First of all, during the planning the business strategies necessary to define the goals of the organization. The main overall objective of the organization is a clear reason for its existence, it is designated as its mission.
All targets are developed for this mission.
Developed goals serve as benchmarks for the subsequent process of decision – making. Mission details the status of the company and provides direction and guidance for defining goals and strategies at different levels of development. Formation of the mission include: figuring out what business the firm is engaged, the definition of the working principles of the firm under pressure from the external environment, the definition of company culture.
This mission of the company as part of the problem of determining the basic needs of consumers and effectively to create customer satisfaction in support firms in the future.
Managers often believe that their main mission – profit. Indeed, to satisfy some inner need the firm will eventually be able to survive. But to earn a profit, the firm must monitor the environment of their activities, taking into account the value approaches to the concept of the market.
Common goals of the company are formed and are based on an organization’s overall mission and set of values and goals that are oriented top management:
• Specific and measurable goals (it helps to establish a clear framework of reference for follow-up and assessment of progress)
• The orientation of the targets in time (here it is necessary not only what the firm wants to implement, but also when the result should be achieved)
• Achieving the goal (serves to increase the efficiency of the organization); establishing of difficult achievable goals can lead to disastrous results.
• Mutually supporting objectives (actions and decisions, which are necessary to achieve the same goal, shouldn’t interfere with other objectives)
Objectives of the organization are divided into economic and noneconomic. Non-economic goals include social goals such as improving working conditions. People – this is the most important factor in the success of the organization, so we shouldn’t forget about their interests. Economic goals of the organization in terms of the economic activities can be divided into quantitative and qualitative. Example of quantitative goals – increasing the market share of firm. Example quality objectives – to achieve by the technological superiority of the industry. Activities of the organization is very diverse, so the organization can not be focused on a single goal and should identify some of the most significant landmarks of action.
So the business strategy is a combination of different objectives.
Download Sample From Here
Illustrative business plan samples
OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.