One of the keys to starting a new business successfully is having a strategic plan in place. This helps companies determine their direction, plan for the future, identify opportunities, and anticipate issues. It also helps companies keep up with changing client needs and market trends, stay ahead of the competition, unite employees around a shared vision, and ultimately make better business decisions. Although a strategic plan is critical for business success, it can be difficult for new owners to know where to start.
Start with your vision. What do you want your company to be like three to five years from now? Be specific. What will you have achieved? What will your competitive advantage be? What will your culture be? How will people work together? How will your company treat customers? How will people communicate with one another? What markets will you have tapped into? How will people make decisions? What new services will you offer? How will people demonstrate accountability? What will your reputation be? How will other organizations and the surrounding community view your company?
Identify the roadblocks. They could be policies, procedures, attitudes, etc. Sometimes they are obvious, sometimes less so. Consider what issues exist for your new company. Limited startup capital? Hiring warm bodies instead of true talent? Unfocused marketing strategy? Outdated technology platforms? Inconsistent pricing model? Squirrel syndrome? Figure out what could get in the way of achieving your vision and write it down.
Identify your strategies. What actions will you take to destroy your roadblocks and achieve your vision? These strategies may be projects, initiatives, events, etc. For example, what will you do to overcome an unfocused marketing strategy and achieve brand recognition? Establish partnerships with recognized brands? Identify competitive differentiators? Generate strategies for each of your roadblocks and be as specific as possible.
Nail down the specifics of implementation. What strategies will you focus on in your first year? What specific, measurable, action-oriented, realistic, time-bound steps need to be taken? Who will do what and when? Divide your first year into quarters, and drill into the specifics of what will take place in each quarter to keep your plan moving forward. As you look at your overall plan, consider whether the timing seems feasible and whether anyone has too much on his or her plate. Prioritize and rearrange as necessary. Next, decide how you will hold yourself and others accountable to the plan. Schedule regular follow-up meetings, and review and revise your plan each year.
Startups face many risks, but some of them can be avoided through proper strategic planning. Regularly review and revise your plan to keep up with a fast-paced, ever-changing world.
This column was printed in the February/March 2018 edition of B2B.