Many entrepreneurs think strategic planning is something that is meant for big companies or very big businesses, but that is a very wrong perspective.
So let’s start from the beginning… What is a strategic plan?
Simply put, a strategic plan is a written document that points your business towards the right path by assessing where you are, defining where you’re going and how you will get there.
Strategic planning is the process of doing this, and it helps businesses develop the right goals and targets, and helps everyone focus their efforts on meeting them.
Not having a strategic plan is like embarking on a journey without knowing the right direction to take you to your destination.
In this article, we will show you the most common mistakes entrepreneurs make, so you can avoid them, or fix them is you are guilty.
Here we go:
1. Unmeasurable Goals
Goals without clear key performance indicators are like baking bread without measuring cups. If you set a goal to ‘make more money’ or ‘satisfy customers’, that’s hard to measure and in fact, can set you up for failure. Instead, set SMART goals. SMART is an acronym for Specific, Measureable, Attainable, Relevant, and Time-bound.
The best way to create SMART goals is to look at your previous data and figure out what numbers align with your past successes and failures. Take your time to define measurable numbers, how you will monitor progress, and dates to review and reassess.
2. Poor Communication of The Strategy
Having a strategy that only exists in your head does not count. Attaching your plans in an email and sending it out to all your employees daily doesn’t guarantee strategy execution.
Your team needs to see the big picture and understand their responsibility in line with executing the strategy. Set aside some time to document the strategy and then schedule a strategic planning meeting where everyone contributes to the process and truly understands how things should align.
Afterward, use the best communication channels that work for your team to continue engaging and tracking progress as earlier defined.
3. Complex and Ambiguous
A 300- page document sitting on a table in the CEO’s office does not necessarily mean an effective strategy.
Often, the best strategic plan is the simplest because it makes the operational planning and implementation process easier. Moreover, your employees have better tasks to do than to spend their time trying to interpret what role they should play within the complex strategy. The clauses in your strategic plan should be actionable, with the roles of each department easily stated and perfectly understood.
4. The Plan Ignores Current Problems
If a planning process ignores existing problems, there will be a bottleneck down the road. Existing problems are burdens that prevent a speedy and effective response to opportunities.
That is why you need to sort out the present issues before planning for the future.
Always encourage your team to try to document the trouble spots in real-time. During the planning process, take a long, hard look at the challenges and obstacles that negatively affect productivity and efficiency.
Be sure to monitor the status of all your initiatives and regularly review the progress commentaries provided by employees. By coming to terms with, and working through your current problems first, you can better lay the groundwork for success with your new strategic initiatives now and in the future.
Has you company ever done strategic planning?
If yes, was it effective in guiding you to your desired results?
If no, do you see the value, and is it something you are considering?
For the past 5+ years, we have helped several organizations like yours create strategic plans to increase their revenues and impact.
Let us discuss how we might be able to help yours achieve your goals faster and with fewer resources. Email us at email@example.com or call (+234)9078751351 or (+234)9030009886 for more information