Strategic Planning Cycle

Strategic planning cycle consists of 6 steps. The model starts determining the mission, identifying goals, understanding internal factors such internal issues that affect company’s performance. The strategic planning cycle then goes into understanding external factors, performing SWOT analysis (define company’s strengths, weaknesses, opportunities and threats) and finally defining the strategy. The diagram below demonstrates the planning cycle of company’s strategy.

PDCA cycle

PDCA cycle stands for Plan, Do, Check, and Act. Plan for change to bring about improvement, Do change on a small scale first to try them, check to see if changes are working and investigate selected processes, act to get the greatest benefit from changes. PDCA cycle continues as shown on the below PDCA diagram.

SWOT Analysis framework

SWOT analysis is one of the top mba frameworks that looks at company’s internal and external factors from positive and negative perspectives. SWOT includes the following key parts: strengths, weaknesses, opportunities and threats. The SWOT diagram below mentions Starbucks as a great examples of a company that can be viewed through this strengths weaknesses opportunities and threats model.

Business Model Canvas

Business model canvas allows to analyze a company on a single sheet of paper. It includes Key partners, key activities, key resources, cost structure, revenue streams, value proposition customer relations, channels, and customer segments. It is surprising how quickly and how much you can say about company’s business model on a canvas.