Action Plan

Company Action Plan

At the initial meeting, the first action to take is an agreement on long term vision for the company over the next two to three years, for all sectors of the company.

These visions will then be listed in order of significance and next step is to set a number of shorter term objectives for each vision

Then decide how the board propose to go about getting the results to show that the firm is achieving its objectives towards the long term visions.

The success or failure of the action must be measurable to show if is has been achieved.

The dynamic approach to this is circular – For this system to work, dynamic action must follow.

Headings:

Vision
Strategy
Tactics

Before starting, the first thing to ask is this.

What is our Quality Policy ? What should it be ?

If you really want to change your long term vision, then your policy must change and so must the way you approach the next phase.

Areas to consider for each sector of the business.

  • 1. Sales Opportunities. What is the potential for us?
    • a) What do we have ?
    • b) Who wants it ?
    • c) Who will want it ?
    • d) How do we reach them ?
  • 2. Service.
    • a) What do we provide ?
    • b) What are the features ?
    • c) Can these be quantified ?
  • 3. Market Place.
    • a) What are our current markets ?
    • b) Which markets are available to us ?
    • c) Are there any niche markets that we can concentrate on ?
  • 4. How will we evaluate performance ?
    • a) Return of investment ?
    • b) Total sales ?
    • c) Gross profit ?
    • d) Percentage of work to billing ?

The Vision

1. Commercial direction, rationale and priorities.
    This should provide a focus, describe the rationale and priorities where appropriate, and reflect the degree of ambition of the Management Team.
E.g. To become the most outstanding company operating in our area. To develop the business throughout the area within the next five years using a systematic program of income opportunities and an autonomous management structure.

2. Philosophy, policies and values.
    These should be features, central to the development of the company.
E.g. Quality Assurance will be a key feature to all aspects of the business as it grows. Every new area and new office will have a Quality System maintained once it is operational.

3. Qualitative goals to achieve.
    This is to focus the attention of the entire staff on the crucial areas for the success of the business.
E.g. We will continue to maintain and advance our Quality System in every area of our business as we grow. Where possible, members of staff will have the opportunity of advancement within the organisation.

4. Financial performance.
E.g. The aim is to achieve a situation of increasing our turnover in each area of business by at least four times in the next five years.

5. Future ownership.
    The question of ownership, size and management are closely connected.
E.g. What type of partnership does the group have?
       Do the partners wish to work harder and longer as the company grows?
       Can the company be split into further partnerships or franchised?
       Should new managers have the potential to become partners?
       Will the partnership provide an attractive standard of living for the present partners, and enable the firm to promote talented people to equity partnership whenever they deserve it?

How do we make it happen ?

In order for the vision, strategy and tactics that we are discussing to be achieved, particularly if it demands high performance, it is not enough to write it down. The Management Team and everyone involved in the management of the vision needs to:

· really want the vision to become a reality
· believe that it is achievable
· be totally, 101% committed to making it happen
· not let any setback deter them
· communicate their belief and commitment to others in the company
The areas of growth development.

1. Organic growth

This is developing the business from within. Which is what we are doing today.
Should we focus solely on major customers ?
Should we concentrate on what we do now and increase our market share ?
Should we widen our geographic parameters and take on work from further afield
What should our cost approach be – low-cost no frills and high volume ?
What do other people in different industries do that we might adapt ?

2. Licensing and royalty deals

A five year licence may be granted to use our Q A guide notes and system and a royalty for every client. This will be known because the Questionnaire and Guide Notes are published and copywritten and numbered for each client.

3. Franchising

This is the arrangement whereby a company enables people to run their own business, using a proven format and the support of the franchisor. If successful, the customer should not be able to tell if a particular branch is owned or franchised, because the quality and presentation will be the identical.
The fundamental requirement for a franchising operation is an original concept of widespread duplication given the necessary support from the franchisor.

4. Joint ventures

· To bring clients closer in connection to us for the following reasons
· We have a range of organisational and management skills in training that are beyond their scope.
· The size of the projects vary, if they use too many small companies it takes up too much bureaucracy.
· If they like the idea should a separate company be set up to manage this ?

What should be the outcome ?

1. There should be some concrete decisions made.
2. Major business – development projects should be authorised.
3. Further analysis and evaluation should be planned.

At the end of the meeting, there should be a number of objectives to achieve and actions to be taken. These should cover

· Any change in direction agreed upon (if any).
· Expected achievements
· Future prospects

Making the vision a reality.

1. Business development projects
List the improvements or changes or new projects and who is the person responsible and when the should achieve certain results.

The ‘Project’ must be an action eg complete certain work, change the way something is done or relocate something somewhere. These projects may be short or long term but they must be able to be seen regularly to be moving towards achievement. It is possible that one project is important in itself yet it is, in fact a part of a longer term company objective.

2. Structure
The structure must be designed expressly to help turn the vision into reality. The steps required are as follows.

· Once the vision is defined, a weighting must be given to this in the organisation structure now to help make it happen. Therefore if we are looking to grow, we must decide when things will be needed to be done to organise and manage the growth.
· Identify internal obstacles to success.
· Review the present organisation to identify features to retain and aspects which need to be changed.

Finally we should review the present organisational structure, because this can only be done effectively in relation to visions, strategies and obstacles which have been identified.


^