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Technical

Making strategic planning relevant in an uncertain world Logo cgma

  David A J Axson |   Free |   Oct 2020 |   FM magazine

This article considers how to build resilience into the process and ensuring there is financial realism at every stage. The planning process is not dead but needs to be constantly reviewed and tested.

Topics covered:
  • Management accounting: Technical: Business planning: Planning, forecasting & budgeting, Advanced

1 Comments/Reflections

Clinton Smith

Clinton Smith Nov 2020

Currently experiencing similar challenges when constructing our strategic plans for the next few years. Not only are there levels of uncertainty to deal with but also how to prioritise which projects to do first with one eye on the strategic benefit and the other on the cash that is available to fund it.

Some of the strategies employed to deal with some of the short term uncertainty was implementation of a rolling forecast to provide a real time / realistic view of the current direction . Over and above this is overlaying scenarios to understand the potential deviations (both good and bad) and how we navigate through the risks and opportunities.

Importantly we have a strategy that we believe is right and now is for us to execute that as effectively and efficiently as possible