No business owner starts a business to remain in the same level for the duration of the business. Each one of them has goals, dreams and a level that he or she wants the business to achieve. However, achieving those goals and objectives go beyond just thinking about it. If you are to reach higher heights with your business, you must put down an effective business strategy.
Simply put, a business strategy works as a map to get you to your desired destination. It includes the actions that need to be taken and the decisions that need to be made along the way. With a business strategy, you have the guidelines on how to allocate resources, and know what to prioritize to get where you want.
If you want your business to breakthrough to success, here is how to build a business strategy.
Ideally, a vision defines how you perceive your company to be like in the future. It is how success looks like for you in the future. Be clear on your aspirations in terms of customers you want to reach, the markets you want to expand to and the volumes you want to move.
On the other hand, the mission defines what your organization is and why it exists, what it does, its products, customers and location. It outlines what makes you standout and why it is headed for a bright future. Simply put, it is the core values and purpose of the business that will help you achieve your vision.
Goals define the actions that need to be taken to achieve your vision, while objectives define the timelines for achieving your goals.
Stating these things works as an inspiration for you and your team because you know that you are working towards something. It is also the bar that you measure your progress against to see if you are on track.
You will need resources such as money and talents to take your business forward. Include in your strategy the funds that you have the funds that you will need in the future, how to raise it and how it will be used.
Additionally, assess your human resource to see the current status, the positions that you will need to add at a certain growth level, how the positions will be allocated and who will be responsible for hiring. For instance, if you have a goal to expand to international markets, you will need to hire people from those countries. Doing it on your own might pose some challenges. You might need to think of using international recruitment services providers, such as Global PEO, to help you with international hiring. Such agencies are knowledgeable in finding candidates with the right skills set, helping with the hiring process, work permits and visas.
This is an analysis of the strengths, weaknesses, opportunities and threats of an organization.
Clearly define your business strengths, or the things that your company does so well, setting you apart from the rest. It could be your brand attributes, strong and competent team, or a unique selling proposition.
Weaknesses are the things that limit you to perform optimally, or things that your competition does better than you. It could be lack of finances, a poor marketing strategy or lack of enough skilled people among others.
Assess the opportunities that you have to move your business forward. The opportunities could be media coverage to get your name out there, a new idea that can disrupt the market, or emerging needs for your products.
Threats are things that can jeopardize your business such as new regulations, negative image by customers or emerging competitors among others.
This analysis helps you capitalize on your strengths, work on improving your weaknesses, position yourself to grab the opportunities and find ways to counter the threats.
It is easy to be enticed by your vision, ending up in stating unrealistic figures in your strategy. It then gets frustrating when you only achieve a segment of your projections by the set time limit.
Ensure that you put in the work to do research in order to come up with fact-based data and realistic projections. You can start by reviewing your current and past performances. Base your projections with these figures. If you feel that you can do better, make sure to define what you will do differently in order to achieve the desired results.
The ideal reason for starting a business is to solve your target customers’ pain points. However, these people have a way of satisfying the need even before you introduce your products to the market. This is to say that you will still face some form of competition no matter how unique your products or services are.
As you put together your killer strategy, ensure that you study your competition well. Your strategy should seek to identify your competitive advantage. Ask yourself what you can do differently to stand out from the rest. You can consider adjusting the price of your products or adding extra features that add value to your customers.
In addition, focus on the markets that are underserved or less explored. You will have a better chance at building your brand and dominating a larger market share before competition starts trickling in such areas.
As said above, the main reason you are in business is to solve your customers’ needs. However, you can’t be able to satisfy the customers if you have no idea of who they are. You will be able to package your products better if you know who you are targeting.
Your strategy should seek to understand who your customer is. Look keenly on their lifestyle, buying patterns, motivation, age group, career and any other factor that influences their consumption of your products. Having this data can unlock valuable insights on the pricing, features and general packaging of the product. You will also be in a position to create a more specific marketing strategy.
A lot of business happens in the online platform in the modern business world. Before deciding to buy a product, a big percentage of the modern consumers will most likely research about a brand on the internet. They will be checking online reviews from other people who have used the products before, scrutinizing the website and social media pages. That is why online presence is very important to every business.
Incorporate in your strategy how you are going to establish a presence in the online platform. Analyze the internet to identify where your target customers frequent and set camp there. Strategize on SEO optimization for your website and creating educational content for your customers. Don’t forget that you can reach a larger audience if your website is optimized for mobile.
Your business strategy will remain letters and numbers on a paper until you decide to implement it. After you are done strategizing on the above points, start strategizing on how to implement the necessary action plans meant to work towards your vision. Break down the bigger picture into small doable actions. Assign each action to your team members defining the responsibilities, timelines, and how you are going to measure the progress.
Even as you plan to move your business forward, note that you can’t do it on your own. Remember to include the very employees that will help you execute the strategy. Hold regular meetings to discuss the progress and measure performance against the defined KPIs. It is also good to break down the goals such that each department or individual understands their contribution towards the larger picture.
You must be logged in to post a comment.