Strategic thinking - Is Business Model Important to Organizations?

In most companies the practice before a new year is developing a business plan. In developing the business plan, the organizations would collect all the key management and even to an extent certain additional selected employees to undergo brain storming session. This practice has been a tradition to certain organizations. However a question arises after a certain period of time, “why are we not achieving our goals?” “Why are we still behind target?” and few more other questions.

The questions are:

1. Is it right for them to develop business plan or do they need a business model before developing the business plan?

I have yet to ask another question. “Is the methodology of doing brain storming session is right?” Do they use the Delphi Method or Nominal Method in ensuring there will be getting the expected answer without bias?

However from my research, experience, advisory work, I realize that, it has to start with developing business model. After developing business mode, the organization shall proceed with the development of business plan.

Another critical factor is to look at; how ‘thick’ is the business plan. Actually the thicker the business plan the more useless it will be. It will be a kind of book and kept in a hidden area or open area to collect dust.

Again from my years of research, it is found that, the system of using 4 (four) pieces of A-4 paper would be the most practical and applicable as a business plan, while business model is only 1 piece of A4. Combining all this would only be 5 pieces of A4 paper or 3 pieces of A4 and 1 piece of A3 paper. This would include the monitoring and control system. I have named this system as BMBP5.

These is the most simplified, effective and applicable system to be used proven good record used and applied in organizations.

Assignment Questions for Strategic Students:

1. Select a small business or enterprise that you came across. Analyse what are their current problems and propose for solution and further development of the business.

or

2. Taking your current department that you are working in. Analyse what are the current problems and propose solutions.

Note:

a. Your writting must be in the perspective of Strategic

b. 2500 words to 3000 words

c. Font: Arial or Helvitica. Size 12

d. Spacing of 1.5

e. STRICTLY NO CUT AND PASTE WORK - Plagarism : Resylting with the assignment shall not me marked.

f. Insert all relevant charts, figures, table and even pictures.