LINKING STRATEGIC PLANNING TO EXECUTION

1

The Planning ProcessStep 1 - Vision / Strategy Statement

What? Why?

Where?Who?

#3 - Where Are We Going? (Goals)

#5 - What Will We Become?

(Goal Line)

#4 - Who Are We? (Image)

#1- What Business

Are We In?

#2 - Why Are We in Business?

Thisprocessrequiresustoaskthe“hard”questionsandtalkaboutallofthe“elephantsintheroom”.Everyonemustfeelfreetogivehonestfeedback

2

1

2

3

4

Step 2 – The Strategic Plan & Forecast

OPERATING PLAN – First 12 Months

2

GLOBAL FORECAST – High-level Revenue,Cost, Expense & Financing Assumptions

3

PRODUCT PLAN – Pricing & Positioning

4

Think Long-term - 5 to 10 Years

BUSINESS MODEL – Who are our customers? How do we generate Revenue, Profits and Cash

1

Introducing Dusty ZundelCEO of Signature Products Group (SPG)

4

Rewards

& Incentives

Major Projects, Cash Flows &

Funding

Detailed Budgets for Cost & Profit Centers

Risk Management - Identify, Analyze & Mitigate

Detailed Budget, Action Plan & Goals by Department

Step 3 – Operating Plan / “Budget”

Budget Process

Involve every employee, provide

opportunity for input & feedback,

listen & respond, secure ”buy-in”

& keep promises.

Politics & Hidden

Agendas

Poor Planning

Lack of Leadership

No Accountability

Incentives & Strategy not

linked

Poor Feedback

Why Budgets Fail

5

If you (the CEO) aren’t committed to the process, don’t waste your time!

The senior team must be willing to follow the same rules as everyone else or budgeting may hurt more than help!

THANK YOU FOR JOINING US!

LINKING STRATEGIC PLANNING TO

EXECUTION