STRATEGIC PLANNING
ABDULLAH ALKHADRAWY, PMP, RMP
VISION
MISSION
OBJECTIVES
STRATEGIES
IMPLEMENTATION
MONITOR & CONTROL
IDEOLOGY/ CORE
VALUES
F I R S T E N T R Y
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ABDULLAH ALKHADRAWY, PMP, RMP
Prepared by BSc. Civil Engineering (V. Good HONS)
2006 Graduation Project (Project Management)
2006.(Excellent graded) Achieved PMI-PMP® April2011 Achieved PMI-RMP® April2016 Certified by Primavera Inc. ® : Advanced
user for Primavera P6 (2008). Certified by Primavera Inc. ® : Advanced
user for primavera Contract Manager 12 (2009).
Working as: Sr. Planning Engineer
Abdullah Ahmed Al-Khadrawy
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ABDULLAH ALKHADRAWY, PMP, RMP 4
Strategic Planning
•Organization's process of defining its strategy, or direction, and making decisions on allocating its resources to pursue this strategy. It may also extend to control mechanisms for guiding the implementation of the strategy .
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ABDULLAH ALKHADRAWY, PMP, RMP
Strategic Planning1) VISION2)
MISSION 3) OBJECTIVES4) STRATEGIES
5) IMPLEMENTATION6) MONITOR & CONTROL
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1) VISION
ABDULLAH ALKHADRAWY, PMP, RMP
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1) VISION
VISION
• Each firm should determine certain core values and purpose to be followed and planned based on them.
• The firms core values and purpose constitutes its core ideology and remain relatively constant.
• They are independent of industry structure and the project/product lifecycle.
2) MISSION
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Mission Statement
• Captures the essence of why the organization exists – Who we are, what we do.• Explains the basic needs that you fulfill.• Expresses the core values of the organization.• Should be brief and to the point.• Easy to understand.• If possible, try to convey the unique nature of your organization and the role it plays that differentiates it from others.
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2) MISSION
CORE VALUES
VISIONARY GOALS
CORE PURPOSE
• Communicate the firms core ideology (the vision) and its visionary goals.
• Generally be represented by three components:
1.CORE VALUES
2.CORE PURPOSE
3.VISIONARY GOALS
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2) MISSION
CORE VALUES
VISIONARY GOALS
CORE PURPOSE
1.CORE VALUES: Few values (i.e. around five). Reflect the deeply assessed values of
the organization. Independent the current industry
environment, and the management fads.
Will not change even if the organization changed the applied industry.
Fixed against business/ circumstances / or industry changes.
E.g. excellent customer service, pioneering technology, creativity, integrity, & social responsibility.
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2) MISSION
CORE VALUES
VISIONARY GOALS
CORE PURPOSE
2. CORE PURPOSE: The organization's fundamental
reason for being. Broad, fundamental and enduring; A good purpose should serve to
guide and inspire the organization for years, perhaps a century or more.
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2) MISSION
CORE VALUES
VISIONARY GOALS
CORE PURPOSE
3. VISIONARY GOALS: The lofty objectives that the
company's management decides to pursue.
Describes some milestones that the company will reach in the future and may require a decade or more to achieve.
Longer term and more challenging than strategic or tactical goals.
Challenging enough so that people nearly gasp when they learn of them and realize the effort that will be required to reach them.
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2) MISSION
CORE VALUES
VISIONARY GOALS
CORE PURPOSE
3. VISIONARY GOALS (CONT.):Most visionary goals fall into one of the following categories: Target - quantitative or qualitative goals
such as a sales target or Ford's goal to "democratize the automobile.“
Common enemy - centered on overtaking a specific company such as the 1950's goal of Philip-Morris to displace RJR.
Role model - to become like another company in a different industry or market. For example, a cycling accessories company might strive to become "the Nike of the cycling industry."
Internal transformation - especially appropriate for very large corporations. For example, GE set the goal of becoming number one or number two in every market it serves.
