1. Functional Areas
1.1. Finance
1.1.1. Finance Relies very heavily on planning.With finance, you want to predict where you investments will be in the future and their value to day. With out planning, any investment will be a bad one.If you follow the strategic planning process it will lead you to success when it comes to investing.
1.2. Accounting
1.2.1. With my backround in accounting i have learned that much has to do with planning. When in relation to book keeping, it lets you know where a company is excelling or hurting.When you audit a company you can find trouble areas, make a strategy, implement it, and make sure it is successful. This process directly relates to the stages of strategic planning.
1.3. Marketing
1.3.1. Marketing relies very heavily on planning. When it comes time to market something, you must first make a plan of how and to who.Once you figure this out, you mush come up with a strategy of how to market it. This may be in forms of commercial advertisements etc. Once your mind is made up you must implement the marketing campaign and evaluate if it is working or not.
2. Relevance to Strategic Planning
2.1. ROI
2.1.1. I chose Return on Investment as it is important to every individual and Coorporation. When investing, the main goal is to maximize your return on investments as it will increase wealth as an individual or a corporation,
2.2. Dpreciation
2.2.1. I chose deprecition as it is a very important factor when calculating net worth as well as planning. Any asset you own will depreciate over time, such as cars, houses and belongings. Calculating depreciation can help you determine and plan for future expenses.
2.3. Ethics
2.3.1. Ethics(a system of moral principles) is something that everybody has to deal with all day every day, not only on a personal level, but a business level as well. The way you act within a business is very important. If you don't have good ethics, you will not make it very far in a business setting.
2.4. Statement of Cashflows
2.4.1. Statement of cash flows is very important for any individual or business. With a correct statement of cash flows it is very easy to see how much money you spend every month and how much you need to save. This lets you see where you may need to cut back on spending to achieve your goal of maximizing wealth.
2.5. Standard Deviation
2.5.1. Standard Deviation lets companies know how Dispersed there outcomes are from the mean.There usually is an excepted amount of standard deviation and anything over must be thrown out or not included. This is very important in figuring out how accurate a companies procedures are especially with manufacturing.
2.6. Entrepreneur
2.6.1. A person who organizes and manages any enterprise, especially a business, usually with considerable initiative and risk. A chose this word because hopefully after i retire i will be lucky enough to follow my dream of opening up a car tuning shop.
2.7. Motivation
2.7.1. Motivation is the key to success. Ichoose this term because without motivation you wont go anywhere. With the combination of motivation and work ethic, nothing is impossible.
3. Image
3.1. Puzzle
3.1.1. I chose this image because it takes strategy to put all the pieces together. Throughout life there are many pieces and obstacles to over come. The key is balance and when all the pieces hook together everything is going smooth as your goal is obtained and happiness ensues.
4. Strategic Planning
4.1. Strategic planning determines where an organization is going over the next year or more, how it's going to get there and how it'll know if it got there or not. The focus of a strategic plan is usually on the entire organization, while the focus of a business plan is usually on a particular product, service or program.
4.1.1. Stages
4.1.2. Levels include the Corporate Level, Business Level, and Functional Level.
4.2. Scope defines the boundaries of its operations. These are set by management.
5. Stratagies
5.1. Sirius XM
5.1.1. A strategy for Sirius XM was to introduce a new service package for $7.99 which would be limited to only the music channels which Sirius XM has to offer. We thought that this would appeal to the 18-25 year old demographic. This relates to strategic planning as we came up with this idea after creating a strategic audit.
5.2. The Wallace Group
5.2.1. The Wallace Group was the first case study we did in class. When looking into the financials of Wallace Group there was clearly a problem with the chemical section as they were not performing to well. After reviewing possible ideas the strategy in this case was to liquidate.
5.3. Netflix
5.3.1. Netflix has used a strategy to grow that not many peole really understand. They introduced Qwikster which would seperate their dvd rentals from their streaming. Immediately after, their stock plummeted. Qwikster offers streaming at a lower monthy rate then the Netflix service as a whole. However, if you want streaming and dvds, this will now cost you more.This split has made many customers very angry, many even dropping the service all together. They have gained new subscribes and only time will tell if the was a good or poor strategy. This strategy relates to strategic planning because the company has reviewed there ideas and implemented the split.