Photo courtesy of Alex Osterwalder
Simplicity is the key to using strategic planning sessions to create actionable items. It’s not overly difficult to create a strategic plan, but management and implementation can be another story. Time spent on strategic planning is wasted if the project isn’t managed and broken down into actionable steps. Keeping the plan on track means setting reasonable goals and realistic timelines.
Photo courtesy of Horasis
A powerful strategic planning team is an asset to any business. Although an owner may be comfortable making the major decisions, having a planning team at your disposal exponentially increases the available pool of fresh ideas. There’s no substitute for an objective team who can explore diverse strategic opinions, then focus the ideas into a focussed plan aimed at a specific business goal.
There are many companies we come across that consider succession planning being applicable only to family-run businesses or large corporations. However, succession planning should be an important part of any company’s Strategic Plan.
Without a Strategic Plan, a company is without a vision for its future; without a Succession Plan within the Strategic Plan, a company cannot ensure that it will continue to have qualified employees who can help the company forge ahead. As such, succession planning should be a part of any strategic planning process and vice versa.
Identifying Your Key Players
Developing an effective succession plan means identifying key positions within the company as these positions are typically the most difficult to replace within the company. Once key positions are identified, employees can be groomed to fill these positions. Any gaps between each individual’s skill and the required qualifications can be narrowed gradually.
Make the Most of Your Up-and-Coming
Part of the planning for any form of business succession includes creating a viable game plan for educating individual employees. Projects above the normal scope of duties for an employee or even formal training, such as a certification program, will provide learning opportunities for the successors. Alternatively, job shadowing is an excellent way to increase the competency of a given employee without the expense of seminars or certifications.
Finalize Your Goals and Look to the Future
A Strategic Plan must emphasize the company’s mission and goals above everything else. A well-organized plan will include strategies to minimize tax burdens on the next generation of business owners. With this plan, up-to-date employee manuals, estate planning documents and management priorities should be available. Obtaining a current valuation for the business is also advisable.
Providing a framework for succession decreases the anxiety felt by both employees and management during any upheaval. Your Strategic Plan for a successful business succession can mean the difference between a viable company and a sinking ship.
