How to Make a Business Plan that Works?
Why would someone plan for failure? It is a funny thought but then why do so many plans fail to see the light of success? It is one thing to say that the plan went wrong, but another thing to admit that “we did not plan well”!
How well you plan your work and how well you work your plan will define your success. Execution is the key to success, I have talked about it in my earlier blogs many times. But execution without planning is like running blind and that too on a curving potholed road.
Good planning has several requisites. Yet, entrepreneurs who are ‘unconscious’ make some very common mistakes while drawing up their success plans.
Conscious Entrepreneurs on the other hand never make such mistakes. Their planning is based on their clear perceptions and an acceptance of the world and its people. They rarely assume things and understand the truth beneath the appearances. They are compassionate and not suspicious about others. Read on to know what are the most common planning mistakes that unconscious entrepreneurs commit.
8 Common Mistakes We Make While Planning
1. Goal set on the basis of previous year achievement and adding a growth rate over and above.
When you look at your last year’s performance, an analysis is made about the percentage growth you achieved over the previous year or years and then that rate is extrapolated on to the future. Those who are able to analyse their sales to recovery cycle and then analyse the reasons for why they could not close more sales to an existing demand will make plans to make amends within their delivery system and improve sales through that. They will allot a planned number against this element of process improvement. In a similar manner, they will examine each element of the process of finance, sales, process and people and find out the leakages of possible revenue and then plan to monetise it.
2. Sales planning Vs. Driving Sales
Another common mistake that is committed is that how well are you driving the demand of the market is overlooked. Most people base their sales on the basis of how much share should they get or how much sales can they possibly get through their dealer or distributor or sales networks or network marketing. This kind of planning mostly fails since this is not based on how are you going to drive or create your sales demand!
3. Goals set on assumptions of strength and performance. Reality is missing.
This is the most common of all mistakes. If you have a bright idea about your future, a plan is made of it and the fact that your people may not even understand it, we go ahead and announce our plans. People then react to these plans and then these do not succeed. Plans need to be created on the basis of people’s current capabilities and their willingness to grow and evolve.
4. Benefits and business is for the individual and not for the organisation.
No one in today’s world wishes to work for an individual’s ambitions. Those who do may not be the best of talent. People like to work for a mission, fulfil a cause, achieve a Vision.
5. The intent is to grow by hook or by crook.
When only numerical growth is the goal, values take a back seat. This ensures that people without values or pretentious people join your business. When they will behave with you and your organisation in the same manner, you should not complain! Most people who complain of being cheated or backstabbed, need to examine how they compromised on their set of values. The truth is best known to them alone. The fact that they adhered to many values does not give them the required immunity from the fact that they broke many values too. A criminal Godfather also adheres to various values.
6. Execution plan is made afterwards.
When you have planned your goals first and then you start thinking about how to execute these, then it is like putting the cart before the horse. The first requirement for clear planning is the absolute understanding about your ability to execute!
7. There is a lack of vision and growth path for people.
People work for their personal growth and like to be associated with a cause. If the only cause you offer is making money, then be prepared to lose your people to those who will offer them even more. Mercenaries are like sell swords, they rarely win wars.
8. People are unable to manage their Ego and prejudices.
This mistake is one that destroys all plans. While making plans, you never account for people’s emotional and egotistical needs. Their prejudices stop them from doing the right thing. An assumption that people will do what ‘you think’ is required is like daydreaming. They will agree to do it, but will eventually not do it. People who work out of their fears and insecurities will never help you achieve your plans. They may at best help you run your sweatshops for a while, but talent will always leave you.
Never make such basic mistakes. Become a Conscious Entrepreneur. Embrace the reality before you. Dreams are achieved by those who look at life’s realities. For them, those are clear goals, while for the ‘elusive’ those look like dreams.
Success is never a complex goal, but planning for it could be, as long as you remain unconscious and compulsive. Success that makes you miserable and causes suffering can never be termed as success. Look within, accept that you deserve to be Joyfully Successful. It is possible. It is truly possible.
For the past 20+ years SKC World has mastered the art of helping entrepreneurs create an executable plan. People have grown 3x, 6x, 10x but in a manner they can maintain it, and lead a joyful life. A life of consciousness. Explore SKC programs that suit you right. Click here to explore!
This was the 9th of 10 mistakes an entrepreneur should avoid while scaling up!
Tune in every Monday to follow this series.
Here are the links to previous mistakes:
- Lust: https://www.skc.world/your-lust-can-destroy-your-business/
- Worrying instead of thinking: https://www.skc.world/if-you-worry-too-much-you-are-making-a-huge-mistake/
- Entrepreneur not aligned with his people: https://www.skc.world/5-reasons-why-your-people-dont-listen-to-you/
- Emotional Vulnerability: https://www.skc.world/your-low-emotional-consciousness-is-making-you-vulnerable/
- Baseless Assumptions: https://www.skc.world/why-are-we-unable-to-execute-our-business-plan/
- Personal Inconsistency: https://www.skc.world/6-simple-hacks-to-becoming-consistent/
- When the vision is not your own: https://www.skc.world/set-a-vision-which-is-truly-your-own-do-not-fall-into-a-trap-2/
- Inability to deal with failure: https://www.skc.world/do-you-know-why-you-failed/
If you truly want to eliminate these mistakes from your life and business, the explore SKC programs! Click here to explore!