| Definition |
The process of setting business goals, outlining strategies, and defining resources needed to achieve them. |
The implementation of the strategies and plans through coordinated actions to achieve desired objectives. |
| Focus Area |
Vision, mission, goals, and resource planning. |
Action, implementation, monitoring, and performance management. |
| Nature |
Theoretical and forward-looking. |
Practical and execution-oriented. |
| Time Horizon |
Usually long-term (1–5 years or more). |
Short to medium term (monthly, quarterly, yearly). |
| Involves |
Forecasting, goal setting, resource allocation. |
Project management, leadership, resource deployment. |
| Responsibility |
Top management and planning teams. |
Department heads, managers, and operational staff. |
| Tools Used |
SWOT, PESTEL, business model canvas, financial projections. |
KPIs, OKRs, dashboards, Gantt charts, performance reviews. |
| Success Indicator |
Clarity of plan, feasibility, stakeholder alignment. |
Achievement of goals, efficient use of resources, timely delivery. |
| Challenges |
Overambitious goals, lack of realism, poor forecasting. |
Execution gaps, poor communication, lack of accountability. |
| Dependency |
Independent; can exist as a standalone document. |
Dependent on a clear and actionable plan to guide actions. |
| Flexibility |
Relatively stable but may need updates with major shifts. |
Highly adaptive; may change dynamically based on feedback. |
| Purpose |
To define what a business aims to achieve and how. |
To ensure the business actually achieves those defined goals. |
| Output |
Strategic and business plan documents. |
Projects completed, KPIs met, goals achieved. |
| Example |
A business plan outlining entry into a new market. |
Launching a new product, setting up distribution channels. |
Business Planning vs Strategic Execution