Have you answered the 3 questions that’ll guarantee strategic business success now and for your future?
Before you write your business strategy sit down and ask yourself 3 important questions and be brutally honest in your answers. With your answers in mind you can then start writing a robust business strategy. To help you there’s 7 Steps to Strategic Success listed below.
1 What’s essential for my business to survive? Pay bills, keep staff on and identify resources that drain your business.
Now you understand what you need to keep the lights on. Ask yourself:
2 What’s essential for my business to grow? Stay relevant, start expanding and be stronger financially.
You’re thinking more clearly about how to get ahead. Finally ask yourself:
3 Where do I want to be in the future? Have a vision of the type of unique business you want to own and the type of lifestyle you want from your hard work.
Having thought through your answers you’ll have a clearer sense of direction and ready to move onto the 7 steps to create a robust business strategy for a thriving business.
Here’s 7 steps for strategic success and business growth.
Step 1 Identify long term objectives:
Ensure the structure of your business is aligned with your objectives, target market, service offering and be ready to take advantage of opportunities that come your way or even create some.
Step 2 Identify short term goals:
Map out and prioritise key milestones that are necessary to meet your long term objectives. Breaking down each stage into manageable bite size chunks makes it easier to implement changes.
Step 3 Identify what needs to change and how:
Again you need to be brutally honest. Consider what is holding back expansion, maybe even damaging your business and understand your business strengths and weaknesses.
Useful tip. Seek objective opinion – ask your staff and customers for honest feedback or an external business expert.
Step 4: Identify your capabilities:
At this point define a framework of changes around capabilities and your position in the industry.
When you understand your limitations, weaknesses and identified any drain on resources you can make fully informed business decisions and embark on activities right for your business.
Remember avoid overstretching yourself and risking costly failures down the line so seek professional advice if you’re unsure.
Step 5 Understand the numbers behind your business:
Even though this is step 5 of 7 it is of vital importance. Lack of understanding is the difference between the success and failure for most businesses. Failure to plan can result in nasty bills in the not so distant future.
Breaking down the numbers:
Sales targets Budget for overheads
Profit margin Understand cash flow
Pricing decisions Identify personal income to survive
Plan for additional costs Plan in advance for tax bill
Using the latest Accountancy software, like Kashflow, helps to breakdown, monitor and understand the numbers shaping effective business planning.
Step 6 Monitor risks and implement your action plan:
Put in place planning and accounting processes that monitor risk and adopt an established method of reporting.
At a glance you can monitor the financial position of your business, manage cash flow and tax bills and also make positive changes in line with your strategic objectives.
Step 7 Review your successes and failures:
Not every choice you make will be successful as external factors are outwith your control. But if you stick to your plan, manage risk and modify objectives accordingly you’ll remain on track.
Murrison & Wilson Business Strategy Expertise
Starting with our 7 steps combined with business and tax planning expertise we work with our clients to help them understand the numbers behind their business and deliver a winning strategy.
How can we help your business?
Whether you’re just starting up or looking to expand but too busy with daily tasks of running your business to think about the future of your business we can definitely help you.
Murrison & Wilson bring together business expertise and forward thinking accountancy skills to look at each business from a new angle and discover effective ways to grow a business.
Our clients’ gain the competitive advantage without the high accountancy costs and as revenue increases so does our clients’ confidence.
Read what our clients have to say or Watch our video on business strategy to discover more about our approach or call 0141 290 0262 for a Free Business Strategy Consultation.