Strategy refers to big picture objectives and desired directions of travel for a family, business or organisation. “Strategy is for generals, organising an army for battle”. Contrast this with “Tactics” which are for captains, “leading troops into battle”. Strategy is cerebral (thinking), tactics are operational (doing).
Strategy Plans provide the framework for the whole planning process. Detailed Operational Plans are then created to support agreed goals developed in the strategy planning process.
Family Strategy Plans or, more simply, Family Plans, capture what the family is and what it stands for (Visions); what individuals and the family group hope to achieve over the short, medium and long term (Goals); how they intend to achieve those goals (Family Plans); and who is going to do what, and when, to make it happen (Action Plans).
They reflect the family’s desire and commitment to achieve long term peace and prosperity, and constitute a collective starting point, route map and journey plan to take it there. They usually project 25 to 100 years forwards into the future.
Business Strategy Plans are much shorter term, rarely going out more than 10 years, and usually much less. They have two distinct components:
- Strategy Plans: high level goals and strategies, with justifications: “What, Why and When?” They include target revenues, profits, products, markets, locations, headcount etc. The lead Strategy Plan may be supported by Strategic Marketing Plans and others.
- Detailed Operational Plans, including financial targets and budgets, timings, actions and personal responsibilities: “How, When and Who?”
Both family and business Strategy Plans should be managed as collaborative projects, with the active participation of all key stakeholders in the relevant entities (family and/or business). Getting a family, or senior business executives, working as a team to develop and achieve agreed goals encourages mutual understanding, relationship strengthening, and binding commitments to the goals of the organisation.
Strategy Plans require preparation. Individuals responsible for specific areas of activity in a business, or in a family, should prepare their thoughts and record their numbers in advance of the Strategy Planning workshop. They will be expected to present their thoughts for discussion, adoption and absorption into the larger plan.
The workshop proceeds, over one or two days, to capture and reality check the best information individuals can provide to build a picture of the future of the business, or the family, or both. Through discussions, visioning and stress testing, everybody should end up with a broadly agreed picture of what the future looks like. The organisation is then aligned to work towards achieving those agreed goals.
If you need strategy planning facilitation or advisory services, please call, or contact: The Solutionist Group.