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Why Most Business Plans Don't Change the Business

Aug 20
6 min read
A business plan shouldn't end up in a folder - It should change how your business operates
A business plan shouldn't end up in a folder - It should change how your business operates

It should change how your business operates.

A strategy is only valuable when it changes what happens on Monday morning.


Most business owners understand the importance of having a plan.


They know where they would like the business to go. They may have growth targets, financial objectives, ideas for new markets, plans to improve profitability or ambitions to build a business that is less dependent on them personally.


Some will have gone further and completed a formal strategic planning process.


There may be a vision, a SWOT analysis, objectives, financial forecasts and a list of priorities.


And yet, six or twelve months later, surprisingly little has changed.


Why?


Usually, it isn't because the strategy was wrong.


It is because the strategy never became part of the way the business actually operates.


The gap between strategy and Monday morning


Strategic planning often happens separately from everyday operations.


Owners and managers step away from the business, think about the future, agree on priorities and produce a plan.


Then Monday morning arrives.


  • Customers need attention.

  • Employees need decisions.

  • A supplier hasn't delivered.

  • Someone is away.

  • Cash flow needs managing.

  • A quote needs to go out.

  • There is a problem with a job.

  • An important customer calls.


And gradually the urgent takes over from the important.


The strategic plan remains somewhere in a folder, on a computer or perhaps on the wall — while the business continues operating largely as it did before.


The problem isn't necessarily the plan.


The missing piece is the connection between strategy and execution.


Strategy Has To Travel Through The Business


If your strategy says you want to increase profitability, what actually needs to change?


  • Do you need better margins?

  • A different customer mix?

  • Higher productivity?

  • Better purchasing?

  • Less rework?

  • Improved pricing?

  • More effective sales?


If your strategy says you want the business to become less dependent on you, what needs to happen operationally?


  • Who needs greater authority?

  • Which responsibilities need to be clearer?

  • What processes need documenting?

  • Where does knowledge currently sit with one person?

  • What information would managers need to make decisions without coming to you?

  • And if growth is the objective, can your current systems, people and processes actually cope with that growth?


This is where strategic planning needs to become much more practical.


The Tidal Wave Approach


The thinking behind the FreeStyle Tidal Wave™ Program is that the different parts of a business cannot be treated in isolation.


There needs to be a clear line connecting:


Personal & Business Vision → Strategy → Team Alignment → Operational Objectives → Systems & Processes → KPIs → Continuous Improvement


Each stage answers a different question.


1. Personal and Business Vision — What are we actually trying to build?


Before developing the strategy, I believe business owners need to understand what they want the business to achieve for them personally as well as commercially.


  • Do you want growth?

  • Greater profitability?

  • More time?

  • A business that can operate without you?

  • Something you can eventually sell?

  • A legacy for your family?


There is little value building a bigger business if it ultimately creates a life you don't want.


The starting point therefore isn't simply “Where should the business go?”


It is also:


“What do I want this business to make possible?”


2. Strategy — How are we going to get there?


Once the destination is clearer, we can make choices.


  • Who are our best customers?

  • What are we particularly good at?

  • Where do we create genuine value?

  • What opportunities should we pursue?

  • What should we stop doing?

  • Where do we want to compete — and equally importantly, where don't we?


Good strategy creates focus.


It shouldn't produce a list of everything the business could do.


It should help determine what the business will do.


3. Team Alignment — Do our people understand where we're going?


This is frequently underestimated.


A strategy known only by the owner or senior management team isn't really an organisational strategy.


People need to understand the direction of the business and how their work contributes to it.


And communication should not be entirely one-way.


The people dealing with your customers, systems, production, administration and day-to-day problems often hold valuable information about what is and isn't working.


Bringing them into the conversation can improve both the quality of the plan and their commitment to delivering it.


4. Operational Objectives — What now needs to happen?


This is where strategy starts becoming real.


  • If the strategic objective is to improve customer retention, what actions are required?

  • If it is to increase margins, where will the improvement come from?

  • If the goal is to reduce owner dependency, what responsibilities need to move elsewhere?


Each strategic objective needs to become a series of practical operational priorities with:


actions, responsibilities, time frames, and expected outcomes.


Otherwise, it remains an aspiration.


