There are many phrases that can be used to summarise why you should have a strategy in place. One such phrase is ‘the best way to predict the future is to create it’ which was said by Abraham Lincoln.
Even from the very start of a business it is important to know what the business is about and what you are trying to achieve. If you have a clear vision you will make decisions that drive you towards the end goal and if it is written down you are many more times likely to achieve it
Everyone’s ambitions are different. For some it is a lifestyle business that needs to fit with family commitments and make enough to fund a certain lifestyle. For others they want growth, the challenge of achieving certain targets along the way and eventually a business that they can sell to fund retirement.
The goals may change along the way as new opportunities arise or things don’t go to plan.
The act of sitting down at the start of a business and then at the start of each new year and setting yourself targets, thinking about what was good and bad in the last year and changes needed within the business, to setting a plan for you to keep to and to focus your mind so that decisions you make take you nearer to that goal. The businesses that achieve what they have set usually have a 12 month strategy and a longer term plan.
If you are the owner of a business without anyone else at board level you may need a sounding board for this and a good person to talk to may be your accountant as they will already have a good working knowledge of your business.
You may draw up projections to see how you think your plans will work in reality, you may look at underlying drivers that you or your team need to get right to achieve the overall targets, you may just write a written strategic plan which details what you want to achieve so that you can then work on how you’re going to do it.
It is important that you share this with your team if you have one and have someone who can challenge some of your decisions if you are doing things that seem to be taking you off plan. Often looking at whether you are meeting targets weekly or monthly allows you to put changes in place if you need to before the whole year is gone. If you keep doing the same thing you will keep getting the same results so if they are not positive a change in a timely manner is needed.
I hope you have enjoyed our series and if you have any questions please do not hesitate to contact us using the details at www.wildsca.com.