The business planning process: maintaining strategic fit

Abstract

A wide range of business planning processes have been offered by academics and practitioners alike, yet little has been said about how firms should go about changing their process when managers perceive it to no longer be effective. ᭹ This paper uses a recent change in the business planning process by a US manufacturing firm to examine how the planning process can be effectively changed. In particular, the matching of the process to the current internal and external conditions the firm is facing is emphasized.from a contingency standpoint there is no single best way to plan. Rather, in following a contingency view, the situation determines which type of planning method will work best.The aim of this paper is to explain how a firm's business planning process can be changed to better reflect the changing internal and external conditions that a firm faces. For demonstration purposes, a US manufacturing firm that recently underwent business planning process changes is used to illustrate how these types of changes can be successfully made. In order to show how this process occurs and what the resulting outcomes look like, it is necessary to identify the critical internal and external conditions affecting this firm and their resulting influence on it. In addition, the business planning process changes that were made need to be delineated in order to demonstrate how the new business planning process better handles the firm's current situation. An overall recommendation that arises from this project is that firms should not only look at what new products they should produce or what new projects they should Strat. Change 16: 33-41 (2007) Published online in Wiley InterScience (www.interscience.wiley.com)

Emerging business models and strategies for mobile platform providers: a reference framework

“…The business model design literature is gaining growing interest within the Strategic Management research field (Ghezzi et al, 2010). Nevertheless, though intuitive (Bloodgood, 2007), the explicit relationship between strategy and business model is currently under-investigated: recent attempts of proposing the business model concept as an integrative framework for strategy formulation and execution and to distinguish while at the same time relate the interdependent constructs of business model, strategy, tactics (Casadesus-Masanell and Ricart, 2009), innovation management and theory (Teece, 2010) are driving scholars to fill the existing literature gap, though the issue remains undoubtedly open.…”

How to get strategic planning and business model design wrong: the case of a mobile technology provider

“…Th e business model design literature is gaining growing interest within the strategic management research fi eld. Nevertheless, though intuitive (Bloodgood, 2007), the explicit relationship between strategy and business model is currently under-investigated: recent attempts to propose the business model concept as an integrative framework for strategy formulation and execution (Richardson, 2008) -and to distinguish while at the same time relate the interdependent constructs of business model, strategy, tactics (Casadesus-Masanell and Ricart, 2009), innovation management, and theory (Teece, 2009) -are driving scholars to fi ll the existing literature gap, though the issue remains undoubtedly open.…”

“…Mistake 7 -Missing the link between strategic planning, strategy analysis, and business model Decisions concerning the approach to adopt at a strategic planning level have tremendous impacts on the undercurrent business model level; though the relationship between business model and overarching strategy is still a nonformalized and under-developed issue, many studies suggest the importance of matching the business model design process to the current internal and external conditions the fi rm is facing (Bloodgood, 2007), thus creating and maintaining strategic fi t.…”

Revisiting business strategy under discontinuity

“…Though much has been written on strategizing in volatile conditions (Drucker, 1969) and on the need to scan the environment (Ebrahimi, 2000) searching for a suitable fit between external and internal elements (Grant, 1991;Bloodgood, 2007), little research was devoted to deeply investigate what changes in a firm's strategy when a discontinuity occurs (Wu, 2010). The study's contribution focused on systematizing the relationship between discontinuity and its effects on strategy (mediated by the three emerging strategic models of BM, VN and RM), and may be valuable for both researchers and practitioners in the field of strategic management.…”

“…Though intuitive (Bloodgood, 2007), the relationship between strategy, discontinuity and BM is under-investigated, and BM design risks to be a , due to its fragmentation and missing links to more consolidated theories. Recent proposals may drive scholars to fill the existing literature gap: BM is in turn interpreted as an integrative framework for strategy formulation and execution , a construct interdependent with strategy and tactics (Casadesus-Masanell and Ricart, 2010), a support for innovation management (Chesbrough, 2010;Teece, 2010), a tool to provide dynamic consistency (Demil and Lecocq, 2010) and change capability (Hacklin and Wallnöfer, 2012).…”