What is strategy management and why is it important?

What is strategy management and why is it important?
Strategy management is the application of knowledge, skills, tools, and techniques to the activities of strategic planning and strategy implementation to successfully achieve the vision, goals, and objectives of the organization.

Strategy management provides a consistent framework for managing each phase of the strategic planning lifecycle (design through delivery). Management tools and processes provide guardrails that help organizations overcome a majority of issues causing less than acceptable outcomes.  Detailed planning information is carried between individual phases providing consistency and traceability.   

Strategy Management

  • is independent of the planning approach
  • is adaptable to support organizational processes
  • captures robust information about the strategic plan
  • maintains the linkages and dependencies between plan elements
  • provides a robust approach to managing the lifecycle
  • supports effective transitions between lifecycle phases
  • supports integrated risk management across plan elements
  • provides support for a dynamic planning & change management
  • provides monitoring and analysis of plan quality, health, and status
  • delivers robust information for strategic decision making

Strategy management captures the information required for the automated assessment of plan quality, status and health.  These assessments support the variety of reviews and reports for oversight and understanding.  Review processes include detailed quality assessments, plan performance measure target vs actual analysis, initiative plan milestone status, organizational action plan reviews, and gap assessments that address plan risk-risk mitigation.  Reviews, analysis, and reports support each phase of the strategy life-cycle and support a broad range of stakeholder interests.

The Strategic Planning Lifecycle

Independent of the approach used to develop a strategic plan, the strategic planning lifecycle consists of five phases: analysis, design, prioritization, implementation, and delivery.

Strategic planning today has become a more dynamic process, trending away from the cyclical nature of previous generations.  This requires greater attention to change management, to prevent chaotic disruption of an already difficult management problem. 

The dynamic nature of the Healthcare market requires a more adaptive process, brought on by disruptive technology, emergence of population health, non-traditional competition, and regulatory uncertainty.

Why is Strategy Management Important?

  • Strategy management can help organizations that struggle to achieve their projected strategic outcomes by focusing on the details of planning
  • Provides solid guidance for creating clear, simple and understandable plans that are well structured and achievable 
  • Capture critical information and establishing consistent ways to represent, analyze and review the quality of a given plan 
  • Provides standardized approaches to evaluating potential strategic initiatives, providing consistent information to leadership for prioritization and selection of strategic initiatives
  • Manages the transition between design and implementation using the information captured during the design phase.
  • Provides implementation management oversight, tracking progress, monitoring health, and addressing emerging risks
  • Provides dynamic off-cycle review of ad-hoc events and requests, leveraging the same standardized prioritization assessment and applying change management rigors to the process
  • Monitors key performance indicators, leading indicators predicting risk, lagging indicators tracking performance outcome, and external triggers that indicate potential market changes
  • Provides consistent stakeholder engagement and review processes, fully supported by detailed informatics and analytics that provide status, alerting, and recommendations

Strategy management provides the rigor required to manage across the entire plan, with automated services that reduce the added burden of rigorous management processes.  Organizations can use their planning approach and their own processes, even add their own business rules.  Strategy management leverages:

  • detailed information collection
  • standardized processes
  • management tools to support each phase of the process, including the transitions between phases
  • analytics that process plan, prioritization and implementation data and provide quality, health, and status assessment
  • reporting and review tools that generate easy to understand and interpret reports
  •  adaptable solutions that evolve with the organization

Strategy Management In Your Organization

If your organization requires the coordination of multiple departments or teams of individuals in the implementation of both near and long-term goals and objectives, you probably need some sort of formal strategic management.  If nothing else, it is important to focus limited resources on the most important initiatives.  In addition to improving the outcomes of your efforts, strategic management can help you determine the best opportunities.  By improving the communication, discussions for optimal outcomes become commonplace.  The language of strategic management encourages better utilization of resources and better understanding of vision and strategy.

Implementation of a strategic management tool doesn’t need to be difficult.  OntoReason has created a tool that provides the features that you need and can be implemented in a hosted environment.  Contact info@ontoreason.comfor more information as to how you can start providing strategic management in your organization.

Next up:  Strategy Management Tools and Feature Sets.

This Post Has 222 Comments

  1. Can you tell me what system are you using on this
    site?

    1. The strategic planning system is OntoReason’s iEngage360 Strategy Management Solution.

  2. Great subject, I ‘d enjoy to read more about it
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  4. What an intriguing viewpoint. I ‘d never considered that before.

  5. I think strategic management lead the business to ;
    To identify it’s strengths
    Identify it’s weakness
    Identify it’s opportunity
    Identify it’s threats
    Thanks please I need to hear from you Plse.

    1. Hi Mubiru,

      Thank you for your comment. What you describe is often called SWAT Analysis, which is part of the Environmental Scan, an essential part of the strategic planning process. Strategy Management is the process of managing the full lifecycle from Analysis -including the environmental scan, Design, Implementation Planning, and Execution. The transition from design to implementation planning and execution is where most organizations fail. Strategy management uses best practices from Strategic planning and project management to help organizations bridge the gap successfully. We believe by managing the process and using the information collected about the process interdependencies, leadership is provided better information they can make better informed decisions. I hope this helps. If you have further questions or if we can help you realize better strategic outcomes, please don’t hesitate to get in contact.

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