Tips to Review Your Business Plan with the New Year
While it is a time to kick off operations on a high note, January should also include introspection and review. Some people think that writing a business plan is reserved for new and aspiring entrepreneurs. However, a business plan is so crucial for the success of any business including an existing one. January presents a perfect time to review your business plan as part of resolutions for the year ahead.
Notably, the business planning process involves a paradox. Strategy works best only when consistently applied over a long period. This implies that you cannot implement a strategy without following a long-term plan. Blindly following a long-term plan can kill a company that stubbornly insists on pursuing a plan that is not working.
Below are simple tips on how to review your business plan to prepare for success in the coming year.
Set aside enough time to review your business plan
It is commendable that some people can make progress in just one hour! However, making a splendid business plan needs more time. You need to read and contemplate your plan before you set the goals you need the plan to help in accomplishing. In addition, pay attention to how you feel and jot down any ideas or thoughts that come to mind. There is need to comprehend crucial factors that would affect your success in the future. This way, you will formulate viable solutions to tackle the drawbacks when they occur. It is impossible to juggle all in a minute.
Step away from your plan for a moment
It would not be prudent to jump into any conclusions or judgments when you finish reading your plan. Set aside the document, take a walk, and get back to it after a few hours. Definitely, some additional thoughts will bubble up about your plan. In turn, this will go a long way in ensuring that you get a perfect business plan. Besides, getting some time off the plan will give you a good chance to kill any frustrations. Do not get hard on yourself. Take it easy and remember that you can change the business plan at any time.
Set goals for the New Year
When creating a business plan in New Year, it is wise to include what you hope to accomplish within the year. If the goals are not part of your original business plan, it is time to draft a new version. The best way to set goals for the New Year is by reviewing your weaknesses.
Your business plan should include a SWOT analysis, evaluating the strengths, weaknesses, opportunities, and threats for your business compared to existing competition. Go back to the “weaknesses” part of the analysis. Afterward, you need to form viable solutions to the weaknesses, add new skills and strengths to your business. Think of how you can grow, maneuver the industry’s competition, and help you become a successful entrepreneur.
Managing the Planning Process
Experts recommend that entrepreneurs should update your plan thoroughly at least once a year. Ideally, you should start with an old plan and revise. Nevertheless, ensure you are taking a fresh look. Distance yourself from the trees and look at the forest – have a fresh and bigger view of things. Therefore, you can do the following in the planning process.
Talk to your existing and potential customers
Creating a business plan should include reviewing your value proposition. Are customers content with what they are buying from you? Do you solve customer problems? Evaluate the issues that you need to solve to satisfy the needs of your customers.
Try to form new market segmentation
Change how you view your market. For instance, if you normally view your market by type of product, look at it by channel or buyers. Alternatively, you can divide your market by region or size of Buyer Company. As part of your business plan, think up a new segmentation to give you fresh revenue.
Look at the larger potential market for the problems that need solutions
For instance, look at contiguous businesses and at changing trends and technologies. Think critically to form solutions of these problems.
In conclusion
Remember that nobody gets the future right very often. Keep the plan fresh and watch closely as reality moves forward. A good planning process incorporates the difference between the plan and actual results. Notably, reality swallows our assumptions and we need to keep track of where, why and how we were wrong. This kind of tracking becomes essential to the management of the business.
If you would like to get more advice about creating a good business plan, get in touch with us. Our experts will be willing to guide you through the business planning process.
