Planning for Transformation at Liberty Bank

Dr. Fred Mugambi MwirigiESF Apex Strategies Limited

Introduction

Strategic planning is the process of identifying the corporate destination, working out the corporate roadmap from the present to the desired destination and filling the gaps backwards by allocating resources, actioning the roadmap and controlling the process

Contd.

Strategic planning demands that we open ourselves to possibilities of radical changes in how we perceive, think, and act

We must stretch our horizons and widen our boundaries

Is liberty Bank just a citizen of Juba, South Sudan, Africa, or a citizen of the world?

04/21/23

4Remember…Opportunities only come to those whose senses remain open to possibilities

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Shifts to Transformation

To move forward we must plan to transform both the company and ourselves

We must trigger shifts in corporate philosophy and values and in the numerous structures and organizational arrangements that shape our current position

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Contd.

The process of transformation is essentially a death-and-rebirth process

It is a movement from what is to what is not but should be

The movement must begin with a change of mindset

Only then can the organization begin to shift

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It’s a movement. it begins in the mind!

Closed-up status- quo-oriented Mindsets

Open and receptive mindsets

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It’s a movement…

Growth stagnation

Focused Growth with clear objectives

And milestones

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It’s a movement…

Shrinking Resource Base

Growing and sustainableResource

Base

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It’s a movement…

De-motivated inactiveWorkforce

Engaged and motivated workforce

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It’s a movement…

Ineffective andinefficient

technologies

Cutting edge Objective-driven

technologies

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It’s a movement…

Hierarchical Bureaucratic Structures

Flat efficient Structures

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It’s a movement…

Individualistic performance

Team Performance

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It’s a movement…

Market Irrelevance

Market Leadership Orientation

Rediscovering our Mission

What business are we in

Who are our customers

What are their real needs

Do we, in serving them, truly

solve their problems

Pyramid of strategic planning Pyramid of strategic planning

Stages are interrelated and interlinked

Vision

Mission

Strategic Goals

Strategic Objectives

Performance Indicators

Activities/Projects

Strategies, Goals and Policies

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Vision

Medium term objectives

Mission

Strategic Objectives

Short term objectives

Operational Policies

Grand Strategy

Tactical Policies

Strategic Policies

Tactical Strategies

Operational Strategies

C.Vs C.Vs

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Key Questions

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StageStage OutputsOutputs

Where are we?Where are we? External environmental analysisExternal environmental analysis Internal environmental analysis Internal environmental analysis

Where do we want to go?Where do we want to go? New vision, mission & core valuesNew vision, mission & core values Strategic objectivesStrategic objectives

HOW do we get there?HOW do we get there? StrategiesStrategies Results and operational plansResults and operational plans Required resourcesRequired resources

What practical next steps must be What practical next steps must be made to get there?made to get there?

Short-term budgetsShort-term budgets Short-term organizational, Short-term organizational,

managerial, HR, etc. decisions and managerial, HR, etc. decisions and

actions (“actions (“Quick Wins”Quick Wins”))

How do we monitor & evaluate the How do we monitor & evaluate the plan?plan?

M&E planM&E plan

General Requirements for Planning

1. Organizational readiness Recognition of need to plan Commitment to plan

2. Organizational commitment Board and volunteer commitment Staff commitment

3. Organizational Capacity Human resources Financial resources Time Technology

Specific Requirements for Planning

1. Strategic Planning Team• Board, staff,

2. Strategic Planning Budget• Establish budget, identify and allocate funding

3. Strategic Planning Facilitator(s)• Identify a facilitator to lead the process

4. Strategic Planning Partners• Internal board and staff• External community groups/government

departments/others

Support structure.

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Strategic Planning

Resources

Good-will

Shared values

Action Vision,

Mission, Strategic

goals Structures/

Systems

The transition

We plan in order to transform disjointed inputs into one whole that has capacity to solve customer problems

In Planning we begin from the known and then transit into the unknown

It is a challenging journey that requires unwavering commitment to the course

From planning to reaping

Transition comes with challenges…..

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StrategicGoal

Setting

Strategy Development

and Implementation

Activities Results

Transition Challenges

StructuresSystemsProcessesPoliticsPeople (staff) External dynamics (shifts)Resources

Transition results

Overcoming transformational challenges makes our company an adaptive organic company that respects and embraces learning and reciprocal interdependence

We stop working in cubicles (departmental boundaries) and start working in realization that we all need each other

An intricate web of interdependence (nested company) is then born

Key Planning areas

Strategic Issues Strategic objectivesStrategies Activities

Planning Grid: Activities

Liberty Bank Limited Strategic Objective One:

Growing Corporate Loans to X Billion Dollars Per Year By 2017Key Activities

2013/2014 2014/2015 2015/2016 2016/2017 2018/2019

1.            

1.            

1.            

1.            

1.            

1.            

Planning Grid: Departmental Milestones

Liberty Bank Limited

Departmental Milestones ICT

Activities 2012/2013 2013/2014 2014/2015 2015/2016 2016/20171.

1.  

1.  

1.  

1.  

1.  

Planning Grid: List of Key Company Projects

Liberty Bank Limited

Summary of Key Company Projects Activities

2012/2013 2013/2014 2014/2015 2015/2016 2016/20171.

1.  

1.  

1.  

1.  

1.  

Planning Grid: Budget Allocations

Department 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 Total Remark

Marketing

Accounts and Finance

ICT

Security

HRM

Branch A

Branch B

Total

Liberty Bank Limited Departmental Budgetary Allocation to meet outlined Strategic Objectives

  Monitoring and EvaluationPerformance Level  

Strategy

Time Frame

Output Planned to Date Actual to Date

Variance In %

Impeding or

Impelling Factors

Responsible Person

 

 

             

 

 

             

 

 

             

 

 

             

 

 

             

Liberty Bank Limited Monitoring and Evaluation Instrument

Conclusion

Planning is not an activity but a processAs a company we are as good as we plan

and follow through to action the plansPlanning must be aligned with current

realityBenchmarking is key to effective planning

and corporate growth

Thank you