You must have the best organizational planning practice you can muster to complement your Enterprise Risk Management regime! Was Mintzberg right in saying Strategic Planning was dead? We continue our discussion of strategic planning best practices, supported by research.
- purpose: to relate various management practices to one another in a logical order
- to use as a reference to compare and make changes to your own organization
- don’t forget all the wasted time in meetings
- is there potential for meaningful organizational change?
- common attitudes: planning
- strategic planning is popular; yet somehow mysterious and ineffective (kinda sounds like ERM!)
- Mintzberg’s article “The Rise and Fall of Strategic Planning“
- his true complaint: not predictive; focused on quantitative targets; not participatory
- quote from Wall & Wall article: better characterization of strategic planning
Subsequent research: Effective strategic planning is:
· an iterative process; participatory, involving dialogue and exchange between planners and the rest of the employee group
· well-informed by detection of trends, conditions and emergent issues; it has to stay relevant in order to arrive at creative and innovative solutions, rather than simply state a static target based on last year’s results
· helps promote an integrated culture, and a sense of belonging to the firm, based on common values
- business failure studies - yup, we do need planning!
- elements of strategic planning
- benefits of strategic planning, including psychological benefits and improvement of morale
What is the best definition Strategic Planning?
What is the rationale for Strategic Planning?
Does this imply an extraordinary amount of work?
1. We reiterated that to begin High Quality Risk Assessment (our core practice in ERM), we must review the planning practice.
2. We reviewed the steps in a suggested planning process (discussed in more detail in Ep 5).
3. We situated strategic planning and many other techniques in a sort of grand schema.
4. Rationalize planning, meetings and management techniques: there is potential for meaningful change
5. We discussed the reason for negative impressions of planning.
6. We cited examples from the literature to show the best practices.
7. We finished with a recommended definition of Strategic Planning and its ultimate rationale.
What is Risk Commentary?
We see a striking contradiction in all businesses: the sharply increasing need for Enterprise Risk Management, as opposed to risk managers' persistent reports of low perceived value of their own processes. Correctly implemented, High Quality Risk Assessment will not only address uncertainty, but even solve chronic business problems. Join Edward Robertson, successful ERM practitioner and thought leader, to discover a simple process that delivers clear value.