Strategy is something for the big corporations. Why all this
talk about mission, vision, long term goals? Many companies do
not have any strategy or they are just in the head of a few
people within the company. So if that is the case, does a Home
Business owner really need a strategy? To answer this question
let us first define what strategy is.
When thinking about strategy think about terms like long term
plans and goals. A strategy guides you to a certain aspiration.
These do not need to be defined in monetary values. Actually,
the mission of a company is rather a short and inspiring
description of what it should aim for. When a company knows in
which direction it is headed for, the goals are formulated and
the strategy turns long term measurable goals into short term
goals.
A strategy has many functions. It is used as a form of
communication and it gives the company a direction. Without it
decisions are made ad hoc and without any purpose in mind other
than short term goals.
Having defined what a strategy is does a one-man Home Business
really need a strategy? Definitely it has no real value to have
a thick book describing the whole strategy of the company. But
parts of it could help the Home Business owner. Decisions are
made on a daily bases, so a strategy could help taking the right
decisions and see if the dream the owner has comes true. Without
a strategy a company operates ad hoc, from day to day, without
knowing what it wants to achieve in the long term.
A succinct strategy would include at least the following:
What should your company be in 5 years ¨C give a short
description.
Translate the description in a few measurable long term
goals.
Break down those long term goals into a few steps ¨C these
short term goals should also be measurable.
Decide a time table what to do and when to reach what goal.
Now that you have a summarized version of a strategy you have a
good guideline. But always revisit your plans every year and see
if you need to update it. When you notice that you are not
reaching your goals, examine why and take corrective action.
With the strategy in place you are more on top of your business
and are likely to make better decisions and reach the thing you
aimed for.
