Q: We just made
$94 billion dollars this year. What should we do
next?
A: Create a new
business plan.
It's never too late to update your business plan.
Car manufacturer Nissan (NASDAQ:
NSANY) demonstrated that fact this morning when they announced a new five-year
business plan. With a projected mix of market expansion, cutting-edge
technologies, and growing product lines, Nissan will strive to significantly
increase per-share dividend, and achieve five percent revenue growth on average
over the next five years.
The new strategy plan is called
Nissan GT 2012, with "G"
representing growth and "T" for trust. In addition to their product development
goals, Nissan is also shining a light in-house, and will put effort into
improving management, brand and service quality.
Typically, business plan creation is
associated with up and coming ventures, or existing companies eager to expand
into uncharted waters. Why then would Nissan, a company with clear expertise in
the automobile arena, and which raked in over $94 billion last year, commit to
such an intense overhaul?
Well, for starters, a business plan
is a static document. There is no doubt that business plans are integral to the
proper conceptualization of your business, the mapping of your desired financial
trajectory, and the fabrication of the strategies you will implement and execute
upon day in and day out. Much like your favorite jeans from high school,
however, it is possible to outgrow your current business plan. In fact, it might
be time for you to re-evaluate your current business strategy
today.
While especially crucial for
technology companies in industries like automotives or computer hardware, where
revolutionary progress is made at a break-neck pace, even companies in more
traditional areas might be in need of a refresher. For instance, a bank that did
not create a strategy to institute secure online banking as an option for their
customers may be in danger of losing customers to more tech-savvy competitors.
A new business plan can be just
what's needed to refresh your approach and effectively restructure your
business to gain competitive edge.