Tactical and operational planning: how to break strategy down

In the corporate world, strategic planning is only the first step. To deliver results, it has to be broken down and integrated into every sector of the organization. That is where tactical planning comes in, turning strategic vision into practical, measurable actions.

Those who align long-term objectives with day-to-day operations use tactical planning to allocate resources, coordinate teams and monitor performance.

A Falconi survey of 100 mid-sized companies, published in 2020opens in a new tab (in Portuguese), showed that only 10% had a well-defined strategy for the next three to five years.

In this article, we present the practices for implementing tactical planning that meets the demands of the business environment and is tied to the organization’s long-term goals.

What is tactical planning?

Tactical planning is an intermediate phase of organizational planning, between strategic planning and operational planning.

Strategic planning defines the long-term goals and the organization’s overall course. Tactical planning translates those guidelines into specific medium-term plans, relevant to each department or business unit.

Imagine a fictional company that makes and distributes eco-friendly cleaning products. The brand’s strategic vision is to become a reference in sustainable cleaning products in Latin America by 2030.

Tactical planning develops actions tied to the strategic objectives set by senior management. In this example, the two strategic objectives are:

• increase market share and brand awareness;
• increase production efficiency and reduce environmental impact.

From them, tactical planning defines actions such as:

• developing marketing campaigns for environmentally conscious consumers in the main Brazilian cities;
• partnering with digital influencers who promote sustainable lifestyles, to widen reach;
• implementing new production technologies that cut water and energy use;
• continuously training employees in sustainable production practices.

What is operational planning?

Operational planning is the most detailed and immediate level of planning in an organization. It applies the tactical and strategic plans in practice, day to day, focusing on carrying out specific activities and managing routine operations.

Its main goal is to ensure the efficiency of daily operations and to make it easier to reach the short-term objectives set in the tactical plans.

In the cleaning products example, moving from tactical to operational involves working with the marketing manager to launch the influencer campaign. Some operational planning actions would be:

• finalizing the design of the ads and promotional materials;
• selecting digital influencers for partnerships, focusing on those with a strong presence in sustainability;
• hiring a marketing agency to run the campaign.

Difference between tactical and strategic planning

Tactical and strategic planning are components of organizational planning, each with its own focus, time horizon and level of detail. The main differences:

• Specificity: tactical planning is more detailed than strategic planning but less than operational planning. It specifies what each business unit needs to do, which resources will be needed and how to allocate them.
• Focus on departments: strategic planning involves the company as a whole, and tactical planning is drawn up by each department, focusing on how it contributes to the strategic objectives.
• Medium term: tactical planning usually covers one to three years, which allows frequent adjustments as the business environment changes.
• Resource allocation: a central aspect of tactical planning is determining how to use the available resources most effectively to reach the objectives.
• Monitoring and control: tactical planning creates systems to monitor performance and adjust as needed, so departments stay aligned with the strategic objectives.

How to do tactical planning

Effective tactical planning follows a systematic approach: it starts from the company’s strategic objectives and translates them into concrete actions for each department or business unit. Here is the step-by-step:

Step 1: Review the strategic plan

Start with a review of the organization’s strategic plan, to understand the long-term goals and the directions set by senior leadership.

At this stage, clear up any doubts with the strategic leaders, so the tactical objectives stay aligned with the company’s overall vision.

Step 2: Assess the current context

With the strategic plan clear, assess the company’s internal and external context. Run a SWOT analysisopens in a new tab to identify the strengths, weaknesses, opportunities and threats that can affect the tactical plans.

Also consider the resources available, financial, human and technological, so the tactical objectives are realistic and achievable.

Step 3: Define tactical objectives

Based on the strategic understanding and the context assessment, define clear, measurable tactical objectives for each department.

These objectives should be specific, relevant and time-bound, and work as a guide to what needs to be achieved in the medium term. They are the bridge between strategic vision and the company’s daily actions.

Step 4: Develop action plans

After setting the objectives, develop detailed action plans. They specify the main activities, who is responsible for each task and when each should be done.

Action plans guide the implementation of the tactical objectives and make sure all activities are aligned with the company’s larger objectives.

Step 5: Allocate resources

To carry out the action plans, allocate the financial, human and material resources for each activity. Efficient resource management maximizes the result of actions without exceeding the budgets.

Step 6: Set up monitoring and control systems

Continuous monitoring of progress is part of tactical planning. Set key performance indicators (KPIs) to assess whether the tactical objectives are being met.

Also hold regular review meetings to discuss how the plans are going and make the necessary adjustments.

Step 7: Communicate and implement

Communicate the tactical plans to the whole organization, so everyone understands their roles and responsibilities. Communication can include workshops, briefing meetings and detailed documents describing the action plans.

How to do operational planning

With tactical planning defined, it is time for the most detailed level of planning in the organization: operational planning. Here is the step-by-step:

Step 1: Identify specific activities

Based on the tactical objectives, identify all the activities needed to reach them. Define each activity clearly, in detail and with an owner.

If the tactical objective is to raise production efficiency, for example, the operational activities can include new assembly line technology, reorganizing the factory layout or intensive training for machine operators.

Step 2: Allocate resources and set schedules

Each activity needs specific resources, such as people, equipment, technology and capital. At this stage, allocate the resources needed and set realistic schedules for execution.

Efficient allocation and precise schedules keep daily operations flowing, without interruptions and within budget.

Step 3: Develop detailed procedures and instructions

For each operational activity, develop clear procedures and detailed instructions, such as operating manuals, training guides and quality checklists.

Instructions need to be precise, so everyone involved understands exactly what is expected of them and how to carry out the tasks.

Step 4: Implement

With everything planned, implement the activities, carrying out the tasks according to the defined procedures. During implementation, keep constant communication with every level of the organization, so execution follows the plans.

Step 5: Monitor and assess

After implementation, monitor progress and assess the performance of operations. Use key performance indicators to measure the effectiveness of operational activities against the tactical objectives.

Continuous monitoring shows problems and lets you adjust processes quickly, so the operational objectives are reached.

Step 6: Give feedback and adjust continuously

Finally, set up a feedback system where employees and managers report problems or suggest improvements to daily operations. Use that input to continuously adjust processes and improve the efficiency of operations.

How to break planning down in Stratws

Stratwsopens in a new tab is the management platform created by Siteware to connect the three levels of planning. In it, the feature called Scorecard organizes strategic objectives in a cause-and-effect map and breaks them down into indicators, goals and projects. The Individual Performance feature tracks each employee’s goals, aligned with the company’s objectives.

Action plans get tasks, owners and deadlines, and the Farol shows each indicator’s result in real time. For the step-by-step on breaking goals down, see the practical guide to goal deployment and business strategy executionopens in a new tab.

To see how your company’s strategic, tactical and operational levels would be connected, talk to an expert in goal and indicator deployment.