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Strategic Planning Retreat Report*

August 30, 2003

*Conference Design, Management and Report by Dr. Lesley DeNardis - Lesley@nmsu.edu

Executive Summary

Introduction

The purpose of this report is to summarize and capture the proceedings that took place on July 29 and 30, 2003 in connection with the strategic planning retreat.   The retreat was designed to continue the discussions that began in March 2002 at the Strategic Scenario Retreat with the ultimate aim of drafting a strategic plan.  The strategic plan for the City of Las Cruces will provide a series of strategic directions that will guide operations for the next five years.  Retreat participants in attendance were City Councilors and the Mayor, department directors and the assistant town clerk.  The proceedings were open to members of the press and the general public. Two eight hour sessions were held on Tuesday, July 29 from 8–4 pm and Wednesday, July 30 from 8-4 pm.  As a public meeting, verbatim minutes were also recorded.

Retreat participants saw the benefits of a strategic plan by reiterating what they had stated in the previous retreat report, namely that such a plan would enable elected officials and staff to achieve commonly articulated goals, have an agreed upon direction for the city, move beyond crisis management in order to tackle comprehensive and long-term issues that will be critical to the city's success, and finally achieve a heightened capacity to adapt to a changing environment. 

The Planning Process

The planning process that was utilized to structure the work of retreat participants draws from the substantial strategic planning literature and technical journals.   The methodology best suited to local governments is referred to as the “direct approach” [1] .   In this approach, strategic planners go from a view of mandates, mission and SWOTS to the identification of strategic issues.  Strategic planning is a multi-step process that often requires several months of ongoing meetings in order to move participants from developing an initial agreement to performing a comprehensive organizational analysis, to the development of strategies and finally an action plan to implement the goals outlined in the strategic plan.  The strategic planning process is depicted in the diagram in attachment A.  Since developing a strategic plan entails a comprehensive study of the organization, it is critical that there be a structured process in order to systematically manage a vast amount of data and input from participants.  Moreover, a structured process is necessary to help decision makers identify and resolve the most important issues their organizations face.

Step 1:  Initial Agreement

In step one, participants reach an initial agreement or a “plan for planning”.  This is critical because strategic planning is an undertaking that requires considerable time and financial resources.  Therefore it is necessary to have all the participants in agreement about the organization's willingness to commit such resources.  The initial agreement also entails a discussion of the steps in the process in order to create a general understanding of how the planning process will proceed.  The roles, functions and membership of a strategic planning team also need to be agreed upon at the outset.  Role clarification is critical for participants to know the exact role they will play in the strategic planning process and the expectations for that role.  Each participant should know what their responsibilities are in terms of specific contributions to the strategic plan.  For example, some participants will be required to conduct research and analysis drawing from departmental performance data while others may conduct focus groups and meetings with citizens.  At this juncture, participants should also be prepared to commit the necessary resources in terms of staff time and financial resources including outside assistance.  Expectations and clarification of committee roles and functions should be reviewed at the first meeting of the ad hoc committees.

The session began with a discussion of participant expectations about this strategic planning process.  The following responses were noted:

· Team building

· Direction

· Concrete outcomes

· Incorporate citizen input

· Prioritize council goals and the means to accomplish goals

· Define top priorities

· Narrow down 13 goal statements previously developed

· Flesh out goal statements

· Develop a vision that drives operational goals

· Develop a realistic and meaningful strategic plan

· Clear policies for staff to follow

· Maximize resources and build on strengths

Committee Structure, Assignments and Organizational Support for the Development of a Strategic Plan

The two-day retreat was instrumental advancing some of the steps in the strategic planning process with respect to the development of five goal statements, performance of the SWOT analyses on the five goal statements and the identification of strategic issues.  The first task was to narrow down the 13 goals generated at the first retreat to a more manageable number.  The participants agreed that in order to continue the work begun at the retreat, an ongoing organizational effort and commitment of staff time and resources would be necessary.  Five ad-hoc committees were created paralleling the five goal statements. With respect to the roles, functions and composition of the strategic planning team , the following is recommended: 

Committee composition:

The ad hoc committees will be comprised of one or two department directors, three councilors, two staff members and two or three citizens.  In no case should committee membership should exceed twelve for manageability.