5. Systems and Processes — Can the business consistently deliver it?


As businesses grow, relying on memory, individual effort and the owner's constant involvement eventually creates a ceiling.


  • Processes need to become repeatable.

  • Responsibilities need to become clearer.

  • Information needs to flow to the right people.

  • Technology should remove unnecessary manual work.

  • And wherever possible, the business should operate through good systems rather than heroic individual effort.


The question becomes:


“What needs to change so this business can perform consistently without me driving every activity?”


6. KPIs — How will we know whether it's working?


Most businesses have numbers.


Fewer have genuinely useful KPIs.


A useful KPI should help somebody make a decision.


When the measure changes, you should be able to ask:


  • What happened?

  • Why does it matter?

  • Who needs to respond?

  • What action should follow?


A dashboard full of numbers isn't performance management.


Information becomes valuable when it leads to understanding, accountability and action.


7. Continuous Improvement — What have we learned?


This is where the Tidal Wave becomes a cycle rather than a one-off planning exercise.


  • Markets change.

  • Customers change.

  • People change.

  • Competitors change.

  • Technology changes.

  • Your own objectives may change.


So we measure the results, understand what happened, learn from it and feed that knowledge back into the next decisions we make.


Strategy → Action → Measure → Learn → Improve.


And then we go around again.


That is why the Tidal Wave never stops.


Where AI Changes The Equation


Something quite significant has now changed in the way businesses can work through this process.


We have AI.


I don't believe that means handing your business strategy to ChatGPT and asking it to tell you what to do.


Your experience matters.


Your team's knowledge matters.


Your customers matter.


Your financial and operational data matters.


And ultimately, you remain responsible for the decisions.


But used properly, AI can become an extremely useful thinking partner throughout the Tidal Wave process.


For example, AI can help you:


  • Synthesise SWOT and market information and identify themes or relationships that may not initially be obvious.

  • Challenge assumptions by asking what evidence supports them and presenting alternative interpretations.

  • Consolidate team workshop input, bringing together different perspectives and identifying recurring themes, concerns and ideas.

  • Translate objectives into possible actions, helping management move from broad ambitions towards practical implementation options.

  • Identify missing measures by examining an objective and asking what indicators would demonstrate whether progress is actually being made.

  • Analyse KPI trends and help identify exceptions, relationships and questions requiring further investigation.

  • Document processes by turning the knowledge held by experienced employees into structured procedures, checklists and training material.

  • Generate questions management may not have considered, helping challenge established thinking before important decisions are made.


And this is where I believe AI becomes particularly valuable.


  • It isn't replacing the owner.

  • It isn't replacing the management team.

  • And it certainly isn't replacing the knowledge and experience of the people doing the work.


It is helping all of them think better.


Human Judgement First. AI Assistance Second.


This principle sits at the heart of how AI is being integrated into the FreeStyle Tidal Wave™ Program.


  • We do the thinking.

  • We provide the context.

  • We bring the business knowledge.

  • We ask AI to analyse, challenge and extend that thinking.

  • Then we decide what makes sense.


That distinction is important.


An AI-generated answer can sound very convincing and still be inappropriate for your particular business.


The value comes from combining technology with experience, evidence, context and human judgement.


From Planning to Building


Ultimately, I don't believe business improvement is about producing more documents.


It's about building capability.


A good strategy should change priorities.


Those priorities should change actions.


Actions should be supported by good people, systems and processes.


Performance should be measured.


Results should be reviewed.


And what we learn should influence what happens next.


That is the philosophy behind the FreeStyle Tidal Wave™ Program.


And AI now gives us another very powerful tool to strengthen that process.


AI doesn't replace the Tidal Wave process. It makes the thinking within the process faster, deeper and easier to turn into action.


Ready to Build a Better Business?


If your strategic plan isn't translating into what happens day to day — or you simply want to understand where your business is strong and where the opportunities for improvement lie — the FreeStyle Tidal Wave™ Program provides a structured way to work through it.



Or, if you would rather start with a conversation:



No obligation. Just an opportunity to talk about where your business is now, where you want it to go and what may be standing in the way.


FreeStyle Business Partner

Helping business owners turn strategy into action — and action into measurable improvement.

 
 
 

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