Why a Strategic Plan is important

As consultants, we work with a variety of businesses in a number of industries as well as non-profit organizations. In reviewing the performance of these organizations, it is interesting to note that companies making the highest levels usually have some sort of formalized strategic plan in place and have implemented well.

On the other hand, businesses that struggle usually have no plan in place and seem to get lost in their attempts to succeed. And many of the organizations that are successful in achieving their strategic plans to use a simplified process of strategic planning to get the plan written and implemented more quickly and efficiently. One of the things that have caused a bit 'of proclaiming that strategic planning had lost some luster was the tendency to drag the process too long and create more work than necessary. The simplified approach to rapid development has contributed immensely to get good strategic plans developed and implemented.

In order for a successful business, you need a road map for success. The development of sound business strategy is the result of the strategic planning process. A significant error that is made from large and small enterprises is the definition of critical business strategies without going through this process. A strategic plan helps to provide direction and focus for all employees. It points to specific outcomes to be achieved and sets a course of action to achieve them.

Another common mistake is simply allowing the organization to wander aimlessly, with no goals, although generalized in place. Having clearly defined goals, objectives, strategies and tactics reduces the risk of business failure and helps to increase the chances of successful solid. And speaking strictly from the perspective of an owner, manager, director, president, CEO, etc., their success can be defined to have a well developed strategic plan in place that is well implemented.

A strategic plan helps the various work units within an organization to align with the common objectives. But perhaps more importantly, the strategic planning process provides managers, owners and entrepreneurs the necessary framework for the development of solid business strategy.

Probably, the main cause of failure is not having a strategic plan in place that is implemented effectively. If a company has no idea where it is headed, you wander aimlessly with priorities changing constantly and employees confused about the purpose of their work. It may follow strategies that have little or no chance of success.

Building a strategic plan is not difficult. It will take some thought and feedback from customers and others, but companies should be regularly collecting feedback from appropriate constituent groups on an ongoing basis. The process of developing a strategic plan should be rewarding for all involved and usually helps develop stronger communications between members of the planning team.

Managers and business owners who need a well-developed strategic plan, in order to effectively establish the expectations for their employees. Without a plan, expectations are developed in a vacuum and there is little or no alignment with the objectives and strategies. A good strategic plan looks out 2 to 5 years and clearly describes the market, product / service, pricing, marketing and other strategies will be followed. In short, it defines how the business will grow and prosper over the defined planning horizon.

Strategic planning does not end once the plan is put on paper. Once developed, the key to make the plan work is a commitment to see through coupled with proper implementation. Unfortunately, too many good strategic plans end up on a shelf collecting dust without being even partially. The commitment not only the creation of a solid strategic plan, but the full application must be made at the beginning of the planning process.

The strategic plan will contain an action plan that will detail the measures to be taken in order to fully implement the strategies and tactics defined in the plan document. This action plan outlining specific timelines and individuals or groups responsible for completing the tasks outlined.

Too many organizations, large and small, fail to develop strategic plans, even basic. The absence of a strategic plan is one of the main reasons many companies struggle or fail. Without this road map provided by a solid strategic plan, decisions are taken in a / or empty and there is considerable confusion and inconsistency evident within the organization. During periods of economic crisis, the need for a strong strategic direction and the plan is even more evident as the margin of error becomes generally smaller for most businesses.

All employees need to understand the guiding principles of the business and what everyone should aim to achieve. A strategic plan is well developed, properly communicated, and implemented with care can launch struggling or underperforming companies to new heights.

Take a look at your business. Are your critical business strategies well defined? I am successful? There seems to be a lack of attention when the company is headed? Not all clearly understand the goals for the business? Strategically, how will the company achieve these goals? Your current planning horizon longer than one year? Are you interested in the development of annual business / operating plans without a strategic plan in place? Strategic plans should guide or at least help define operational plans and budgets.

Write a strategic plan is not as complicated as some would have you believe. Simplified strategic planning has been our point of reference for some time, because too many organizations get caught up in the process and lose sight of what is important. We found, without exception, that companies that create sounds and execute strategic plans are generally much more successful than those that do not. Remember that successful implementation of the plan is a must. If you write a plan and then let it gather dust on a shelf, you might also have no plan. There must be a commitment to implement the strategies and tactics described in the plan.

Make no mistake about it, if your business or nonprofit organization is operating without an effective strategic plan in place, you run the risk of unsatisfactory results or even bankruptcy. As mentioned, writing a strategic plan is not difficult and should not be too long.

The idea that strategic planning must be a long arduous process to succeed is complete nonsense. In fact, our experience clearly shows a much more successful experience in planning and better plans when the plan is complete without a lot of "red tape" and analysis of strangers.

There are some steps involved in the strategic planning process to develop a solid plan and punishable. Using a model strategic plan is an effective method to get a solid plan written and implemented. At the request of our customers, we created a model that includes instructions and examples of each step as well as worksheets that can be completed successfully to create your plan .......