Sunday, July 15, 2012

The 5 Elements of Strategic Planning


Sun Tzu overall strategic system consists of two major parts:-
  • What is strategic position (strategic planning)
  • How to advance that position (strategy)
One word of caution: -
  • Strategy in itself is not Planning
  • Planning is usually done in a controlled environment
  • Strategy comes later and it deals only with the changes in the field of operation.
In this article, we will only deal with strategic planning, or positioning, not the strategy itself. This is quite another matter.
The five elements or steps must be considered and analysed in any strategic planning process. The analysis is relative to your opponent situation. It is a fact that a position on its own is not strong or weak, it is only so in relation to your opponent (competitor) position.
The five elements therefore must be considered for both, you and each opponent in the game you are playing, in other words, the market you are in.
One major fault of the current strategic analysis prevailing in the market place, called, "SWOT"; (Strengths Weaknesses Opportunities Threats), is the fact that it deals with these four elements in isolation of the competitor situation.
What may be perceived as weakness in an organisation may not be so in comparison to all the competitors in this market.
Therefore, it is fruitless to do a "SWOT" analysis without taking your opponent situation or position into account.
Let’s look at the Sun Tzu five elements in details:
  1. The Mission
  2. The Climate
  3. The Ground
  4. The Leadership
  5. The Methods
Getting these five strategic elements right before any execution or venturing into business, is the best way to ensure success in any endeavour you choose to undertake in life. 


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