Copyright © 2003 Center for Farm Financial Management, University of Minnesota Strategic Planning A lot has been said about knowing where you are going. People who can articulate their goals and mission tend to be more successful in life and business.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Strategic Planning How do you know where you want to go in life, your mission, your goals? How do you write your mission and goals?
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Strategic Planning The Building a Sustainable Business guide states that imagining your future should be fun. Most people like to plan and dream – but few want to write down their goals.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Vision and Mission A mission and goals describe the dreams and plans you have for your future. What do you dream about, how do you envision your future?
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Vision and Mission The Building a Sustainable Business worksheets can help you put your dreams and values into a mission statement. Let family members or team members describe individual dreams and desires for the future and then compile them.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Goals In addition to dreams, everyone has goals. Sometimes they are almost subconscious, but they drive why you choose to do what you do. Goals are things you want to accomplish, not how you will accomplish them.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Goals Family goals should describe what you want for your family. Business goals should describe what you want from your business.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Developing Your Mission and Goals What activities or processes can help producers discuss and write down family and business goals? Discuss ideas…
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Developing Your Mission and Goals Some suggestions: Work on completing the Guide’s worksheets during a workshop setting. Take the worksheets home to work on. Whatever method you use, each family or team member should develop their mission and goals independently and then discuss and compile them into an agreed upon mission and goals.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Goals Sample goals may help your thinking process. A set of sample goals is included in your notebook.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Additional Questions Family goals: What do I want to accomplish during my life? What goals do we have for our children? What do we want to do for others? What would I like to do before I’m too old to do it? Do we have quality of life goals we want to meet?
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Additional Questions Business goals: How much money do we want to generate for our family living? Do we want to make a living focusing on production, managing people, or by developing people and marketing skills?
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Additional Questions Business goals: What kind of work environment do you want to work in regarding safety, team, sole operator? What do I really enjoy doing? What jobs or tasks don’t I enjoy?
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Strategic Planning Determine the strategy that helps accomplish your mission and goals.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Two Strategies for Agricultural Producers Commodity Creative Alternative StrategyStrategy_________ Expansion orientedNiche oriented Low-cost producerUnique product
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Characteristics of Two Strategies Commodity Creative Alternative Look at Look for alternative expanding enterprises that herd or acresgenerate revenue
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Characteristics of Two Strategies Commodity Creative Alternative Production emphasisEnd-user focus Manufacturing mentalityMarketing mentality Low-cost producerValue-added products Large scale operationSmaller operation Price riskRelationship risk
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Strategic Planning The strategic plan should demonstrate that you understand the future outlook for your particular industry. This is important for both an existing business or starting a new enterprise.
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Strategic Planning The strategic plan should assess your competitive position within your industry, and describe how you are positioned to be successful. What strengths will help you succeed in this industry?
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Resources Guide worksheets Mission – worksheet 3.2 Goals – worksheet 3.4 & 3.5
Copyright © 2003 Center for Farm Financial Management, University of Minnesota Resources FINPACK Business Plan Software Mission Goals Industry analysis/situation Competitive position Business strategy Implementation plan