Business plan: the north of the company

Look up to your business plan.

Then take a selfie.

A mere document? A set of aspirations? A north? How much time should I spent discussing, re-evaluating and adapting the business plan of my company to the circumstances, until I am able to make solid short, medium or long-term decisions? All these questions are part of the process for the creation of a business plan, as well as to keep it alive and kicking with the daily surprises. It is necessary to go on the core of the stakeholders' desires, but, at the same time, maintaining a strong identity, one that can smoothly lead clients on the wide array of customer intersection.

For Jim Ellis, Management Professor at Stanford University since 2003, it is important to devote special care to people dynamics in a company. He sees the business plan as something that can contribute for these dynamics to work properly. He believes that building a company has to do directly with the alignment of the staff's desires, and the company's desire's. Ellis believes that the business plan has power not only as a document that determines practical, functional daily procedures, but also a "milestone" for common goals. As a sort of "Bible", only more versatile, it is a place where everybody can turn to, whenever they are in doubt.

As Ellis himself states during a lecture given at the University of Stanford (available on YouTube), "one of the most valuable aspects of creating a business plan is the fact that it forces you to look at your business through the eyes of those external constituents, and really make sure that you truly understand the core of what constitutes your business (Ellis, 2007)."

Richard Branson, entrepreneur that is known for leading the ambitious Virgin Group, has a point of view that finds connection with Jim Ellis' words. He says that the most important thing you need to know when running a company is to make sure you know what that company is for. He believes that the first step to keep a realistic and healthy business plan, is to be a great listener, understand the community that constitutes your company, and then being a great motivator to take everybody ahead with you, finally consolidating the business plan and effectively putting it into practice.