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The information on this page has been designed to give you insights on things you may need to reflect on before and after you implement your business.
Before you use it, be sure to test them for relevance to your business development needs.
Most likely, the first thing you began to do when you thought about implementing your business was make plans about that entity. It is important for you to document such elements. This can be done through what is commonly called a formal business plan, which could be seen as a blueprint that outlines the dynamics of your business over a period of time, which most importantly includes the goals you intend to reach and the manner in which you intend to reach such goals. The parallel to this is the building of a house. The moment you think about doing this, you will think about designing a plan that would show exactly what you want the house to look like. It is important for you to do the same thing for your business. Go to tips to see how may design a business plan.
Business planning can be seen as the process by which objectives are formulated for an entity and the designing methods by such an entity could meet such objectives. For an entity to be successful, it must continuously design plan around every aspect of its operations, and constantly design and implement strategies by which its could reach its goals.
The Planning Model or Method for Implementation
This entails the visualization of the scope of the basis for implementing your business, which includes the prospect tat it would be achieve its desired purpose. Although it is possible for entrepreneurs to implement businesses other reasons, the basic reason for which they undertake this agenda is to make profits. The process that this entity is likely to follow when he decides to go into business is as follows:
Visualization of the Business’ Objective
Establishing of the idea that this entity would implement a business is the first the entrepreneur is likely to do when that entity is about to go into business. Something, perhaps a need to be satisfied, is going to trigger the potential entrepreneur’s interest, that would cause him to want to go into business. The entity then visualize the objectives he wants to achieve, which sets the actual basis around which the business will be implemented.
Evaluation of approach and Commitment to act
Testing of feasibility before implementation
This can be seen as the what, where, why and how of going into business. Here, the potential entrepreneur evaluates the manner in which that entity would approach the implement of the enterprise. The entity would test, maybe by discussions with other interested parties or careful evaluations, the feasibility of implementing the entity. Questions about the risk involved, weather it is worth going into, if the potential entrepreneur possesses the necessary resources to do the business and other questions of feasibility may be asked. The entrepreneur should then thoroughly review the scope of the business that he intends to undertake for pitfall. If satisfied that it is feasible then he can move to the implementation stage. The entrepreneur then commits himself to undertake the development of the enterprise.
The Business Plan
This is the important blueprint that is drawn up by the potential entrepreneur which details his vision, the business that he intends to undertake. It enables, not only the potential businessman to visualize the entity before it is implemented, but other interested parties such as potential partners, stock purchasers, lenders or any other parties that may wish to have a stake in the business. The potential entrepreneur must put his whole heart into the development of the plan. For it must show the foregoing parties, some of whom he may have little or no affinity, in as clear a manner as possible, why they should want to participate in his business.
Goals of Planners
Basically, planning is centered on two important agendas. The first is the setting of goals around the entity’s activities; the second is he designing and development of plans by which such goals could be reached.
Planning for an entity must be centered around:
Where you are planning the development of an existing entity, It is extremely important for you to revisit the original business plan of the entity here, to determine its original objectives. Such plans may take into consideration:
Planners must be willing to change, but only around the primary objectives of the entity, which is to deliver the best product to the market. Any change, therefore, must be relevant, cost effective and centered around greater profitability of the entity.
Point: Every entity has specific reasons why it is formed, and a targeted audience which it wants to reach. Its plans for its future development must be centered around these elements.
Elements of Concern for Planners
Organizations cannot evolve in isolation. They exist inside of systems amidst competition and therefore, must interact with the various elements that play in such systems. Those who plan for entities should, in making such plans, consider:
1. The current size of the entity for which plans are being developed. Here, entities that are small must plan in relation to their sizes. The entity must, for example take on projects that accords with its ability to undertake such projects successfully.
2. The strength of the entity; what it owns, its membership, its leadership and staff.
3. Changes that occurs in the environment or among competitors or which are expected to occur in the environment in which the entity exist or otherwise by which the entity is or would be affected. Adjustments must be timely made to handle such changes.
4. How environmental changes would affect the entity in relation to its size and power.
Because those who plan on behalf of organizations can determine weather such entities survive or fail, those who plan on behalf of such entities must take into consideration the physical needs of these entities.
Any long or short term plans that are designed for these entities must take the foregoing into consideration.
There are three key types of planning that any entity must effect throughout their tenure. These are long range, medium and short range planning. The extent to which such elements are effective would determine the rate at which the entity would experience positive or negative transformation.
Short Range Planning
This type of planning is designed to stabilize the entity, making it effectively manageable over the short run, say one year or less, and preparing the entity for sustained growth over the long run. Where this type of planning is not done with the greatest of care, or disaster could follow.
Proceed with this type of planning by getting the consent of the management of the entity, doing adequate diagnostic work of the entity’s current environment, especially its problems and successes. Needs and goals assessments must be conducted and be properly documented.
Look for problem areas as well as ways by which these elements could be addressed.
Find these by visually watching the business operate, talking to those in management who overseen and implement the entity as well as to other employees. Then design your plan around the findings which you make. This would indeed make the plans you design relevant.
This type of planning is designed for between one an five years. It involves planning fro each of the sectors of the business and the basis for planning for the whole. It must take into consideration both the short and the long range plans that were designed for the entity.
Long Range or Strategic Range Planning
This is planning for the long run, over five years. Remember, the ultimate goal of the planner out to be the designing of a model by which the entity could grow over the short, the medium and the long term.
Remember, once you begin to operate your business, you will constantly have to plan and design strategies by which all of the aspect of the enterprise could be mobilized towards attaining the overall objective of the entity.
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