Minggu, 14 Maret 2010

My Planning's Off. What Now?

Precisely this question means that you are on the right track. You can not get to this point without doing many things well:

You have a business plan. I hope his plan of life of your computer, not just on paper. It's good to have an expression, but more importantly you are still on the computer where you can easily manage.

You checked your plan. This is another good sign. This means that your business plan had details in it. It was expected a few numbers in his plan, probably the expected revenue, expenses and costs. I hope you also a table of milestones, list dates, deadlines and responsibilities for tasks that are included as part of the plan.

You can use your plan to compare their progress. Return the actual sales figures of its accounting system and compares them with those of his plan.

If the three points above do not apply to you, you are not planning benefits for the management of your company. One thing is the only plan - no special features - can be useful, but not the plan as useful as a planning tool to manage business.

If these points do not apply to you, congratulations, but you still have the problem, what to do with the difference between plan and actual.

I

I hope your plan includes a list of assumptions. This is a normal part of every modern business plan. This is where the hypothesis is used. Examine each hypothesis and find out what, if any have changed.

II

In the financial world, we call variation: The difference between planned and actual. The change is positive, if more revenue or profits or reducing costs or expenses. It is negative when sales and profits are lower, or the expenses and costs have increased.

However, the variance is not the end, the beginning of the analysis. It's not just numbers, it is the people and activities involved. For example, less than the planned expenditure is always a positive difference, but what if the costs were lower because marketing programs were not implemented? That would mean that the variation is actually the result of lack of work plan.

Whether the change is positive or negative, is always the question: What is management? If your plan includes a good idea of ​​what the leaders, you know, who, if not talk about things in the way. What went wrong? What we must do better from now on? What needs to change? And remember: The assumptions changed is the best reason to switch from one plan.

III

This is the planning process. Avoid falling into fault mode. Especially easy. Review wherever it comes to training management more likely to succeed. It is a guessing game, which is the address: You constantly correct to stay on track and continue towards its destination.

A company is a network of interrelated factors. Sales and marketing affect the cash flow impact, staff morale and the impact of moral leadership in productivity. I imagine a loose network of things that vibrate together. When sales go in one direction, we have other things that move with the desire to control sales. Planning is not guessed, this is the situation, follow the links to change things like the Internet.

Ultimately, the strategic choice to develop its appeal. Yes, the plan is wrong because all plans are wrong. But with a plan to help you figure out what miscalculated. And then you can decide whether to give the best, things or more time to let go. And always look first to see what assumptions have changed.

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