A solid strategy is at the heart of any successful business
Businesses with clear objectives or goals, strong accountability, and a shared sense of purpose should always outperform those that simply show up and go through the motions. Most successful businesses are built on a solid strategy. To accomplish this, you must allocate resources and execute with a specific goal in mind. Few companies have a strategic plan or a thorough planning process. This situation should be changed as soon as possible! Here are two important pointers for business owners.
1. The Plan is Created by the ProcessTo place strategy at the core of your success, you’ll need to set aside some time, start a process, and shake things up. There is no better time to review and tweak your business model, create compelling services for the future, and lay the groundwork for your strategic building blocks. Every good plan, like every good strategy, requires a step-by-step process. In fact, the process is frequently just as important as the plan. A strategic planning retreat with your core team is a great way to get the process started – find a location offsite to get the creative juices flowing and create an agenda.
2. The essential components of a successful strategyA good strategy will typically include the following key elements:
- A vision statement – This identifies what a company wishes to achieve or accomplish.
- Values – These are the fundamental beliefs that underpin your business and its behavior. They are the guiding principles that your company employs to manage its internal affairs as well as its customer relationships.
- Objectives– Short-term and long-term goals. These must be SMART (specific, measurable, achievable, realistic and timebound).
- KPIs – These are abbreviated for Key Performance Indicators. These are quantifiable values that show how effectively a company achieves key business objectives.
- Actions – what must be done to achieve the goals? Make it as simple and straightforward as possible.
- Owners – assigning tasks to specific owners to ensure accountability and follow-through.
- Deadlines – the dates by which your actions must be completed for you to make progress.