Strategic Planning

in Nursing Service

Angelito P Abraham
 Why Nursing Needs Strategic
Planning?

Professional Empowerment in
the New Millennium

2/2/20XX PRESENTATION TITLE 2

Introduction:
CONNECTING NURSING TO STRATEGIC PLANNING

We were the ones who said, “Business and health care

don’t mix.” We still deeply question the ethic of
profiting from another’s misfortune, and we do not
abide by the philosophies that pit “consumers” against
“manufacturers of care”; some of our current
healthcare paradigms are inhuman. Until recently,
many hospital mission statements clearly stated that
their primary purpose was to increase shareholder
wealth.
2/2/20XX PRESENTATION TITLE 3
Introduction:
CONNECTING NURSING TO STRATEGIC PLANNING
One of the clearest and most empowering revelations has
been to understand how “everyone else” sees their work
and conducts their business, and how nursing is a part of
a much bigger picture—a picture that resides within the
realm of business.

HEALTH CARE IS A BUSINESS.

2/2/20XX PRESENTATION TITLE 4

Introduction:
CONNECTING NURSING TO STRATEGIC PLANNING
Nursing needs to join in the business of health care in
order to leverage influence, empower the profession,
and improve care.

The very real ceiling that encloses and stifles nursing

The ceiling constructed of a web of conflicting
paradigms: shareholder wealth versus care excellence,
market position versus care excellence, and
administrative industrial paradigms versus care
paradigms.
2/2/20XX PRESENTATION TITLE 5
CONNECTING NURSING TO STRATEGIC PLANNING
Health care is a business. Nurses work in a business. All
nurses need business skills.

Nursing is a giant organization; this is what organizations

do—they learn and refine skills to work more efficiently
and to work together more effectively toward a shared
vision.

Perhaps the best (unintentional) endorsement for a book

about strategic planning for nurses comes from the motto
of the World Health Organization (WHO) for its Nursing
and Midwifery program: “Thinking strategically, acting
globally!” (2005).
2/2/20XX PRESENTATION TITLE 6
 CONNECTING NURSING TO STRATEGIC PLANNING

NURSING IS IN CRISIS
Here’s a little overview of the dilemma:
• The average age of nurses in 2000 was 44.5 years (Center for
Nursing Advocacy, 2008).
• If current trends continue, the average age will reach 50 years by
2020 (Center for Nursing Advocacy, 2008).
• A total of 20–35% of nurses working in hospitals and nursing
centers are not satisfied with their jobs (Biviano, 2003).
• The United States is projected to have a shortfall of 808,416 nurses
by 2020 (Health Resources and Services Administration [HRSA], 2002).
2/2/20XX PRESENTATION TITLE 7
 Here’s a little overview of the dilemma:

• The shortage is purported to reach 29% by 2020 in the United

States (Biviano, 2003).
• Many nursing job satisfaction polls point to three key variables
that impact why nurses do not stay in nursing: lack of autonomy,
poor or no collaboration in decision-making, and lack of control over
the nurse’s domain: care (Huff, 1997).
• There are 14,465,439 nurses worldwide, with a shortage of 43
million nurses in countries that need nursing the most (WHO, 2005);
the shortage is an international problem.

2/2/20XX PRESENTATION TITLE 8

 Here’s a little overview of the dilemma:
• “The global profile shows that there are more than 59 million
health workers in the world, distributed unequally between and
within countries. They are found predominantly in richer areas
where health needs are less severe. Their numbers remain
woefully insufficient to meet health needs, with the total shortage
being in the order of 4.3 million workers” (WHO, 2006, p. 15).
• Nursing school admissions are hindered because of too few
nursing faculty.
• Nursing retention rates are poor: 12–15% attrition (Doiron &
Jones, 2006).
• A total of 31% of facilities in three states were not staffing at
minimum (RN) staffing threshold levels (Government Accounting
Office [GAO], 2001).
2/2/20XX PRESENTATION TITLE 9
 Here’s a little overview of the dilemma:

• “[There is] no end in sight for the nursing shortage” (Runy, 2005, p.
1).
• “Virtually all Americans will require nursing care at some time in
their lives” (University-Wide Health Sciences Committee, 2004, p. 1).

