VISIONING AND STRATEGIZING EXERCISES Prof Ben Kiregyera NSDS

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VISIONING AND STRATEGIZING EXERCISES Prof. Ben Kiregyera NSDS Workshop, Addis Ababa, Ethiopia 11 August

VISIONING AND STRATEGIZING EXERCISES Prof. Ben Kiregyera NSDS Workshop, Addis Ababa, Ethiopia 11 August 2005

COVERAGE I. Generic strategic management model II. SWOT Analysis III. Visioning exercise IV. Strategizing

COVERAGE I. Generic strategic management model II. SWOT Analysis III. Visioning exercise IV. Strategizing exercise V. Example of strategic objectives/goals 2

I. GENERIC STRATEGIC MANAGEMENT MODEL Performance Feedback loops Perform Internal Audit Develop Strategic Objectives

I. GENERIC STRATEGIC MANAGEMENT MODEL Performance Feedback loops Perform Internal Audit Develop Strategic Objectives Visioning exercise Develop & select strategies Implement & execute strategies Monitor, Control and Evaluate Perform External Audit Strategy Formulation Strategy Implementation Evaluation 3

II. STRENGTHS, WEAKNESSES, OPPORTUNITIES AND THREATS (SWOT) ANALYSIS Strengths and weaknesses (Internal ) v

II. STRENGTHS, WEAKNESSES, OPPORTUNITIES AND THREATS (SWOT) ANALYSIS Strengths and weaknesses (Internal ) v controllable activities within an organization which are performed especially well or poorly v need to be identified and evaluated in functional areas v strategy - to build on organization’s strengths and mitigate or eliminate weaknesses Opportunities and threats (External ) v economic, social, environmental, political, legal, governmental, technological trends and events that could benefit or harm the organization v largely beyond the control of a single organization v strategy - take advantage of opportunities and avoid or reduce impact of threats 4

Internal assessment/audit • • • organization’s strengths which cannot be easily matched called “distinctive

Internal assessment/audit • • • organization’s strengths which cannot be easily matched called “distinctive competencies” strategies should build on these competencies assessment/audit process involves ü gathering, assimilating and evaluating information about organization’s operations ü determining and prioritizing important strengths and weaknesses ü determining between 10 – 20 most important strengths and weaknesses should involve managers and staff in assessment/audit excellent vehicle or forum for improving communication in organization 5

External assessment/audit – environmental scanning • identifies and evaluates trends and events beyond control

External assessment/audit – environmental scanning • identifies and evaluates trends and events beyond control of organization • develops a finite list of opportunities that could benefit organization and threats that should be avoided • process should involve as many managers and staff as possible • gather, assimilate and evaluate information List in order of priorities critical success factors Strategy formulation involves aligning key external and internal factors 6

III. VISIONING EXERCISE Defined Process that seeks to create a compelling and pen picture

III. VISIONING EXERCISE Defined Process that seeks to create a compelling and pen picture of a desirable future state that often represents quantum changes from the present Vision answers the question: What do we want to become? “Where there is no vision, a people perish” – Proverbs 29: 18 “A corporate vision can focus, direct, motivate, unify and even excite a business into a superior performance. ” – John Keane This is possible if people engaged in process 7

What is a mission? • an enduring statement of purpose that distinguishes an organization

What is a mission? • an enduring statement of purpose that distinguishes an organization from other organizations • a declaration of an organization’s “reason for being” • answers pivotal question: What is our business? • also called a creed statement; it is a statement of: ü purpose ü philosophy ü beliefs ü business principles • is foundation for priorities, strategies, plans and work assignments N. B: preparation of a mission statement is 1 st step in strategic management 8

A good mission statement should: • • • describe an organization’s purpose, customers, products

A good mission statement should: • • • describe an organization’s purpose, customers, products or services, markets, philosophy and basic technology be comprehensive and broad in scope be inspiring, supplying energy, motivating and galvanizing organization generate the impression that the organization is successful, has direction and is worthy of time, support and investment create a commonality of interest that lifts workers into a new world of opportunity and challenge create an “emotional bond” and “sense of mission” for managers and staff of the organization 9

Examples of vision/mission statements Office of Chief Government Statistician – Zanzibar Vision: to become

Examples of vision/mission statements Office of Chief Government Statistician – Zanzibar Vision: to become a “center of excellence” for statistical production and for promoting a culture of evidence-based policy and decisionmaking Mission: to coordinate production of official statistics, provide high quality statistical data and information and promote their use in planning, decision-making, administration, governance, monitoring and evaluation Statistics South Africa Vision: to become a premier knowledge centre that provides leadership in statistical production and promotes a culture of empirical evidence-based policy, planning and decision- making Mission: to collect, process, analyse and disseminate high quality official and other statistical data and information and co-ordinate the national statistics system in support of economic growth, socio 10 economic development, democracy and good governance

Uganda Bureau of Statistics Vision: to become a “centre of excellence” in statistical production

Uganda Bureau of Statistics Vision: to become a “centre of excellence” in statistical production in Africa Mission: to produce, coordinate and disseminate official statistics in order: • support decision-making processes in all aspects of life • inform and underpin the national and local government planning processes • • inform public policy analysis and debate, and monitor the impact of government initiatives, policies and programmes. 11

