Roughly 90% of all businesses lack a strategic plan. Yet running your business with intention ensures you get from point A to point B the most efficiently. One of the best ways to set your intentions for your business is with a Strategic Plan. If you answer yes to one of these questions your business needs a strategic plan:
- Can your company be more focused?
- Can you deliver more value to your customers?
- Can your employees work more efficiently?
- Can you business be more successful?
What is a Strategic Plan?
A strategic plan is a road map for a business to get you from where you are today to where you want to be in the future. The plan sets the path for the organization to follow to stay on task and focused on the most important goals. In order to be a high performing business you need a strategic plan to get you there.
Elements of a Strategic Plan
Mission and vision statements
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- Mission statement describes the business’ purpose. Why does your company exist?
- Vision statement describes where the business wants to go? What does the business want to be when it grows up?
Long term goals and objectives
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- Long term goals connects your mission to your vision.
Strategies to achieve the goals
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- Establishes a way to match your company’s strength with market opportunities. Strategies helps identify how you will get to you your long term goals that aligns with your mission and vision
Action plan to implement the goals
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- These are a set of specific actions that lead to implementing your goals. Action plan items have a beginning and ending date and usually are assigned to specific people.
After a Strategic Plan is in Place
Once the strategic plan has been created it is on to the difficult part. Implementation. The plan you create is only as good as the action taken to realize the goals set. Specific measurements are identified to hold the business and managers accountable for the actions taken. These measurements keep are a way to keep the business on track. Through key performance indicators, monthly or quarterly business reviews and financial assessments management can determine if adjustments need to be made in order to reach the goals set by the strategic plan.
Are You Ready?
Not all businesses are ready to begin the strategic planning process. The process and implementation of a strategic plan requires effort, dedication and brutal honesty about where your business is, what needs to change and to get where it wants to go. The business owners need to be ready to make that change and be ready to implement these changes. Some typical reasons people want to begin the strategic planning process is the following:
- They want their business to grow
- The business owners are trying to manage uncontrolled growth
- Need to cut or reduce costs
