When you have a great business, you want it to thrive and grow. However, you may be in a panic because you realize the New Year is fast approaching but you have not created or tweaked your strategic plan for the year. Let this serve as a reminder of the importance of a feasible and functional plan for the success of your business.
What are the benefits of a solid, viable, annual strategic plan? Consider your strategic plan an energy focus: your vision put in action. A strategic plan helps you move your business forward.
Strategic planning, coupled with the crucial follow-through, matters if you want to have a sustainable, successful business. Whether you are a solo-entrepreneur or a big conglomerate, there is no getting out of planning. Here are key elements to consider when you are developing your strategic plan:
Vision. What is your mission, your business reason for being? This is the why of your business. Be realistic. It’s ok to dream. In fact, dreams are part of the beginning of your business and should remain an integral part of it. Most businesses are born out of dreams. Without the dream, there is no vision. Without a vision, there is no mission. Everything else follows the dream.
Review. If you have an existing business, what did the previous year look like? Build your strategic plan on the information from that analysis. If you are just beginning your business, use the information you gathered from studying your market.
SWOT. There is no way around objectively examining your business strengths, weaknesses, opportunities, and threats.
Goals. Set SMART goals. In other words, goals should be Specific, Measurable, Achievable (Attainable), Relevant and Timely. Additionally, your goals should be realistic – based on real possibilities. If you have a staff, involve them in setting these goals.
Identify. Who is the person(s) responsible for each goal and objective? Involve that person(s) in the strategic planning. Of course, if you are an entrepreneur, the person responsible is you. Keep in mind that it does not prevent you from identifying others outside of your business that could be a part of helping your business thrive.
Monitor. A strategic plan should be a living, breathing document. A good guideline to follow is to analyze your plan quarterly, reviewing your key performances. Have you met your goals within the timeframe you established? Why have you (or haven’t you) met your goals and objectives? Make the necessary adjustments needed, embracing new opportunities or challenges that may have presented during the quarter.
These are just a few of the components of your strategic plan. There are other aspects that you should consider. To learn more of them, read my previous article which provides additional useful information for developing your strategic plan.
The truth is, there is no way out of developing a strategic plan. Working in your business without a strategic plan is like driving to a new destination without a roadmap. You must have a clear plan of how to navigate to your destination (your vision) or you will meander through any route and possibly face detours without a clear way to get to your success. The length of your plan is not important. What is important is that you address all aspect of your business. A well excecuted strategic plan can be transformative for your business. Don’t ring in the New Year without having an updated strategic plan.