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Strategic
   Planning
 in an era of
Globalization
 Nat Yogachandra
   October 11, 2008
Book Titles




To be published: Globalization and Cultural Competency

 www.natyogachandra.blogspot.com
 www.hopeislife.org
 Nat Yogachandra - www.google.com
What is the Nationality
What is the Nationality
What is the Nationality
What is the Nationality
The Big THREE
           factors
   China has drove down the
    cost of manufacturing

   Major Retailers are driving
    down the cost of retailing

   India/other developing
    countries are driving down
    cost in services - outsourcing
Medical Tourists



                                A clinic recently
                                opened in Mumbai


Private heart surgery in England is $50,000

The same cost applies to joint replacement,
neurosurgery and cancer treatment

Hospitals in Thailand, Singapore, Malaysia,
India are competing to get foreign patients
Business Today
   Business are operated across cultures
    today
   Definition of success now travel
    beyond national boundaries
   Modern business has become more
    competitive
   World on the edge
     US financial crisis - running out of
      options
     India, China and Russia gaining power
     West is losing control - UN
What is a Business Plan

   It is the blueprint that sets you going towards your
    goals. Look upon it as the roadmap that tells you
    and the world how you expect your company
    (organisation) to achieve its stated objectives.

   A business plan is an important communication
    tool that details the financial strategy and goals of
    the organisation.
Planning is about…
Planning is about learning
Planning is about increasing the
possibilities for the organisation
Planning is about discovering how fit the
organisation is for its environment

Planning is about discovering and telling
compelling stories about the future
Value Proposition
   Value proposition is what an organization does, that will
    cause their clients to realize tangible benefits through
    the use of their product or service.

   Value proposition is more than just the service you
    provide; or how you sell, service, or distribute it.

   It’s how you string all those components together, to
    best serve your clients and deliver them real value.
   Value proposition can be both a description of how your
    organization adds value today, and also a concrete
    statement of your vision for the future.
Basic Business Planning Process
               Where are
               we now



How do we                  Where do
know when                  we want to
we get there               go




               How do we
               get there
Where are     PEST analysis
                                 we now        SWOT analysis



     How do we                                  Where do
     know when                                  we want to
     we get there                               go



                                   What
                                   needs to
                                   be done

(Source: Glasgow Social Economy Partnership)
PEST Analysis

   Scan the external macro-environment

     Political
     Economic
     Social
     Technological
PEST Analysis
   Political                   Technological Factors
      Tax policy                  Automation
      employment laws             Technology incentives
      environmental               Technological change
       regulations
      Political stability


   Economic Factors
      Economic Growth
      Interest rates
      Exchange rates
      Inflation rates


   Social Factors
      Health
       consciousness
      Age distribution
      Emphasis on safety
SWOT analysis
      OUR STRENGTH                       OUR WEAKNESS
 For the past three months, great     Fuzzy line of authority
progress observed (parents response
to our communications, quality of      Responsibility to individuals – no
program and implementation of our     authority
promises)                              Process & Procedures –
 Infrastructure- facilities          implementation is weak
 Great show at the ICSE Board Exam    Difficulty in sustaining programs
Results in 2006                        Quality of students joined last
 New members added to the faculty    three months not promising


     OUR OPPORTUNITIES                           THREATS
                                        More schools are coming in the
   Rising income for middle           area with similar or better facilities
  class families                        IB is gaining popularity
   Government’s willingness to         Lack of a unique positioning of
  issue more student visas             our School (except for the
                                       location)
   More housing estates in the         Positioning of the School –
  neighboring area                     School for students with learning
                                       disability or disciplinary problems
Where are   PEST analysis
               we now      SWOT analysis



How do we                   Where do
know when                   we want to
we get there                go



                What
                needs to
                be done
Where do we want to go

Tool          Purpose                  Benefit
Vision        Statement of the Future Motivation and
                                      Inspiration
Mission       Describes how you will   Communication and
              achieve the vision       understanding. Part of
                                       belonging.

