Strategic planning defined – Operational planning defined – preparing detailed o
ID: 393447 • Letter: S
Question
Strategic planning defined –
Operational planning defined – preparing detailed organizational plans for the coming fiscal year.
Strategic planning key difference –
Operational planning key difference –
Who are the typical participants in each process?
How does an organization benefit from operational planning?
Provide an example of a company which has been successful in implementing Strategic and Operational planning?
Provide an example of a company that has failed in implementing Strategic and Operational planning?
Explanation / Answer
Strategic planning is an activity of any organisation that is done to set goals for an intended outcomes, focus and channelize resources, organise and implementing operations and employees and other contributors so that they are working toward achieving the common goal. An effective strategic planning not only ensure the direction in which an organization has to go but also plans about the actions needed to make those progress successfully.
The steps of a strategic planning are as follows:
Strategic planning is done mostly at the top manegment level which includes mostly the Leaders, CEO and Directors of the company where they have the rights to decide about the future aspirations and goals of an organisation.
One of the example of successful strategic planning of the organisation called NETFLIX. Netflix is one of the successful player of film and television online streaming worldwide. Today being so many players in the online streaming and data service Netflix has successfully strategies by making a move towards original content which other competetors like amazon and youtube fail to offer. As a result what looked like an alien venture four years back through a strategic planning and its implementation has now proved to be the reason of enormous distance between Netflix and all of its rivals.
As a part of the operational plan Netflix used consumer data such as viewing history, preferences for artists and genre of movies watched to deeply understand its audience that have been possible with an in-depth analysis and studying the viewing behaviour of the viewers the company made sure that the right content reaches the right consumer through its recommendation system
An Operational planning on the other hand is the process of planning implementation strategy and objectives in a comprehensive way towards achievement of the plan with the activities and the resources required . Basically, an Operational Plan for the implementation of strategies of the bigger picture that is the Strategic Plan.Operational planning is done to achieve short-term objectives and are used to set priorities in such a way that it leads to the accomplishment of larger goals
Steps of an operational plan include:
The team involved in the operational plan is the middle management and the departmental and operational heads of the company who are responsible for the performance of the particular departments and its functioning on a more implementation level as compared to the stategic planning team.