for DTI MPC Region 1

1. Strategic Planning
and Management

2. What is Strategic Planning?
Strategic planning is an organizational
management activity that is used to set
priorities, focus energy and resources,
strengthen operations, ensure
that employees and other stakeholders are
working toward common goals, establish
agreement around intended
outcomes/results, and assess and adjust
the organization’s direction in response to a
changing environment.

3. It is a disciplined effort that produces
fundamental decisions and actions that
shape and guide what an organization is,
who it serves, what it does, and why it does
it, with a focus on the future. Effective
strategic planning articulates not only
where an organization is going and the
actions needed to make progress, but also
how it will know if it is successful.

4. Where did strategic
planning originated?
In the early 1920s, Harvard
Business School developed the Harvard
Policy Model, one of the first strategic
planning methodologies for private
businesses. This model defines
"strategy" as a pattern of purposes and
policies defining the organization and its
business.

5. The importance of
strategic planning stems
from its ability to help
organizations and
communities anticipate and
respond to change in wise
and effective area.

6. 1 2 3 4 5
Organizations have learned that the saying, grow or die is more
than a cliché. In today’s global market, maintaining the status quo is no
longer an option. As the velocity of change accelerates, historic
paradigms are surrendering to new.

7. Strategic planning is an organization's
process of defining its strategy, or direction,
and making decisions on allocating its
resources to pursue this strategy. It may also
extend to control mechanisms for guiding the
implementation of the strategy.

8. It is a disciplined effort that
produces fundamental decisions
and actions that shape and guide
what an organization is, who it
serves, what it does, and why it
does it, with a focus on the future.

9. Effective strategic planning
articulates not only where an
organization is going and the actions
needed to make progress, but also
efficiently deliver and create value.
A great way to put strategy into
action.

10. Create Public Value
Meet mandates and fulfill missions
Produce fundamental decisions and actions that
shape and guide what the organization is, what it
does, and why it does it
Organize
participation
Create ideas for
strategic action
Build a winning
coalition
Implement
strategies
Purposes and Functions of Strategic Planning
(Bryson, 2004b, p 25)

11. Create public value. Meeting mandates by
fulfilling your missions. In order to do so, the
organization must produce fundamental
decisions and actions that shape and guide
what the organization is, what it does, and
why it does so.
Producing those decisions and actions
requires an interconnected set of activities
that organize participation, create ideas for
strategic actions, build a winning coalition
and implement strategies
Create
public value

12. 18,065
cooperatives in
the Philippines
10.7 million members (10%
of the population)
580,800 direct and
1.9 million indirect
employees
US$ 8.48 billion
(₱ 429.7 billion) held in
assets by cooperatives.
Accredited coops by LGUs
Membership to Special
bodies
Councils – M/C/P/R/N
Clusters – Regional Clustered
Organizations (RCOs), Sectoral
Apex Organizations (SAOs),
National Alliance of Cooperatives

13. The ABCs of Strategic Planning
Where You are ?
Mission and mandates
Structure and systems
Communications
Programs & services
People and Skills
Budget support
Where you want to be?
Mission and mandates
Structure and systems
Communications
Programs & services
People and Skills
Budget support
How to Get there?
Strategic plan
IT & HR plans
Communications
Hiring & training
Restructuring &
Reengineering
Budget Allocations
Vision, Mission
and Goals
STRATEGIC
ISSUES
Strategy
formulation
Strategy
Implementation
Bryson and Alston, 2004
A
B
C

14. Micro
Below ₱ 3M
Small
₱ 3,000,001M -
₱ 15M
₱ 15,000,001M
– P 100 M
Above
₱ 100 M
Assets
Medium
Getting A to C is the process of strategy
formulation. To do strategic planning well, figure out
A,B,C and how they should be connected. This is
accomplish principally by understanding the issues
that A,B,C and their interconnections must be
address effectively. This summary makes it clear that
strategic planning is not a single thing but a set of
concepts, procedures and tools.
How to realize getting A to C is
the process of strategy
formulation.

