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Introducing strategic management and operational planning processes |
Aligning operational planning with the strategic objectives of the institution through the institutionalisation of a top-down strategic management process.
Strategic management is a management approach focussed on the mission and objectives of the organisation.
The approach consists of a rethink on the purpose or reason for the existence (the mission) of the organisation and all its business units. Once clarity is achieved on the mission, the organisational objectives, values, functions, strategies and structures are explored.
The implementation of a strategic management process follows a top-down approach starting with the organisation as a unit, involving the executive level team, and working through each business unit involving its management team. Collaboration and finding consensus within the management team on each level, is essential in order to create the necessary buy-in and commitment. The end result is a strategic framework for the organisation and each business unit that serves to steer the operational planning process and guide decision-making.
Operational planning, on the other hand, is typically a bottom-up process guided by the strategic directives coming from the executive level. The plans of the various business units are compiled and aggregated by means of a process that feeds up through the organisational structure to result in consolidated plans as well as the financial implications thereof in the form of a budget. Tromp AG can assist clients in the implementation of a strategic planning process by acting as group process facilitators and advisors.
A case study on the implementation of such an approach in a central bank is provided
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