Learn something new every day
More Info... by email
Strategic renewal is a business process that is often aimed at revitalizing some aspect of the business operation. The renewal process may be focused on generating new interest in a product line, updating a production process, or even reworking the operational structure of a business in order to allow the company to become more lean and competitive in the marketplace. Whatever the reasons behind the strategic renewal, the process will normally require careful attention to identifying the reasons behind the makeover attempt and the goals for the efforts, as well as making sure there are ways to measure the progress of the renewal attempt.
The task of strategic renewal should always begin with knowing why the revitalization effort is occurring. Here, the goal is to identify what is no longer working as well as desired, and possibly even determine the reasons why something that once worked very well is no longer as effective. Deciding exactly what is in need of renewal makes it much easier to come up with a strategic planning process to address the issue, and eventually bring some new life into the business model.
After identifying what needs to be revised, replaced, or otherwise reworked to bring about some new life in the company, the next phase of strategic renewal will focus on determining the goals associated with the outcome of the attempt. In most instances, the goals should be very specific. For example, if the reason for the lackluster performance is outmoded production equipment that needs to be replaced, setting goals for production quotas that are 30% higher than today’s quotas is much better than the more general goal of simply increasing production quotas. Coming up with specific goals will make it much easier to quickly discard strategies that are not capable of reaching those goals, and focus attention on ideas that are more likely to result in attaining those important objectives.
Once there is a clear understanding of what needs to change and what results those changes need to produce, the next phase of strategic renewal will focus on exactly how to identify, implement, and measure those necessary changes. During this phase, factors such as cost, the development of a workable timeline to implement, and even the checks and balances that make it possible to measure progress are developed. During this phase, strategic management is necessary to keep the renewal project on course, both in terms of the amount of time and other resources devoted to the project.
The basics of strategic renewal can be applied to just about any type of business, and even to specific areas within a business. The renewal effort may focus on revamping product lines to meet emerging customer needs, implementing changes that greatly increase the efficiency of delivery to customers, or even overhauling sales and public relations efforts as ways to increase company visibility and goodwill among consumers. With any application of the strategic renewal process, identifying the issue, setting specific goals, and finally developing the right processes and procedures to attain those goals will increase the chances of bringing new life to the organization, and keeping it relevant and vital to consumers for many years to come.
One of our editors will review your suggestion and make changes if warranted. Note that depending on the number of suggestions we receive, this can take anywhere from a few hours to a few days. Thank you for helping to improve wiseGEEK!