16. Strategic Planning to Strategic Management

17. Internal
Strength
Weaknesses
External
Opportunities
Threats
Environmental
Scanning
Vision
/Mission
Reasons
for
existence
Objectives
What to
accomplish
By
When
Strategies
Plans to
achieve
the
mission
&
objectives
Policies
Guidelines
for decision
making
Strategy Implementation
Programs
Activities
needed to
accomplish a
plan
Budget
Cost of the
Programs
Procedure
Sequence
of the
thing to
do the
job
Performance
Evaluation &
Control
Strategy Formulation
Strategic Management Model
F e e d b a c k s

18. Strategy
Formulation Vision
Mission
Goals & Objectives
Strategies
Tactics
Values
Feedback

19. A story about some blind men who
encounter an elephant. As the blind
make sense of what each feels it's also
a memorable illustration of how our
own views are shaped by our
subjective experience and, as so often,
that we don't see the full picture. In
various versions the men may argue
over what it is, convinced they
themselves must be right, or
collaborate to identify the elephant
together. Most of our experience is
somewhat like this. We rarely see the
whole truth. When we stay humble and
accept others' experience we give
ourselves the chance to learn a little
more

20. 490 BC
500 BC
1920’s
Harvard
Business
Modern
Strategic
Planning
1950's
Strategic
Planning
& The
Portfolio
Model
1957
Harvard
Business
& Igor
Ansoff
1960's
Strategic
Planning &
Fortune 500
Businesses
1973
Peter
Drucker
1980's Porter,
Competitive
Strategy and
Competitive
Advantage
1990's The
Balance
Scorecard
The Evolution of
Strategic Planning

21. The Balanced Score Card (BSC) was
developed in the 1990s by Robert
Kaplan and David Norton and quickly
rose to popularity among organizations
large and small. The revolutionary
management tool shifted the
traditional focus on revenue and
financial health to a more holistic and
comprehensive understanding of a
business’s performance.
The BSC is a management system
originally developed to help
organizations achieve their business
objectives and execute key strategies.

22. Benefits of using a balanced
scorecard
As its name suggests, one of the most
significant advantages of using a balanced
scorecard is creating a balanced
understanding of your organization’s
performance. But that’s by no means the only
benefit.
1. Better strategic planning
The balanced scorecard helps business
leaders quickly distill the most important
priorities for each arm of their organization
and align those strategies for optimal
performance.

23. 2. Improved project alignment
With better strategic planning comes
improved outcomes for projects and
initiatives across the organization. When
leaders define the strategic priorities at
each level, departments and teams can
then ensure their projects align
appropriately with the overarching goals
of the business.
When employees understand the
broader organizational objectives, they
can set personal and team goals more
effectively and plan and prioritize projects
that align with the business strategy.

24. 3. Effective performance measurement
Though the balanced scorecard is a management
system first, it is also a powerful tool for
measuring performance and improving
performance outcomes.
A well-defined balanced scorecard creates a
structured framework for measuring performance
and helps organizations communicate
performance clearly. By combining strategic goals
with concrete performance metrics, the BSC helps
organizations and teams execute the low-level
tactical efforts needed to achieve their high-level
goals.

25. Workshop 1
Workshop 2
Workshop 3

26. Vision
Where do you see your
organization in 3-5 years?
What is that big goal that could
differentiate your team?
Customer - Members
Financial
Internal business processes
Learning and growth

27. The best vision is
inspirational, clear,
memorable and concise
Average length – 10.5 to 14.56 words
The shortest contains only three words
( Human rights Campaign)
The longest contains 31 words (
Amnesty International

28. Oxfam = A just world without poverty (5
words)
Human right Campaign – Equality for
Everyone (3)
Habitat for Humanity – A world where
everyone has a decent place to live up (10)
World Vision - Our vision is to leave a
sustainable world for future generation (11)
Gawad Kalinga - Building a nation empowered
by people with faith and patriotism (10)

29. Workshop 1
Vision 2019-2023 Vision 2024-2029

30. Mission Why do you exist?
Who do you do it for?
Who is your main
customer?
What do you do for
them
Our purpose . . .
Where are you going?
Why should you go there?
What is winning?

31. Hierarchy of
Purpose
• Purpose. What is the purpose of
the organization and how is that
purpose best pursued? What is
the strategic vision supporting this
purpose?
• Priorities. Given the stated
purpose and vision, what matters
most to the organization now and
in the future? What are its
priorities now and over the next
two to five years?

32. Hierarchy of Purpose
Develop senses of
priorities
Prioritization at a
strategic and
operational level
Prioritizing increases the
success rates of strategic
projects
Prioritizing increases the
alignment and focus.

