family and business management: how do you get started annie’s project january 9, 2007 coweta...
TRANSCRIPT
Family and Business Management: How Do you Get StartedAnnie’s Project
January 9, 2007
Coweta Oklahoma
Mission Statement
Once the goals have been determined all decision makers need to sit down and mesh them into one statement.
This statement should not be long or address any one goal specifically
It should tell anyone reading it why you are involved in this business.
Mission Statement
Should reflect your valuesDescribe what you want the business to beProvide the basis for long-run plans
Questions to Ask Yourself
Why are you in business? What products will you produce?Where will you sell the product?Do you have the ability to produce that product?How much profit do you expect to receive?How much debt will you incur?How long before you expect to be debt free?Who is involved?
Business Plan
Goals and Mission Statement Key Planning Assumptions Operations, organization and Management Financial Plan Marketing Plan
Goal Setting
What activities do you do that are completely spontaneous?Family vacation?Home improvements?Careers?Having Children?
Goal Setting
A goal is a statement of what an individual or family wants to achieve.
Through goals we identify our aspirations for the future.
Goals change with circumstances and time and must be reevaluated.
Goal Setting Steps
Assess where you have been in the past.Assess your resources and planning
restrictions.Develop a general management plan. Identify and establish specific goals.Prioritize goals. Implement plans to achieve goals.Measure progress and reassess goals.
SMART Goals
S Specific
M Measurable
A Action-oriented
R Reasonable
T Timely
Prioritizing Goals
Which goals are most important for family well-being? Which short-term goals, if achieved will help achieve
long-term goals? Which short-term goals are in conflict with long-term
goals? Which short-term goals do not support any long-term
goals? Which goals are so important that they should be
achieved even if it prevents reaching other goals?
Implementing Goals
Managers must map out goals.Make sure all involved know the goals.Anticipate problems and plan to overcome
them.Do not ignore conflicts or restrictions.
Goal Setting Pitfalls
Making goals too loftyTrying to do too many things at once.Overemphasizing quantitative aspects.Vulnerability to unexpected events.Failing to use all information.Failing to include all decision makers. Ignoring good plans.
Steps to Problem Solving
Define the Problem:What is the problem?What is or should be/could be happening?What needs to be determined?What do you want to decide?Why?
Steps to Problem Solving
Examine the Problem Situation:What do you what to achieve with the decision?What do you want to preserve with the decision?What do you what to avoid with the decision?
Steps to Problem Solving
Consider Alternatives:How can you meet the criteria you have set?What are the possible courses of action?
Identify the Best AlternativeDoes your list of criteria suggest that one
alternative is best?
Steps to Problem Solving
Implementing the Decision:What could go wrong with the solution chosen?How can significant weaknesses be overcome?
Evaluating the Consequences
Goals and Mission Statement
Helps identify why the business will exist and what it will achieve.
Goals need to be SMART Identify possible problems and plan to
overcome them. Include all decision-makers in the process
Key Planning Assumptions
List all family and business resourcesLandLaborCapitalManagement
Identify restrictions and constraints.Total debt you can take onZoning restrictions
Operations, Organization and Management Important to determine what roles each one
involved will playList each decision-makers duties and
responsibilities Identify the most appropriate legal
arrangementSole proprietorshipPartnershipCorporationLLC
Financial Plan
Initial Financial RequirementsHistorical and Projected Financial StatementsRisk AssessmentBreakeven Analysis
Marketing Plan
A written marketing plan helps producers consider:Production costsAvailable alternativesRisk managementMarket outlook
Helps evaluate marketing alternatives.
What is a Problem?
What are problems that you face?
Problems are issues that cause Family or Business goals not to be met.
What is Success?
How would you define success?
Success is when the most important family or business goals are being met.