I went timber cruising last weekend. No, this is not aimlessly driving the back roads of New England, but rather, walking around the woods selecting trees for next year's firewood. I take little pink ribbons and tie them around the trees that will eventually keep us warm during the blizzards of January 2012.

Though the forest has over 100 trees per acre, I don't just pick the first 30 trees I see. I have another objective beyond just cutting firewood - I also want a healthy and robust forest that supports a diverse range of wildlife. I actually see many companies in a similar situation - an overstocked portfolio of products and applications, and struggling to support and grow them all. For those folks, it is time to apply some well-directed timber cruising.

The starting point for the selection process is actually in the future. Ask the question, "where do we want to be in 5 years" (or pick your favorite horizon.) For the East Woods, I am looking 10 years down the road at big trees able to fend off beetles and ice (see Dec 2008.) Similarly, your business first needs to define its long term goals, be they top line growth, strategic partnerships, near-term profits, market position, or exit.

Once you have the bar set, it is somewhat straight-forward to go through your opportunities and find the ones to pursue. There are a few big slices you can take that will get you well on your way.

• First which applications have a sizeable market that the product can address? When I size up a tree I prefer to take a fatter one that will yield much more wood with only incrementally more effort that a skinny one. Also, a red oak will produce heat much better than a white pine.

• Second, can you actually get your products to the customers who will benefit from them? Though I may find some nice oaks way out in the woods, if I can't get them to my house without a Herculean effort, then it is a lost cause.

• Third does your offering solve a problem that is really important to the customer? Many nice-to-have products have sounded great only to languish on the shelves. When I plan to take down a tree I always consider how much more light and nutrition will fall on its neighbors if this one is removed. Energy and food, along with water, are the primary currencies of growth in the forest.

• Lastly, will your selection make the company better off in the long run? Can you leverage this product for follow-on applications and build the company around this. When I look at the trees, I always select the weaker, crooked trees and leave the strongest and straightest. They will grow faster, produce more nuts (offspring, food), and look nicer.

So while you ponder all the wonderful products and opportunities you have, remember that if you cull out the weakest, the strongest will flourish from the additional sunlight (resources) and nutrition ($$). With this accomplished, your woodlot of products will be strong, robust, and fast growing, just like the East Woods.