2/2/20XX PRESENTATION TITLE 10

 Nurses must understand basic principles
of business to be a part of the solutions;
understanding the strategic planning
process is a very good starting point.

2/2/20XX PRESENTATION TITLE 11

 The Principles and Foundations of
Strategic Planning

Just What Is Strategic Planning?

2/2/20XX PRESENTATION TITLE 12

Difference Between Planning and Strategy
BASIS FOR
COMPARISON PLANNING STRATEGY
Meaning Planning is thinking in advance, Best plan opted for achieving
for the actions which are going to the desired outcome.
take place in the future.

What is it? Planning is a road map for Strategy is the path chosen for
accomplishing any task. achieving the objectives.

Related to Thinking Action

Basis Assumptions Practical considerations
Term Depending upon the Long Term
circumstances.
Nature Preventive Competitive
Part of Management Yes Sub-part of Decision Making
Functions
2/2/20XX PRESENTATION TITLE 13
 Planning implies prioritizing tasks with
available resources.

Strategic planning implies rethinking priority

tasks with available resources to achieve a new
business result.

2/2/20XX PRESENTATION TITLE 14

 Simply put, strategic planning involves these
questions:
• Where are we?
• Where do we need and want to be?
• What is the best way to get there?
• How do we evaluate our progress?

An understanding of the strategic planning process lays

the groundwork necessary for participating in quality
improvement, change, and innovation.

2/2/20XX PRESENTATION TITLE 15

Strategic planning

“The objective of strategic planning is to develop a

practical tool that can guide an organization into
some defined future and provide important
measures of success” (Burns, 1994, pg. 1).

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Strategic planning
It is a written outline of the future that should enhance efficiency
and effectiveness, encourage unity and focus, empower
meaningful change, and streamline decision-making— succinctly,
magnificently intelligent resource management.

Strategic planning means planning for strategies and

implementing them to achieve organizational goals.

It starts by asking oneself simple questions like- What are we

doing? Should we continue to do it or change the way of
working? Are we prepared to accept these changes etc.?

2/2/20XX PRESENTATION TITLE 17

Strategic planning
It is “a process through which managers formulate and implement
strategies geared to optimizing strategic goal achievement, given
available environmental and internal conditions.”

Strategic planning is formalization of planning where plans are

made for long periods of time for effective and efficient
attainment of organizational goals

Strategic planning is based on extensive environmental scanning

2/2/20XX PRESENTATION TITLE 18

 Lewis Carroll in “Alice in wonderland “ makes a good
case for it – “Would you tell me, please, which way I
ought to go from here?” said Alice. “that depends on
the good deal on where you want to go to,” said the
Cat. “I don’t much care where…,” said Alice. “then it
doesn’t matter which way you go,” said the Cat

Strategic planning does not…

Predict the future
Replace good leadership and judgment
Follow a smooth, straightforward process
2/2/20XX PRESENTATION TITLE 19
Strategic planning
Strategic plan: Planned change or a roadmap of how to get
from where you are to where you want to be.

 A document that says why an organization exists,

what it aims to do, and how it will do it
 It helps to focus the organization’s vision and
priorities
A strategic plan makes sure that all members of the
organization are on the same page.

It is based on a set of goals and objectives that help

you or your organization move forward.
2/2/20XX PRESENTATION TITLE 20
Strategic planning
Strategic plan: is a written, decision-making tool.

Example of a strategic plan:

We will develop a plan to educate and train nurses in

the principles of care and business while considering
the multitude of influences. It can be as simple as a plan
to be accepted into a nursing program, or as
complicated as a plan to redesign a nursing curriculum.

