Given the targets, initiative work out the financial projections. These projections in their pedantic form will have balance-sheet, funds-flow, profit and loss, and other details.
In real world, the financial plans drive the iterations on Strategy Blueprint and Strategic Business Plan. The financial outcomes have to meet the shareholder expectations. These expectations are in the form of targets around EPS (Earning per Share), IRR (Internal Rate of Return), Book Value per share, Embedded Value per Share etc..
This validation is done once during the strategic blue-print phase. This is now validated with more extensive diligence, once the greater level of details emerges for next one year horizon.
More details on this topic will be covered in future.
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