How High Performing Companies Do Strategic Planning Differently

For many high-performing companies and the individuals who lead them, strategic planning presents an opportunity to define the company roadmap and set the vision for the future. It also establishes the necessary steps in the short term to get there. By setting aside time to plan as a leadership team, firms can set themselves up for future success by getting their entire company moving in the same direction toward a singular vision.

1

Anchor Everything to a Clear Long-Term Vision

To start, many high-performing companies focus on creating a strategy based on a clear, well-defined vision. This means that all efforts are tied to a singular purpose, which can help organizations guide day-to-day decision-making regarding companywide choices. Sometimes, during this process, leaders can feel pressured to give in to short-term wins at the expense of long-term planning efforts. In the B2B space, one example of this could be offering a deep discount to win business. What you could end up with, however, is a partnership that isn’t aligned with your company values. Keeping situations like this in mind, successful organizations resist the urge for quick wins that sacrifice the long-term value they can offer to more right-fit clients.

2

Understand the Role of Data in the Planning Process

In addition to having a well-defined strategy, high-performing companies often rely on data-rich information to help them better understand their positioning and guide their planning efforts. Data could include qualitative details shared by clients, competitive research, or internal metrics and key performance indicators (KPIs), such as revenue, gross margins, cash flow, operating expenses, and ROI.

A data-rich dashboard that helps you understand the various parts of your business (e.g., finances, operations) can tell the story of whether certain initiatives are hitting the right marks. Ensure your dashboard reflects a complete view of the company’s performance. Some pre-session work is beneficial for helping leaders develop their thoughts ahead of the actual session. This way, rather than simply showing up, they can enter the strategic planning session with relevant data to support the discussion.

3

Leverage a SWOT/SCOT Analysis

A key aspect of staying ahead of industry changes and market trends is to do a proactive review of the ecosystem in which your company exists. Top-performing companies often conduct a SWOT (strengths, weaknesses, opportunities, and threats) assessment to reassess strategies and understand how recent trends might impact the business. Performing this analysis ensures you stay ahead of changes and can better react to potential disruptors.

4

Overcome the Common Strategic Planning Pitfalls

It’s important to recognize other reasons companies may not achieve their goals so you can be prepared to have a plan to address them. These include:

1. Short-term focus due to lack of immediate value from longer-term initiatives
2. Resource constraints
3. Complexity, uncertainty, and skill gaps
4. Cultural resistance and complacency

High performers tend to avoid these pitfalls by finding the right balance between the short and long term. Getting buy-in, being crystal clear on goals, and dedicating time away from the day-to-day for focused planning sessions are ways to overcome these challenges.

5

Prepare, Prepare, Prepare

To effectively prepare for your strategic planning session, ensure you and your team are armed with the information needed to set your goals. In our previous blog post “Is Your Vision Clear? Driving Success with Strategic Planning”, we outlined several questions to consider that are worth repeating:

• Is it time to check in with clients and/or employees to gather their perspectives?
• Are you clear on the significant trends or disruptions in your industry?
• Do you have a solid understanding of your ecosystem and the opportunities available?
• Are there applicable case studies to reference that will support your overall strategic session goals?

Coming prepared with answers to these questions will create richer conversations and help with setting goals and creating actionable plans. These plans can be further broken down into specific tasks and assigned to team members for execution.

6

Take a Client-Centered Approach, Always

There’s a saying that the client has the most important seat at the table during strategic conversations — and that couldn’t be truer. Clients are the reason your firm exists, so you always want to make sure every initiative considers their wants and needs. High-performing companies place the client at the center of their strategic planning and ensure that every decision aligns with their customers’ evolving needs.

Strategies must be designed to create long-term value for customers, which will, in turn, support sustainable growth for your organization.

7

Acknowledge the Impact of Rapid Technological Change

Rapid technological change is reshaping the way businesses approach strategic planning. With new advancements in AI, automation, and digital tools, companies must stay nimble to adapt to the always-changing landscape and avoid the risk of falling behind. Monitoring trends, consulting with leaders in the space, and adopting a continuous learning mindset are ways to stay sharp.

Another strategy many firms implement is having dedicated internal resources focused on innovation, research, and development. By combining the perspectives of internal resources and external partners, companies can ensure they’re applying a 360-degree review of their business landscape.

8

Bring in an External Perspective

A common saying here is that it’s ‘hard to read the label when you’re inside the jar.’ High-performers actively seek external perspectives to avoid insular thinking and help fill any knowledge gaps.

One tactic for achieving this is to engage an outside consultant who can provide unbiased insights and bring fresh ideas to the table. During strategic planning sessions, having a facilitator can also be helpful to keep discussions focused while also opening up space for everyone to contribute fully.

9

Collaborate and Delegate

Strategy formulation is a collaborative effort and shouldn’t be done in isolation by leadership. Make sure to engage the full team to get initiatives off the ground. Bring together the larger team around company-wide goals and break them into actionable items. Set up a RACI (Responsible, Accountable, Consulted, Informed) chart that establishes roles and responsibilities and can ensure nothing in the implementation stage is overlooked.

Unlock Your Full Potential

Strategic planning is a crucial process that can set top-performing companies apart by aligning their vision, goals, and actions. Companies can overcome common pitfalls and create sustainable growth by anchoring efforts to a clear long-term vision, leveraging data, conducting thorough SWOT analyses, and undertaking ample preparation.

By dedicating time and resources to intentional, forward-thinking planning, your organization can achieve immediate wins and thrive in the long term. With thoughtful preparation and execution, companies can ensure that their strategy drives immediate progress and positions them for long-term success.