2/2/20XX PRESENTATION TITLE 21

Strategic planning
Strategy: Action steps to get from where you are today to your
envisioned future and being clear about where you are going
and why—based on today’s healthcare arena and the arena of
the future (these action steps are called strategies and direct
your mission in the best possible direction).
How an organization meets its needs and objectives
Strategy helps to:
Establish priorities
Choose actions
Create a plan
Allocate resources
Be proactive
2/2/20XX PRESENTATION TITLE 22
Strategic planning

Example of a strategy:

(1) Secure a book contract

(2) Write a book on strategic planning as a foundational

strategy to assist nurses to better understand the synergy that
can be created between principles of business and care.

2/2/20XX PRESENTATION TITLE 23

 Strategic planning process: This is the “prestrategic”
planning piece. This is a coordinated and systematic
process that lays the framework for how the plan will
proceed—the direction of the plan that will best
optimize the future outcomes (responsive to dynamic
environments). The strategic planning process is also
referred to as strategic review.

Example of the strategic planning (review) process:

We identified a need, defined our vision and

mission, and brainstormed the many ways
(strategies) that we could get from where we were
to where we wanted to be.
2/2/20XX PRESENTATION TITLE 24
Strategic thinking: “It has always been done that way”
is the antithesis of strategic thinking. We call it critical
thinking
Three key components of strategic thinking:

1.The vision (and developing that vision)

2.Wisdom (clear and cultural “knowing” of your
profession/business and all the players and variables that
affect that profession/business)
3.Creative problem-solving (based on the vision and sound
judgment, effective solutions are created; “thinking outside
the box”—or, as Dr. Covey (1992) would say, “a break
with”—may be the best solution).
2/2/20XX PRESENTATION TITLE 25
A popular expression is, “nothing fails like success.” In
other words, “it has always been done that way” may
have worked last week or last year, but there are now new
challenges; we may have new evidence and learning, or
we may have discovered a better way to accomplish our
work. It is time to rethink, problem-solve, and create
better solutions based on what we know today and what
our best intelligent “guess” projection will be for
tomorrow, next month, and 5 years from now. Our
favorite synonym for strategic is “responsive.”

2/2/20XX PRESENTATION TITLE 26

 Example of strategic thinking:

Our vision—peace and possibility for the world’s children,

created by nurses’ actualization of their highest vision of
care.

Our “wisdom”—50 years in nursing and continual

learning.

Creative problem- solving; stepping a little outside the

“regular” nursing text box and trying to look at nursing’s
dilemmas through new lenses.
2/2/20XX PRESENTATION TITLE 27
 Strategy engineer: This is the liaison who tracks the plan’s
progress, tends to the organizing and planning, and
communicates with all stakeholders about goals and the
action steps to accomplish those goals, focusing on the
objectives within each goal.

Someone has to be sure that the plan is not put on a shelf

2/2/20XX PRESENTATION TITLE 28

Values: Principles, priorities, and standards that drive thought,
action, and attitudes.

Examples of values: Empowered nursing, integrity, respect

for others, cultural acceptance, peace, childhood for every
child, and excellence.

2/2/20XX PRESENTATION TITLE 29

 Vision: Imaginative insight and foresight (envisioned future) based on
values (this is also sometimes referred to as your purpose—the “why
we are here” piece).

Sometimes it helps to understand what a

vision is by thinking about a newspaper
headline. If you pick up the newspaper in
three years, what do you want it to say?

2/2/20XX PRESENTATION TITLE 30

 For example: Canadian Cancer Society Vision
Creating a world where no Canadian fears cancer.
Begin with the end in mind. The vision presents an image in words of
what success will look like if the organization achieves its purpose

Examples of vision: Peace and possibility for the world’s children,

created by nurses’ actualization of their highest vision of care.

2/2/20XX PRESENTATION TITLE 31

2/2/20XX PRESENTATION TITLE 32
 Mission: Tasks or goals assumed based on values and vision (tasks or
goals to actualize the expressed values and vision).

