Many consultants, service providers, and industry experts have their own advice when it comes to business plans. Some opt for flashy presentations that revolve around target markets, and others are more detailed and central to various parts of the company. But one element remains consistent: a business plan should be a dynamic document that not only receives attention from company leadership, but also reflects a strategic plan that can be adapted to forever-evolving business and economic conditions.
Below are some key elements of planning that owners, management, and other key personnel should always take into account (regardless of industry).
Products and Services – List unique features, differentiators, patents, copyrights, lists of suppliers, etc.
Thorough Market Analysis – Think about your market space. List current and prospective targets, existing clientele, feedback surveys, letters of intent, and competing companies or ideas.
Market Strategy – Discuss how you’re planning to sell and market your product. This part of your business plan often includes product pricing plan, business cards, marketing collateral, methods of selling, and credit-and-collection policies. Describe where, when, and how often you plan to touch these markets (and include the cost of sales).
Current and Future Management Plans – Not only is it a best practice to have a plan with a 3 to 6 year vision, but also include tactical planning and actionable items for the next 12 to 24 months. Clearly define relationships with suppliers and distributors and include written plans for human resources, marketing, finance, data management and other essential systems. Licenses/permits, legal structure, insurance coverage, and rental/lease/purchase plans should also be covered.
Financial and Data Planning – Complete a 3-year history of sales records, profits, tax records, bank statements, and other pertinent or relevant financial documents. It’s also advised to prepare projections for payables and receivables, aging reports, cash flow documentations, and comparisons against previous plans.
One remarkable thing about the list is that it rarely changes. The order may change but the top cited standards typically don’t change. Top 10 Sited Safety and Health Violations: 501 - Fall Protection 1200 - Hazard Communication 451 - Scaffolding 134 - Respiratory Protection 147 - Lockout/Tagout 178 - Powered Industrial Trucks 1053 - Ladders 305 - Electrical, Wiring Methods 212 - Machine Guarding 303 - Electrical, General Requirements Three of the 10 sited standards are directed at the construction standard (1926) while other fall within the general industry (1910). It should be noted however that the general industry standard also has fall protection guidelines. Year after year, inspectors see the same on-the-job hazards, any one of which could result in a fatality or severe injury. More than 4,500 workers are killed on the job every year, and approximately 3 million are injured. By understanding these regulations you can improve your safety program and prevent injuries. Give me a call if you have any compliance doubts, or want to review OHSA regulations. Gwido Dlugopolsky at 216-391-7766 or firstname.lastname@example.org
Why does it take a NASCAR pit crew only 15 seconds to change four car tires when it takes people like you and me minutes? The answer is simple SMED. Single Minute Exchange of Dies, or SMED, is a process for reducing the time it takes to do equipment changeovers. Using the principles of SMED you should be able to perform any changeover in your facility in under 10 minutes! The SMED process is simple – convert as many changeover steps as possible to “external”, meaning they are done while your equipment is still RUNNING, while simplifying and streamlining the remaining steps. SMED is broken down into the following 3 Steps: Separate Convert Streamline We found this article to be very helping in explaining the SMED process in more detail: LEAN PRODUCTION - SMED A good first step to achieve this level of SMED efficiency would be to run a kaizen event at your facility to standardize (5S) your tools and supplies. Doing this alone will help you achieve 40% to 50% greater efficiency. Once the “low hanging fruit” is gone, you can still reduce setup times another 20% by practicing more advanced SMED principles.
The secret to closing any sale is to reduce uncertainty in the buyer and replace it with confidence in YOU, your PRODUCT/SERVICE, and your COMPANY. Step 1 – Confidence in YOU Someone buying from you wants to be able to fundamentally connect with you on a human level and feel confident that you’re an expert in what you’re selling If you’re selling paperclips, be an expert in paperclips If you’re selling design and engineering related services, be an expert in design and engineering related services Focus on addressing the problem, not the solution….MEANING you already know you have the solution, connect with the buyer by being an expert with the problem he/she is facing. Prove that you know the problem and all aspects of the problem like the back of your hand. Step 2- Confidence in the PRODUCT/SERVICE you are selling Someone buying from you needs to trust the product/service you are selling will solve their problem. It’s your responsibility to deliver a solution and the benefits associated with it. Basically you need to “Hit a Homerun” communicating this message. Tip – Use Success Stories: Share with the potential buyer examples of your product/service solving problems and delivering value for