Strategic Planning of Singapore Zoo

¶ … Strategic Planning- Tourism Strategic Plan Lewis-Clark Valley

Lewis-Clark Valley is the beautiful site of Lewiston, Idaho and Clarkston, Washington. The historical background of this valley is rich in cultural stories and its own heritage that dated back in some 18th century. The area has been land of Nez Perce Indians who had travelled to this valley and lived long in the land and rivers. The valley is so named because in the 1805, the Corps of discovery explorers Meriwether Lewis and William Clark visited this place and was welcomed by the native people. This meeting and warm welcome has developed good relations with the land and its people thus named it after their second names. Lewis-Clark Valley is the land of miners, merchants, railroaders, millworkers and farmers. Its geographical location is somewhere 465 miles from the Pacific Ocean at the convergence of the Snake and Clearwater Rivers.

The cities of Lewiston, Clarkston and Asotin are in modern times referred to as the openness to Hells Canyon, North America's deepest river gorge. The place outlays wide range of recreational activities like jet boating, white-water rafting, swimming, fishing, hunting, hiking and camping. The Lewis-Clark Valley is considered as a recreational paradise enriched with the cultural heritage and natural beauty. Because of the mild winter climate which allows year long golfing and snow skiing and snowmobiling this area has also been named as "Banana Belt" of the Pacific Northwest.

The Lewis-Clark Valley because of its unique geographic location combined with natural beauty and broad array of recreational activities, have always been center of tourism and visitors attraction. Economic survey has statistically shown that in the year 2004 tourist had spent $126.1 million in the Lewis-Clark Valley. The high volume of tourism had supported many businesses, created employment opportunities by generated 2,040 direct jobs and contributing to the state revenues in the form of taxes for about $7.75 million. (Valley Vision Economic Development Lewis-Clark Valley, 2007). Tourism promotion has improved the valley's infrastructure providing high quality of life to its inhabitants. Better transportation service has been developed; new and creative business opportunities have been developed.

The Lewis-Clark Valley is full of surprising tourist spots which has the great potential for growth in recreational activities and promotion of tourism in the location. The following strategic plan critically analyze the tourism vision for 2012 by reviewing the goals, strategies in respond to the action of these goals and provide with the recommending solutions for valley's tourism in view of the geographic and demographic identities, responsibilities and resource allocation.

STRATEGIC PLANNING PROCESS

Literature Review

Strategic planning is the process through which strategies are made and resources are allocated according to these strategies including material resources and human resources. Strategic management is the art and science of formulating, implementing and evaluating cross-functional decisions that enable an organization to attain its objectives. Strategic management focuses on integrating management, marketing, finance/accounting, production/operation, research and development, and information systems to achieve organizations success (Markides, 1999). If strategic management process implemented on the country wide scale then all the functional areas of the organization are likewise affected by the functional areas of the economic, socio-economic, financial and managerial capacities of the country.

The strategic management process comprise of three stages: strategy formulation, strategy implementation and strategy evaluation. (David, 1999)

The first stage of strategy formulation requires developing mission, identifying external opportunities and threats and determining internal strengths and weaknesses. This analysis is done through a tool called SWOT analysis. The focus of this stage is on establishing long-term objectives, generating alternative strategies and choosing particular strategies to follow. The second stage is of strategy implementation. This stage requires establishing annual objectives, devising policies, motivating employees and allocating resources which make possible the implantation of the formulated strategies. Strategy implementation also includes developing a strategy-supportive culture, creating an effective structure, redirecting marketing efforts, preparing budgets, developing and utilizing information systems and managing the best work teams. Strategy implementation is the action stage of the strategic management process. Successful strategy implementation pivot upon the management's ability to motivate workers which is more of an art than a science. Strategy formulated if not implemented at all or not implemented properly serves no purpose.

