It is the set of decision-making criteria and the decisions taken and implemented by an organization to definitively and permanently guide its activities and structure.
We would like to highlight 2 important aspects: The following could serve as an academic definition of SP: “A proactive, structured process implemented by organizations consisting of the dynamic use of specific selected external opportunities that engage and develop internal competencies with the aim of fulfilling the organization's mission and creating value for its stakeholders”.
The strategy is a means that the organization chooses in order to move from its current situation to a desired situation in the future”.
that should be placed on anything considered to have a strategic role.
The CEOs can and should rely on their teams to create the plan and can also receive assistance from third parties (consultants).
However, neither the team nor consultants can replace their initiative when analyzing the current situation, creating a shared vision of the desired future and identifying the best way to close the gap between reality and desire. However, methodological support can be purchased to develop the strategic plan.
Perhaps the most common error is to put all the effort into the planning stage, but fail to put the plan into practice.
A variation of this is when its implementation is interrupted by the arrival of a new management team or head who wants to restart the entire process. Making plans for the future is probably the one function of CEOs that cannot be delegated and may represent their biggest “gamble” as heads of organizations.
A thorough understanding of some of the conceptual aspects of strategic planning (SP) is essential before it can be effectively implemented.
Unless such understanding is achieved–which is not always the case–the process may be approached in a superficial manner, which is a common cause for the failure of SP.