33. Pareto Principle
The Pareto principle states that for
many outcomes, roughly 80% of
consequences come from 20% of
causes. Other names for this principle
are the 80/20 rule, the law of the vital
few or the principle of factor sparsity.

34. In crafting your mission:
• Make is simple to understand
• No buzz words
Mission
SACDECO - To deliver responsive and quality
products and services to members and communities
in a gender fair environment.
Gawad Kalinga - To end poverty for five million poor
families by 2024.
ACDI - To create value to our members by providing
dynamic and integrated financial and
complementary services.
PFCCO - Enabling cooperative people grow”.

35. Workshop 2
Mission 2019-2023 Mission 2024-2029

37. Values
What is the DNA of your
organization?
What do you value?
What are the cultures and
norms of your organization?
What character should we
possess and carry all the time?

38. What values are important to the
organization?
How would you describe the
organization if it’s a person?
What is “the way you do things around
here?”
What is not acceptable behavior?
What values drives performance?

40. E n j o y Y o u r L i f e
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typesetting industry. Lorem Ipsum has been the industry's
standard dummy text ever since the 1500s, when an unknown
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E N J O Y Y O U R L I F E

41. The NATCCO Network lives and promotes the ten
internationally-accepted Cooperative Values of
Self-Help, Self-Responsibility, Democracy,
Equality, Equity, Solidarity, Honesty,
Openness, Social Responsibility, and Caring
for Others.

42. Workshop 2
Values 2019-2023 Values 2024-2029
DOF MPC
Core
Values

43. Governance
Framework
Strategic Planning
Policy Development
Reputation Assurance
Board Development
Assurance that a business is compliant with local
and national and other regulations.
The foundations of good governance is strategic
planning and the role this process plays in the
governance of an organization.
Board development enhances the
knowledge, skills, and expertise of board
members, which helps them make better
decisions and provide more effective
guidance and oversight, which ultimately
results in improved organizational
performance.
Policies are critical components of governance and decision-making in
various organizations, including governments, businesses, and non-profit
organizations

44. Financial
Perspective
Customer
Perspective
Learning &
Growth
Internal
Processes
Cascading Goals
Organizational level
Team Level
Functional Level
Individual Level
Cascading strategy focuses the entire
organization on strategy and creating line-of-
sight between the work people do and high
level desired results. As the management
system is cascaded down through the
organization, objectives become more
operational and tactical, as do the performance
measures. Accountability follows the objectives
and measures, as ownership is defined at each
level. This alignment step is critical to becoming
a strategy-focused organization.

46. Understanding the Four Perspectives
The balanced scorecard evaluates the health of your
organization by considering four main perspectives. Each
perspective focuses on a different part of the business to
give leaders a comprehensive and nuanced understanding
of the company’s performance.
Financial
The final piece of the puzzle is the organization’s
financial state. Yes, this is the perspective too often over-
emphasized in the past. But, though finances are lagging
indicators of past decisions, they are still an important part
of any organization’s health and key to understanding
overall performance and creating strategies for the future.

47. The customer perspective asks “What
is important to our customers and
stakeholders?” This perspective
focuses on finding new customers,
building loyalty and trust, and
increasing customer satisfaction.
In other words, how well are you
serving your customers and the
stakeholders your organization was
designed to serve?
Customer

48. Internal Processes
Are there gaps, delays, or bottlenecks in the pipeline that need to be
addressed? How can you streamline your processes for greater efficiency
and effectiveness? How quickly can your organization adapt to changing
business needs or conditions?
Process improvements (for example, streamlining an internal
approval process)
Quality optimization (such as, reducing manufacturing waste)
Capacity utilization (using technology to boost efficiency, for
instance)
Developing new products
Innovating existing products
Improving speed to market

49. This perspective is also called “organizational
capacity.” It looks at organizational performance
through the lens of human capital, culture,
technology, and infrastructure.
For instance, are your employees using your
technology stack to execute tasks and manage
processes? Does your organization provide
adequate training and resources? What steps are
you taking to remain competitive?
The learning and growth perspective considers
how well information and knowledge are captured
and implemented by employees to create a
competitive advantage.
Learning and Growth

50. To be truly effective, a balanced scorecard will concentrate on objectives
rather than ‘scores’. The scores are important, but only in the context of
understanding what a business or organization wants to achieve, rather than
how to measure things that may or may not matter.
Financial Customer
Internal
Control
Learning
& Growth

51. Key Performance Indicators

52. Values