Although there are countless books available on strategic management, there are few, if any, that supply practical coverage of strategic planning, execution, and measurement—until now. Considering the entire value chain, this book covers the complete process of strategic planning, execution, and measurement.
Based on three decades of field-tested experience, Strategic Planning, Execution, and Measurement (SPEM): A Powerful Tool for CEOs provides both a consultant’s view and an entrepreneurial approach to strategic planning, execution, and measurement. Walking you through the process, it begins by defining world-class status, visions, missions, business models, and value chains. Next, it discusses the two most important prerequisites of strategic planning and includes a questionnaire to help you evaluate operations, systems, and structure in your organization.
The book provides a matrix of 25 parameters for assessing the status of your organization that can help to pinpoint the perceptional gaps between top executives and owners. It includes a strategy bank with 150 generic strategies in the five performance areas of business and identifies methods for monitoring strategy execution that provide early warning signals. It also introduces the Entrepreneurial Score Card, a tool for improving the impact of strategic planning and execution in your organization.
Detailing the structure and preparation process for the strategic plan, the book illustrates the financial impact of strategy execution and explains the various financial monitoring parameters used in the performance cards of individual employees. It concludes by describing an entrepreneurial approach to strategic planning and with a comprehensive case study that illustrates the entire strategy formulation process and its conversion into an annual budget.
This book is ideal for CEOs, CFOs, COOs, business owners, heads of business verticals, heads of corporate planning or strategy, functional heads, teachers, students, and practicing consultants in the area of strategic planning.
Table of Contents
Strategic Planning: A Tool for Reaching World-Class Status
Defining World-Class Status
Gaining World-Class Status
Benefits of Strategic Planning
Fundamental Factors Defining Scope of Strategic Planning
Institutionalization of Vision and Mission
Example 1.1: Indian Automobile Company
Other Important Factors: Business Model, Core Competence, and Value Chain
Business Model and Return on Investment
Example 1.2: A Company and B Company
Example 1.3: ABC Company
Prerequisites of Strategic Planning: Inquiry and Status Evaluation
Prerequisite 1: Examining Performances, Perspectives, and Aspirations
Part A: General Inquiry
Part B: Business Development Inquiry
Part C: Strategic Cost Management Inquiry
Part D: Operations Management Inquiry
Part E: Employee Productivity Inquiry
Part F: Resource Management Inquiry
Prerequisite 2: Status Evaluation
Versatile Corporate Evaluation
Strategic Plan: Components, Preparation, Review, and Recommendation
Structure and Components
Strategy for Performance Areas
Cost–Benefit Analysis (CBA)
Schedule for Execution
Crisis Management and Exit Route
Execution and Impact Routes
Review and Recommendations for Improvisation
Generic Strategies for Five Performance Areas
Monitoring Parameters for Strategy Execution and Impact Measurement
Need for Monitoring
Periodicity of Monitoring
Business Growth and Expansion Monitoring Tools
Strategic Cost Management Monitoring Tools
Operations, Logistics, and Technology Management Monitoring Tools
Employee Development and Satisfaction Monitoring Tools
Resource Management Monitoring Tools
Measurement of Strategy Execution and Financial Monitoring
Pyramid Movement of ROI for Strategy Execution
Financial Impacts of Strategy Execution
Common Characteristics of Financial Parameter Tables
Level 1: Systemic Employees
Level 2: Knowledge Employees
Level 3: Decision-Making Employees
Level 4: Entrepreneurial Employees
Entrepreneurial Score Card: A Tool for Improving Impacts of Strategic Planning and Execution
Need for Entrepreneurial Score Card (ESC)
Ten Characteristics of Entrepreneurial Employees
Entrepreneurial Behavior Questionnaire
Classification of Employees Based on Competencies, Roles, and Empowerment Levels
ESCs for All Employees
ESCs for Four Employee Categories
Sales and Marketing Employees
Production or Operations Employees
Finance and Accounts Employees
Human Resource (HR) Employees
Research and Development Employees
Knowledge Management for Entrepreneurial Competencies
Methods of Identifying Knowledge Requirements
Knowledge Classification and Storage
Knowledge Evaluation for Potential Use
Knowledge Sharing Mechanisms
Promotion of Knowledge Management Efforts
Comprehensive Case Study
Background and Recent Performance
Strategic Plan: Strategies for Five Performance Areas
Measuring Financial Impact of Plan on Company Performance
Budgeted Performance and Result Indicators for the Year 2013–2014
Execution Route, Time and Resource Mapping, and Impact Route
Girish P. Jakhotiya, MCom, FCMA, PhD, is a renowned management consultant, educator, researcher, author, and speaker. He has conducted consultations with more than 60 multinational and Indian corporations and banks, including Siemens, British Petroleum, World Bank, ILO, Philips, Tata Group, Mahindra & Mahindra Group, Larsen & Toubro Group, Forbes Group, Hindustan Unilever, Castrol, Indian Oil, SICOM, IDBI Bank, Central Bank of Oman, Sesa Goa Group, and Dempo Group. He has also served as an advisor for such government organizations as NABARD and Agriculture Finance Corporation, among others. He developed the Economic Growth Model for the government of Oman. Based on his consulting experience and research, Dr. Jakhotiya designed a comprehensive business management model titled AGNI (Aggregate Growth through Networking and Innovation). AGNI is patent pending.
Before venturing into a profession of management consulting, research, and training, Dr. Jakhotiya was a senior professor of finance and strategy at the well-known Jamnalal Bajaj Institute of Management Studies, University of Mumbai (Bombay), where he was named the "All India Best Young Professor of Management" by the Association of Indian Management Schools (AIMS) in 1996. The Bombay Management Association designated him the "Best Management Teacher" in 1997.
Over the past 29 years, Dr. Jakhotiya has educated more than 27,000 corporate executives, government officials, entrepreneurs, and bankers in the areas of strategic management, financial management, public finance, and human resource management. He has also lectured on economic governance in special workshops organized for Indian politicians.
Under his able guidance, five scholars earned their doctorates. His training Programs are based on contemporary ideas, live case studies, and relevant literature.
Dr. Jakhotiya’s research focuses on fundamental issues and problems faced by the global economy. His original framework for this research is titled "Spiritual Economics" (or "Eternal Economics"). He strongly believes that a pragmatic and sustainable combination of socialist economic equity and capitalist entrepreneurial wisdom is the right answer for global dilemmas.
Dr. Jakhotiya’s management consulting firm Jakhotiya & Associates is known for offering innovative yet pragmatic solutions. Dr. Jakhotiya and his team strongly believe in acquiring intellectual property rights and using them appropriately for industry and society at large.
Dr. Jakhotiya is the author of five books, Strategic Financial Management, Revised and Enlarged Edition (Vikas Publishing House, Delhi), Finance Made Simple, coauthored with Manjiri G. Jakhotiya, (Jakhotiya & Associates, Mumbai), Portfolio Management: Scope for Management Accountants (ACAI, Delhi), Glossary in Management Accounting (ACAI), and Strategic Management Accounting (ICAI).
Dr. Jakhotiya can be contacted by e-mail at [email protected] or readers may visit his website (www.jakhotiya.com).