which of the following strategic plan model is useful for ew or small firms
goals based
values based
issues based
analysis based
For small or new firms, the goals-based strategic plan model would be the most useful. This model focuses on setting clear objectives and targets that the company wants to achieve in the future. It helps in aligning the efforts of the organization towards specific outcomes and provides a clear direction for growth and development.
For small or new firms, the goals-based strategic planning model is often useful. This model focuses on setting clear and measurable goals that the company wants to achieve in a specific time frame. It provides a structured approach for defining objectives, determining strategies, and establishing action plans to move the business forward. By setting goals, small firms can prioritize their efforts and allocate resources effectively to reach their desired outcomes.
To determine which strategic planning model is useful for small or new firms, we can briefly explain each model and discuss its suitability for such businesses.
1. Goals-Based Strategic Plan Model:
This model focuses on setting specific, measurable, achievable, relevant, and time-bound (SMART) goals for the organization. It involves creating a strategic plan that outlines clear objectives and action steps to achieve those goals.
Suitability for small or new firms: The goals-based model can be beneficial for small or new firms as it helps them set clear objectives and identify the actions needed to accomplish them. By establishing a roadmap and measuring progress, it enables these businesses to chart their course and track their development.
2. Values-Based Strategic Plan Model:
This model emphasizes the organization's core values and principles. It involves aligning business strategies with the company's mission and values, ensuring that decision-making and actions are in harmony with these guiding principles.
Suitability for small or new firms: The values-based model is particularly relevant for small or new firms as it allows them to establish a strong foundation by defining their core values and mission. By integrating these values into their strategies, small firms can create a unique identity and build a loyal customer base.
3. Issues-Based Strategic Plan Model:
This model revolves around identifying and addressing critical issues or challenges faced by the organization. It involves conducting a thorough analysis of the internal and external factors affecting the business and developing strategies to overcome these obstacles.
Suitability for small or new firms: The issues-based model can be useful for small or new firms, as it allows them to identify and tackle specific challenges that may arise during their early stages of operation. By addressing these issues head-on, small firms can develop effective strategies to mitigate risks and capitalize on opportunities.
4. Analysis-Based Strategic Plan Model:
This model emphasizes a comprehensive analysis of the organization's internal and external environment. It involves conducting market research, competitor analysis, SWOT analysis, and other assessments to identify strengths, weaknesses, opportunities, and threats.
Suitability for small or new firms: The analysis-based model can be beneficial for small or new firms as it enables them to gain a deep understanding of their market, customers, competitors, and internal capabilities. By conducting thorough analyses, these firms can make informed decisions and develop effective strategies to gain a competitive advantage.
In summary, all four strategic planning models have their merits, but for small or new firms, the issues-based and analysis-based models may be particularly useful. These models allow these businesses to identify and address critical challenges and make informed decisions based on a thorough understanding of their environment. Ultimately, the choice depends on the specific needs and circumstances of the organization.