Difference Between Planning and Strategy (with Comparison Chart) - Key Differences

 

strategic planning vs business planning

Aug 08,  · Many business owners know and understand the value of a business plan. The business plan is a key component of the loan process and serves as a foundation for your organization. However, it only tells half the story. To get the whole picture and have a framework on which to build your business you also need a strategic plan/5(4). Strategic planning and strategic management are both important for the organization as they help in formulating the goals to be achieved and help in a more concentrated approach towards the fulfillment of that goal. Recommended Articles. This has been a guide that strategic planning vs strategic management is a retrospective planning process. Feb 10,  · A few months ago, we sent an email to our nonprofit and agency friends and clients about business planning—a key process for organizations that want to increase their impact and reach their next level of success. In response, we were asked about the difference between a strategic plan and a business plan.


Business Plans vs. Strategic Plans | Business Planning


Planning is an important activity, performed by the management, keeping in view, the vision, mission, goals and objectives of the enterprise. It implies thinking in advance, what we need to do in future and creates a rough draft, so as to fulfill the business objectives. Planning occurring at the corporate level is termed as strategic planningwhile the planning process taking place at the functional level is called operational planning. Strategic Planning is concentrated towards attaining the long-term objectives of business.

On the other hand, operational planning is done to achieve short-term objectives of the company. These are used to set priorities and align the resources, in such a way that leads to the accomplishment of business goals. Take a read of the article given below, to understand the difference between strategic planning and operational planning.

Operational Planning is a process of deciding in advance of what is to be done to achieve the tactical objectives of business?

The plan changes every year. Planning the routine activities of the company. Strategic Planning is a planning process undertaken by the top level management, strategic planning vs business planning, to decide Where the organization wants to reach in future?

And What should be done to pursue the organizational vision, mission, and objectives? The planning is not made for a particular department or unit, but it covers the entire organization. The plan focuses on the enduring development of the organization. The tools used in this process strategic planning vs business planning. These tools help the management to design a strategy considering various elements, that will lead the organization towards its vision.

The process which predetermines the day to day activities of the business is known as Operational Planning. Middle-level management performs the function of the operational planning process. It includes planning of regular business activities and operations for a short period. Strategic Plans are made to achieve the vision, mission, goals, and objectives. On the other hand, Operational Plans are made to effectively perform the basic activities of the business in order to achieve tactical objectives.

The distinction between strategic planning and operational planning is very clearly presented. Your email address will not strategic planning vs business planning published. Save my name, email, and website in this browser for the next time I comment. Strategic Planning Process. Strategic Planning is long lasting as compared Operational Planning. Operational Planning is done to support Strategic Planning, strategic planning vs business planning.

Strategic Planning takes into account the internal as well strategic planning vs business planning the external environment of business. Conversely, Operational Planning is concerned with the internal environment of business. Strategic Planning is done by top level management, whereas the Operational Planning is a function of middle-level management, strategic planning vs business planning. Strategic Planning covers the whole organization, but Operational Planning is done in a particular unit or department of the organization.

Comments Very true thanks. Leave a Reply Cancel reply Your email address will not be published. The planning for achieving the vision of the organization is Strategic Planning.

 

What's the Difference Between a Business Plan & Strategic Plan | OnStrategy Resources

 

strategic planning vs business planning

 

However, a strategic plan should also be reviewed every time there’s a major event impacting the business, such as a new competitor entering your market, a new product launch, a sudden cash flow challenge or an important currency fluctuation. The business plan and the strategic plan are both essential planning tools for your business. Jul 26,  · On the other hand, strategy, is one of the components of planning and is also known as interpretative planning. The two terms have different meanings and usage in the business world. So, have a glance at the article that explains the difference between planning and strategy. Content: Planning Vs Strategy. Comparison Chart; Definition; Key. Strategic planning and strategic management are both important for the organization as they help in formulating the goals to be achieved and help in a more concentrated approach towards the fulfillment of that goal. Recommended Articles. This has been a guide that strategic planning vs strategic management is a retrospective planning process.