Our reason for being

Communicate to the world what we do and why
The mission describes the overarching
purpose of the organization—the reason
it exists.
Example of mission statements:
Educate and train nurses to be clear about “why
we are here”— because we care.

2/2/20XX PRESENTATION TITLE 33

Continual improvement: Whenever we think about quality
indicators or improving anything, we must first have a
reference point of something that needs to be improved.

We identify that a problem exists and find a way to make

“it” better. It is a continual process.

Example of CI: Identifying the chasm between principles of

care and business. We recognize the need to implement a
CI initiative.

2/2/20XX PRESENTATION TITLE 34

 Time frame: A strategic plan describes where a person
(personal strategic plan), organization, or business is going
over a set period of time.

Example of a time frame:

Short-term: Submit completed application to nursing
program by deadline.
Long-term: Complete program within 4 years.

2/2/20XX PRESENTATION TITLE 35

Long-range planning versus strategic planning: This is a
point for clarification.
Long-range planning is used to set a goal over a “long”
period of time—often several years.
For example, in 10 years, I will pay off my school loans and
save for a new car.
Strategic planning, on the other hand, helps me not only to
calculate how I will pay off my school loans and which car I
will buy but also to determine the best strategies to help me
get there and to identify and anticipate all the variables that
will affect that goal and how to deal with them.

2/2/20XX PRESENTATION TITLE 36

 Situational analysis: Here is where individuals or
organizations take a hard look at where they are in relation to
where they want to be and in relation to the world around
them—taking stock.

Example of a situation analysis:

A nurse currently holds an associate degree in nursing and
recognizes the limited opportunities for career advancement;
consider all relevant factors affecting current job
opportunities.

2/2/20XX PRESENTATION TITLE 37

 Competitive advantage: What sets you or your organization
apart from others?
This is also called “market niche”; what do you (or your
organization) do that is unique, or better than or unequaled by
anyone else?
Ex. Some hospitals are the baby hospitals or the heart centers.
This is not happenstance; they have strategically identified a need
and gone after that market share
• Example of competitive advantage: We identified that few are
discussing the gap in care as an expression of empowered
synergy. Strengthening nursing— care—by strengthening
nursing’s role in business processes across all levels of nursing
2/2/20XX
is not just for advanced practice and management anymore.
PRESENTATION TITLE 38
 Internal factors (“environment”): This is where you identify
your or your organization’s strengths and weaknesses. These
come in many “resource” forms:
financial, facility, human, policies and procedures, and time

Strengths and weaknesses are the first two components of a

SWOT analysis (strengths, weaknesses, opportunities, and
threats).

2/2/20XX PRESENTATION TITLE 39

 Example of internal factors:
Financial: Authoring is a time commitment and does not
require a large financial commitment.
Facility: We have the necessary space and equipment to
author.
Human: We are maximizing our unique abilities and talents in
the coauthoring process.
Policy and procedure: We have identified and agreed on the
necessary procedures and “policies” that guide our writing.
Time: We have established a writing schedule but recognize
the challenge of time management
2/2/20XX PRESENTATION TITLE 40
External factors or “environment”: These are influences
outside your or your organization’s sphere of influence—
these are opportunities and threats (the last two pieces of
the SWOT analysis).
Opportunities are areas for growth, unclaimed market share,
or identification of a problem and creation of a viable
solution.
Threats can be regulations that inhibit or restrict solutions,
others’ competition, and market saturation (too much
product and not enough buyers), economic drivers, etc.

2/2/20XX PRESENTATION TITLE 41

 Example of external factors:

Opportunities: Schools of nurses are in demand and the

need is projected to grow. The nursing shortage and world-
wide workforce crisis will continue to require professionally
trained nurses.
Threats: More attractive career options for women, non-
competitive wages, difficult work with long shifts, job
hazards—such as risk of back injuries and infectious
diseases—and variable work hours.

