"If you fail to plan, you are planning to fail." - Benjamin Franklin
If you are in business then you will know the importance of having a strategy - something to outline the shared goals of your organisation. A well-outlined business strategy is essential for the success and sustainability of your business and without one your organisations can lack direction, efficiency and profitability.
What should your business strategy include?
An effective business strategy doesn’t just define the goals of your organisation, it will also outline the reasons behind these goals and the means in which you plan to achieve them.
Some of the areas to consider are:
- Your main competitors – Before starting any business, you will need to suss out your competition. What strategies are they employing to attract your target market? What are they doing that you could do better? And, most importantly, what are you going to do to stand out from the crowd?
- Your target market – The key to any successful business venture is to know your target demographic and what makes them tick. Once you’ve identified your audience, and more specifically their expectations and needs, you will be able to plan a more effective method to attract their attention.
- Your ‘big plan’ – Behind every great business is a great business plan. When developing your business strategy, ask yourself where you want your business to be in one, five or even ten years’ time. Setting future goals for your organisation is important in measuring the success of your business, and it will also help you develop a sustainable strategy for the future.
The benefits of developing a business strategy are that it gives you direction. Setting out a well-planned business strategy will ensure your entire organisation is working towards the same goals and instils a sense of shared responsibility amongst employees.
Business strategies also allow you to measure your organisation’s performance and growth against your desired goals.
Are you achieving what you had hoped to achieve within the stipulated timeframe? If not, why?
Following a business strategy will allow you to measure success and better identify areas that require improvement in future.
In our current innovation-focused society, businesses need to be responsive to change. An effective business strategy will allow your organisation to predict and meet the changing demands of the current market. By analysing and reviewing customer’s expectations and needs, businesses can better identify new market trends and adapt their strategy as required.
By helping you identify your strengths and weaknesses, an effective strategy will help you decide where your efforts and resources are best spent. These decisions are crucial in ensuring your business has a profitable and sustainable future.