Intended Strategy Examples DEPICTS ‘Intended Strategy‘ is a strategy that is planned in advance through a formal planning process.
Intended Strategy – Definition
‘Intended Strategy‘ is a strategy that is planned in advance through a formal planning process. The choice of strategy is a conscious decision by Senior Management.
Intended Strategy Examples (Practical)
The Board of Directors (BOD) of a company APPROVE a ‘Formal Business Plan’. For Example, the directors of a company might approve a rolling five-year business plan each year.
It should not be taken as a COMMITMENT to specific planning targets, particularly if the entity operates in a continually changing business environment. As changes occur, For Example as new threats and opportunities emerge, an entity should adapt its strategies and should not be committed to formal targets if these no longer seem appropriate.
It is therefore necessary for Managers to UNDERSTAND that:
- ‘Intended Strategy’ is a formally-approved choice about the strategic direction that the entity should be taking; AND
- This choice was considered valid and appropriate at the time that it was approved. However, strategy should be flexible.
Chartered Accountant (Institute of Chartered Accountants of Pakistan)
Bachelor of Accounting Honours (Asia e University, Malaysia)