The impact of finance on strategic planning

Financial management in the company is one of the pillars to ensure the strategic planning plays a crucial role in business management, being an essential process for managers. This article presents a summary of the masterclass led by Vicente Antonio Soto, general manager at Fripozo Murcia. We will explore the key concepts and the significant importance of strategic planning in the current business context.
 

For free access to the complete masterclass, we invite you to visit ENAE Media, where you will find this and other webinars given by our highly qualified teachers in different areas of knowledge.
 

The role of strategic planning

Strategic planning is an essential tool to face the complexity of mature and global markets. In an increasingly competitive business environment, a well-defined strategy is necessary to stand out and achieve success.
 

This involves a detailed analysis of internal and external factors that affect an organization. In this way, we can examine the competitive environment and market trends, enabling the identification of opportunities and threats to make informed decisions.
 

Differentiation is essential in a saturated market. Standing out and offering something unique and valuable is fundamental to attracting and retaining customers. It goes beyond products or services, encompassing customer experience, branding and marketing strategy.
 

This planning also helps set clear goals and objectives. With a clear vision of the destination, a coherent action plan is drawn up, identifying actions and resources needed, along with performance indicators to measure progress and make adjustments if necessary.
 

Relationship between strategic and financial objectives

Strategic objectives and financial objectives are closely related. Strategic objectives are those that aim at the overall improvement and growth of the organization, while financial objectives focus specifically on economic and monetary aspects.
 

Balance sheet and value chain

In the field of economics and business management, understanding the relevance of the balance sheet and the value chain is essential for assessing the financial health of a company and its ability to generate value.
 

Importance of the balance sheet

The balance sheet, also known as the statement of financial position, is a crucial report that reflects the economic and financial situation of a company at a specific point in time. By showing in detail the assets, liabilities and equity, it provides decision-makers with a comprehensive view to assess financial performance and soundness.
 

Its main advantage lies in contextualizing business strategy, enabling more informed decisions on resource allocation and strategy. In addition, it excels at putting strategy at the center, allowing the effectiveness and efficiency of resources to achieve strategic objectives to be assessed.

Importance of the value chain

The value chain, also known as the business model, is a fundamental tool for companies in identifying areas for improvement and optimization. This approach allows understanding and analyzing each stage of production and distribution, from the acquisition of resources to the final delivery of the product or service to the customer.
 

One of the advantages of using the value chain perspective is that it provides a comprehensive view of all the activities carried out within the company, and allows the precise identification of critical processes that can be subject to improvement. By analyzing each stage in detail, it is possible to identify and eliminate inefficiencies, reduce costs and offer greater added value to the customer.
 

In addition to working on the internal optimization of the value chain, it is also important to consider external blocks such as customer relationships and distribution channels. These elements are fundamental to improve the company's competitiveness and ensure customer satisfaction.
 

Relevance of performance measurement

Each strategic objective must have a person responsible for measuring its performance. This individual will be in charge of monitoring progress towards the achievement of the objectives, identifying possible deviations and taking corrective actions when necessary. Performance measurement makes it possible to evaluate how effective the strategies implemented are being and whether the desired results are being achieved.
 

Performance measurement is not only important at the level of individual strategic objectives, but also has an impact on the entire company. Each objective contributes to the achievement of the organization' s overall objectives, including financial objectives.

Higher education for professionals at ENAE Business School

The financial management of a company is one of the fundamental pillars in the success of the organization, which is why highly qualified professionals are required in this area. ENAE Business School, as a link between business and education, is aware of this reality and offers appropriate education.
 

Specialized education in this area allows students to boost their labor market insertion, preparing them to take on current and future challenges in the economic-financial field of companies. In this way, you will be able to understand the concepts while applying the knowledge in a practical way. But not only that, it is an excellent way to grow, advance and stay updated to meet the demands of the labor market.
 

In addition, the International Master in Finance and Fintech of ENAE goes beyond the basic concepts of financial analysis and management, this postgraduate course allows you to delve into the technologies applied to finance such as artificial intelligence, thus improving and optimizing the tasks of finance and accounting in the company both in the public and private sector, as well as in the process of interpreting data.
 

Undoubtedly, an essential education for those who want to multiply their professional opportunities, lead the market and be a reference in a constantly evolving sector. Your future is in your hands!