Rose Report: Issue 61
Tips to Successfully Execute Your Strategic Plan
By Ted Rose, CEO, Rose Financial Solutions
Often, a company’s strategic plan is comparable to a New Year’s resolution, made with the best intentions but frequently abandoned by the end of January. In fact, according to studies, 60 to 90% of strategic plans never fully launch. Although the reasons vary, failure to execute is frequently the culprit. If your 2023 strategic plan is already gathering dust, grab it off the shelf and start including it in the way you conduct your day-to-day business. To get you started, here are tips on successfully executing your strategic plan and staying on the path to achieving your 2023 goals.
Focus on building the new
According to Psychology Today, approach-oriented goals involve reaching desired outcomes, while avoidance goals focus on eliminating undesired consequences. Consequently, adopting a new habit has a higher success rate than stopping or avoiding one. Perhaps Dan Millman, the author of The Peaceful Warrior, said it best, “The secret of change is to focus all of your energy not on fighting the old, but on building the new.” With that in mind, focus on the new opportunities for growth you identified in your strategic plan, implement back-office processes that enhance the efficiency of your operations, and create additional revenue streams that build value.
Keep a close eye on your KPIs
Increasingly, businesses rely on data-driven information to help them make better business decisions. Assessing key performance indicators (KPIs) and financial reports, such as the balance sheet, income statement, and cash-flow statements is essential to reaching your strategic goals. Monitoring your KPIs on at least a monthly basis informs you of any changes to your company’s fiscal health, allowing you to take action to get back on course swiftly.
Remain agile and open to change
Businesses must manage their operations realistically, especially during times of uncertainty. According to research by Gartner, 76% of corporate strategy leaders say significant pivots to strategic plans are now happening more frequently. View your strategic plan as a living document, periodically reviewing it to ensure it is still relevant, and make any necessary adjustments in light of market and economic changes.
One for all and all for one
Successfully implementing a strategic plan requires a team effort. Include your senior leadership and managers in a monthly meeting where you clearly outline goals and discuss the specific actions necessary to achieve those goals. Make sure to keep the line of communication open and hold managers accountable for reporting issues that stand in the way of obtaining the company’s goals.
During uncertain times, it’s critical to have a financial planning system that enables decision-makers to recognize when their strategic plan is veering off course so they can act quickly to get back on track. Schedule an introductory virtual meeting to discover how ROSE can provide you with the financial clarity needed to implement your strategic plan successfully.
This content is for information purposes only and should not be considered legal, accounting, or tax advice or a substitute for obtaining such advice specific to your business.