As
Humpty-Dumpty said "When
I use a word, it means exactly what I mean it to mean, no more and
no less."
Every
strategic planning process uses terms a bit differently. For Total
Quality Planning™ we have streamlined and unified the many
planning concepts. (This grew from an observation that a significant
amount of time was being wasted arguing over the difference between
related terms. The subtle differences might add value for a Fortune
500 company but for those of us not quite there yet, it proved
wasteful and worse, confusing. It's as if you asked what color
something was - expecting red or orange and the facilitator started
talking about pink, rose, blush and tangerine, kumquat, nectarine.
These
definitions align with the Progress
Pyramid™, the structure that unifies the disparate elements of
strategic planning.
Action
Plan
Action Plan: An organization of personal commitments that serve
as a vehicle for causing a strategic goal to become a reality. It is
comprised of:
- A Strategic
Goal statement – a pithy one-liner that captures the
spirit of the required change in status quo.
- A Champion
and Co-Champions –folks who are accountable for
shepherding the goal to completion.
- A list of Key
Result Measures – the complete, specific set of outcomes
that define completion.
- A set of
90 day Milestones – specific actions to be finished in
the next days and weeks that create results.
Champion
Champion: A
named individual, the planning team’s best mix of passion and
competence, for shepherding a Strategic Goal over the next
12-18 months. They decide how the goal gets done while
remaining accountable for what gets done through delivery of
the team-set key result measures and operating through plans
that are written, understood, reviewed, and approved. An individual
is the champion of one and only one goal. They and their
Co-champions are the forward wedge to personally guarantee that
their goal is moving forward and will be completed as rapidly and
completely as possible. They plow the road garnering support and
resources. They know the current state of progress on their goal at
all times. They build and maintain corporate awareness and support.
They represent the consensus and commitment of the entire planning
team.
Co-champion(s)
Co-champion(s): One or more named individuals who would be the
Champion of a strategic goal if the planning team didn’t have
someone with a stronger match of passion and competence.
Market
Market: A collection of prospects with common needs that can be
met by products your product group can develop, your sales team can
deliver and your customer services group can support. Markets can be
defined by job title, application, industry, geography, etc.
Product
Product: The manifestation of the value you create for your
customer. The "thing" they pay you for. Sometimes it is a
physical thing like cable, screws, or disks and sometimes it is an
intangible things such as advice.
Mission
Mission: Your chosen approach over the next 3-5 years to fulfill
your vision. It is an affirmation of:
- Who we want to be
- What we want to do
- Who we want to do it for, and
- Why we do it.
Vision
Vision: The embodiment of your organization’s internal
gyroscope consisting of its core purpose and values and long-term
big hairy audacious goal.
End
User
End User: The individual(s) who ultimately use your product(s).
If your product does not meet the needs of the ultimate user there
will be no motivation on the part of your customer to buy them. (For
example, end users of Dove soap ask Safeway, your potential
customer, to carry the product.)
Customer
Customer: Someone who buys from you more than once over the
recent past – typically over the last 1-2 years. The customer can
be recognized as the one with the open wallet. (There may be many
end users of your service that your products must attract and
service but if you don’t also meet the needs of the customer you
will never make a sale!)
Sale
Sale: A one time event when money changes hands. The 1st
sale typically costs more that the profit it generates. Typically
you can only make a profit once there are multiple sales from the
same company – i.e. sales don’t build a business, customers
build a business.