Strategic planning for distribution

The process of long range planning is relatively new to both the corporation and the distribution area. Until recent years the distribution function was considered a functional area which reacted to, rather than anticipated, corporate marketing effort. New technology in data processing and other areas has provided the support capability for developing both tactical and strategic planning. With this increased capability has come a new responsibility for distribution management to be future oriented—to anticipate the appropriate support role of physical distribution in supporting both short term and long term corporate goals.     

Strategic planning for resources

In the field or purchasing and supply, 1973 was a year to be remembered. A world-wide boom in industrialised countries produced record prices in markets for food, raw materials and manufactured goods. Rates of inflation in the U.S.A., Western Europe and Japan began to approach South American levels. The value of the dollar, the pound and other major currencies fluctuated dramatically, and the stock market experienced falls comparable to those which occurred during the slump in the thirties. Finally, 1973 was the year of the oil embargo, when oil prices were almost doubled and oil supplies to the West were cut by 15–20%, resulting in the rationing of oil and other commodities in Western Europe.By any standards, this was a momentous year. It is conceivable that supply markets will never be quite the same again. The traditional form of multi-national business, integrated from supply to consumer markets, is fast disappearing as the companies formed in developing countries to secure the supply of oil, food and raw materials are being taken over by the host governments. Indeed it may be that after the traumatic experiences of this year, negotiations for food and key raw materials will be increasingly carried out by governments rather than by private companies.To cope with shortages and higher prices in food, fuels and essential raw materials, government bodies and public and private enterprises will have to develop new capabilities. Western governments have responded quickly by setting up Ministers and Ministries for Energy and by establishing huge budgets for research into the exploration and exploitation of alternative fuels. The large oil companies have declared that they are in the “energy business” and have bought interests in nuclear power and coal.But what does the energy and resource crisis mean for the average firm? It seems that in the 1970s we are experiencing a level of competition for supplies similar to the competition for consumer markets which first produced “Marketing” in the late fifties and early sixties.     

Strategic planning for endgame

This article is based on the author's study of 61 firms managing businesses in environments of declining demand. It suggests ways in which firms might better prepare for this problem by managing their own exit barriers and by making strategic investments to affect the level of their competitors' exit barriers.     

Strategic planning for the board

Although the planning operation is regarded by some observers as unrealistic in conditions of rapid change and increasing competition, the discipline of strategic thinking and the need for strategic leadership continue to be of vital importance. The author examines the purpose of the Board of Directors and its role in the management of strategy.     

Strategic planning for public relations

Public relations is a key activity for most chairmen of public companies and nationalized industries. It is somewhat suprising therefore how few large companies consider developing an explicit public relations strategy as part of their overall business plan. The reason for this may be partly due to the relatively low regard which senior line managers have for public relations managers and partly because there is a lack of understanding of the nature and use of public relations as a tool of strategic management. The purpose of this article is to discuss why and how business planners should pay more attention to developing explicit public relations strategies for their organizations.     

Strategic planning for international business

Although international business is old, today's problems deserve careful thought: the methods by which international strategic plans are made are capable of improvement in many companies. Further, much of today's international business has to face up to being multi-national, rather than international, which means that it exists in an environment which in many ways is not in step with its aims. The legal, political, social and economic climates bring many problems to the group which is endeavouring to be multi-national, problems which will be discussed later in this paper.     

Strategic planning for research and development

This paper examines the need for and the difficulties in implementing strategies for planning the research and development activities of a company. The author does not accept that research planning reduces creativity, though he is of the view that planning's exclusive concentration on economic aspects of a company's activities, such as turnover or profit, can lead to erroneous decisions in the research and development field. This paper outlines a number of specific and explicit research strategies which can be followed, and relates them to the company's strategic objectives. Furthermore, the author explicitly categorizes different types of research and comments upon the relevance of strategic planning to each.     

Strategic planning for the armed forces

The author points out that in most countries the defence department is a very large ‘business’. He claims that, although long-range planning in the Canadian Department of National Defence may not be perfect, it does follow the stages of traditional strategic planning. He describes these stages, pointing out some innovations which he feels could be of value to other government departments in other countries as well as to large corporations in the private sector. He emphasizes the importance of feedback and describes ‘capability components’ which have been developed in the Canadian defence department to replace the traditional thinking in terms of ‘Army, Navy, Air Force’. Each capability component focuses on the required output/result and has a sponsor who is responsible for developing plans for the long-term ‘state of health’ of his capability component. Overall, the author makes a strong case for forward-looking and results-oriented strategic planning.     

Strategic planning system for multinational companies

This article is based on a research study, the object of which is to illustrate the major components of global planning in the context of modern administration. Data were collected from a representative sample of multinational companies, both U.S. and non-U.S. based. The planning process in the companies surveyed followed a pattern based on formal planning systems. The author concludes that multinational corporate planning will in future become a blend of administrative and institutional types of plans.     

Strategic planning for social and political change

Formalized planning is currently applied to planning for operations and capital investment, planning for products and markets, and occasionally for manpower. However, there is little evidence that companies are producing formal plans and programmes to deal with social and political change. Unfortunately, public opinion is moving against business, action groups inside and outside companies are challenging the authority of management, and public officials and politicians are already framing new laws and regulations. Unless managers begin to get more involved in the framing of these controls they are likely to find laws enacted and enforced by people who have little knowledge or sympathy with business. In this article the author points up the necessity to assess the social and political challenge to their business, and formulate and implement social and political strategies and plans aimed at ensuring the survival and prosperity of their organisations.     