The third stage strategy evaluation. Strategy evaluation enables the team to know what strategies are working and which one is ineffective. However, all strategies are subject to future modification because external and internal factors are in continuous change. Therefore for the purpose of evaluating strategies it's important to review external and internal factors that are bases for current strategies, performance measurement and then taking corrective actions. Strategy evaluation is important stage because the successful strategy today doesn't guarantee successful strategy tomorrow. Success always brings with it new set of problems and opportunities. Strategist need to overcome the problem and avail the opportunities.

The Strategic management model

The Strategic management process is dynamic and continuous. Since the process required interrelated activities therefore a change in any one component can necessitate change in another or all of the other components. The setbacks in strategic management model that requires alteration in other components can take up the following form:

a) Economical change that required long-term objectives to be reshaped.

b) Failure to accomplish annual objectives can enforce a policy change.

c) External factors like competitor move can force the mission to be changed.

Thus strategic management process never ends its continuous and constantly undergoes changes. It allows organizations to be proactive rather than reactive in structuring their future strategic plan. The process of strategic management is not limited to the organizations ability to respond to the activities but it focuses on taking initiatives, making influence and having control over its own destiny.

Fig 1: A Comprehensive Strategic Management Model

Feedback

Perform External Audit

Measure and Evaluate Performances

Allocate Resources

Establish Long-term Objectives

Establish Policies and Annual Objectives

Generate, Evaluate, and Select Strategies

Establish Long-term Objectives

Develop

Mission

Statement

Perform Internal Audit

Strategy Implementation

Strategy Evaluation

Strategy Formulation

Source: (David, 1999)

Benefits of Strategic Management Process

The primary benefit of strategic management is to help make better strategies through the use of more systematic, logical and rational approach to strategic alternative. The success of strategic management is in the art of communication. Communication includes involvement of all the key members, team mates and group associates in supporting the achievement of common objective. Dialogue, discussion and participation is an important elements of the communication process in the strategic management. Beside the strategic management model implementation in the process, the manner in which strategic management is carried out is equally important. Manager's abilities are judged in the process to evaluated how much the team members are committed towards the process and motivated in the achievement of highest possible results. The potential of strategic management to product desired results also lies in the act of Empowerment (Langley, 1998) by the top management. Empowerment creates sense of encouragement and reward to the team members in the decision making process and foster increased level of initiation, creativity and cooperation among the participants. When sense of responsibility is increased among the group members there are few chances of conflict among the participants and work teams are well managed to the strategic objectives. It has been reported in the Wall Street Journal about 40% of U.S. manufacturers have adopted empowerment through the formation of self-directed teams. (Aepel, 1997)

Financial Benefits:

It has been found that organizations that follow strategic planning are more financially sustainable than those who ignore the process. The outlined financial benefits of strategic planning are:

a) Systematic planning to prepare for future external and internal fluctuations in the environment.

b) More informed decisions with profound understanding of the both short- and long-term results.

c) Firms are able to measure the weak performance controllable factors pertaining to internal environment like capital intensive investments yielding undesirable results and uncontrollable external factors like poor economy, technological advancement, and foreign competition and increasing cost of funds in the financial markets.

d) The sustainability of the project can be analyzed by using various financial indicators which enable firms and projects to halt at the stage where strategies are going unprofitable.

Non-Financial Benefits:

Along with the financial benefits that strategic management provides, it also supports in providing material benefits to the firm. Some of the non-financial benefits are listed below:

a) Strategic management process helps in recognition, prioritization and utilization of opportunities.

b) Through its continuous process and feedback mechanism it provides management with problem solutions.

c) It's proactive in minimizing the effects of adverse conditions and changes.

d) Allocation of human, material and time resources are well managed through strategic management process.

e) It provides a framework for the internal communication system.

f) It fosters creativity among the team through forward looking and tackling problems in a systematic manner.