Values        An organizations’ way    Underpins all that you
              of doing things          do



Aims          Describe a desired end   Milestones between the
              result                   present and the future
Vision and Mission Statements

   A vision statement: what the company wants to
    be. It concentrates on future; it is a source of
    inspirations and courage.
   A mission statement: tell you what the company is
    now. It concentrates on present; it defines the
    customers. The mission statement describes what a
    foundation plans to do today to make the world a
    better place for tomorrow.
Vision:

Increase and nurture parent
partnerships and collaborations that
will strengthen the educational,
cultural, economic and environmental
assets of the school and the
communities we serve.
Strategic AIMS
   Strategic aims are statements of the results required
in order to ensure the survival, future viability and
progress of the organization
  They are statements of results and not activities.
  Strategic Aims have a number of qualities without
which they become vague and unattainable.
  Therefore good objectives are SMART
      S specific
      M measurable
      A agreed
      R realistic
      T imebound
Where are   PEST analysis
               we now      SWOT analysis



How do we                   Where do
know when                   we want to
we get there                go



                What
                needs to
                be done
What Needs to be Done
   Branding                        Business
   (personality)                   model


                                                                    Team. People
         Differentiation
                                                                    make a
                                                                    Difference


                                  What needs
                                  to be done
           Customer
                                                                       Facilities
           Loyalty


Word of Mouth, Database, Alumni

                                   Product &
        Communication                                                Governance
                                   Services

                                        participatory, consensus oriented, accountable, transparent,
                                        responsive, effective and efficient, equitable and inclusive and
                                        follows the rule of law.
Where are   PEST analysis
               we now      SWOT analysis



How do we                   Where do
know when                   we want to
we get there                go



                What
                needs to
                be done
How do we know when we get there?


Tool          Purpose                  Benefit
Measures      Provide a graduated       Guide to progress for
              scale for measuring       achievement
              size, quantity or quality


Targets       A measured level of      - Stretch
              performance which an     - Assist change
              organisation can
              achieve using the        - Transferrable
              resources it possesses

Measurement   Gather data on           - Delegation
Tools         performance against      - Evidence
              measures
                                       - Responsiveness
Targets
                 Academic Achievement
   Students      Caring Citizens
                 Life-Long Learner



                 Common Goal
Administrators   Strong Communications
                 Empowerment



Parents/         Partnerships
Community        Communication
                 Student Expectation
Strategic Business Plan Bring All Together


                  Where are       PEST analysis
                  we now          SWOT analysis



How do we                           Where do
know when                           we want to
we get there                        go



                   What
                   needs to
                   be done
The Strategic Planning Process - A Global View
      Research - Ext & Internal Environments



            Formulate Vision/Mission


              Overarching Goals

               Strategy Formulation


           Strategy Implementation - Tactics


                 Evaluation & Control
The Process of Organizational Change


                 Changing world/Technology
Clarify the      Establishing a sense of urgency
need to change   Understand markets and competitive realities
                 Discussing crises and opportunities


Define the        Forming a powerful guiding coalition
vision of the    Creating a clear vision about how the future
                 might be different
future           Communicating the vision


Implement the    Modeling the new behaviors
                 Creating short-term wins
change process   Changing the team
                 Institutionalizing the new behaviors
Thank You

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Strategic Planning in an Era of Globalization