Committee Members Roles and Functions

Each committee will be charged with the task of conducting an organizational analysis that pertains to their assigned goal statement assessing the strengths, weaknesses, opportunities and threats with respect to the achievement of that goal.  They will develop strategic directions and initiatives that include concrete goals and objectives for each functional and programmatic mission. 

Since the committees will be carrying out the research and analysis required to write a strategic plan over a several month period, it is critical that the committees have someone in a leadership position who will assume the responsibility for convening meetings, organizing the workload, assigning tasks to committee members and holding committee members accountable for the completion of tasks.  “The requirements for sound strategic decisions – because so much is at stake – is clear justification for a formal process of carefully assigned tasks, their prescribed review and analysis, and clearly designated focal points of approval.” [2] The formulation of tasks will be discussed and agreed upon during committee meetings.  Work tasks as agreed upon during the course of committee meetings should be clear, understood and accepted by all members since it entails the dedication of staff time.  Additionally, the issue of uniformity was raised in terms of how each of the five committees would conduct its work, assign tasks, request information, retrieve information and report results.  So as not to have disparate processes and results, it is recommended that standard operating procedures govern each of the five committees for uniformity in terms of meeting frequency, assignment of tasks, timeline and format for reporting results, etc.

As the elected governing body, Councilors' primary role will be to review and give final approval for the strategic plan . [3]   As committee members, they will spearhead an effort to systematically organize citizen input and opinion on the strategic plan.  One approach would be to hold meetings in their respective districts to inform citizens and obtain input.

Citizen representatives on each committee will provide an important stakeholder perspective on the strategic plan and the vision for the city.  They can advise the committee from the vantage point of citizens who are the primary users of services about important strategic issues related to service delivery.  They will also serve as liaisons to the larger community in order to elicit public input.

An overarching executive committee or team manager should be designated to make sure that the plan is completed on time by developing and monitoring the planning schedule, coordinating logistics and distributing documentation and records.  The executive committee should also coordinate and synthesize the work across committees by facilitating the exchange of information particularly in areas that cross over departmental lines.

A facilitator will organize the process by planning the system design, advising management, planning meetings, facilitating meetings and plan documentation.

Step 2:  Identification and Clarification of Mandates

This step entails a review of the operating parameters of the municipality in order to know what pursuits are allowed and not allowed.  It is recommended that the city attorney's office be consulted during the development of the strategic plan in order to ensure that future plans do not conflict with legislation, articles of incorporation, the city charter or other regulations. 

Step 3:              Development and Clarification of Mission and Values

Since the City of Las Cruces had developed a mission statement approximately two years ago, participants concurred that the present mission statement served the city well and was not in need of revision for this particular purpose.  Participants reviewed and discussed the mission statement particularly so that new members of the council could become more familiarized with the statement.

Steps 4 and 5:  SWOT Analysis (Strengths, Weaknesses, Opportunities and Threats)

Step 4:              Internal Environment Assessment

The cornerstone of a strategic plan entails a comprehensive organizational analysis to inventory the organization's internal strengths and weaknesses, also referred to as a strategic audit.  Strengths and weakness pertain to the ability of organization to carry out its programs and provide services.  In identifying the strengths and weaknesses of the organization, the following data needs to be gathered and analyzed:  inputs in terms of organizational resources required to deliver services such as human resources, financial resources and technology, process or present strategy of delivering services and outputs or actual performance based on results drawn from historical data.  This is probably the most time consuming phase of the strategic planning process but the most vital.  “A plan that will effectively focus your community or organization cannot be developed over a weekend at a planning retreat.  An effective strategic plan requires, as a first step, the fairly rigorous collection of information, with analysis and development of issues.” [4]   In order to chart the future, participants must have a firm grasp on how well the organization is performing.  This type of analysis will entail the collection of performance measurement data. 

