Usually you do not hear about the plans that fail. However, the majority of new businesses fail. Why ? The National Business Incubation Association reports that most failures are attributed to three factors: weak management team, insufficient funding, and poor strategic plan. The worst plans are:
Never finished. Many organizations and people aspire to write a good plan; few succeed in completing the task. It is harder than you think to pull together all the important elements. The wise leader combines inputs from staff, advisors, investors, and customers with a business coach or team lead who focuses to finish the effort.
Never implemented. You can have the best plan in the world, but if it sits on the shelf collecting dust it is destined to fail. Use the plan to hold people accountable.
Never changed. A plan must continue to evolve. The market is changing and competition is changing in response to the market. It’s ‘change or die.’ Known as “Nothing But Initials,’ NBI grew from a fledging Boulder start-up founded by Binx Selby in 1973 to be one of the most successful firms in the word processing and office automation industry. By 1982, its sales exceeded $100 million and the growth continued. However when technology moved from centralized computing to distributed personal computers, NBI’s leadership did not revise its strategic plan that allowed its product to evolve in response to changing market conditions. The competition did. NBI ultimately lost its leadership position and much more.
Copyright © 2009 Theresa M. Szczurek. All Rights Reserved.