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Abstract
What are the underlying principles of strategic planning? What makes it different t from operational planning? What value does it have to the nature and activities of m an organization-particularly a nonprofit organization? What implications does a new strategic plan portend for the organization? Are the lessons learned applicable to other organizations? In addressing these questions, this paper reflects on the process used by the Society of Research Administrators International (SRA) to establish its 2001-2006 strategic plan.
Introduction
The strategic planning process provides an overview of the entire organization to its leadership. A decision made in one area is not made in isolation from others, but rather with full realization of the impact it will have on the overall operation. Strategic planning benefits all organizations; however, for nonprofit organizations, which generally have yearly turnover of volunteer leaders, it has some specific benefits necessary for their success. It enables volunteers and staff to take advantage of changing environmental conditions not only to reduce environmental threats, but also to create opportunities for the organization. In addition, strategic planning creates a proactive environment, provides clear goals and direction, focuses the organization on its long-term welfare, facilitates both volunteer and staff analysis and decision-making, and provides both volunteers and staff with a clear understanding of what is required for success because they know the desired results.
Evidenced by both history and recent case studies by the Plexus Consulting Group (2002), organizations using strategic planning significantly out-perform both their past results and other organizations that do not use strategic planning. Strategic planning provides a mechanism to effectively integrate operating objectives and policies and helps expose organizational needs (e.g., key personnel, better management and communication systems, and improved committee performance). It also provides an effective political mechanism for gaining commitment from all levels in the organization to address issues facing the organization. As Goodstein, Nolan, and Pfeiffer (1993, p.6) emphasize, strategic planning helps to "unleash the energy of the organization behind a shared vision and a shared belief that the vision can be fulfilled."
Elementary management principles address planning as one of the basic functions of senior management, and strategic planning has been used successfully in the corporate world for many years. More recently, academia, hospitals, nonprofit organizations, IT...