Theory & Framework

Planning & Strategy

Pinnacle of our Planning

Business Plans

RoadTekStrategic Plan

Department of Main Roads Strategic Plan

Individual Performance Management Plans

Planning- Is? What?• Fulfilling a Goal - Vision

• Defining Strategies to get there

• Developing milestones to keep you on track

• Why do we do it – We do it all the time

• In business we all need to know what we are trying to achieve

Strategy - Is? What? “Strategy is the direction and scope of an organisation over the long term...” (Johnson G, & Scholes K)

•Serves as a framework for decision making & for seeking support / approval

•Provides a basis for more detailed planning

•Is a communication device to our stakeholders > shareholder, customers, staff

•Serves as a reference point for performance monitoring

•Stimulates change

HUH!

•It is what?

•Demystify

Strategy• Simply – how or a means to get what you want

• Or where you want to get to

• Could be fulfilling dream – Vision

• So do we do it – of course we do – holidays and so on

• We all want to know where we are going

Vision• Is the the dream or goal

• About where you want to get to

• What you want to be

• Some examples

“Without leaps of the imagination, or dreaming, we lose the excitement of

possibilities. Dreaming, after all,

is a form of planning.”

- Gloria Steinham (American Author &

Activist)

“We will strive to be number one in every market we serve by creating a

workplace where teams are committed to our customers in a distinctively New

Zealand way, resulting in superior industry returns.”

Air New Zealand…

“To set new standards of excellence in delivering customers’ energy needs.”

Energex…

“managing Queensland’s natural resources for today and tomorrow.”

Dep’t of Natural Resources and Water…

“Beat Coke.”

Pepsi…

“Just do it!”

Nike…

“To become the most successful and respected lift truck company in the

US.”

Toyota…

“To be the most desirable financial services company in Australia.”

Suncorp-Metway Ltd…

Strategic Planning• Why do we do it• Share our direction – all on the same track

• Approval /backing of our owner

• Understanding from our customers

• Engage our Stakeholders

• Enables us to identify risks

Strategic Planning Why it matters

• Sets the direction for the business

• Is the pinnacle of all our planning

• Demonstrates we know where we are going

• Enables us to focus on what is best for the whole of RoadTek

Key Elements of a Strategic Plan

• Vision

• Mission statement

• Values

• Objectives

• Strategies

• Measures

RoadTek Positioning Statement

Strategic Planning – “Where”

• Is dreaming of a future state- next 5 years

• Defining – where or what we want to be

• Is the path to achieving Our Vision

Show me someone who doesn’t dream about the future and I’ll show you someone who doesn’t know where they’re going

How do we do the “Where to”Visioning

Scenario Planning – 4seeable futures

Coastal BloomSuperCityGlobal BustCarbon Crunch

Planning for the Future• The problem is never how to get, new innovative

thoughts into your mind, but how to get the old ones out.

• Dee Hock, creator of Visa

Some Essential Points

• looking over the horizon 2 to 5 years

• Focus on matters of strategic importance

• Realistic, detached & critical approach by senior management

• Distinguish between cause & effect

So where do we start? - Now

Environmental analysis to:

•Examine where we are - current state

•Develop SWOT analysis (strengths, weaknesses, opportunities & threats)

•Perform a Risk analysis

Tips to the Process (1)•The framework is a logical linear process but it will be iterative

•Use hindsight when strategic planning

•Assess the current position of your vision

•How have the Purpose (Mission) and objectives changed?

•How have we performed

•How has the business environment changed?

Tips to the Process (2)•Drill down on your business e.g.

•Review financial performance

•Review project performance

•Review capability & capacity

•Employ cause and effect technique

•The SWOT is the key to developing business strategy

•Keep the strategic plan short & simple

Workshop•4 x 4 Groups

•Doing SWOT analysis

•If time - develop strategies

Elements of a SWOT

Strengths

Weaknesses

Opportunities

Threats

Build on Strengths

Resolve Weaknesses

Exploit Opportunities

Avoid Threats

The “How”• Defining strategies to get to “WHERE” we want

to be

• These are the things we will do

• We will set time lines – targets to measure how we are going

• We will review our progress

• We will adapt to business environmental changes

Strategic Plan• We know where we are

• We know where we want to go

• We know what we need to do to get there

• We have a Strategic Plan

• Review RoadTek’s Strat Plan

• Kerre’s examples

• RoadTeks Vision & what it means

• Rt Strat plan

• Rt Strat plan

Personal Performance Plan

Set accountabilities/goals from Business/Operational plan

objectivesReview current

performance plan

Develop strategies of how you will achieve those goals

Next step - Business / Operational Planing• We know the “HOW”

• The “HOW” becomes the “WHERE” for the Business Planing process

What is the Business Plan•Short term document flowing on from Strat Plan

•Is tactical, focused, implementable & measurable

•Is made up of various sub-plans – operational plans

•Very detailed, prescriptive information & activities showing accountabilities and completion dates

•It is measured monthly and reported on

•It informs the organisation on its performance

The Business Plan• It is developed around the Balanced Scorecard:

• The four Quadrants are :-

• Financial & Delivery performance

• Stakeholder Relationships

• Internal Processes and Practices

• People and Learning

People & Learning• This is all about the people of the organisation –

our most important asset!

• Having the right people in the right jobs with the right capability and being a learning organisation is critical to being a performing organisation.

• Focus on capabilities, skills and qualities that our people need to meet future business needs.

• Training, workforce planning, and succession planning.

Internal Processes & Practices• How well is our internal processes and practices

supporting business outputs?

• Having efficient and effective practices will ensure better stakeholder relations and be able to deliver on outcomes for our stakeholders.

• Focus should be on changes that can be made to improve the timeliness, quality or efficiency of the services provided.

Financial Performance & Delivery• Relates to the financial performance and

accountabilities of a position and also the effectiveness of how the business is delivered.

• Delivery of projects within budget and within agreed timeframes, to the agreed quality, is an example of financial performance and delivery.

• With the right people, right practices and processes and improved stakeholder relations, we can deliver on time and on budget.

Stakeholder Relationships• Relates to a commitment to fostering strong

stakeholder and customer relationships.

• Collaboration, responsiveness and integrity are key Main Roads’ values.

• Developing better relations with stakeholders ensures we understand their needs and are better able to meet them.

Performance Management• Processes designed to support our people to align

their personal development with business direction in a manner that produces effective business results and provides personal satisfaction and growth in their working careers.

• Framework’s purpose is to develop the capabilities and behaviours of employees to allow them to contribute to and meet the demands of strategic and business planning objectives.

• The Achievement Planning and Individual Performance Review processes are principal tools in our overall performance management strategy.

The How becomes the Where for the Business Plans

• That’s all Folks!

• That’s our planning process

• Questions please