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Strategic planning has often been regarded as a complex and costly endeavor, traditionally the purview of large corporations. However, for astute entrepreneurs, especially those in the early stages or operating on tight budgets, effective strategy should be straightforward, flexible, and actionable.
In my book, O Empreendedor Smart, I dedicate significant attention to the concept of strategy, viewing it as a fundamental component of creating a sustainable and intelligent business. I assert that the traditional planning models, characterized by lengthy cycles and high consultancy fees, are ill-suited for today’s dynamic business environment.
Modern entrepreneurs are in need of a pragmatic approach: a strategic plan that can be put into action in a matter of days, not months. Most critically, this plan should align with the current phase of growth the business is experiencing.
Why simplicity is essential in strategic planning
When the term “strategic planning” arises, many envision consultants in suits, long presentations, and countless meetings. However, it’s important to recognize that lengthy planning periods can lead to missed opportunities. As I often highlight, “If it takes six months to plan, it’s already too late.”
Your strategy should mirror the speed and clarity of your business operations. Therefore, I encourage entrepreneurs to focus on straightforward inquiries rather than extensive documents:
Who are my target customers?
What specific problem am I addressing?
What resources do I have at my disposal?
What does success look like in the next 90 days?
These straightforward yet impactful questions foster clarity and momentum—two vital components that often outweigh the importance of presentation.
This concept aligns with the views of A.G. Lafley and Roger Martin in their book Playing to Win: How Strategy Really Works: effective strategy hinges on making tough decisions regarding where to compete and how to achieve success.
A robust framework: Clarity, focus, action
The Smart Method is built on a triadic strategic process:
1. Clarity: Determine your desired direction
Peter Drucker famously stated, “The best way to predict the future is to create it.” Yet, to shape your future, you must first visualize it.
Begin by setting a clear objective. Consider your primary goal for the next year—whether it’s to double revenue, expand to new markets, or launch a digital offering. Be precise in your language; if it’s not measurable, you cannot manage it effectively.
Clarity involves committing to a direction, as opposed to waiting for circumstances to dictate your movements. Without this commitment, one risks merely responding to external noise instead of constructing a purposeful path.
2. Focus: Pinpoint the critical levers
With a well-defined goal, identify three crucial factors that will drive significant progress.
During the formative stages of Coworking Smart, I concentrated on:
- Reducing excess costs by 30%
- Enhancing team efficiency through targeted training
- Boosting lead generation via digital sales funnels
You only need three key priorities. Consistent focus on these levers will yield tangible results.
This principle reflects the 80/20 rule: according to Harvard Business School, approximately 20% of efforts typically generate 80% of results. Strategic planning is about identifying that vital 20% and maximizing it.
3. Action: Integrate strategy into daily operations
Many strategic plans falter in their execution—they appear promising on paper but fail to translate into actual actions.
Break down each key lever into actionable weekly tasks and monitor progress. Establish a routine of execution with specific activities, such as:
- Conducting weekly budget assessments to identify cost-saving opportunities
- Implementing daily team meetings to reinforce productivity objectives
- Launching a new digital marketing initiative each week
A vital aspect of this approach is treating your strategy as a living document that evolves based on ongoing feedback and data. Commit to this process for a 90-day period, adopting a short-cycle execution model reminiscent of OKRs (Objectives and Key Results), successfully utilized by industry leaders like Google and Intel.
Insights from a global exploration of entrepreneurship
After engaging in a global tour studying entrepreneurship, it became evident to me that complexity often obscures indecision. The most successful entrepreneurs embraced straightforward strategies, executed them clearly, and emphasized a proactive approach.
Rather than waiting for ideal conditions, these entrepreneurs advanced decisively, continuously assessing results and adapting their strategies accordingly. This realization motivated me to streamline our strategic framework at Coworking Smart.
Today, our operations span six locations across Brazil, featuring a newly introduced cost-effective model in Rio de Janeiro that focuses solely on virtual office services. Our growth has stemmed not from exhaustive spreadsheets, but from a commitment to execution paired with a validated, straightforward strategy.
Smart strategy: Effective rather than superficial
It’s important to clarify: embracing a lean approach does not equate to sacrificing depth. An effective strategy still involves market analysis and customer research, but it is executed efficiently.
Tools such as Typeform or Google Forms can be employed to quickly validate your assumptions, allowing for informed decisions without substantial upfront commitments.
Viewing strategy as a discipline, not just a document
Many entrepreneurs stumble not due to a lack of vision, but because they fail to establish mechanisms that support their vision.
Strategic planning should function as the guiding force of your business—not just a document gathering dust on a shelf, but an essential tool you engage with weekly.
Start with practical steps. Ask better questions. Define a 90-day success metric. Base your plan on execution capabilities rather than appearances.
And keep in mind: effective strategy is not about perfection; it is about making improved decisions more frequently.
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