“So, Igor, I see you’ve really ramped up your marketing. What’s going on?”
The King; Igor, the contractor for the Castle and owner of Moat Designs; and Slide Rule, the head architect and owner of Building Blocks, were all sitting on top the highest point in the Castle looking at the incredible view of the river and farm fields all owned by the King. They were all excitedly watching for the arrival of another load of granite blocks from the quarry for the Castle’s newest addition.
“We want more!” said Igor out of the blue. The King turned toward Igor and gave him a strange look. “You want more what?”
“More. We want more. More is better.”
The King was a bit lost. “What do you mean?”
“I’m talking about my business. I want more work.”
“If you want more, then are you doing those things we’ve been talking about in this column?”
“Yes. I have been implementing and it’s working. I wish all businesses in the construction industry understood the value of what I do to grow my company and increase profits.”
“Can you expound on your wisdom for your friend Slide and tell him your philosophy for growth?”
“Well, if you have less, then that is bad. We want more.”
“But wanting more doesn’t get you there,” said the King.
“True. I just know I want more, and that works for me.”
Slide listened to his friend Igor. “I think that’s one of the smartest things you’ve ever said, Igor. But I need to ask, does it work in a slow or recovering economy?”
Igor started to get excited. “It works even better when companies around you are having problems.” The King got up and started to pace. “You’re so right Igor. How about if I outline what you’ve been doing so Slide really understands the significance of your accomplishments?”
“I would appreciate that very much,” replied Igor.
So, the King in all his glory took center stage in front of his two students. Another Master Class was in session. “First, you must have a plan. Remember, it was Thomas A. Edison who said, ‘Vision without execution is hallucination.'”
Slide’s hand immediately shot up. “Your Majesty, who’s he?”
“Don’t worry. A bright light will come on someday and you’ll know. Now, there are basically three things that you’ve been doing Igor, even if you don’t know it, which have made you successful. First, having a well thought out planning process is critical.
“Architects, contractors and product suppliers can gain a significant strategic advantage with planning that will impact their bottom line.
“The most important part of planning is never discussed by most consultants, and that is the difference between strategic planning, business planning and marketing planning.
“A strategic plan provides direction for a company and it’s employees for three to five years based upon developing a company strategy of where your company wants to be in terms of positioning in your market place.
“It’s a reflection of a corporate vision coupled with a strategic analysis of your market, your strengths, your key factors for success, and how you deliver your services.
“It might be driven by being positioned as an expert in a specific market niche or a service that you provide. The strategic plan is developed through conversations, as the management team is lead through a strategic process by an experienced construction business planning facilitator.
The plan includes pro-forma financial statements projected from three-to-five years out, and an implementation plan of the activities that need to be accomplished.
“The business plan says, based upon the strategic plan, this is what we’re all going to do this year to work toward accomplishing the strategic plan.
“The implementation of the business plan is much more detailed, and can be used as a basis for performance reviews-meaning Management by Objectives (MBOs).
A business plan, used properly is a management tool-it’s meant to be used throughout the year as a guide for managing the business.
“A marketing plan is what you’re going to do this year to support the business plan, and in turn, support the long-range objectives of the strategic plan. You can’t stop marketing because there’s not a business plan or a strategic plan in place, but a well thought out strategic plan will change in subtle ways the marketing of your company.”
The King finished speaking and looked up at his faithful audience of two. “Well, what do you think?”
Igor responded: “Yes, you’re right, that’s exactly what I do. I have a strategic, business and marketing plan, and we use them as our primary management tool. That’s how we came up with our firm’s internal mission statement.”
“What is that?” asked Slide.
“We want more!”
Note: The inspiration for this column came from AT&T’s “It’s Not Complicated” ad campaign in its entertaining TV commercial “We Want More.”
Ronald A. McKenzie is president of COMPASS Consultants Corp., a strategic planning and marketing company specializing in developing business growth. He is a published author and has made nationwide presentations on the subject of strategic planning and marketing. He re sides in Las Vegas
and can be reached at ramckenzie.compass@gmail.
com and www.compassconsultantscorp.com.