Once the board has set the purpose and vision for the future of the organisation, directors/trustees and management will work through a process to plan the strategies that will take the organisation on its journey.
Strategic plans are long-range — at least five years. It is not uncommon for Māori organisations to develop strategic plans for 25 years — a generation.
Strategic plans should cover at least:
Some boards choose to involve an external facilitator. Final responsibility for the strategic plan, and its implementation, remains with the board.
There is no one set way to develop a strategic plan. The following steps could be used as a guide.
Researches the environment and prepares a good picture of the current situation both inside and outside the organisation.
- Directors/trustees then:
- Review the current position
- Analyse the strengths, weakness, opportunities and threats in the current situation (a SWOT analysis)
- Analyse issues relating to the political, environmental, economic, social and technological future (a PEST analysis)
- Analyse any competitors
- Identify and prioritise possible changes
- Directors/trustees work with management to develop business strategies:
Strategies could include investment strategy, product strategy, brand strategy, human resources strategy etc
- Directors/trustees work with management to:
Set the milestones and time frames that will then be monitored by the board as the strategies are implemented.