The Use of Strategic Planning in Smaller and Bigger Enterprises

Strategic planning makes use of a time horizon running into years in looking at an organization’s future opportunities and its capacity to seize them using the available resources. Strategic planning is applicable in both smaller and bigger enterprises. However, Aileron (2011) identifies that it is less important in smaller corporations as opposed to larger ones, Accordingly, the paper evaluates why strategic planning is more applicable to bigger firms, how to develop a strategic plan, and factors to consider when developing the plan.

Steiner (2010) notes that strategic planning in small planning is not as important as is in large organizations due to three main reasons. First, small firms have smaller sizes with a single CEO with a handful of managers who can easily cooperate. Secondly, they have a limited scope of operations.

Lastly, they have limited access to resources. As such, such enterprises need to be adaptable, agile, and sufficiently flexible to capture new strengths and utilize opportunities. Such a firm therefore requires a flexible plan rather than a fixed nature of a strategic program (Steiner, 2010).

While developing a strategic plan for my business, I would follow the five-step approach as Moore et al. (2009) suggest. First, I would determine the current position of my business. The step would involve conducting an internal and external audit Secondly, I would take the time to identify what is important by focusing on what I would wish my organization to be. On the third step, I would define the business‘s achievement. Such would be setting the company goals and objectives.

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Moreover, in the fourth step, I would determine who is accountable for the implementation of the strategy. Lastly, I would regularly review the implementation process and refine the process accordingly.

Finally, Aileron (2011) notes that there are five main factors to consider while developing a strategic plan. First, engagement is a major factorr The senior management should engage all employees in making the plan (Aileron, 2011). Secondly, there should be proper communication as strategic planning uses bottom-up communication Moreover, innovation is also an important factor since most strategic plans come up with new products and services Furthermore, selecting the strategic planning committee wisely is also a significant factor, as this would determine the success of the plan, Lastly, aligning the company culture to the plan is also an important factor, as this would influence the employees’ acceptance of the strategy.

References

1. Aileron (2011) Five Steps to a Strategic Plan, Retrieved from htlt)://ww\v.lorbcscnm/sitcs/aHeron/2011/10/25/liveestensetoeaestroteeioolan/ Moore, S, B, & Manring, S Li (2009) Strategy Development in Small and Medium Sized
2. Enterprises for Sustainability and Increased Value Creation Journal ofcleuner production, 17(2), 276-282. Steiner, G A (2010) Strategic planning New York: Simon and Schuster.