Business Planning: A Practical Guide (Strategic)

Preparing a Business PlanThere are four main benefits of preparing a business plan. It helps you clarify what developments your business should focus on. It also gives you a framework within which to develop your business strategies. It acts as a benchmark against which actual performance can be measured, and it gives you influence over the direction your business or department takes.Business plans differ from strategic plans. Business plans are created by start-ups and established businesses alike. However, business plans created by the latter are usually exclusively for internal use.Your business plan should include four main elements. It should describe the opportunity it addresses and then the solution you've come up with. It should then detail the plan's execution, and finally it should include the desired outcomes of the plan. Once you've considered each element, you can create a narrative from them.Preparation is of great importance when developing a business plan. Prepare for the development by discussing, thinking, researching, and analyzing your business ideas.There are six steps you should take when preparing to develop your business plan. The first of these is defining your mission. The second step is doing research to identify key issues related to your idea. The next step is establishing goals. Next, you need to identify strategies to achieve your goals. And finally, you'll assess resources and identify risks.Your business plan will vary depending on its purpose. It typically comprises four major parts. These are the executive summary, the market opportunity, the implementation, and the contingencies. Complete each of these with your target audience in mind.Performing Key AnalysesA business plan will typically include an executive summary, information on market opportunities, the implementation details of the plan, and any necessary contingencies due to unexpected changes in market conditions.Benefits to performing situational analyses include informing the future direction of your business plan, identifying resources and capabilities, and allowing you to explore any potential issues that may arise.When conducting an internal analysis, there are four areas to consider: assessing market strategy, assessing resources, evaluating organizational and management strategy, and evaluating your organization's financial position.An external analysis of a business environment includes careful consideration of political, economic, societal, and technological factors - otherwise known as a PEST analysis.Scenario planning takes these important factors and examines how a business plan might change under different political, economic, societal, and technological circumstances.A market analysis consists of identifying customer groups, inspecting the industry, and analyzing the competitors within that industry.A SWOT analysis uses information from your internal and external analyses to define strategies to maximize competitive advantage. The internal analysis identifies strengths and weaknesses in your company's strategy, resources, and financial position. An external analysis will provide information on the political, economic, societal, and technological environment. It will also outline customer needs, competitors' capabilities, and industry trends.Preparing for ImplementationYou should view the planning, implementation, and control phases of a business plan as part of a continuous strategic process. This should help you implement it successfully and achieve real benefits.To coordinate the implementation of your business plan, you should follow a number of steps. First, develop action plans that outline the tasks that need to be completed. Next, ensure that implementation can be supported in your organization. Create a reporting system to help you monitor progress. Be sure you can control and modify your plans. And finally, assess the outcomes.

• | Author: Sorin Dumitrascu
• | Publisher: Independently published
• | Publication Date: Dec 21, 2016
• | Number of Pages: 130 pages
• | Language: English
• | Binding: Paperback
• | ISBN-10: 1520190360
• | ISBN-13: 9781520190365