Strategic planning for every manager

All managers plan, but many managers of small organizations limit their planning activities to developing and guiding discrete projects. This decision stems from two erroneous assumptions: strategic planning is useful only in large organizations, and it is too complex for a small organization. As a result, these managers deprive their organizations of an essential tool for long-term survival and prosperity. Strategic planning helps any organization effectively use its scarce resources by relating every decision to the organization's mission. The process for doing this consists of a sequence of decisions that applies in all cases. However, the effort involved in reaching each of these decisions varies with the size and complexity of the organization. Consequently, leaders of small units need not forego using this essential managerial tool. In this article, each decision is described and illustrated with an example from a typical small enterprise.