How It Works
The five stages of the process are goal-setting, analysis, strategy formation, strategy implementation and strategy monitoring.
Step 1: Clarify Your Vision
The purpose of goal-setting is to clarify the vision for your business. This stage consists of identifying three key facets. Keep in mind, that during this process your goals should be detailed, realistic and match the values of your vision.
Step 2: Gather and Analyse Information
Analysis is a key step because the information gained in this stage will shape the next two stages. In this part of the process gather as much information and data relevant to accomplishing your vision. The focus of the analysis should be on understanding the needs of the business as a sustainable entity.
Step 3: Formulate a Strategy
The first step in forming a strategy is to review the information gleaned from completing the analysis. Determine what resources the business currently has that can help reach the defined goals and objectives.
Step 4: Implement Your Strategy
Successful strategy implementation is critical to the success of the business venture. This is the action stage of the strategic management process. If the overall strategy does not work with the business’ current structure, a new structure may be required.
Step 5: Evaluate and Control
Strategy evaluation and control actions include performance measurements, consistent review of internal and external issues and making corrective actions when necessary. Any successful evaluation of the strategy begins with defining the parameters to be measured. These parameters should mirror the goals set in Step 1.