Strategy has been consistently proven to be one of the most positive contributors to success throughout history. In wars, sport, and business, the evidence is everywhere and irrefutable.
In our ‘Independent Food Businesses Fighting Back’ series, we see how many independent food business share common ‘success’ traits. Now we look at the importance of STRATEGY.
Why do we need a strategy for our business? Strategy brings clarity, focus, and execution to what we already know about our current business and future direction.
The objective of a strategy is to provide a long term sustainable competitive advantage for the business.
The three essential characteristics of a strategy are that it is made in advance of an anticipated event, it is developed consciously and purposefully, and it is goal oriented.
Nearly every successful business has had a strategy that drove their success. The few that achieved success without a business strategy (and a small few do!), relied on luck and good fortune (much like doing the Lotto!). However, ‘hope’ is not a realistic strategy.
So, how can you tell if your strategy is clear? If you can answer these three questions about your business then you’re well on the way.
- What’s your major purpose? (This is what we do)
- What are your major goals and objectives? (This is where are we going and when we want to get there)
- What are your points of difference? (This is why our customers will buy from us rather than our competitors).
Now you need to work ON your business rather than just IN your business to share and discuss these with your team and come up with a collective and shared strategy for the business.