Frequently Asked Questions
Q:
When should I do strategic planning?
Now! If you have a strategic plan that has been in place more than a year, you should review it now and revise it appropriately. If you don’t have a strategic plan, NOW is the time to develop one. It is especially important if your company is facing economic and/or strategic challenges.
Q:
I’m a new business owner and I have so much to do that I don’t have time to develop a strategic plan now. Isn’t this something I can do later?
This is where a strategic plan can help tremendously. In an orderly manner, it takes all the processes for the development and maintenance of a business out of the “mental to-do list” of the owner and puts them into one logical, and doable plan. The strategic plan then becomes a communication tool between the owners and employees to focus everyone in the same direction.
Q:
I have heard that the strategic plan includes a Mission Statement. Why do I have to have a Mission Statement?
The Mission Statement for your business provides clarity as to exactly what your business is for the benefit of your employees, clients, vendors, and others you serve. The Mission Statement is not complex or lengthy. In a new business, it helps clarify the purpose of the business. The strategic planning process incorporates the development of a Mission Statement if one has not already been defined.
Q:
Does a strategic plan have dates for completion in it? What if I don’t meet the dates?
The strategic plan incorporates “completion dates” as a method of prioritizing completion of specific objectives in accordance with the total plan requirements. There are many factors which may cause the dates to change but the objective still stays on the strategic plan with a revised completion date so it is not lost and is still eventually met.
Q:
What happens if new laws or requirements come out after I write my strategic plan?
Planning for contingencies is an important part of every business. The contingencies may include growth of the business through a new business line, or it may include implementing safety plans for particular occurrences. It may include planning for slow economic times, or it may include compliance with new laws and regulations. A strategic plan is not static and can be revised at any point to accommodate new challenges. The beauty of a comprehensive strategic plan is that it includes the input of a team from the business. Member(s) of the team identify the new challenges and should have the abilities to address the resolution!
Q:
If a strategic plan changes, why write one?
The carefully developed strategic plan is prepared for changes. The world changes rapidly today so no plan can possibly anticipate every contingency that may occur. However, the “perfect” strategic plan, developed by the business team in a thorough manner, will have acknowledged the risks that are inherent in their business area and the impact that might occur. When change comes, the plan can be amended as needed and the team can move in the new direction.
Q:
I have been told to plan to use computers in my business but I’m not comfortable with computers. What should I do?
The use of technology varies for each company. Even if computer software isn’t utilized for specific business processes, most businesses find that they can streamline obtaining inventory through online orders, or they need to have access to email to communicate to clients or vendors. A business may need internet access to obtain information pertinent to their business, or use generic software to prepare financial reports. Technology is a part of doing business in today’s world. A section of the strategic planning process defines the use of technology for each business and identifies the comfort level of the users so appropriate training can be obtained as needed.
Q:
How can I do strategic planning when the economy has been so uncertain?
If the economy is handing you an unexpected turn of events, it’s a good time to do some strategic planning. The process allows you to assess your status, recognize your challenges, identify your assets and resources, and define the steps to continue moving forward.
Q:
I have a great business idea and am excited about it. How do I get started?
Develop a strategic plan! It captures your ideas for the business, identifies dreams that you want to incorporate, defines plans of action, and makes it all possible. Don’t let a slow economy stop you from realizing your dreams. Take action by writing your strategic plan to get started.
Q:
How do I define the vision for my company?
A vision should be defined for a business no matter how big or small it is. By doing this, the business is able to direct decisions, resources, and actions towards that vision. If it isn’t defined, the business may find itself going in circles instead of advancing towards a shared and well-defined goal (vision) for growth. The strategic planning process incorporates the definition of a vision for the business.
Q:
I have heard that a business needs to be “creative”? What does that mean?
It means that new approaches for providing the business product or service may need to be considered. It means that the regular methods of marketing may not be effective. It means that cooperative ventures may need to be explored with competitors. It means that the business team may need to brainstorm to find expenses that can be reduced without downsizing employees.
Q:
How can a strategic plan help me be creative?
A business with an active strategic plan will know what areas are essential to continue developing for their business and what the goals are for that development. They have a vision of where the business needs to be, in spite of the economic climate. They also know where they can make changes in their approaches to meet the current challenges and still keep the business vision in sight. They also know where they can change priorities in business strategies but still keep strategies for later development. Because the business team was involved in creating the strategic plan, their creativity becomes an asset in modifying it as needed.
Q:
We wrote a strategic plan. Now what do we do with it?
To achieve the benefits of a strategic plan, it has to be implemented. Once the completion dates and assignments have been made, a regular review should be made of the plan at specified intervals to assess progress and respond to changes.
Q:
When should we revisit our strategic plan?
Most strategic plans have traditionally been written for a three to five year time frame. Plans usually do not go longer than five years because the rate of change is so rapid that it is hard to reliably predict outcomes at five years or longer. In fact, it is more common today to have strategic plans that go out only three years. If your strategic plan has been in place for one or two years, you may only need to review the progress to date and make appropriate adjustments. If you are approaching the third year of your strategic plan, it is time to revisit the planning process and write a new comprehensive plan.
Q:
I understand that the strategic plan can be a “road map” for our business towards a destination. Are there any other benefits that we should know about?
Absolutely! As you noted, the strategic plan focuses the business activities towards the vision for the business (the “travel destination”) so functions as a “road map” in giving direction. It is also a tool that is developed by a business team so it incorporates the creativity and expertise of a variety of people. The members of the business team are also the ones implementing the strategic initiatives so it’s a great communication tool to everyone. In ongoing reviews, it assesses the progress of the business team activities. As objectives are completed, it documents the accomplishments of the company over a period of time. The current strategic plan becomes the launching point for the next revision when new initiatives will be defined to move closer to the vision. As you can see, there are many, many benefits to a defined strategic plan.