Statistics Denmark Vision: Statistics Denmark must be among the best statistical institutions, measured on

Statistics Denmark Vision: Statistics Denmark must be among the best statistical institutions, measured on the results achieved. Mission: to produce and disseminate all trustworthy statistics on social and economic trends in society, which are an essential condition for its democracy and economy to work Statistics Norway Vision: An institution that counts Mission: Through collection, processing and dissemination of statistics and analysis, Statistics Norway shall contribute to: - strengthen and further develop democracy and a more informed public debate - ensure that economic and social policy and management are based on the best possible factual basis - improve the functioning of the market system 12

Developing Core Values an organization needs core corporate values that guide the conduct and

Developing Core Values an organization needs core corporate values that guide the conduct and behaviour of staff and decision-making inspire and galvanize individual efforts towards improved performance Examples of core values for Zambia CSO v v user-focus quality consciousness integrity and credibility empowerment 13

Gap analysis q Evaluate the gap between current situation and envisioned situation q Develop

Gap analysis q Evaluate the gap between current situation and envisioned situation q Develop specific strategies & Desired future situation allocate resources to close gap Current situation 14

IV. STRATEGIZING EXERCISE Strategy defined is broad direction for achieving long-term objectives § a

IV. STRATEGIZING EXERCISE Strategy defined is broad direction for achieving long-term objectives § a declaration of intent, defining where you want to be in the long-term § ensures that day-to-day decisions fit in with long-term interests of the organization § Strategizing • setting strategic objectives or goals – overall accomplishments to be achieved • determining strategies – overall methods to achieve strategic objectives or goals 15

Strategic objectives • are long-term objectives covering more than one year • without long-term

Strategic objectives • are long-term objectives covering more than one year • without long-term objectives, an organization would drift aimlessly towards some unknown end • no organization or individual can be successful without clear objectives • purpose of strategic objectives is to convert vision and mission into specific performance outputs and outcomes • should be related to key functions of organization, demonstrating broad coverage of key areas of service • specific objectives should be few in number (3 - 8) 16

Annual objectives • • represent the basis for resource allocation are a primary mechanism

Annual objectives • • represent the basis for resource allocation are a primary mechanism for evaluating managers are the major instrument for monitoring progress towards achieving long-term objectives establish organizational, divisional, section priorities Objectives should be SMART (Specific, Measurable, Achievable, Relevant and Time-bound) 17

Outputs o key outputs represent milestones of organization’s strategic objectives o represent achievements not

Outputs o key outputs represent milestones of organization’s strategic objectives o represent achievements not the process or activities o importance of outputs: ü customer satisfaction ü promotion of image of an organization ü motivating staff ü measurement of performance of organization ü staff appraisal ü control of organization's operations ü monitoring and evaluation ü benchmarks for others to copy 18

Planning management process Enables the organization to: o quantify long-term outcomes it wishes to

Planning management process Enables the organization to: o quantify long-term outcomes it wishes to achieve o establish short-term milestones o identify mechanisms and provide resources for achieving them o invest in performance drivers - people (e. g. skilling & re-skilling employees) - information systems and procedures, - development of new products through innovation 19

Strategy analysis and choice • Strategy analysis and choice seeks to determine courses of

Strategy analysis and choice • Strategy analysis and choice seeks to determine courses of action that will benefit organization • objectives, mission, external and internal audit information are the basis for generating and evaluating alternative strategies • the information helps avoid personal biases, politics, emotions, personalities and holo error (tendency to put too much weight on a single factor) 20

 • • manageable set of most attractive alternatives developed look at advantages, disadvantages,

• • manageable set of most attractive alternatives developed look at advantages, disadvantages, trade-offs, costs and benefits of strategies Balancing act • produce a prioritized list of best strategies Criteria for making strategic choices • consistency: should not present inconsistent goals or policies • Consonance: need for strategies to examine sets of trends as well as individual trends. • Strategy must represent an adaptive response to external environment (corporate agility). 21

 • feasibility: refers to ability of a strategy to be attempted within physical,

• feasibility: refers to ability of a strategy to be attempted within physical, human and financial resources of the organization • a strategy must neither overtax available resources nor create unsolvable sub-problems • competitive advantage: strategy must provide for creation and/or maintenance of competitive advantage 22

V. EXAMPLE OF STRATEGIC OBJECTIVES FOR NAMIBIA NSS 1. Organizational development (statistical awareness, coordination,

V. EXAMPLE OF STRATEGIC OBJECTIVES FOR NAMIBIA NSS 1. Organizational development (statistical awareness, coordination, networking, information sharing, statistical legislation)) 2. Institutional development (management systems, human resources, staff motivation, etc) 3. Infrastructure development and equipment (office, survey infrastructure, IT infrastructure, statistical library, etc. ) 23

4. Data development (enhancing data quality, improving censuses and surveys, improving administrative data, new

4. Data development (enhancing data quality, improving censuses and surveys, improving administrative data, new statistical products) 5. Data management (triangulation, integration, analysis, storage and security, databases, reporting, dissemination & access) 6. Implementation, monitoring, evaluation and reporting (action plan, policies, performance indicators, targets, benchmarking, reporting system) 7. Proposed budget and financing (recurrent and development budget, investment plan, sustainability) END 24

Thank You 25

Thank You 25