PREPARATION OF A CORPORATE PLAN FOR AN ORGANIZATION

PREPARATION OF A CORPORATE PLAN FOR AN ORGANIZATION 1

Facilitated by By Mr. T. M. Jayasekera, BSc. , Eng. , MBA, FIE, FCIWEM, FIM, MICE, MSLIM, MSLITAD MANAGEMENT CONSULTANT 2

Supported by By Professor W. M. Jayaratne and Dr. Sarath Kodituwakku 3

PURPOSE • The main purpose of this exercise is to prepare a Strategic Corporate Plan for a Business 4

MENU 1. Introduction- About facilitators and Rules of the Game 2. Strategic Planning Methodology Adopted & the Model Used 3. Where are we? -Our Business definition/Major Issues 4. Business Philosophy - Core Values 5. Direction - Vision and Mission 6. Focus – Key Results Areas 7. Aims-Goals 8. Environment-SWOT Analysis& Critical Success Factors 9. Strategies for the organization- Corporate, Business an Functional • Our Action Plans 2. Our Policies and Procedures 5 3. Monitoring and Evaluating mechanism

INTRODUCTION About facilitators 6

We are a team of consultants having the right knowledge, skills and the attitude to provide Strategic Management services to our clientele 7

The Capability of the our faculty (based on J B Barneys framework -2002) • Our Core capability is based on following competencies • Valuable • Rare • Difficult to imitate • Without substitutes • That is why we have a sustainable Competitive advantage 8

JB Barney’s framework Is a Resource -------Valuable? Rare? Difficult to imitate? Without substitutes? Competitive implications No - - - Competitive disadvantage Yes No - - Competitive Parity Yes No - Temporary Competitive Advantage Yes Yes No Competitive Advantage Yes Yes Sustainable Competitive Advantage 9

Why are we valuable “Value” is the difference between what is paid or incurred in costs and what is received in benefits from the performance of the product or service obtained from involvement in the organization -Hubbard (2003) Customer Value =Perceived Benefits Cost 10

Why are we valuable We create more “Value” to our customers by making our service more and more attractive through superior design, functionality, quality and the like, so that the customers place a greater value on it and are consequently willing to pay a high price ( Hill and Jones 2001) 11

This is how we have added value Augmented product On time Delivery Actual Product Tested Approach Style & Brand Facilit ation Handle with Care Consultancy Packaging Quality Core product Modern & Innovati ve Features After sales Service Faculty Dissemination of Knowledge 12

Why are we valuable Our Distinctive Competencies are based on five principle beliefs • We believe in Theory and Practice • We believe in Innovation and continuous Improvement • We believe in Customer Responsiveness • We believe in Superiority achieved through synergy • We believe in Deming’s 9 characteristics of Quality, VIZ. • Performance • Features • Conformance • Reliability • Durability • Serviceability • Responsiveness • Aesthetics • Reputation 13

Why are we rare to find • Because we have experience in facilitating large no of Corporate Plans during the last 20 Years in (as indicated in the next slide) for; 1. Private Sector – For Profit Organizations 2. Public Sector – Non Profit Organizations 3. Finance and Banking Sector – For Profit Organizations 4. NGO Sector – Not for Profit Organizations and 5. Clubs and Associations Sector – Not for Profit “ Common Weal” Organizations and • We are knowledge seekers, gatherers and Transferers who continuously update and transfer knowledge to others as a service to the society 14

This shows our experience in Corporate Planning Private Sector (a)Chilaw Plantations Ltd Private Sector Private Public Sector-22 Sector Public Sector -8 NGOs 4 Others 5 (g) Hayleys (m)Akbar Engineering Co. Bros. Ltd. (s) Hameedias Group v)Ceylon Electricity Board (ab) Industrial Development Board of Sri Lanka (af)Plenty Canada (aj)Board of Control of Cricket of Sri Lanka (b) Sri Lanka Pharmaceutical s Corporation (h) Hayleys Group (n) Built Mart Group (t) Sun City property Developments (w) Associated news papers of Ceylon Ltd (ac) Multi purpose Coop Societies of Sri Lanka (ag) CARE Internation al ak)Sri Lanka Business Development Centre (c)Sri Lanka Pharmaceutical s Manufacturing Corporation (i) Industrial Gases (Pvt. ) Ltd (o)Peoples (u) Lallan Venture Rubbers Ltd Investment Co. (PVIC) (x)Department of National Planning Finance and Banking Sector -2 (ah)Sri Prabhoda (gte) Ltd (al) Sri Lanka Garment Buying Offices Association (d) Haytex Ltd. (j) B and A Textiles Ltd. (p)Cooperative Insurance Ltd (y)ITN of Sri Lanka (ad)Housing and Development Finance Corporation (HDFC) ai)Nivahana. NGO of Central Provincial Council am) Uva agricultural and marketing Initiative of UVA provincial Ministry (e) Hayleys Interlinings Ltd. (k)Hemas Garments Ltd. (q)Puttlam Salt Ltd z)Telecommunicat ions Regulatory Commission (ae) Kandurata Development Bank (f) Hayleys Apparels Ltd. (l)Malwatte Valley Plantations Ltd. (r)Silva Mills Group ((aa) Ministry of Local Govt and Provincial Councils (af)Senkadagal a Finance Co. Ltd. (v)Seico Gases (Pvt) Ltd. (an)Small and medium Scale Enterprise Development Project 15

More about our capability We are a team of facilitators, trainers, lecturers and practitioners as well 16

