GOOD AND EXACT PLANNING IS ESSENTIAL FOR EVERY SUCCESSFUL BUSINESS. WITHOUT THOROUGH PLANNING, YOUR BUSINESS IS SURELY ABOUT TO FAIL. BUT LET US FIRST OF ALL LOOK HOW BUSINESS PLANNING IS DEFINED:
Planning is the primary function of management that involves formulating a future course of action for accomplishing a specific purpose. Planning enables managers to decide what task to do, how to do the task, when to do the task and by whom the task has to be done.
AND TO ACHIEVE A PLSNNING WHICH BENEFITS YOUR BUSINESS, YOU WILL NEED A BUSINESS PLAN.
A business plan is a roadmap for your business. It outlines your goals, strategies, and how you plan to achieve them. It’s a living document that you can update as your business grows and changes.
(COURTESY wisebusinessplans.com)
BUT NOBODY EXPECTS YOU TO WRITE A BUSINESS PLAN JUST LIKE THAT. YOU WILL NEED GUIDANCE HOW TO WRITE SUCH A BUSINESS PLAN. AND THERE ARE LOTS OF TEMPLATES TO BE FOUND ON THE INTERNET. IN MY OPINION, ONE OF THE BEST TEMPLATES IS THE PRINCE’S TRUST BUSINESS PLAN PACK. YOU CAN DOWNLOAD IT HERE:
BUSINESS_PLAN_2015.pdf (ctfassets.net)
WHEN YOU WRITE SUCH A BUSINESS PLAN – NO MATTER WHERE YOU TAKE THE TEMPLATE FROM – YOU MUST BE AWARE THAT SUCH A BUSINESS PLAN IS NOT A ONE-TIME EVENT. AS MUCH AS YOUR BUSINESS EVOLVES OVER TIME, THE BUSINESS PLAN HAS TO DO THE SAME. THAT MEANS THAT YOU HAVE TO REVIEW YOUR BUSINESS PLAN REGULARLY TO SEE WHETHER IT STILL REFLECTS REALITY, OR WHETHER YOU REALISED CHANGES FOR YOUR BUSINESS THAT NEED A CHANGE IN YOUR BUSINESS PLAN.
YOU SEE THAT THE BUSINESS PLAN’S PURPOSE IS NOT ONLY FOR EXTERNAL USE – THAT MEANS IF YOU WANT TO APPLY FOR A LOAN, OR YOU ARE LOOKNG FOR AN INVESTOR – BUT IT IS ALSO IMPORTANT FOR YOU PERSONALLY.
JUST LIKE THE BUSINESS PLAN MUST BE REVISED REGULARLY, YOUR OWN BUSINESS MUST BE REVIEWED THE SAME. KEEP IN MIND THAT THE BUSINESS IS NOT A STATIC EVENT, BUT YOUR BUSINESS HAS SOMETHING LIKE A “LIFE”. IT CAN ONLY EXIST IF IT IS FED REGULARLY WITH NEW DATA, CONFRONTED WITH NEW SITUATIONS THAT NEEDS SOLUTIONS.THEREFORE, IF YOU WANT TO START A BUSINESS, YOU MUST BE READY TO COMMIT YOURSELF COMPLETELY TO START AND ESPECIALLY DEVELOP THE BUSINESS.
LASTLY, IT MUST BE SAID THAT PLANNING CAN NOT BE SEEN ISOLATED FROM OTHER COMPONENTS OF BUSINESS MANAGEMENT. ESPECIALLY CONTROLLING – AS WE WILL SEE IN ONE OF THE NEXT LESSONS – FORMS AN INSEPARABLE ALLIANCE WITH PLANNING.?
AND NOW TO THE QUESTIONS:
- IN YOUR OWN WORDS: WHAT IS PLANNING A BUSINESS?
- WHY IS PLANNING A BUSINESS A PROCESS?
- WHAT FUNCTIONS DOES A BUSINESS PLAN HAVE?
- WHAT COULD PREVENT YOU FRON COMMITTING YOURSELF COMPLETELY TO YOUR BUSINESS? (EXAMINE YOURSELF)
- GIVE AN EXAMPLE HOW PLANNING AND CONTROLLING OVERLAP.
