Business Planning Flashcards
What is business planning?
Understanding how business planning activities contribute to the achievement of corporate objectives
What are your firms short, medium and long term strategies?
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What is your organisation’s objectives?
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Talk to me about business planning
”- Analysis of oppurtunities and risks. A SWOT analysis can be utilised
- Use fee forecast to help achieve desired minimum profit margin
- Budgets, cash flows, financial/audit controls
- Different forms of business vehicles such as sole partnership, LLP, PLC
- How can a business monitor it’s performance, KPIs”
What issues would a company have with high staff turnover?
- Increased recruitment costs
- Increased training costs
- Inconsistent production/performance
- Poor staff morale
- Lower customer satisfaction/reputational damage
- Loss of customers / repeat business
- Higher operating expenditure
- Reduced profitability
Give some examples of fee earnings vs non fee earning staff at your company
Fee earnings examples would include:
- Project managers
Commercial Real Estate Surveyors
Building Surveyors
Valuers
Non fee earning examples include:
- Administration staff
- Business development Development Managers
What is an investment appraisal?
An investment appraisal is used to determine whether a business or project would generate the required levels of return and be considered financially viable
- Rate of return
- Payback period
- Net present value
What components would you identify within a business plan?
- Executive summary
- Marketing Strategy
- Vision & Mission statements
- Products and services
- Management Team & Organisational Structure
- Financial Forecasts
- Responsibilities & Targets
- SWOT Analysis
- PEST Analysis
How can a business plan help a company remain profitable?
- Assist with securing new funding and investment
- To grow existing client base and projects
- Highlight key business objectives
- Assist with responding to change
- Grow market share
- Supports accurate forecasting and budgeting
- Allow resource planning
What is a business model?
- A business model is the strategy implemented by an organisation to generate revenue and make a profit from its operations
- The business model may detail the following components:
Products or services being offered
Business niche or sector being operated in
Target clients/customers
What is meant by a business strategy?
- A business strategy outlines the actions and decisions a company plans to take to reach its business goals and objectives
- The strategy will guide top level executives as well as departments and what activities should and should not be undertaken in order to execute the businesses goals and objectives
What is your firms business plan?
How do you contribute to your company’s goals?
If your client asked you to lower fees because of limited funding what would you do?
Pay price for requested service or reduce scope of work
