Develop a solid business strategy and you have a reasonable chance of success. Ignore this critical step in organizational development and you have every chance of failure. Your business strategy or strategic business management can be considered as the process of:
- Define the purpose of your organization and the direction you want to take to achieve that purpose.
- Define the goals and objectives necessary to achieve business success.
- Define the detailed action plan necessary to achieve those goals.
- Following the plan.
How do you develop your business strategy?
- Develop the vision you have for your company. How far do you want to go? What will your company be like when you get there? Don’t discount this step. You will find it more difficult to define the purpose of your business and the direction you want to take without it.
- Define the key goals and overall objectives necessary to achieve the business success you seek.
- Define the core company values that will support your key objectives, explaining why you are in business and what your company’s operating guidelines are.
- Create your 5-year plan based on your overall goals. Define the action plan that will get you where you want to be from where you are now.
- Develop a plan for the next twelve months based on your 5-year plan. Specify the exact steps required in the first year to ensure that you are moving in the right direction to achieve your long-term goals.
- Define the key results indicators (measures) that you will use to monitor progress.
- Take an in-depth analysis of the health of your business right now to identify the resources needed to achieve your action plan. Use this analysis to identify ways to …
- Maximize the strengths you currently have.
- Minimize weaknesses within your company.
- Take advantage of opportunities to develop your business.
- Face the threats you are currently facing.
Action planning is an iterative process. Be prepared to modify your plans as your business develops according to your objectives. Follow the steps above, use reputable external resources to help you, and you’ll create a powerful business strategy to support you as you grow your business.
