Derek Abell is an internationally recognized professor at the Swiss IMD business school. He has shown THOUGHT LEADERSHIP on strategy in books like Defining the Business (1980) and Strategic Market Planning (1979). This book summarizes Abell's complete experience on strategic planning. And I promise you; he has a lot to offer!
This fall of 2004, a leading Danish business school still used this book as curricula for their MBA-level course on business development. I have many newer strategy books on my bookshelf, but I agree fully with their choice.
Abell's core idea is that TO SUSTAIN EXCELLENCE, COMPANIES NEED DUAL STRATEGIES - ONE FOR THE PRESENT AND ONE FOR THE FUTURE.
The distinction between a PRESENT ("today for today") and FUTURE ("today for tomorrow") orientation is not the usual short-term, long-term distinction - in which the short-term plan is simply a detailed operations and budgeting exercise made in the context of a hoped-for long-term market position. Present planning also requires strategy - a vision of how the firm has to operate now (given its competencies and target markets) and what the role of each key function will be. The long-term plan, by contrast, is built on a vision of the future - even more important, on a strategy for getting there.
Planning for today requires a clear, precise definition of the business - a delineation of target customer segments, customer functions, and the business approach to be taken; planning for tomorrow is concerned with how the business should be redefined for the future.
Planning for today focuses on shaping up the business to meet the needs of today's customers with excellence. It involves identifying factors that are critical to success and smothering them with attention; planning for tomorrow can entail reshaping the business to compete more effectively in the future.
Planning for today seeks to achieve compliance in the firm's functional activities with whatever definition of the business has been chosen; planning for tomorrow often involves bold moves away from existing ways of conducting the business.
Planning for today requires an organization that mirrors current business opportunities; planning for tomorrow may require reorganization for future challenges.
IN SHORT, PLANNING FOR TODAY IS ABOUT MANAGING CURRENT ACTIVITIES WITH EXCELLENCE; PLANNING FOR TOMORROW IS ABOUT MANAGING CHANGE.
I've read this book three times since it was published (okay, I may be somewhat slow). And each time, I add to my knowledge on working with strategy. Having worked very much with strategic management in practice over the last 15 years, I find it amazing that I cannot make more people read this book. But I won't give up. If you don't have time to read the full book, then consider reading Abell's article on the same subject in Sloan Management Review, spring 1999. However, the article doesn't include much on Abell's heavy toolbox presented in the book.
Peter Leerskov,
MSc in International Business (Marketing & Management) and Graduate Diploma in E-business
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