Our experience in Training and Development Manufacturin g and services sector Manufacturi ng and services sector and Groups-30 Groups and Banking sector Akbar Brothers Ltd DI Leather Products Ltd Nestle Lanka Ltd Southern Oxygen Ltd Hemas Group Associated Cables Ltd Duro Pipe Industries Ltd Orient Lanka Ltd Techwaters (Pvt) Ltd Baur and Company Ltd Eric Rajapaksa ltd. Richard Pieris Ltd Carsons Ltd General Sales Co Ltd. CPC Lanka Ltd. Lanka Ceramics Ltd Banking sector Plantations sector Garments sector -6 -8 Peoples Bank Bogawanthala wa Plantation Co Ltd Growth Lanka Ltd Metroof Group Sampath Bank Elpitiya Plantations Ltd Hemas Garments Ltd. United Motors Lanka Ltd Banking Sector -11 Senkadagala Finance Co Ltd Kegalle Plantations Ltd Lanka Garments Ltd SA Silva and Company Ltd. Zellers Confectionaries (Pvt) Ltd. Bank of Ceylon Seylan Bank Malwatte Valley Plantation Co Ltd MV Knit wear Ltd. Sathosa Motors Ltd DSI Group Central Bank Vanik ltd Alexandra Industries Ltd Sri Lanka Garment Buying Offices Association -11 -16 Debug Computers Ltd Lanka Confectioneries (Pvt) Ltd. Shell Gas Lanka Ltd Edna Group Commercial Bank of Sri Lanka Pan Asia Bank 103 Estates of privatized plantation Companies Texwood International Delmege Forsyth Ltd Lanka Wall tiles Ltd Sinwa Ltd Hayleys Ltd Hatton National Bank National Enterprise Bank CKT Industries of Hirdaramani Hameedias 17 Garments

Our experience in Training and Development Business Schools and other schools -6 NGO Sector -6 Public and Ministries Local Govt. -6 sector-6 Universities and Institutes -12 Chambers & Institutes -6 Programmes, projects and Others -6 London Business School Agromart Foundation Colombo Municipal Council North Central University College University of Peradeniya – Agricultural faculty Ceylon Chamber of Commerce CCC-SIDA Export Development Programme Oxford College of Business Berendina Foundation Department of Ministry of irrigation and Agriculture Rajarata University of Sri Jayawardenapura National chamber of Commerce Ministry of Science and Technology - ADB funded Project Phoenix Business College Nivahana Organization Department of National Planning Ministry of Local Govt and Provincial Councils Sri Lanka Institute of Development Administration Kotalawala Defence Academy National Chamber of Exporters MOF- ADB Financial Management Training Project. Sri Lanka Business Development Centre Sarvodaya Community Development Project Industrial Development Board – Sri Lanka Ministry of Mahaweli Development University of Colombo Sri Lanka Foundation Institute a. Institute of Chartered Secretaries – Sri Lanka Skills Development Project- ADB Visaka Vidyalaya Sri Prabhoda Organization Irrigation dept Ministry of Samurdhi University of Moratuwa Institute of Personnel Management – Sri lanka Institute of Galadari Hotel Management - Sri Lanka ICBT CARE Sri Lanka Railways National Intelligence Bureau University of Peradeniya Institution of Engineers - Sri Lanka Institute of Personal Secretaries- Ministry of Defense Water Management Sunday Times 18 Business Club

Why are we difficult to be imitated Because we are a team of consultants • Having wide knowledge in the area of strategic Management • Have experience in practice of Corporate planning • Have updated knowledge in this ever developing area Have international exposure and • Have ability to create synergy in today’s knowledge society and • We use most up to date and validated methodologies developed and practiced in the developed world 19

Why are we without substitutes Because Our knowledge and experience is unmatched, Our approach is new and robust Our customers are delighted And above all We are “distancing” ourselves from the competition day after day 20

ABOUT CORPORATE PLANNING 21

Corporate Planning – what is it all about • It is not planning for the whole company, It is planning for the Company as a whole » John F Argenti 22

Corporate Planning – Definition • It is the process by which the guiding members of the organization envision its future and develop the necessary procedures and operations to achieve that future – Leonard Good stein, Timothy Nolan and J William Pfeifer 23

METHODOLOGY AND MODEL USED 24

THE PROCESS WE HOPE TO FOLLOW 1 WHERE ARE WE? HOW COULD WE ENSURE ARRIVAL? WHERE DO WE WANT TO BE? 5 2 THE FIVE STEP PROCESS 3 HOW COULD WHICH WAY IS 4 WE GET THE BEST? THERE? WHICH WAY IS THE 25 DETAILED STEPS BASED ON JOHNSON AND SCHOLES PROCESS OF STRATEGIC BEST? MANAGEMENT

Expectations and Purposes The External environment STRATEGIC ANALYSIS Opportunities and Threats The internal Environment Resources, and Competencies Strengths and weaknesses ( Generation of of Strategic Options Organizational structure STRATEGIC CHOICE Strategy Evaluation Strategy selection STRATEGY IMPLEMENT ATION People, Culture and Systems DETAILED STEPS BASED ON JOHNSON AND SCHOLES PROCESS OF STRATEGIC MANAGEMENT Resource Planning Monitoring and Control of 26 strategy

Model followed – Developed by Certo and Peter Planning to Plan Establishing organizational position and direction Analysis of Internal Organization SWOT Analysis Gap analysis Analysis of External Environmental Strategy Formulation and Action Planning Strategy Implementation decisions Setting up Strategic Controls Feed Back 27

END THANK YOU VERY MUCH 28