Research Methodology

Method of secondary research is used in order to evaluate the strategic planning of the Lewis-Clark Valley. All information and data is collected with the help of extensive literature review. The method of secondary research is opted in view of limited financial resources as well as time. There is different data and information available on the tourism history in the Lewis-Clark Valley and the steps taken by government and officials in order to come up with effective and efficient strategic plan for the tourism industry of this Valley. A detailed analysis of the literature review is done in order to derive the results and findings and provide appropriate recommendations.

strategic management methodologies-tools and techniques applied

Systematic methodologies for performing internal assessment through analyzing strengths and weaknesses of the company and external assessment through the opportunities and threats analysis is critically important for the success of the strategic management process. The EFE Matrix, Competitive Profile Matrix, IFE Matrix and a clear statement of mission provide the basic information needed to formulate competitive strategies successfully. The process of performing internal and external audit provides an opportunity for managers and employees throughout the organization to determine the future of the firm.

Industry Analysis: The External Factor Evaluation (EFE) Matrix

An External Evaluation Matrix (EFE) enable strategies to summarize and evaluate economic, social, cultural, demographic, environmental, political, governmental, legal, technological and competitive information. The five steps involved in developing the matrix are:

1. Listing of the key external factors. These key external factors are identified in the external audit process. The list comprises of 10 to 20 factors including both opportunities and threats. The opportunities are list first followed by threats. The opportunities and threats are listed specifically and precisely using percentages, ratios and comparative numbers where required.

2. Weights assign to each factor. The weights are assigned to each factor from least important 0.0 to most important 1.0. The weights show relative importance of that factor to be successful in the industry. The sum of all the weights assigned should be equal to 1.0.

3. Rating from 1-4 assigned to each critical success factor. This rating indicates how effectively the firm's current strategies respond to the factor. The qualitative measure of these ratings is 4 = the response is superior, 3 = the response is above average, 2 = the response is average and 1 = the response is poor. The difference between these rating and weights allotment is that ratings are company based whereas the weights are industry based.

4. Weighted score is determined by multiplying each factor weights with the rating.

5. Total weighted score of the organization in the end is determined by summing the weighted scores for each variable.

Application of the EFE Matrix on Lewis-Clark Valley Strategic management process

In the following table the valley opportunities and strengths are discussed and applied in the EFE Matrix to evaluate how far the project is capitalizing on its opportunities and overcoming its threats.

Table 1- An External Factor Evaluation Matrix for Lewis-Clark Valley Tourism Program.

KEY EXTERNAL FACTORS

WEIGHT

RATING

WEIGHTED SCORE

Opportunities

1. Sporting events in existing facilities like water sports, swim meets triathlon, bike races, softball/soccer tournaments and equestrian.

2. New business development in the area of waterfront development.

3. Main street programs focused to enhance the liveliness of surrounding districts.

4. Systematic and organized transportation system through air services, water taxis and public transit.

5. Tourism interlinked with other economic development efforts like market Valley business opportunities and support systems to visitors.

6. Tourism of the valley managed through single tourism bureau.

Threats:

1. Federal policies and management discouraging funds for Hell Canyon, rivers, levees and national forest thus imposed with more restrictions.

2. Increased competition from other destinations.

3. Lack of marketing. Lack of aggressive promotion of the region.

4. Unavailability of workforce and necessary skills required.

5. Aging population resists change and discourages tourism.

0.15

0.05

0.05

0.10

0.10

0.05

0.10

0.10

0.15

0.10

0.05

3

2

1

3

3

2

1

3

2

2

1

0.45

0.1

0.05

0.3

0.3

0.1

0.1

0.3

0.3

0.2

0.05

TOTAL

1.00

2.25

Interpretation of Scores

Irrespective of the number of key opportunities and threats listed in the EFE matrix, the highest possible total weighted score for any project or organization is 4.0 and the lowest possible score is 1.0. The average total weighted score is 2.5. The total weighted score of Lewis-Clark Valley tourism program is indicated to be 2.25 which is below the average score. This shows that the valley efforts to pursue strategies that capitalize on external opportunities and avoid threats. It is worth to notify here that thorough understanding of the factors being used in EFE Matrix is more important than the actual weights and ratings assigned.

