Corporate planning and implementation — common mistakes

In an exam, do not just list the SMART acronym. When asked to assess an objective, apply each criterion to the case study context. For instance, explain why the objective is 'Relevant' by linking it to the business's overall mission or a specific opportunity identified in a SWOT analysis provided in the text.

When evaluating a business's new strategy, go beyond the plan itself and analyse the potential challenges of implementation. Consider the firm's existing culture, the skills of its workforce, and potential resistance to change. This demonstrates a deeper, more practical understanding of business strategy.

No, this is a common misconception. While a corporate plan sets a long-term direction, it is not set in stone. Effective businesses treat it as a dynamic document. They use the 'review and control' part of the planning cycle to constantly monitor progress and the external environment, making adjustments to the plan as necessary. This process of adapting strategy in response to unforeseen changes is known as emergent strategy.

Absolutely not. A brilliant strategy is useless without effective implementation. Many strategies fail not because they were poorly conceived, but because they were poorly executed. Common implementation failures include a lack of resources, poor communication leading to employee resistance, a corporate culture that does not support the new strategy, and a failure to monitor progress and make necessary adjustments.

No. While this topic focuses on corporate SMART objectives, the framework is a versatile tool used at all levels of an organisation. A high-level corporate objective (e.g., 'increase group profit by 10%') is cascaded down into functional objectives (e.g., for the Marketing department: 'increase brand awareness by 15%'), which are then broken down into departmental and even individual objectives. For maximum effectiveness, objectives at all levels should be SMART.