During the strategic planning retreat, participants performed a SWOT analysis on each of the five goal statements to assess the current strengths and weaknesses that exist in the organization in terms of fulfilling that particular goal statement.   They utilized an informal brainstorming approach based on their own knowledge of the issues.  A key task of the committees should be to collect and analysis performance measurement data on each of the functional areas associated with the goal statements.   The purpose of assessing the organizational strengths and weaknesses is to develop strategies to increase strengths and diminish the weaknesses.  Such strategies will be included in a long-range strategic plan.  Both strategies often entail the commitment of financial resources and technology, making close coordination with the budget office imperative in order to determine the financial viability of proposals.

Citizen Perceptions of Strengths and Weaknesses 

It is critical to include citizen perceptions of the organization's strengths and weaknesses with respect to services.  In order that the analysis not become merely a technical exercise, it is important to keep at the forefront of the committee work the idea that citizens are the primary stakeholders and user of services.  Thus, it is essential to obtain data on how citizens experience services through focus groups, surveys and public forums.

Step 5:              External Environment Assessment

An assessment of the external environment entails identifying the threats and opportunities that the organization faces in the delivery of services and that may help or impede the attainment of strategic goals.    These external threats and opportunities stem from the political, economic, social and technological environment.    These forces and trends should be analyzed so that strategies may be developed to maximize opportunities and neutralize threats.

Step 6:  Strategic Issue Identification

The identification of strategic issues is a crucial phase in the strategic planning process.  Strategic issues emerge from the data that are generated through the course of performing SWOT analyses.  Strategic issues are fundamental policy questions that affect the organization's mandates, mission and values, product or service level and mix, clients, users or payers, cost, financing, management or organizational design.   Since participants will differ over what constitutes a strategic issue, it is important to establish some criteria for the recognition of issues.  An issue has a strategic implication if it has current or potential impact on organization's performance or any phase of the strategic process strategy, has urgent consequences or impact or interdependence with other issues.  Due to time constraints participants, were able to complete the identification of strategic issues for the first goal statement, public safety. 

Step 7:              Strategy Development

Strategy development entails the identification of practical alternatives for resolving strategic issues, the barriers to achieve those alternatives and the major proposals for achieving each of the alternatives.  A viable strategy is one that is achievable in terms of financial and human resources.  Close work with the budget office in necessary in order to assign financial values to each of the proposals.

Step 8:    Implementation of Strategic Decisions

These are deliberate steps to assure that initiatives are translated into an integrated program with staffing requirements and funding.  Successful strategic planning efforts in other jurisdictions show that “a critical part of the planning process was to integrate it with the budget process to ensure that the strategic plan could be implemented.  As with any new plan, one of the dangers is that it will end up on the shelf and not be implemented.” [5]   The strategic plan should drive the city's  budget.  As well as outlining resources needed to implement the strategic plan, there should be a detailed action plan that specifies when tasks are to be completed and measurable indicators to monitor progress and provide for control and evaluation.

Suggested Timetable and Milestones for Completion of Tasks

1) By February 28 – convene first ad hoc committees, assign tasks for completion of SWOT analysis, discussion of stakeholder analysis – citizen input, focus groups and surveys.

2) By March 31–completion of  SWOT analysis, development of strategic issues and formulation of committee proposals for strategic plans. 

3) By April 30– hold public forums and integrate public input into committee proposals, coordinate strategic proposals with city budget process.

4) By May 31 – finalize committee proposals.

5) By June 30 – draft of strategic plan.

Top ^

[1] Bryson, John M. “A Strategic Planning Process for Public and Non-Profit Organizations”, Long Range Planning, volume 21, February 1988.

[2] Koteen, Jack. (1997) “Strategic Management in Public and Non-Profit Organizations Managing Public Concerns in an Era of Limits”, Second Edition, Westport, CT: Praeger Publishers.

[3] Mercer, James L. (1991) “Strategic Planning for Public Managers”. Westport, CT: Quorum Publishers.

[4] Bryant, Scott. (1997) “Strategic Management: developing and realizing a strategic vision.” Public Management, volume 79.

[5] Ingman, Dana; Kersten, Jeff. Brymer, Thomas. (May 2002) Strategic Planning That Uses An Integrated Approach”.  Public Management, volume 84, no. 4