10 Benefits of Business Planning

Maloney and Boulay (1998) indicated that there are various reasons why people develop a plan. They suggested that some of the ten reasons or benefits are as follows:

1. Creates a common focus and a sense of motivation and ownership.
2. Establishes a common language and commitment.
3. Clearly establishes operating challenges and obstacles.
4. Defines specific operating and staff development initiatives essential for growth.
5. Focuses everyone on the importance of serving both the internal and external customer.
6. Establishes financial operating goals.
7. Defines operating priorities.
8. Benchmarks your marketing and sales strategies against your competition.
9. Provides for the bases of a stronger relationship with your lenders.
10. It creates a definition for success and longevity.