2/2/20XX PRESENTATION TITLE 42

 SWOT Analysis: Just a recap: SWOT stands for strengths, weaknesses,
opportunities, and threats

2/2/20XX PRESENTATION TITLE 43

 General idea behind every plan
is:
- How can we strengthen our
strengths?
- How can we overcome our
weaknesses?
- How can we use our
opportunities?
- How can we evade the
threats?

2/2/20XX PRESENTATION TITLE 44

 Strategic Planning – Importance
Strategic planning offers the following benefits:

Guide to Organizational Activities:

Strategic planning guides members towards organizational
goals.
It unifies organizational activities and efforts towards the long-
terms goals.

Competitive Advantage:
This is possible if they foresee the future; future can be
predicted through strategic planning.
2/2/20XX PRESENTATION TITLE 45
 Strategic Planning – Importance
Strategic planning offers the following benefits:

Minimizes Risk:
Strategic planning provides information to assess risk and
frame strategies to minimize risk.

Promotes Motivation and Innovation:

Strategic planning involves managers at top levels.
They are not only committed to objectives and strategies but
also think of new ideas for implementation of strategies.

2/2/20XX PRESENTATION TITLE 46

 Strategic Planning – Importance
Strategic planning offers the following benefits:

Optimum Utilisation of Resources:

Strategic planning makes best use of resources to achieve
maximum output.
Effective allocation of resources, scientific thinking, effective
organisation structure, co-ordination and integration of
functional activities and effective system of control, all
contribute to successful strategic planning.

2/2/20XX PRESENTATION TITLE 47

Strategic Planning – Process

The strategic planning process is one in which the

management converts its mission, objectives and goals
into a workable strategy.

It involves the preparation of ways and means to the

circumstances of the organization’s environment.

2/2/20XX PRESENTATION TITLE 48

Strategic Planning – Process
The Strategic Management Process can be studied under
five, different components.

1. Missions and Objectives:

• A mission statement reveals the long-term vision of an
organization in terms of what it wants to be and whom
it wants to serve.
• Objectives may be defined as “those ends which the
organization seeks to achieve by its existence and
operations”.
2/2/20XX PRESENTATION TITLE 49
 Strategic Planning – Process
Goals vs. Objectives
Goal Objective
• A greater purpose • A specific, short-term
• A long-term outcome action that will contribute
• May not be easy to to achieving a goal
measure • Must be measurable
Example: Support Example: Create a website
residents to make healthy with accurate and current
lifestyle choices that information about cancer
reduce their risk of cancer. risk factors.

2/2/20XX PRESENTATION TITLE 50

 Strategic Planning – Process
SMART objectives
Specific – Who? What? Where? How?
Measurable – How many? How can this be measured?
Achievable – Is it possible?
Realistic – Is it possible given our time and resources
available?
Timebound – When?
Example: Within 12 months, we will team with the local
health centre to recruit at least 20 men and women for
colorectal cancer screening.
2/2/20XX P R E S E N TAT I O N T I T L E 51
Strategic Planning – Process

2. Environmental Scanning or Surveying the Environment:

• This is central to strategic planning.
• The second aspect of the strategic planning process is
the environmental analysis.
• The process of environmental analysis includes
collection of relevant information from the
environment, interpreting its impact on the future
organizational working, and determining what
opportunities and threats-positive and negative aspects
are offered by the environment.
2/2/20XX PRESENTATION TITLE 52
Strategic Planning – Process

3. Strategy Formulation:
• The most crucial task is formulating the strategy. The
effectiveness of the entire strategic planning process of
a firm is tested and proved by the effectiveness of the
strategy it walks out.
• While the objectives clarify where the firm wants to go,
the strategy provides the design to getting there.

2/2/20XX PRESENTATION TITLE 53

Strategic Planning – Process

4. Strategy Implementation:
• The selected strategy is implemented by means of
programs, budgets, and procedures. Implementation
involves organization of the firm’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.

2/2/20XX PRESENTATION TITLE 54

Strategic Planning – Process
5. Evaluation and Control:
• The strategy has to be monitored and adjustments
that become necessarily have to be brought.
• Essentially, the thing had to be compatibility of the
strategy with the environment as well as internal
realities.
• The implementation of the strategy must be
monitored and adjustments made as needed.