Internal Assessment of Lewis-Clark Valley Tourism Strategy

Strategic management is very interactive process that requires effective coordination among various functional areas of the organization namely management, marketing, finance & accounting, production & operation, research & development and computer information systems. However the success of the strategic management is greatly influenced by the strategist but it also required leaders and governing body from all these functional areas to coordinate and cooperate among themselves to produce ideas and share information. Organization's success greatly depends on the effective coordination and understanding among managers from all functional areas. Knowledge sharing and building strong relationship is crucially important in internal assessment of the organization. These parameters derive the objectives and strategies.

Basic functions performed in the process of strategic management are all derived from the functions of management distributed at various levels. The five basic activities: planning, organizing, motivating, staffing and controlling are allotted on the different levels of strategic management. The following chart shows the management activities at varying levels of strategic management process.

Chart 1: The Functions of Management Integrated with Lewis-Clark Strategic process model

Controlling

To ensure that all actual results are consistent with the planned results.

Staffing

Getting the best people for the right type of job and looking after their development and compensation.

Motivating

Activities are directed towards the attainment of common goals and objectives. Employee morals are raised and organizational change takes place.

Organizing

It includes activities that structure the managerial task. Areas include organizational design, job specialization, job description, job specification and span of control.

Planning

It consists of all the managerial activities required for the preparation of the future. Task includes forecasting, establishing objectives, devising strategies, developing policies and setting goals.

Strategic Implementation of Lewis-Clark Valley

The Lewis-Clark Valley plans to increase tourism development and marketing through creation of a tourism strategic plan, resulting in job creation and capital investment. Spending on tourism supports goods, services, facilities and transportation that benefits residents of the Valley and surrounding region. Tourism promotion raises the quality of life and also helps attract other types of business development to the Valley. The action plan in support of the tourism promotion services adopted by the Lewis-Clark valley is:

a) Establishment of single Valley Tourism Bureau. This committee formation helps in the promotion of Valley strategically and effectively for the marketing of the tourist spots and activities. Easy accessibility and contact access will help the Valley to attract great number of tourist throughout the season. Technically sound computer management system for the data entry and management will help in booking of the tourist resorts and providing them with guidance needed.

b) Increasing promotional strategies. Emphasis made on the marketing efforts to attract tourist in the off-peak season thus capturing the specialized niche of the market and increasing the market share. This will also not allow tourist to hunt for other possible options which can be the regions closed competitor. Attraction of the tourist through recreational activities, discount on the hotels booking, ease on the transportation facilities and booking of the air fare will make customer more satisfied.

c) Encourage business expansion and development of new business plans by availing the existing opportunities of recreational services, sporting events introductions on the large scale, parks and natural beauty avenues be promoted. Introduction and promotion of the cultural heritage, food, goods, apparel and other traditional accessories be promoted to increase the regions popularity. Promotional giveaways are also designed in the same manner.

d) Administer natural, cultural and historic resources sustainably: fisheries restoration, reduction of smell and maintenance of hygiene, historic preservation and redevelopment, Valley history interpretation, use of locally made products, and enhanced national and international designation of Hells Canyon. The Valley's impressive setting and outdoor way of life are dependent on clean water, clean air, and abundant natural resources. Continued efforts to restore habitat, and to manage resources for the long-term, will ensure a high quality of life and healthy economy for generations to come.

e) Effective teams are built to cooperate across borders, jurisdictions and organizations to implement the Strategic Plan. Cross-border opposition and political differences reduce the competitiveness of the Valley both as a tourism destination and a location for new business development. Leadership that is dedicated to proactive measures, and working together, will definitely create a win-win situation for all Valley residents and businesses.