Strategic Planning Kit For Dummies®, 2nd Edition

Getting Acquainted with the Strategic Plan's Key Elements

A company's strategic plan is the game plan that management uses for positioning the company in its chosen market arena, competing successfully, satisfying customers, and achieving good business performance. Most business owners and executives have countless excuses for not having a formal strategic plan. I've heard everything from “We're too new” to “We're not big enough” to “We've never had one; why start now?”

If these excuses sound familiar, check this out: Studies indicate that roughly 90 percent of all businesses lack a strategic plan. Of those that have a plan, only 10 percent actually implements it. So if you're part of the 90 percent, ask yourself these questions:

• Can our company be more focused?
• Can we deliver more value?
• Can our employees be more efficient?
• Can our company be more successful?

I'm guessing that the majority of you answered yes to all the above (and that's okay). In the following sections, I help you understand how each part of a strategic plan can change how you answer the questions.

Vision: Bringing things into focus

You get results from what you focus on. Everyone knows this fact, but most companies are busy tending to the urgent problems of the day and not focusing on key long-term issues. Unless your staff can focus on a common vision, the company can't go anywhere. A strategic plan helps direct energy and guide staff toward a shared goal in an ever-changing world.

Orit Gadiesh, chairman ...