“…Search strategy is equivalent to admit that talent and ambition, even if they are outstanding, always need to find a well oriented way.” (Tony Robbins)
The term “strategy” is perhaps one of the terms more monopolized in the company. We use the word ‘strategy’ to refer to any action, from ways of proceeding in business to our own attitude to conduct meetings or negotiations. Such proliferation of use only devaluates the true concept of that word. However it is an important concept and sometimes crucial, to help us achieving success in every business venture… the only trick is… how to use it properly.
The strategy lets you organize your future and basically planning now what you want to achieve in the future, therefore, when we speak of strategy we are talking of the medium and long term. In short term only proceed to talk about business tactics or practices, but not strategies.
The company`s strategies can be various. For example a company can carry out at the same time a marketing strategy as well as a competitive strategy, but both should be related in a so-called Strategic Plan
The Strategic Plan is a document that reflects which will be the company’s strategy or strategies in a medium term, a period ranging from 3 to 5 years. Strategic Plan clearly indicates the numerical targets, policies and lines of action to achieve in a specific period of time. In resume, it is a temporal and quantitative document.
Above this, is the Master Plan, an official document, especially in large companies, where the future objectives are reflected in the long term, not less than 5 years. Basically specifies the organization’s basic qualities, such as structure, mission, or their catalogue of services, and also it establishes the purpose of the company, but it does not specified how to get it or any kind of time intervals to establish priorities. In contrast to the Strategic Plan, the Master Plan is qualitative and timeless.
The major difference between the two, is the level to which are placed. While the Master Plan would be at a corporate level the second would be at an Executive or business level.
The strategic plan facilitates future vision, allows you to evaluate the real situation of the company and acts as a starting point for a true business planning. … The absence of a strategy in the medium and long term, may limit their growth in the short term and even their viability in a medium and long term.
Manuel Sordo, CEO at EMC