A business strategy lays out the plans for the direction of your company, including the goals you plan to achieve within the business. The strategy serves as your guide to making business decisions in order to develop and grow the company. Developing your business strategy takes more than simply writing down your wishes for the company. Thorough research and concrete, realistic goals make the business strategy more effective.
The research you conduct before you establish your business strategy helps you determine attainable goals for business success. The industry you are in plays a major role in developing your strategy. Researching allows you to determine the typical growth of a company in your industry, as well as potential roadblocks that could hinder your company's progress. Identifying those problems helps you to avoid them through your strategic planning. Review the history of your company as a component of the research to remind yourself of where you started and how your company has progressed to this point.
A long, complicated business strategy is difficult to follow and implement. A better approach is to write a very specific yet simple business strategy that focuses on a few areas and goals. Write the strategic plan in a manner that all employees would be able to understand and put the plan into action. Entrepreneur recommends sticking to a one-page paper that lays out your strategy in clear terms.
The main components of a sound business strategy include your goals, the steps to achieve the goals, roadblocks and ways to remove those roadblocks. The goals should be measurable in some form so you are able to assess how you are progressing toward your strategic plan. For example, your business strategy might include expansion of the business to other markets or creating a particular number of franchise opportunities. With the goals defined, you need to figure out how to get there. The steps to achieve the goal need to be actionable so you know how to get to the desired result.
A business strategy isn't a document you write and forget about the next day. Use your strategy to plan your company's policies, procedures and vision statement. As your company grows, you may feel the need to adjust your strategy. It is sometimes difficult to anticipate how your company will change as it gets larger. Updating your strategic plan to reflect those changes keeps it more accurate and useful.