2/2/20XX PRESENTATION TITLE 55

 Strategic Planning – Process
Evaluation and control consists of the following steps:
i. Defining parameters to be measured
ii. Defining target values for those parameters
iii. Performing measurements
iv. Comparing measured results to the pre-defined
standards
v. Making necessary changes.

• The results of implementation can be compared in the

light of objectives set, and control process comes into
operation
2/2/20XX PRESENTATION TITLE 56
 Strategic Planning – 6 Main Tools
• SWOT Analysis
• Scenario Planning
• Pest Analysis
• Risk Analysis
• STP (Situation-Target-Path) and
• Goals Grid Method

2/2/20XX PRESENTATION TITLE 57

 Strategic Planning – 6 Main Tools

Tool # 1. SWOT Analysis:

SWOT analysis is a tool for assessing the environment that
helps focus on key issues. It can help us focus limited
resources and capabilities to the competitive environment.
SWOT stands for strengths, weaknesses, opportunities, and
threats.

2/2/20XX PRESENTATION TITLE 58

 Strategic Planning – 6 Main Tools

Tool # 2. Scenario Planning:

Scenario planning is a fancy term for a very logical and sensible
process — the “what if” process. It involves looking into the
future, anticipating possible events, scenarios, or changes, and
analyzing what will happen, and planning to minimize any
damage, and maximize opportunities.

2/2/20XX PRESENTATION TITLE 59

 Strategic Planning – 6 Main Tools

2/2/20XX PRESENTATION TITLE 60

 Strategic Planning – 6 Main Tools
Tool # 3. Pest Analysis:
The PEST analysis or model is another tool, quite similar to the
SWOT model, but is more specialized and focused on the
external environment and important factors “out there” that
can affect present and future.
The PEST acronym stands for:
i. Political
ii. Economic
iii. Social, and
iv. Technological.
2/2/20XX PRESENTATION TITLE 61
 Strategic Planning – 6 Main Tools

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 Strategic Planning – 6 Main Tools

Tool # 4. Risk Analysis:

• Risk analysis involves identifying where might be
vulnerable to various outside (usually) factors.
• Risk analysis may be conducted either within the structure
of strategic planning, or, on its own.
We can never be sure that we have covered off all risks — we
can only identify, and plan for risks we can foresee.

2/2/20XX PRESENTATION TITLE 63

 Strategic Planning – 6 Main Tools
Tool # 5. STP (Situation-Target-Path):
STP or Situation-Target-Path is a very simple overview of the
strategic planning method, it divides the planning process into
three parts, starting with defining
• Situation – evaluating and analyzing the current situation
and how it came about.
• Target – involves defining goals and objectives for the
future. Sometimes this is referred to as defining the ideal
or desired future state.
• Path – involved defining a map or path to achieve the goals
or future state.
2/2/20XX PRESENTATION TITLE 64
 Strategic Planning – 6 Main Tools
Tool # 6. Goals Grid Method:
A goals grid is a relatively simple technique to help us think
more clearly about organizational goals, particularly when we
are doing strategic planning.
 prompt and facilitate discussion aimed at setting goals and
objectives;
 document the results of such discussions;
 provide a visual array and means of organizing goals and
objectives;
 classify, clarify and analyze an existing set of goals and
objectives
2/2/20XX PRESENTATION TITLE 65
 Strategic Planning – 6 Main Tools

2/2/20XX PRESENTATION TITLE 66

Following factors are important for making planning
effective:
1. An Open Systems Approach:
• It suggests that managers must take into account
interactions with their total environment in every respect
of planning.
• Open systems approach makes it necessary on the part of
the managers that they take into account the
environmental variable such as, technological, social,
cultural, legal, political, and economic.

