STRATEGIC MANAGEMENT
ASSIGNMENT 2
REG; 22/04720
Reasons why strategic plans fail in the first year of implementation.
Many strategic plans fail the first year of implementation due to a combination of factors.
Lack of Alignment; The plan may be aligned with the organizations overall goals, values or
culture. This lead to resistance from employees who don’t see the relevance or value of the
plan.
Inadequate communication; The plan may not be effectively communicated to employees at
all levels of the organization. This can lead to confusion , misunderstanding, and a lack of
buyin.
Insufficient resources; The plan may require more resources [e.g, time, money ,personnel]
than are available. This can lead to delays, setbacks, and ultimately failure.
Lack of Accountability; There may not be a clear system in place for holding people
accountable for their roles in implementing the plan. This can lead to lack of urgency and
progress.
External factors; Unforeseen external factors [e.g; economic downturn, natural disaster,
regulatory changes] can derail even the best laid plans.
Potential solutions
To increase the chances of successful implementation , organizations can take the following steps;
Ensure Alignment; Ensure that the strategic plan is aligned with the organizations overall
mission, vision, and values.
Communicate Effectively; Develop a clear and concise communication plan to ensure that all
employees understand the plan and their role in its implementation.
Allocate Necessary Resources; Allocate sufficient resources [e.g; time, money , personnel] to
support the implementation of the plan.
Establish Accountability; Create a system for holding people accountable for their role in the
implementing the plan, including regular progress reviews and performance metrics.
Build Resilience; Develop contingency plans to address potential external factors that could
derail the plan.
Continuously Monitor and Adjust; Regularly monitor the progress of the plan and make
adjustments needed to ensure that it remains on track.
Engage Employees; Involve employees at all levels of the organization in the planning and
implementation process. This can help to increase buy in and ensure that the plans is
relevant and achievable.
Safaricom’s strategic success
Safaricom, Kenya’s leading telecommunications company, has achieved remarkable success in the
highly competitive market. It’s strategic management practices have played a pivotal role in this
achievement.
Strategic Formulation
Customer Centric Approach; Safaricom has consistently prioritized understanding and
meeting the needs of its customers. By conducting extensive market research and customer
feedback, they have been able to identify gaps in the market and develop innovative
solutions.
Innovation and Disruption; The company has a culture of innovation, which ha led to the
development of disruptive products and services like mpesa. This innovation has allowed
Innovation and Disruptions; The company has culture of innovation , which has led to the
development of disruptive Safaricom to differentiate itself from competitors and capture
new market segment.
Strategic Partnership; Safaricom has formed strategic partnerships with various
organizations, including banks, government agencies and other businesses. These
partnerships have expanded its reach and provided access to new markets and resources.
Diversification; While telecommunication remains its core business Safaricom has diversified
into other areas , such as mobile commerce, financial services, and digital content. This
diversification has helped to reduce its reliance on singe revenue stream and mitigate risks.
Strategic Evaluation
Performance Metrics; Safaricom uses a variety of performance metrics to track its progress
and identify areas for improvement. These metrics include customer satisfaction, market
share, financial performance and operational efficiency.
Regular Reviews; The company conducts regular reviews of its strategic plans to ensure they
remain aligned with the goals and objectives. These reviews involve assessing the
effectiveness of its strategies, identifying any challenges or opportunities and making
necessary adjustments.
Scenario Planning; Safaricom engages in scenario planning to anticipate potential future
trends and develop contingency plans . This helps the company to be proactive and
adaptable in a rapidly changing environment.
Continuous Learning; The company recognizes the importance of continuous learning and
development. By investing in training and education, Safaricom ensures that its employees
have the skills and knowledge needed to support its strategic initiatives.
