After you create your Business Plan, in order to succeed, it is essential that you evaluate it periodically and modify the sections that you feel are not working for your business.
In this post, we will explore 5 ways in which you can evaluate your business plan:
1. How Viable is your Plan?
While starting up your business, there may have been many assumptions you made that do not translate well into the functioning of your business.
When evaluating your plan, look for the gap between these assumptions and the reality of your business. Make adjustments and corrections to ensure that your business plan is more realistic and in touch with the current and future scenarios of your business.
Create a Business Action plan based on this evaluation and ensure it works well with your strategies for growth.
2. Involve your employees
Your employees are involved in the details of the running of your business. Share your Business plan with them and ask for their feedback.
This will allow you to gauge how the plan actually impacts the running of your business. It is key to ask them questions such as:
- Do they have suggestions to improve ways to provide better customer service?
- Do they feel the objectives laid out in the business plan align with the way they currently do their jobs?
- Do they feel that the correct target audience is being reached?
- Is there any possible target group that could also be targeted for your business?
3. Is your Target Group correct?
Before starting your business, you may have listed out your ideal consumer based on age, income, gender and so on.
After your business has been running for a period of time, you will need to look at these demographics, check if your assumptions were right and if you can find a way to widen your TG by enhancing your products or services.
Getting a good grip on which the right TG is for your business will enable you to make better marketing decisions as well as allocate funds in a better, smarter way.
4. What are Current Industry Trends?
When evaluating your Business Plan, it is important to look at industry trends and ensure that you are making the best of current trends that impact your business.
It is also essential that you examine the ways in which competitors have changed their functioning to accommodate the change in trends.
This does not mean that it is necessary to ape competitor moves but rather you look at the best way you can better your service and deliver benefits to consumers that competitors are unable to due to their restraints in the market.
5. Are your funds allocated properly?
Every month, spend an hour with your accountant or set up a weekly meeting in order to get a clear picture of how your resources are being spent.
Discover if there are other ways in which your resources can be optimized, how you can reach more people by concentrating on more marketing channels or focusing on the ones that will reap you better benefits for the time and effort spent on them.
It is very important as your business grows and expands to ensure that you are on the right track with your business plan. Make sure that you take the time to evaluate your plan at least every quarter to make sure your business and your business plan is on the path to success.