The 10 Immutable Rules of Strategic Planning APPA National Conference June 21, 2004 John C. McClure Vice-President of Government & Public Affairs.

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Presentation transcript:

The 10 Immutable Rules of Strategic Planning APPA National Conference June 21, 2004 John C. McClure Vice-President of Government & Public Affairs

2 Rule No. 1 You can't predict the future, but you can plan for it. “The phonograph…is not of any commercial value.” Thomas Edison remarking on his own invention to his assistant Sam Insull, “It is an idle dream to imagine that…automobiles will take the place of railways in the long distance movement of passengers.” American Road Congress, 1913.

3 Rule No. 1 (Cont’d) You can't predict the future, but you can plan for it. “I think there is a world market for about 5 computers.” Thomas J. Watson, Chairman of IBM, “There is no reason for any individual to have a computer in their home.” Ken Olsen, president of Digital Equipment Corp., 1977.

4 Rule No. 2 Know your mission and be anchored to it. What is your fundamental purpose? We are all mission driven--most of our missions are spelled out by a local ordinance or state law. Private sector entities can change their fundamental mission, but we generally cannot.

5 Rule No. 3 Strategic Planning is a leadership responsibility - - not a staff responsibility.

6 Rule No. 4 A good Strategic Plan requires a good planning process. Breadth Players Timeframe Accountability Consultant / Facilitator Simple is Better than Complex!

7 Rule No. 5 Develop agreement on the elements of the plan and its general format.

8 Vision Mission Statement Values Goals & Objectives Tactics / Performance Measures / Budgets Least Complex Least likely to change Most Complex Most likely to change

9 Rule No. 6 Objective self-assessment is challenging but essential. “I have examined myself thoroughly and come to the conclusion that I don’t need to change much.” Sigmund Freud If you don't know where you are, it's hard to reach a destination.

10 Rule No. 6 (Cont’d) Objective self-assessment is challenging but essential. Beware of BOGSAT (Bunch of Guys/Gals Sitting Around a Table) How do you get the facts? R ating agencies reports Benchmark data Customers Employees Interest Groups Other utilities Vendors

11 Rule No. 7 Identify the Key Performance Measures that are critical to your success Measures Lagging vs. Leading Measures Consider using the Balanced Scorecard Approach Consider using Strategy Maps

12 Rule No. 8 Manage to the plan and communicate, communicate and communicate more! Governing Body Priorities Management Priorities Front Line Priorities

13 Rule No. 9 There are no silver bullets or magic elixirs.

14 Rule No. 10 Planning is easy, Execution is hard!