The processes of change management and strategic planning are complex and multi-dimensional as they entail the collaboration between relevant stakeholders, each of which has their defined roles and responsibilities. The strategy change cycle is among the primary processes of strategic management that links the processes of planning and implementation and ensures that the process is carried out consistently and in alignment with specific organizational goals. The ten steps included in the cycle are essential to consider because they represent the system of activities and processes to be carried out to meet the strategic objectives. The ten-step process is highly flexible and adaptable to organizational needs, which means that it can be carried out in any context.
The strategy change cycle represents a strategic management process that connects planning and implementation and ensures that the process of strategic planning is ongoing. Its purpose is to develop a consistent commitment to the mission and vision of an organization, both internally and externally, at the same time with maintaining a clear focus on the organizational agenda with the help of relevant activities and decision-making processes (Elbanna, Andrews, & Pollanen, 2016). There are ten specific steps that make up the strategy change cycle that can help assist organizations in the development of the strategies (Bryson, 2018). By understanding and following them, organizations can develop appropriate strategies for effectively implementing them.
The first step is to “initiate and agree on a strategic planning process” (Bryson, 2018, p. 25). In the beginning, it is necessary to identify the primary decision-makers and stakeholders involved in the change process, and everyone included should be made aware of their responsibilities. At this stage, the stakeholders will agree on the timing and form of analyses and reports, the resources needed, as well as any limitations in a given initiative. It is crucial to facilitate commitment to strategic planning processes to ensure that everyone involved is “on the same page.”
The second step of the cycle is to “identify organizational mandates” (Bryson, 2018, p. 25). Such mandates represent both formal and informal requirements, limitations, expectations, and constraints that an organization may face. Revising mandates during the strategic planning process is important because it can give clarity to the process of implementation (Elbanna et al., 2016). In addition, an organization may not be limited by mandates despite its belief to be constrained by them. Mandate revisiting is also important because change cycle stakeholders may think that they cannot do something even though the mandates state the opposite.
The third step entails “clarifying organizational mission and values” (Bryson, 2018, p. 25). In strategic decision-making, the vision, mission, and values allow organizations to have a direction for every process and decision (Overgaag, 2020). By clarifying them in the strategy change cycle, an organization can justify its existence and guide the strategic planning process by establishing the direction that it wishes to pursue. In addition, having a clear understanding of the vision, mission, and values, relevant stakeholders can agree on the primary purpose of their organization and work collaboratively to adhere to it.
The fourth step is to “assess the external and internal environments to identify strengths, weaknesses, opportunities, and threats” (Bryson, 2018, p. 25). Internal factors represent those that organizations can control, and external factors are the ones that are outside the realm of influence. It is imperative to engage in internal scanning to examine the capacity of an organization in crucial areas such as human resources, IT capabilities, marketing efforts, or financial management. External scanning is as important because it will illuminate issues in political, socioeconomic, technological, and educational factors that can either facilitate or limit organizational success. Through external monitoring, organizational stakeholders will identify trends and analyze their impact to determine their importance and critical issues. Knowing both internal and external factors can be conducive to effective planning and decision-making processes within an organization.
The fifth step is to “identify the strategic issues facing the organization” (Bryson, 2018, p. 25). At this stage, there may be strategic challenges that limit an organization’s mandates, its mission, vision, and values, the delivery of products and services, management, and financing. If there is nothing in an organization’s power that can be done about the identified problem, then it is a good idea not to waste time and effort to address it. Besides, it is important for strategic decision-makers to define the consequences of not addressing each challenge.
The sixth step is to “formulate strategies to manage the issues” (Bryson, 2018, p. 25). In the previous stages, stakeholders have defined issues that can limit the success of the strategy change cycle. Therefore, it is essential to develop solutions for addressing them. A practical and straightforward way to create such strategies starts with the identification of reasonable alternatives and visions to resolve the challenge. After gathering all proposals and options from the decision-makers, stakeholders will review them and separate those that will be implemented in the plan.
The seventh step is to “review and adopt the strategies or strategic plan” (Bryson, 2018, p. 26). This stage follows logically from the previous one and entails putting everyone involved in the strategy change cycle ‘on the same page when it comes to making a strategic plan a reality. The step can be merged with the sixth step, depending on the needs of an organization. However, in instances when stakeholders engage within a larger organizational context or collaborate with a community, a separate step is necessary. Besides, it may be necessary to introduce a strategic planning coordination committee for overseeing an effective plan adoption.
The eighth step is to “establish an effective organizational vision” (Bryson, 2018, p. 26). The vision of success is described as what organizations should look like once the strategies have been implemented in order to achieve the previously-defined goals. Some entities may have a strong vision of success before reaching the eighth step of the strategy change cycle. Others may not be as consistent and will change and adapt their vision based on the identification of the strategic challenges, goals, and work plans. Establishing a compelling organizational vision is crucial because it serves as a strategic plan of success through offering guidance and support throughout the process of strategic change implementation (Elbanna et al., 2016). Entities with a strong understanding of their vision are more likely to cultivate environments in which employees will stay motivated when working toward a shared goal.
The ninth step is to “develop an effective implementation process” (Bryson, 2018, p. 26). Unless implemented, an action plan of the strategy change cycle. When an implementation process plan is designed correctly, it includes the roles and responsibilities of relevant stakeholders, ranging from separate individuals to task forces. In the best scenario, a plan will entail an agreement about what should be done, how it should be done, when and where, for what reason, and by whom. Within such a scenario, the stakeholders involved in plan implementation are expected to create collation necessary for guiding and protecting efforts of implementation. Therefore, it does not matter how well-developed a strategy is if there is no capacity to carry them forward.
The tenth and final step is to “reassess the strategies and the strategic planning process” (Bryson, 2018, p. 26). The purpose of this step is to review the implemented strategies and the entire process of strategic change. Most of the work at this stage may have taken place as a part of the ongoing strategy implementation. At this stage, it is important for organizations to reassess strategies, alongside with any issues that caused them, in order to decide what should be done regarding them. Strategies may have to be maintained, replaced by others, or terminated depending on organizational needs. Therefore, strategic planning is a complex and dynamic process, which means that entities will change or modify their action plans upon regular reviews.
To conclude, the strategy change cycle is a comprehensive and multi-dimensional approach that enables organizations to be flexible and action-oriented in their strategy implementation. Through action, organizations learn about their strategic challenges and can adopt a compelling organizational vision that will align with their goals. Because of its adaptability, the ten-step process can fit many organizational settings and provide opportunities for many workers to be engaged in the decision-making.
References
Bryson, J. M. (2018). Strategic planning for public and non-profit organizations. Wiley.
Elbanna, S., Andrews, R., & Pollanen, R. (2016). Strategic planning and implementation success in public service organization: Evidence from Canada. Public Management Review, 18(7), 1017-1042.
Overgaag, D. (2020). 6 elements of effective strategic planning. Web.