2/2/20XX PRESENTATION TITLE 67

Following factors are important for making planning
effective:

2. Participation in Planning:
• Planning progress should be a joint one.
• The best planning is likely to be done when managers are
given an opportunity to contribute to plans affecting the
area over which they have authority.

2/2/20XX PRESENTATION TITLE 68

Following factors are important for making planning
effective:

3. Integration of Long-Term and Short-Term Plans:

• Managers often focus their attention only on very short –
term plans, even if they plan.
• A good planning process involves integration of long-term
and short-term plans.
• A short-term plan contributes towards the achievement of
the long-term plan.
• Thus, if a manager is planning for very short period, he must
take into account his long-term plans also. He must
constantly watch and review that his short-term plans
contribute to his long-term plans.
2/2/20XX PRESENTATION TITLE 69
Following factors are important for making planning
effective:
4. Communication of Planning:
• Many planning efforts fail because managers do not
adequately emphasize the role of communicating various
planning elements, such as, goals, strategies, policies, and
planning premises.
• If these are communicated clearly, adequately, and timely,
the managers are motivated and initiated to take planning
process

2/2/20XX PRESENTATION TITLE 70

Following factors are important for making planning
effective:

5. Initiative:
• Planning to be effective must have the initiative and support
of top level management.
• It is the top level which is responsible for success or failure
of any organizational process, and planning is no exception.
• The basic objectives which are set at the top level must be
two- way process which involves people at other levels also.

2/2/20XX PRESENTATION TITLE 71

Following factors are important for making planning
effective:
6. Establishing a Climate:
• The managers should try to establish a climate where every
person in the organization takes planning action.
• Every superior managers should remove obstacles to
planning and present facilities for planning of his can be
done by setting clear goals, establishing and publishing
applicable significant planning premises, involving all
managers in planning process, reviewing subordinate plans
and their performance, and assuring appropriate staff
assistance and information at all levies of management.
2/2/20XX PRESENTATION TITLE 72
Strategic Planning – Limitations
(1) Problems of Change:
• The succession of new problems is often magnified by
implications that make planning most difficult.
• The problem of change is more complex in long-range
planning.
(2) Failure of People:
• The lack of commitment, failure to develop, sound
strategies, lack of clear and meaningful objectives, failure to
see the scope of the plan, failure to see planning as a
rational approach, excessive reliance on the past experience,
failure to use the principles of limiting factors, lack of top
management support lack of delegation of authority, lack of
adequate control techniques, and resistance to change.
2/2/20XX PRESENTATION TITLE 73
Strategic Planning – Limitations
(3) Lack of Accurate Information:
• The first basic limitation of strategic planning is the lack of
accurate information and facts relating to future.

(4) Inflexibilities:
• Manager while going through the strategic planning
process have to work in a set of given variables. These
variables may be more in terms of organizational or
external.

2/2/20XX PRESENTATION TITLE 74

Strategic Planning – Limitations

(5) Time and Cost:

• While going through the strategic planning process
managers should also take into account both time and cost
factors.
• The various steps of planning may go as far as possible
because there is no limit of precision in planning tools. But
planning suffers because of time and cost factors.

2/2/20XX PRESENTATION TITLE 75

Strategic Planning – Limitations

(6) Rigidity:
Often people feel that planning provides rigidity in managerial
action. Many types of internal inflexibilities, may be results of
planning itself. The planning stifles employee initiative and
forces managers into rigid or straitjacket mode of executing
their work. In fact, rigidity may make managerial work more
difficult than it need be.

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 • https://www.economicsdiscussion.net/strategic-management/strategic-planning
-meaning-features-importance-and-limitations/31502
• https://www.shivajicollege.ac.in/sPanel/uploads/econtent/
0c4aa4eaede8c729407f5adddef3d934.pdf
• https://www.techtarget.com/searchcio/definition/strategic-planning
• https://www.lucidchart.com/blog/5-steps-of-the-strategic-planning-process
• Ogilvie, L., & Sare, M.V., (2010). Strategic Planning for Nurses :Change
Management in Health Care

Thank You
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