Strategic planning for hospitals--a health-needs approach.

This paper presents a strategic planning approach which provides methods for analysing hospitals in relation to their environment and for assessing their community dependency. Hospitals must not only focus on their clienteles but must also plan their future in relation to the needs of their constituency while taking into account the other elements of the health services network. The proposed approach also takes into account the need for all the actors concerned with the future of the hospital to become involved through an active-reactive-adaptive process.     

Strategic planning in Tanzania

The Tanzania Wood Industry Corporation is one of the very few parastatal organizations that have developed and introduced a strategic corporate planning process. The novelty of the idea, the many operational problems that surround the managers and the lack of adequate training are some of the problems that have retarded the development and introduction of corporate planning in Tanzania. In 1980 the new CEO of TWICO contracted a Finnish management consulting firm to audit the whole corporation and to recommend a better management practice. Systems manuals were then developed and a grassroots based strategic corporate planning process was then introduced. Now in its third year, the impact on management is very encouraging.     

Strategic planning and inflation

The author of this article argues that inflation is a neglected area in corporate planning despite the events of 1974/1975. The planning problem which companies face because of inflation is defined, while acknowledging that it is difficult to solve. Recent experience has shown that inflation has a direct impact on every major area of business. Thus it is essential that there is a meaningful attempt to handle these problems in planning. The author discusses his approach to grasping this nettle.     

Strategic planning for British nuclear fuels Ltd.

This article presents an account of the current state of planning in a Government - owned company. The author describes differences he sees between the planning process in his enterprise and those which are outlined in many planning texts.Since the company is relatively new, the author makes no claims for the success of the total planning operation as he describes it. However, he does indicate areas where advances have been made.Among these are proving the validity of the chosen planning system; the derivation of objectives from the planning process rather than as a starting point, and the acceptance of the planning operation by Top Management.     

Strategic planning for water—A case history

Choosing a management policy in a developing economy for public utility systems involves consideration of a host of factors and delineation of some strategic issues. In order to make the management policy operational, a formal approach to system planning is necessary. This paper develops an approach whose primary aim is to assess the current status of the system and the environment, to identify and categorize the management problems, and then to break up the problems into manageable components to find out appropriate solution strategies. It is hoped that such an approach will jointly clarify the perceptions of how management techniques can be gainfully used and practised in managing large scale public utility systems.     

Strategic planning for telecommunications—a systems approach

This paper outlines the practical application of a systems approach to designing and implementing the Strategic Planning Process in a mid-sized, capital/technology intensive Canadian telecommunications company. The basic General Systems concepts used are briefly mentioned, the design of the Organization Structure and the Information Structure for the Strategic Planning Process are reviewed, the Operational Dynamics of the Strategic Planning Process outlined, outputs and application case described and conclusions reached.     

Strategic planning in European multinationals

Recent environmental changes have brought about modifications in the strategic planning practices of multinational businesses. These modifications in the strategic planning practices were studied through the medium of in-depth interviews with planners in a number of concerns. Of the several changes observed, predominant are the shortening of time horizons and the increase in flexibility. Equally noteworthy is the surprising lack of change in the social concern of a number of the organizations. This article summarizes a study of the effects of environmental changes on multinational-business planning.     

Strategic planning in government-dependent businesses

As the role of government has expanded in various countries, standard distinctions between the public and private sectors have become blurred. This paper explores the special context within which strategic planning must take place in organizations with a very high dependence on government. Four types of government dependency are considered: ownership dependency (public enterprises); regulation dependency (private, regulated firms); input-dependency (e.g. non-profits dependent on state funding); and output-dependency (e.g. defence contractors who sell a considerable portion of their output to governments).Despite their seeming differences, all four types of government-dependent organizations (GDOs) experience five distinctive problems that seriously limit the relevance of traditional planning models (or what are often referred to as ‘rational, comprehensive models’). They are: fragmented strategic decision-making authority; heightened goal ambiguity; politicization of strategic decision-making; short-term orientation and internal bureaucratization.The concepts of strategy and strategic planning are as relevant to Government dependent organizations (GDOs) as they are to other kinds of firms, although the planning system has to be designed somewhat differently. Six tentative guidelines for designing the planning system in GDOs are presented in the paper: (1) plans must be ‘negotiated’ rather than ‘formulated’ in GDOs; (2) outsiders must be involved in the planning process; (3) socio-political issues must be integrated with technoeconomic tissues; (4) top management must play an active role in running the system, especially in managing interfaces with government; (5) the planning system should emphasize flexibility over discipline or rigor and (6) plans must be written up with the expectation that much of their contents could become public knowledge.The paper concludes with the view the GDOs may have a lot to learn from one another despite superficial differences in institutional status (public vs private) and nature of goals (for- profit vs not-for-profits).     

Strategic planning for increased profit in the small business

This article examines the problems facing the owner-managers of small businesses, and details the investment required in strategic process development which would guarantee the critical 5 per cent difference to ensure the successful growth and adaptability of the company. Formal strategic planning needs to blend with team development to create the concept of ‘strategy-in-use’ and the development of effective management teamwork out of a planning process.