As a Business Owner: How to plan my business strategy?

When it comes to business strategy and strategic planning, the task shall be done by an outsider and not by the business owner nor any other person from within the company for that matter. This is because the strategist has to be objective and able to see things from a different angle and with new insights. Even strategists don’t plan their own business strategies.

However, it is good for a business owner to understand the importance of this process, know what it’s all about, and have an idea about how it’s done. Eventually, you are to be involved as one of the decision makers.

According to Brian Tracy, there are 4 reasons behind strategic planning:

4 Reasons:

  1. To increase your return on equity
    • The return is not only on investment (ROI), it is also on equity, i.e. the brand worth.
  2. To reposition your company
    • When competition is affecting you negatively, you need to reposition your company with new products, services, markets, and technologies.
  3. To maximize your strengths and opportunities
    • Find the products/services that you are best at, find their market opportunities, and take the advantage of them ASAP.
  4. To form a basis for making action decisions
    • Finally fulfill the purpose of the strategic planning by taking new decisions in favor of achieving your goals.

As to the planning process, Tracy stated 5 questions to be asked and answered frequently to achieve successful business strategy. As a start, the business owner shall be clear about his/her goals, as this is the starting point to everything.

5 Questions

  1. Where are you now?
    • Assess your current situation, what you have, what you lack, your strengths, your weaknesses, etc.
  2. How did you get where you are today?
    • Examine your past, what you did right, what you did wrong, what lessons you’ve learned, and how the business has changed since you first started.
  3. Where do you want to be in the future?
    • Create your perfect future. Imagine the optimum scenario you want for your company and work towards it.
  4. How are you going to get there?
    • Prepare the next step to take.
  5. What do you need?
    • Make a checklist.

This is only a brief explanation about the starting point of the planning process. It is followed by a lot of brainstorming, thinking, discussions and research to find proper solutions and plan an efficient business strategy.

Author: Lama Lawand