ACCA Certification Complete Practice Test 2025

Strategic planning is a comprehensive process that outlines an organization’s vision and long-term objectives. It defines the overarching direction and the resources required to achieve those goals. This includes identifying the resources—such as financial, human, and technological—that the organization needs to fulfill its mission and execute its strategies effectively over a longer time horizon.

In strategic planning, organizations assess their current capabilities, market conditions, and potential challenges, which facilitates informed decision-making regarding the allocation and management of resources. This ensures that the organization is appropriately equipped to achieve its strategic goals and respond to future developments in a proactive manner, making it the critical process for defining resource requirements.

Other planning processes, such as tactical, operational, and support staff planning, focus on different aspects of organizational operations. Tactical planning deals with the implementation of specific strategies and often focuses on resource allocation for shorter-term objectives. Operational planning is more concerned with day-to-day operations, detailing how resources are used to achieve specific tasks. Support staff planning involves the arrangement of resources concerning staff functions but does not encompass broader organizational resource requirements. Thus, strategic planning remains the primary framework for defining resource needs in alignment with long-term goals.