  • 1. Strategic Planning in an era of Globalization Nat Yogachandra October 11, 2008
  • 2. Book Titles To be published: Globalization and Cultural Competency www.natyogachandra.blogspot.com www.hopeislife.org Nat Yogachandra - www.google.com
  • 3. What is the Nationality
  • 4. What is the Nationality
  • 5. What is the Nationality
  • 6. What is the Nationality
  • 7. The Big THREE factors  China has drove down the cost of manufacturing  Major Retailers are driving down the cost of retailing  India/other developing countries are driving down cost in services - outsourcing
  • 8. Medical Tourists A clinic recently opened in Mumbai Private heart surgery in England is $50,000 The same cost applies to joint replacement, neurosurgery and cancer treatment Hospitals in Thailand, Singapore, Malaysia, India are competing to get foreign patients
  • 9. Business Today  Business are operated across cultures today  Definition of success now travel beyond national boundaries  Modern business has become more competitive  World on the edge  US financial crisis - running out of options  India, China and Russia gaining power  West is losing control - UN
  • 10. What is a Business Plan  It is the blueprint that sets you going towards your goals. Look upon it as the roadmap that tells you and the world how you expect your company (organisation) to achieve its stated objectives.  A business plan is an important communication tool that details the financial strategy and goals of the organisation.
  • 11. Planning is about… Planning is about learning Planning is about increasing the possibilities for the organisation Planning is about discovering how fit the organisation is for its environment Planning is about discovering and telling compelling stories about the future
  • 12. Value Proposition  Value proposition is what an organization does, that will cause their clients to realize tangible benefits through the use of their product or service.  Value proposition is more than just the service you provide; or how you sell, service, or distribute it.  It’s how you string all those components together, to best serve your clients and deliver them real value.  Value proposition can be both a description of how your organization adds value today, and also a concrete statement of your vision for the future.
  • 13. Basic Business Planning Process Where are we now How do we Where do know when we want to we get there go How do we get there
  • 14. Where are PEST analysis we now SWOT analysis How do we Where do know when we want to we get there go What needs to be done (Source: Glasgow Social Economy Partnership)
  • 15. PEST Analysis  Scan the external macro-environment  Political  Economic  Social  Technological
  • 16. PEST Analysis  Political  Technological Factors  Tax policy  Automation  employment laws  Technology incentives  environmental  Technological change regulations  Political stability  Economic Factors  Economic Growth  Interest rates  Exchange rates  Inflation rates  Social Factors  Health consciousness  Age distribution  Emphasis on safety
  • 17. SWOT analysis OUR STRENGTH OUR WEAKNESS  For the past three months, great  Fuzzy line of authority progress observed (parents response to our communications, quality of  Responsibility to individuals – no program and implementation of our authority promises)  Process & Procedures –  Infrastructure- facilities implementation is weak  Great show at the ICSE Board Exam  Difficulty in sustaining programs Results in 2006  Quality of students joined last  New members added to the faculty three months not promising OUR OPPORTUNITIES THREATS  More schools are coming in the  Rising income for middle area with similar or better facilities class families  IB is gaining popularity  Government’s willingness to  Lack of a unique positioning of issue more student visas our School (except for the location)  More housing estates in the  Positioning of the School – neighboring area School for students with learning disability or disciplinary problems
  • 18. Where are PEST analysis we now SWOT analysis How do we Where do know when we want to we get there go What needs to be done
  • 19. Where do we want to go Tool Purpose Benefit Vision Statement of the Future Motivation and Inspiration Mission Describes how you will Communication and achieve the vision understanding. Part of belonging. Values An organizations’ way Underpins all that you of doing things do Aims Describe a desired end Milestones between the result present and the future
  • 20. Vision and Mission Statements  A vision statement: what the company wants to be. It concentrates on future; it is a source of inspirations and courage.  A mission statement: tell you what the company is now. It concentrates on present; it defines the customers. The mission statement describes what a foundation plans to do today to make the world a better place for tomorrow.
  • 21. Vision: Increase and nurture parent partnerships and collaborations that will strengthen the educational, cultural, economic and environmental assets of the school and the communities we serve.
  • 22. Strategic AIMS Strategic aims are statements of the results required in order to ensure the survival, future viability and progress of the organization They are statements of results and not activities. Strategic Aims have a number of qualities without which they become vague and unattainable. Therefore good objectives are SMART S specific M measurable A agreed R realistic T imebound
  • 23. Where are PEST analysis we now SWOT analysis How do we Where do know when we want to we get there go What needs to be done
  • 24. What Needs to be Done Branding Business (personality) model Team. People Differentiation make a Difference What needs to be done Customer Facilities Loyalty Word of Mouth, Database, Alumni Product & Communication Governance Services participatory, consensus oriented, accountable, transparent, responsive, effective and efficient, equitable and inclusive and follows the rule of law.
  • 25. Where are PEST analysis we now SWOT analysis How do we Where do know when we want to we get there go What needs to be done
  • 26. How do we know when we get there? Tool Purpose Benefit Measures Provide a graduated Guide to progress for scale for measuring achievement size, quantity or quality Targets A measured level of - Stretch performance which an - Assist change organisation can achieve using the - Transferrable resources it possesses Measurement Gather data on - Delegation Tools performance against - Evidence measures - Responsiveness
  • 27. Targets Academic Achievement Students Caring Citizens Life-Long Learner Common Goal Administrators Strong Communications Empowerment Parents/ Partnerships Community Communication Student Expectation
  • 28. Strategic Business Plan Bring All Together Where are PEST analysis we now SWOT analysis How do we Where do know when we want to we get there go What needs to be done
  • 29. The Strategic Planning Process - A Global View Research - Ext & Internal Environments Formulate Vision/Mission Overarching Goals Strategy Formulation Strategy Implementation - Tactics Evaluation & Control
  • 30. The Process of Organizational Change Changing world/Technology Clarify the Establishing a sense of urgency need to change Understand markets and competitive realities Discussing crises and opportunities Define the Forming a powerful guiding coalition vision of the Creating a clear vision about how the future might be different future Communicating the vision Implement the Modeling the new behaviors Creating short-term wins change process Changing the team Institutionalizing the new behaviors