Strategic Planning- Creating a Clear Vision For Your Firm

In this blog, I will look at what a business vision is and how to create a vision statement for your firm.

What Is a Vision?

Your vision can be defined by clearly stating who and what your organization is, where it is headed, and how it is going to get there. Depending upon how many people you have on your leadership team, you will likely have some differences on what your business is.  When creating the vision, you must reach a consensus so that everyone agrees on the direction and you end up with a clear vision.  If you are the owner of the firm and now have additional staff in leadership roles, the vision you have envisioned in your head could be very different than how your other leadership team members may see the vision.

How To Create a Vision?

In his book, Traction, Gino Wickman points out that answering the following eight questions can clarify the vision for your firm.

1. What are your core values? These are the principles that guide your company. What defines what your culture is like and who the company is as people. The smaller the number of core values the better, try for somewhere between three and seven.
2. What is your core focus? This is the same thing as mission or vision statement. Why does your firm exist and what is your purpose and niche. What do the collection of unique talents, passions, and leadership offer that no other company has? That is your core focus.  When your core focus is clear, your staff, systems, and processes can be developed to consistently follow it. You will sometimes find during this part of the process that certain people, business practices, and services don’t fit with your core focus. Refine, adjust, adapt.
3. What is your 10-year target? Where do you want to take your company in the future? What will your revenue be at the end of this time period? This target must be specific, measurable, and attainable so it leaves nothing to question.
4. What is your marketing strategy? To help you with your marketing strategy, consider the following:
   1. What makes your firm’s offering stand out from your competitors? What are three things that make the firm’s product and/or services unique to potential clients?
   2. What can your clients count on from you? This forces your people to focus on delivering on this promise. It also forces the firm to look at their people and processes to make sure they have the right pieces in place.
   3.  What is your process for providing your product or service? Most firm’s process is somewhere between three and seven steps.  If you can illustrate the process and give it a name, you differentiate your firm   from what everyone else is offering. Those responsible for marketing will have an easier time explaining your firm’s value proposition.
   4. What is your target market?  Who are your ideal clients? This creates a marketing strategy that is much more focused and efficient.
   5. What is your three-year plan?  Determine some measurable including revenue and profit.  Advisory firms often use AUM, number of clients, AUM per client, etc.  Specific measurables provide focus. Your leadership team should also look at what the firm will look like in terms of number of staff, technology, system and office space needs, service mix, etc. Every three years you repeat this step.
   6. What is your one-year plan? Your long-range plan can now be brought into the near-term by focusing on what needs to be done in the next 12 months to reach the long-term goals. Restrict the number of one-year goals to three to seven. If you try to accomplish too many, you may end up spreading your resources too thin and end up accomplishing very little! Every year you repeat this step.
   7. What are your quarterly priorities? What are the most important priorities that need to be completed in the next 90 days.  Delegate who will be responsible for completing each of the priorities. Every 90 days you repeat the step.
   8. What are your issues and challenges? What are the current and potential obstacles that could keep you from reaching your one-year targets?

These steps take the longer-term plan and break it down into shorter 90 day time periods that are easier to execute. After you and your leadership team have addressed these questions, your vision should be clear.  Make sure to share your vision with the rest of your organization. You must share the vision with everyone in the firm so that each person knows how their role is connected to the short and long-term goals of the firm.

Now that the vision is set, the next step in the strategic planning process involves people.  In the next blog, I will take a look at selecting the right people to carry out the firm’s vision.

Build your business wisely.