A two-year strategic planning methodology is presented by which college administrators can develop a framework for institutional decision-making. After introductory material describing the theoretical characteristics of the methodology, the report outlines and discusses eight basic planning components: (1) developing a context for strategic planning based upon an identification of the institution's mission, external demands, internal strengths and weaknesses, and operational priorities; (2) identifying individual institutional functions, or strategy centers, which require unique management styles; (3) understanding the position of the individual institution within the higher education enterprise, and assessing the maturity of the delivery system; (4) identifying and serving clientele through the orchestrated efforts of the institutional network, including alumni, parents, and students; (5) assessing institutional strengths and competitive position; (6) selecting strategies appropriate to a strategy center's maturity and market strength; (7) analyzing implementation requirements for congruity and risk; and (8) establishing an implementation program. Suggested operational procedures are followed by a discussion of the use of consultants in the planning process and the time and cost benefit criteria to be considered. (JP)