THE ECONOMIC GROWTH PLAN: THE ALTERNATIVE TO THE BUSINESS PLAN

Article by Herb Rubenstein, President, Sustainable Business Group

Introduction

In the current state of the economy, instead of extensive business plans, organizations are now focusing on creating survival plans.  This article outlines what should be in your organization’s economic growth plan (EGP). 

Contents of an Economic Growth Plan (EGP)

1. Description of the Organization

Your EGP will begin with a description of the organization. This can be presented in three simple paragraphs. The first should be a financial, organizational, and product & service history. The second part is a description of current management and operations of the organization. The third part is the projection of the future of the organization and its capacity. 

2. Opportunities

This section describes the market 

(a) financial, organizational and product/service history
(b) description of current management and operations of the organization
(c) description of the future of the organization and its capacity.

3. Description of the market, product, service opportunity – four paragraphs:
(a) product/service need/utility
(b) competition
(c) description of the customers and why they choose (will choose) the organization
(d) marketing strategy.

4. The economics of the organization – seven paragraphs:

(a) current economic picture
(b) start up/expansion/initial high-growth costs
(c) ongoing operating costs in high-growth state
(d) prices for various products/services
(e) numbers of product or service units to be sold/distributed in a timeframe
(f) financing needs
(g) future economic picture.

5. General description of high-growth strategies – one paragraph for each growth strategy (select fewer than 10).

6. Ownership and compensation – six paragraphs:

(a) ownership allocation plan – present and future
(b) compensation, benefits and bonus plan – present and future.

Assuming a large number of sustainability strategies, 10, for example, this plan is only 33 paragraphs long and would include fewer than 5 charts.

That means in 10 pages your organization can have an economic growth plan (EGP) to guide it into the future. The plan will assist your organization in capturing both its focus and its breadth of opportunities and may help you raise money from investors.

About the Author

Herb Rubenstein is the Executive Director of the nonprofit organization, THE LEEEGH, which stands for leadership in education, energy, environment, governance and health.  He is also the President of the Sustainable Business Group, a consulting firm to businesses, He is an adjunct professor of strategic management at the Global Energy Management Program of the University of Colorado Denver.

He is the lead author of Breakthrough, Inc.: High Growth Strategies for Entrepreneurial Organizations, lead author of Leadership Development for Educators, and the author of the American Bar Association book, Leadership for Lawyers.  He has authored over 100 articles and over 80 videos on business strategy, entrepreneurship, leadership, and improving organizations.

He can be reached at herb@sbizgroup.com or 303 910-7961. The website for the Sustainable Business Group is www.sbizgroup.com and for THE LEEEGH please see www.theleeegh.org. You can learn more about Mr. Rubenstein’s books at www.leadershipforattorneys.org, www.leadershipforeducators.org and view his videos at www.youtube.com/theleeegh and www.vimeo.com.

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