Innovation

2. Planning the Future

Your business needs a vision of where it is going.

2.1 Know the market sector you ought to be in.

• Recognise the opportunities, or demand, for change in the markets you serve.
• Should you focus on the area where your business is strongest and abandon others?For example, there is one UK engineering firm that focuses solely on overhauling landing gear for Boeing 737 airliners.
• Could you take advantage of market opportunities by entering into a strategic partnership with another business? For example, a carpet fitting firm might develop a preferential working relationship with a local department store.

2.2 Know what type of products or services you will offer.

• Do you need to re-develop existing products or services or introduce completely new ones?
• Will employees need training to provide your new products or services?
• What resources will you need?

2.3 What changes to your business processes will a new product or service involve?

• Identify which parts of your business work most efficiently. Could methods used there be put to work in other areas?
• If you are launching a new product or service, what aspects of your business processes will be affected?

2.4 Outline your vision in your business plan.

• Break down longer-term goals into specific numerical targets and short-term aims. A long-term goal might be achieving £3m turnover and national distribution. This might break down into an interim target of £1.2m in sales and full coverage of the south and west of England within 15 months.
• Keep your goals challenging and SMART (specific, measurable, agreed, realistic, time-limited).