STRATEGIC & FINANCIAL PLANNING

Strategic & Financial Planning for AT&T

Strategic & Financial Planning for AT&T

Thesis Statement

The purpose of this assignment is to analyze the financial & business administration of AT&T to develop a draft action plan to improve the business of the organization. (Suzanne, 1993)

Introduction

Produce regular performance & financial plans is an essential component of planning & analytical work of the companies. Operational planning can reduce irrational use of funds of the company by the timely planning of business operations, inventory, financial flows & monitoring their actual implementation. Operational planning is still a weak point of business management of the U.S. telecommunication organizations.

About the Organization

AT&T Inc. is the largest provider of fixed telephony in the United States and also provides broadband and subscription television services. AT&T is the second largest supplier of mobile phone service in the United States with more than 92.8 million wireless subscribers, just behind Verizon Wireless 93.2 million and more than 210 million customers in total. (Suzanne, 1993)

Objectives of Strategic & Financial Planning

The conservative function of strategic & financial planning has to be included into a shared procedure for the implementation of constructive initiated strategy.

The usually followed objectives of the strategic process of planning are given below:

1. Expand & execute a strategic plan to facilitate the company's vision, mission & values

2. Produce business & executive unit plans

3. Categorize & assess new business opportunity in the market

4. Give education & training associated to planning

5. Carry out market forecasts & evaluations

6. Resolve the planning of operational & capital budgets, as well as of capability & human resource planning

7. Observe plan execution & calculate results

The usually followed objectives of the financial process of planning are given below:

1. Calculate recent performance

2. Evaluate the company's current status against previous data of the company

3. Create financial forecasting reports

4. Sketch the organization's financial & economic needs

5. Incorporate the financial procedure with the strategic process for planning

Current Risk Analysis

The most acute problem of implementing an effective planning mechanism is being faced by telecommunication organizations. Operational Management planning requires effective management of accounting & planning movement of inventory & financial resources of organizations at all stages of the financial cycle. It is clear that each stage of the financial cycle is a factor in formation of the final financial results. How to assign limited capital is possibly one of the most complicated choices telecommunication management has to make. Investment for new equipment, renovations, maintenance, the need for new service lines & facilities all come with some merit. The trick is determining which request will generate the best return for the organization. (Suzanne, 1993)

Incorporating strategic & financial planning is the best method for telecommunication organizations in order to be sure that they spend their money wisely. Chief financial officer (CFO) at AT&T explains that a financial plan lacking strategy isn't a well executed plan and a strategic plan lacking financial support isn't a good strategy. This gatefold focuses at the procedure of integrating financial as well as strategic planning & makes steps which would be helpful ...