managers can illustrate the potential strengths, opportunities, threats, and weaknesses of an organization. An important aspect of this process is to analyze the business environment in which competition, economic, political, legal and regulatory, technological, and sociocultural factors, to some extent dictate how a business operates. Along with understanding the macro-environment, managers must assess available financial and human capabilities, identify opportunities in the market place, attempt to match core competencies to opportunities resulting in competitive advantage, as well as establish a mission and formulate goals, corporate strategy, and objectives. The Strategic Planning Process is an integral part of helping a business sustain advantages over long periods of time.