Imagine you're driving and you see a load of 2x4s on a flatbed truck. "I've got to get some of those," you say. That's all fine and good, but before you get a bundle of 2x4s you'd better have an idea of what you want to build, and an action plan for how to proceed. Without such vision and plans, your 2x4s are no better than a jumble of pick up sticks, and in the case of your business, a wandering enterprise.
In prior articles in this series on business planning we discussed your businesses' vision, mission, objectives, and strategies. This is the final part, the action plan. The action plan describes the work that is to be done to meet the vision and objectives of your business. All of these pieces come together to create your business plan. A successful business plan should be a concise, focused working document.
"Action plans help you identify what you have to do on a daily or weekly basis to put your strategies into effect, to accomplish your objectives, and meet your vision for the business," says Larry Sveda, of Full Spectrum Solutions, LLC, a Wisconsin company that specializes in business strategy, direction and performance.
Without an action plan, says Sveda, business owners are likely to spend their time consumed with yesterday's problems. "If you don't have action plans and a stated purpose for the day or week, then everything that comes up that appears urgent will simply eat up your day. Your action plans give you direction to make your days effective and your business profitable," he explains.
Most often, an action plan will consist of 5 to 6 bulleted items. Some action items will probably be refreshed monthly; others may be completed and refreshed weekly. "When an action plan item is completed, you check it off the list and crate a new one. Action plans are typically short term," Sveda says.
In the senior care market, for example, a strategy could be to gain new residents by developing referrals with health care professionals such as physicians, social workers and discharge planners in your region. An action plan to put this strategy into effect could be to develop the list and lay out a scheduled contact and follow-up system. Other elements of this action plan could include phone calls, personal visits, personal mailings or emails, and setting up lunch-and-learn sessions for referrers.
Once you set up such a system, keep track of results so you can determine the benefit. For example, you might learn that every time you make a round of personal contacts you get 3 family calls for more information or a tour.
Overall, says Sveda, the business plan provides focus, and you implement the business plan through actions. "These actions lead to results. And then, you should not be afraid to try a new action plan if something does not work. These plans are not set in stone. That's why a football team has a playbook full of plays and not just one or two.
Remember, says Sveda, that writing a business plan is not a one-shot deal. "This is an ongoing shift in the way you do business. Such planning changes and grows as your business changes and grows," he says.
For more information on business planning, management development, or help with solving employee problems, contact Larry Sveda at
lsveda@charter.net.
