The Challenge of Envisioning Strategy and Developing a Business Plan
Do you have an idea for a new business or significantly improving your existing business? The first step in launching a new business or enhancing an existing one is to plan. “Failing to Plan is Planning to Fail.” “Always have a plan and believe in it. Nothing happens by accident.”
Achieving success in today’s volatile economic and competitive business environment requires a unique vision supported by a well-thought-out strategy supported by realistic plans. Whether your strategy is low-cost provider or sustained differentiation, it is essential the vision, mission and business strategy align with one another, and the marketing, operational, financial, HR and information systems plans are driven from that strategy.
The challenge described above is applicable for a new, growing, or mature company. This is a significant effort, don’t try to do it alone. Use group meetings to ensure timely participation by all stakeholders, rapid achievement of consensus and integrated results documentation. Consider the use of outside expertise to organize, facilitate and coach your team’s efforts.
Comprehensive Business Planning Consulting Services
The following consulting service capabilities are available to help your company create a sound business strategy, develop focused plans and establish the appropriate business processes, information systems and organizational infrastructure necessary to develop or enhance a successful business.
Define Business
- Vision, Mission, and Value Proposition
- Critical Success Factors, Performance Measures and Targets
- Business Case
Market Research
- Current Size and Growth Potential
- Product/Service Feature Dynamics
- Price Elasticity
- Skilled Labor and Material (if product) Availability
Develop and Align Business Strategies
- Product Development, Pricing, Marketing and Production/Operation Strategies
- Financial and Financing Strategies
- Information Systems Strategy
- HR and Outsourcing Strategies
Prepare Business Plans
- Operational Plans – Research and Product Development; Marketing, Order Management and Fulfillment; Supply Chain Management; Production Planning and Management; Distribution and Shipping
- Corporate Infrastructure Plans – Human Resources, Outsourcing, Accounting, Information Systems and Customer Support/Help Desk/Call Center
- Financial and Capital Spending Plans with Projections and Proformas
- Change Management and Process Improvement Plans (if enhancing existing business)
Citations
The following paragraphs describe two examples of how we put our knowledge and skill to work by leveraging one or more of the above listed Strategic Planning capabilities to the benefit of our clients.
Example One – Strategic and Business Planning
At the request of the CEO of a privately held, $50 million national pharmaceutical and drug compounding company, facilitated three, tri-annual, multi-day, strategic planning retreats with the owner, CEO, and executive leadership team. The first retreat addressed the owner’s vision for the company versus where the management team thought the company should go. The facilitating challenge of the first retreat was getting the owner to be open with his ideas and not react negatively to questions or criticism while simultaneously encouraging the executives to put forth their ideas and concerns. Once the vision was established a Strength, Weaknesses, Opportunities and Threats (SWOT) analysis was performed. Finally, a series of task-level, multi-year, if necessary, financial, and operational project plans were prepared. Each plan included budgets and the assignment of the executive responsible for completing the project. The two subsequent retreats were follow-ups that adjusted the vision to reflect changes in the business, the competition and the economy; as well as, evaluating and adjusting existing projects and creating new ones where necessary.
Result: The company was changed from an opportunistic acquirer of industry-related businesses into a focused healthcare holding company that would organically grow and purchase competitors when presented with a good-value while, if necessary, sell subsidiaries and/or divisions that were not able to maintain established profitability thresholds or lost their strategic fit with the rest of the company.
Example Two – Strategic Planning and Acquisitions
As CFO of a scientific and medical journal printing business, participated in the due diligence and valuation of successively larger acquisitions of $20 million, $60 million, and $200 million. Also partnered with the CEO and management team to develop the long-term strategic plan for the combined businesses. Determined the driving force (Customer Intimacy) and the top five Key Initiatives for the overall business which were then tied into the Operational Plan and reviewed over a two-year period to ensure alignment of strategy with day-to-day operations. As a primary function, led the integration of all the financial functions, systems, and processes.
Result: Market share grew from 15% to 35%.
If you would like help envisioning a new business or significantly improving your current business please Contact Us.