Winnerize Your Business

Winnerize Your Business in 2008

Strategic Planning

The Key to Success

Jeanette T. Wallace, Ph.D.

Strategic Planning…

is the process of envisioning the future of your business and

determining the resources you need in order to move toward it.

It is the single most important thing that you will do for your business!


This man articulated a vision

John F. Kennedy addressed Congress on May 25, 1961

His vision: “… getting a man to the moon and back by the end of this decade [1960’s].”


He knew that shooting for the moon would require a great effort

“…This decision demands a major national commitment of scientific and technical manpower, materiel and facilities, and the possibility of their diversion from other important activities where they are already thinly spread. It means a degree of dedication, organization and discipline …”

Kennedy winnerized that vision: he lead many others to contribute to its planning and execution.


Proof of winnerization!

Neil Armstrong planted the United States flag on the Moon eight years later (July 20, 1969).

Then returned safely to Earth – with 5 months left in the decade.


During the process, you will definePurpose. The meaning of what you will do.Vision. A picture of your aspirations.Values. Values give you a foundation for behavior within your organization.Critical success factors. The few broad areas into which you will put your energy.Mission. Gives direction for your next 12-18 months.Goals. Establish specific goals to drive your organization towards its mission Action Steps. A series of steps to meet your goals.


Applied to JFK’s Man on the Moon Project

His purpose is best understood in the context of the cold war: to win the space race with the Soviet Union.His vision: To put a man on the moon and return him safely to earth before the end of the decade.His values: following the Constitution, patriotism, the desire to win, to use resources wisely and where they would have the greatest impact, dedication, organization, disciplineCritical success factors in bold “…This decision demands a major national commitment of scientific and technical manpower, materiel and facilities, and the possibility of their diversion from other important activities where they are already thinly spread. It means a degree of dedication, organization and discipline …”


You will build a strong strategic foundation and focus, including

Your business philosophy

Your core values and operating principles

A vision for what your organization will dare to achieve in the next 3-5 years

An assessment of your business environment

An appraisal of factors internal to your business

Critical success factories. You will identify broad areas into which you must put resources in order to succeed.


Your business plan=your tactical plan

Your mission statement: what will your business achieve in the next 12-18 months?

Your business plan lays out SMART - WHY goals in line with the previously identified success factors.

Goals are broken down into tasks as well as the dates and responsibilities for achieving them.


Consider your desired organizational culture

Organizational culture is simply “the way we do things around here.” You can and should shape your own organizational culture, based on the principal values you have established.Example: if you value innovation,

You want a culture in which ideas flow freely.And one in which employees are encouraged to try new things. Mistakes are viewed as opportunities to learn.


A bit of fun can also be useful

Imagine your organization as an animal. What animal would it be?

Do this if you would like to; you don’t have to. It’s just another way to stimulate your thoughts.


The Animal Image

What does your animal image say about the characteristics you want your organization - particularly your culture - to have?


Finally, Measurement

How will you or your management team know whether you are achieving your goals?You will identify specific, easily tracked, numbers and monitor them on a specific schedule (weekly, monthly).The numbers you pick should be ones that indicate progress toward your goals. Over time, these will show the trend of the various pieces going into your effort.


How do you start?

With an open mind and a dream!

An ability and a willingness to challenge assumptions,

A commitment to see the process through,

And a recognition that you are ultimately responsible for your success.


Open your mind!

How

man

y sq

uare

s do

you

see?


What Do You See in this Familiar Symbol?


So dare to dream BIG!


Food for Dreams

What are you passionate about?What do you want the reputation of your business to be?How do you want your business to fit into the purpose of your life?Is there someone you want to be in business with?What would you like your legacy to be?


Begin with the end in mind.

Stephen Covey


Your strategic planning begins at 30,000 feet

You look at the landscape, but not the details.


Outsourcing

E-Commerce On-Line Meetings

Supply Chain

Management

Gover

nmen

t

Regul

ations

Web Sites

Wi-Fi

E-Biz

Blogging

Data

Minin

gSearch Engines

Baby B

oom

ers

Retire

Webinars

PayPal

E-Mail Marketing

Globalization

China

Social Networkin

g

W

I

K

I

S

What do these elements of the business landscape mean for your business?

Credit CrunchOn-Line Collaboration


At 2000 feet, you see an overall plan.


Your strategic planning process will take your business

to here

from here


Business planning takes you

from here

to here


You create a blueprint for success!


To illustrate, consider buying a house

Your end (purpose) might be to renovate it and sell it.To rent it so that you derive income from it. to live in it.

You make your decisions based on your intentions: the neighborhood you target; the price you are willing to pay; the changes you envision making to the property, and others.What is desirable from one perspective may be less desirable from the other.


The end includes exit strategies

As in the real estate example, your choices will be influenced by the way in which want to end your involvement with your business at the appropriate time.

Common exit strategies includeTaking a company public

Turning it over to other family members as a legacy

Selling it to someone else for a profit when you are ready to leave it


What Tools Do You Need?

A SWOT analysis

Flow charts

Others (these 2 are illustrated below)

(It also helps to have lots of post-it notes and sharpies to capture your ideas.)


SWOT Analysis

Strengths Weaknesses

Opportunities Threats

Internal

External

Positives Challenges


SWOT using house example

You don’t have enough $$$ for a down payment

There are many houses on the market.

Owners are anxious to sell.

You have a good job

You have a good credit record

Interest rates are high.

Banks are cautious about lending.

You’re nervous about making the commitment


Flow ChartA flow chart is a graphic representation of a business process. It is often helpful to look at processes from the customer’s point of view. Although at some point you will want to do something formal and detailed, you needn’t start out that way.

The coffee shop napkin is the way many flow charts begin life.


Simple flow chart of house-buying process

Start. Decide to buy house

Prequalify for financing

Interview Real Estate Agents

Choose one, make offer

Come to agreement with seller

Close sale. Celebrate. End.

Choose Agent

Describe what you want

Look at houses


Strategic Plan Example

Vision Statement: XYZ Corporation is the premiere home renovation company in our area. We are known for the high quality of our work and our willingness to work with buyers.Critical Goal Categories: Customer satisfaction, employee satisfaction, supplier relationships, profit.Mission Statement: We bring once-beautiful homes back to life, retaining or replicating original features and updating all systems. Our internal environment promotes teamwork and innovation. Business Plan (follows – not covered in this presentation.)


In your businessThe leader is YOU!

Your plan will be effective only ifYour heart is in it – it is what you want

You believe in it

It involves doing things you really want to do

Your commitment to success is critical.


What to do if you don’t have a strategic plan

Create one now – it’s never too late to start!

If you don’t know where you’re going, you may end up

somewhere else.

Yogi Berra

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