ABDULLAH ALKHADRAWY, PMP, RMP
2) MISSION STATEMENT EXAMPLES
To Explore the Universe and Search for Life and to Inspire the
Next Generation of Explorers
To Make People Happy
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2) MISSION STATEMENT EXAMPLES
Today, shared values are more essential than ever before-for enterprises, for individuals and for the globally integrating society of the 21st Century.Dedication to every clients successInnovation that matters – for our company and the worldTrust and responsibility in all relationships
McDonald’s brand mission is to be our customers’ favourite place and way to eat. Our worldwide operations are aligned around a global strategy called the Plan to Win, which center on an exceptional customer experience – People, Products, Place, Price and Promotion. We are committed to continuously improving our operations and enhancing our customers’ experience.
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2) MISSION STATEMENT EXAMPLES
At Microsoft, our mission and values are to help people and
businesses throughout the world realize their full potential
Google’s mission is to organize the world’s information and make
it universally accessible and useful.ABDULLAH ALKHADRAWY, PMP, RMP
3) O B J E C T I V E S
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3 ) O B J E C T I V E S
• Guided by the business vision• Measurable financial and strategic objectives.• Financial objectives involve measures such as:
sales targets and earnings growth.• Strategic objectives are related to the firm's
business position, and may include measures such as market share and reputation.
ABDULLAH ALKHADRAWY, PMP, RMP
ABDULLAH ALKHADRAWY, PMP, RMP
4) S T RAT E G I E S
4 ) S T R AT E G I E S
• First step to make environmental scan.• Then make studies and analysis till the limit
that is necessary for guiding the business strategy.
• Making market analysis using the useful tools e.g. SWOT analysis, or Porter’s five forces model.
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4 ) S T R AT E G I E SSWOT analysis• Four elements in a 2×2 matrix.• Strengths: characteristics of the
business that give it an advantage over others
• Weaknesses: characteristics that place the business at a disadvantage relative to others
• Opportunities: elements that the business could exploit to its advantage
• Threats: elements in the environment that could cause trouble for the business
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4 ) S T R AT E G I E SPorter’s five forces model• A graphical representation of Porter's
five forces• Framework that attempts to analyse
the level of competition within an industry and business strategy development.
• Draws upon industrial organization (IO) economics to derive five forces that determine the competitive intensity and therefore attractiveness of an Industry.
• Attractiveness in this context refers to the overall industry
Industry
Rivalry
Bargaining
power of
suppliers
Threat of
substitute
products
Bargaining
power of
customers
Threat of new entrant
s
ABDULLAH ALKHADRAWY, PMP, RMP
4 ) S T R AT E G I E S• Given the information from the environmental scan,
the company should match its strengths to the opportunities that it has identified, while addressing its weaknesses and external threats.
• This is accomplished through strategy formulation.• To attain superior profitability, the company seeks to
develop a competitive advantage over its rivals.• A competitive advantage can be based on cost or
differentiation.• The strategy main target, to build a plan shall lead
the firm to the success (achieve the objectives).ABDULLAH ALKHADRAWY, PMP, RMP 25
ABDULLAH ALKHADRAWY, PMP, RMP
5) IMPLEMENTATION
5) IMPLEMENTATION• The selected strategy is implemented by means of programs,
budgets, and procedures.• Implementation involves organization of the company's
resources and motivation of the staff to achieve objectives.• The way in which the strategy is implemented can have a
significant impact on whether it will be successful. • In a large company, those who implement the strategy likely
will be different people from those who formulated it. • For this reason, care must be taken to communicate the
strategy and the reasoning behind it. Otherwise, the implementation might not succeed if the strategy is misunderstood or if lower-level managers resist its implementation because they do not understand why the particular strategy was selected.
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ABDULLAH ALKHADRAWY, PMP, RMP
6) MONITOR & CONTROL
6) Monitor & Control
• Continuous activity being applied as parallel to the business implementation.
• The implementation of the strategy must be monitored and adjustments made as needed.
• Evaluation and control consists of the following steps:• Define parameters to be measured• Define target values for those parameters• Perform measurements• Compare measured results to the pre-defined
standard• Make necessary changes
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6) Monitor & Control
• Deming Model:
• Plan, Do, Check, Act• Repeat.• Record and apply the lessons
learned.• Plan
ABDULLAH ALKHADRAWY, PMP, RMP
CONTACTS
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