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  • 1.  A Plan is a Plan is a Plan

    Posted 12-19-1998 11:27
    Phil,
    I enjoyed your description of how you plan a business that operates in a
    dynamic situation. Certainly, your planning work product may not look much
    like the documents that are produced by those who spend a lot of time in
    "business and strategic planning processes" but your first clue is their
    notion of strategic planning (there is no such thing). So it seems to me
    that you are comparing your style of planning for your environment to
    others who are inept planners. That does not say that planning the
    business is the wrong thing to do. Here's why:

    On Sat, 19 Dec 1998 Phil Rutherford wrote Re: Personal view on business plans
    [...]
    >So, where are their plans now? Usually in some bottom
    >draw(er) somewhere.

    The document may be in the drawer but the plan is now in the heads of those
    who planned.

    [...]
    >As for myself, while I said earlier that I don't believe business planning
    >is the
    >most appropriate use of my time, I do use a form of planning based on the
    >achievement of an overall objective (or vision) through the achievement of a
    >series of intermediate or sub-objectives.

    How do you know you have the right sub-objectives? Do you try some
    scenarios (mentally or with spreadsheets or with simulators) to raise your
    level of confidence in having identified the right sub-objectives? Do you
    postulate outcomes in order to estimate whether the objective is
    sufficiently robust for your needs? And if you want to call this form of
    planning something other than business planning, what adjective do you use?

    [...]
    >My vision is to create a business where I
    >and my family can retire safely in the knowledge that we will never have
    >to worry
    >about money again.[...]
    >my strategy for success is a series of hops from one sub-objective to another -

    Excellent business plan.

    >just as Bill Gates does and it seems to work quite well for him don't you
    >agree?

    Please provide a citation where Bill Gates said that's what he does. Else,
    I don't agree.

    [...]
    >By way of example, my lastest 'plan', developed about
    >ten months ago, didn't even consider the business opportunity that fell into my
    >lap, and which I've now subscribed to, in the past 24 hours - an
    >opportunity that
    >has seen me undertake a major rethink of what I thought I wanted to do.

    Why was a major rethink required? Sounds like the event must have been
    preceeded by a major think. That was called business planning -- and so is
    the rethink, methinks.

    And may your holidays be happy and your new direction be successful.

    Jack Ring
    32712 N. 70th St.
    Snottsdale, AZ 85262-7143
    sendmail: jring@amug.org
    602-488-4615
    Cell) 602.418.8784
    F)602-488-4616


  • 2.  A Plan is a Plan is a Plan

    Posted 12-22-1998 07:07
    Jack,
    And a Merry Xmas to you too. Thanks for your message and herewith a quick
    response . . .

    . . . it seems to me
    >that you are comparing your style of planning for your environment to
    >others who are inept planners. That does not say that planning the
    >business is the wrong thing to do.

    Absolutely correct, but I've also taught the same concepts to others who are
    themselves having a great deal of success with it. Those with whom I've
    worked have found it frustrating, not to mention impossible when one doesn't
    have the necessary skills and knowledge, to work through the traditional
    form of SWOT analysis, business and market plans, HR strategy and so on that
    goes to fill up the average business pan. I know doing so teaches and
    practices discipline in planning but the fact that hard work is no
    substitute for a good plan doesn't always mean that a good plan is as much a
    substitute for hard work.

    >How do you know you have the right sub-objectives? Do you try some
    >scenarios (mentally or with spreadsheets or with simulators) to raise your
    >level of confidence in having identified the right sub-objectives? Do you
    >postulate outcomes in order to estimate whether the objective is
    >sufficiently robust for your needs? And if you want to call this form of
    >planning something other than business planning, what adjective do you use?


    Got me on that one! But identifying an overall objective and breaking it
    down into sub- (achievable) projects is also used in strategic, operational,
    project and just about any other type of planning that incorporates the use
    of resources over a given timeframe - as I'm sure you already know.

    >>. . .just as Bill Gates does and it seems to work quite well for him don't
    you
    >>agree?
    >
    >Please provide a citation where Bill Gates said that's what he does. Else,
    I don't agree.
    >
    I am in the middle of moving house and office or else I would be able to
    provide chapter and verse. However, off the top of my head, a year or so ago
    a brilliant book came out about the planning processes used within Microsoft
    (which, as Microsoft user, scared the pants off me but, in retrospect, does
    seem to make a lot of sense) that support the process of moving from one
    objective to another (they call them 'stable points). Being a totally
    customer driven organisation Microsoft use feedback to develop and current
    market situation to develop plans before making the next move. Of course
    there is an overall set of objectives that drives the organisation but these
    are linked to the achievement of the lower level objectives rather than the
    other way around. In the IT world this seems to be the most sensible way of
    doing things - as events show.

    >[...]
    >>By way of example, my lastest 'plan', developed about
    >>ten months ago, didn't even consider the business opportunity that fell
    into my
    >>lap, and which I've now subscribed to, in the past 24 hours - an
    >>opportunity that
    >>has seen me undertake a major rethink of what I thought I wanted to do.
    >
    >Why was a major rethink required? Sounds like the event must have been
    >preceeded by a major think. That was called business planning -- and so is
    >the rethink, methinks.


    Without giving too much away, my company is involved in providing support to
    universities, colleges and private organisations in the development and
    application of competency based training and assessment systems and
    processes. We have a number of professional level courses that we run to
    illustrate the potential application of these systems and demonstrate the
    success that others can have when following them. That is the advertisement.
    Like most organisations we had been concerned about the fact that we needed
    a minimum number of students before running face to face programs - if only
    to make it financially viable. After so many years we thought this was
    something that we would just have to put up with. That was until last
    Wednesday when I was introduced to a concept that allows us to run courses
    of any length and all it needs is one student (or hundreds). That wasn't an
    advertisement, it was an explanation of how something just fell into our lap
    that was impossible to forecast as little as three days before when we had
    our latest meeting.

    Sure, it will cost time and money but our flexibility in planning processes
    allows us to do this - costs and time saved in one area are rechannelled to
    this new area, something we probably couldn't have done if all our capital
    was caught up trying to overcome the Asian currency crisis and fight off the
    bigger institutions.

    In my experience, success can't be planned. As we used to say in the Army
    (and I've recently posted this so apologies) the best plan goes straight out
    the window as soon as the first shot is fired. The same with business
    planning, the best plan goes straight out the window once the realities of
    working the plan in a frustratingly fluid environment sink in

    Merry Xmas and all the best for the New Year

    Phil Rutherford