Strategic Management: Formulation and Implementation

Characteristics Of Implementable Strategic Plans

Dennis Hykes (1984 ) suggests that implementable strategic plans have, as a minimum, three characteristics:

They are linked to the appropriate control systems within the organization. Plans must be tied to the budgeting, operational planning, and incentive compensation systems.

There must be a smooth transition from the planning cycle to budget cycle. This link is accomplished through strategic programs that connected with a responsible member of operating management, and are an integral part of an operational plan.

They are "owned" by operating management. Plans are likely to be "owned" by operating management when the following occurs:

  1. Strategic plans must be in the management mainstream, that is, they should be a regular, continuous process, as other management processes tend to be.
  2. Plans, and the process, must be easily digestible, that is, relatively uncomplicated systems, techniques, and forms should be used to produce relatively brief (20-to 30-pages) plans.
  3. The line managers are the planners, with the planning staff concentrating on process design, facilitation, troubleshooting, and review and analysis.

They are perceived as being achievable by those responsible for implementation. Plan must be achievable-neither too difficult nor too easy. Finding the optimal level of difficulty can be aided by using an interactive, participative team approach in their development, coupled with a soundly constructed review program for the plan.