A Diamond in the Rough... strategic planning

Strategic Analysis... sounds like a huge task - where to even start?! So many factors, so many variables to consider.

I was recently exposed to the Diamond-E Framework which breaks down Strategic Planning into approachable buckets. The Framework is a tool that will help to identify potential gaps within an entire ecosystem before deciding to pursue an opportunity or address a threat.

The assumption is that you have a Strategy in place, but you are now assessing specific proposals to determine if they are worth pursuing. The Framework guides you to find deficiencies or gaps within specific components (see below); how those gaps relate to each other, and how they relate overall to the Strategy in place. Corrections can be made to fix the specific issues (i.e. missing capability) or it may be more appropriate to adjust the Strategy (i.e. against corporate culture).

ENVIRONMENT (external variable)

Consider factors outside the organization that will impact chances of success: Supply (technology, suppliers, resources), Demand )customer needs & preferences), Competition (market rivalry & attractiveness), Government (regulatory compliance, policies).

RESOURCES (internal variable)

What requirements are needed in these organizational areas? Marketing, Operations, Development, Human Resources, Finance

MANAGEMENT (internal variable)

What are the 'Observed Preferences' in Individual goals, values and attitudes and how do these differ from the 'Required Preferences'? "What's best for me and my team?" vs. "What's best for my company?"

ORGANIZATION (internal variable)

What are the required capabilities for success with relation to: Innovation, Productivity, Speed, Collaboration

There are many opportunities to apply the Diamond-E Framework. Strategic planning of complex/huge opportunities are an obvious match to apply the Framework (i.e. should we get into THIS type of business?) - but it can also be applied at a tactical level (i.e. project selection or deciding on feature enhancements to pursue). From what I've read, it will feel more 'natural' once it's been used a few times. Overall, the Diamond-E Framework is a tool that will help to identify potential gaps within an entire ecosystem before deciding to pursue an opportunity or address a threat.

Reference Material

Joseph N. Fry, J. Peter Killing - Strategic Analysis & Action