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This article discusses the impact of the planning process on the sustainability of a small business in the market.
Creating a business, the entrepreneur in most cases expects to make a profit in the long term. A prerequisite for this is the sustainability of the enterprise. It is believed that the sustainability of an enterprise depends on the business planning process.For more information, you want to know about Less financing, you can check at coinpress.
Consider the very concept of sustainability, factors influencing it, methods of managing sustainability and determine whether the concept of enterprise planning plays any role in this.
There is a well-known concept, which is an analysis of the economic development of the organization and includes a balanced scorecard, which in turn consists of four main elements:
An element of staff training and development;
The inner element.
Despite the fact that this system of indicators was developed as a means of distributing information about an enterprise between all its structures, it has become indispensable and has begun to be widely used in assessing the economic sustainability of enterprises.
The objective of the balanced scorecard system is to translate the concepts and principles of economic sustainability of the organization into understandable indicators and ensure information accessibility.
The balanced scorecard includes four components.
The financial component is aimed at enhancing profitability and maintaining profitability; capital return is estimated.
The client component is aimed at consumers and the market segment. We consider such indicators as the needs and requirements of customers, the retention of demand and the conquest of new customers, and the share of the target segment.
Component development staff includes improving the quality of work. Since the basis of any development and improvement, innovation is people, enterprises should invest in improving personnel, systems and technologies.
A component of internal processes is the improvement of existing production processes and the creation of new ones to achieve long term goals through innovation, the development of new products, the supply of resources and components and marketing.
The use of a balanced scorecard system provides a perspective for the development of the enterprise as a whole, allows you to develop a sustainable development strategy and determine the direction of the enterprise in the future, increase profitability, product quality, and the overall functioning of the enterprise.
Thus, it is worth noting again that financial sustainability is just part of the overall economic sustainability of an enterprise, which is also affected by production, organizational, managerial, marketing, social, technological and environmental systems.
Considering the marketing system of the enterprise, it is worth noting that due to lack of financial resources, most companies partially or completely refuse advertising. Enterprises reduce advertising costs by reducing the volume of its broadcast in the media or by searching for cheaper and more affordable advertising options.
As for the technological and environmental systems, enterprises are freezing modernization and technical re-equipment projects aimed at improving the quality characteristics of products and reducing environmental pollution, since their implementation requires significant investment, which also requires a long payback period.
With regard to the social system, there is a practice of actions aimed at optimizing the composition and improving the quality of labor resources. For this purpose, lines, production shops not loaded with orders are stopped at enterprises, and personnel are sent on unpaid leave or reduced, which is associated with the improvement of production, financial, social, marketing and other systems in order to free up human, financial, temporary and production resources identifying and preventing risks, as well as conducting an enhanced struggle with competitors.
In such situations, it is proposed to apply such a method of enterprise sustainability management as a mechanism for sustainable development.
The mechanism of sustainable development is a tool of the organizational and management system, which allows you to purposefully manage and control the development of all functional systems of the enterprise, thereby ensuring its sustainability. It should be noted that development can also be negative, which is the process of degradation or the transition from a higher state to a lower one. Development may consist in the concentration of funds and efforts in the production of a lower grade product, which is a transition to a less technological process. In this regard, there are ascending (progress) and descending (regression) lines of development.
The development and implementation of a sustainable development mechanism at the enterprise, which operates on the basis of a constant search and application of innovations, along with a continuous analysis of possible reserves, is achieved through the consistent implementation of the following steps:
The purpose of the first stage is to create a structure that will implement the mechanism of sustainable development at the enterprise.
At the second stage, the search for innovations and possible reserves of production, financial, organizational, economic, marketing, social, technological and other types of activities are determined, after which the search itself is carried out.
The third stage is to develop proposals for improving the activities of the enterprise.
At the fourth stage, a plan of organizational and technical measures is developed, which involves the step-by-step introduction of innovations or the use of reserves, or their release through optimization of management and production processes.
The fifth, final stage is carried out in order to calculate the actual effect obtained from the implementation of the proposals identified in the third stage. At the same time, if necessary, adjustments can be made to the procedure for analyzing innovations and reserves selected for implementation (stage 3) and the planning process for the implementation of proposals (stage 4) in order to constantly improve the sustainable development mechanism itself.
In addition, it should be noted that in the context of the global financial crisis and the instability of the national economy, when creating and operating a sustainable development mechanism, efforts should be concentrated on the search and mobilization of internal reserves available at the enterprise, which, as a rule, does not require capital investments necessary for implementation innovation.
Creating a sustainable development mechanism is able to solve the problem of ensuring the sustainability of the enterprise due to the quick, and most importantly, adequate adaptation to changes in the external and internal environment, which will lead to an increase in the level of competitiveness and will ensure the improvement of the enterprise’s work both in the short and long term.
The concept of a balanced scorecard, which includes such tasks as increasing profitability, increasing demand and attracting new customers, developing staff and introducing innovations, of course, cannot be implemented apart from the planning process in these areas of activity, because all tasks imply a change in state future, focus on improvement over time.
The development and implementation of a sustainable development mechanism that considers all the enterprise systems on which its sustainability depends is itself a plan that consists of 5 stages.
It is worth noting that planning in the context of ensuring the sustainability of the enterprise plays a large role not only in the process of existing companies, but also in the process of their creation and entry into the market. Otherwise, the creation of a business without planning for its sustainability and therefore without planning activities in areas that are crucial for the sustainable development of the enterprise, can entail huge losses.
Thus, planning is a prerequisite for the sustainability of a small enterprise.
It is almost time again. Blue Monday. So-called the most depressing day of the year. People would feel sad on this day for all sorts of reasons. We have lost sight of the good intentions, the salary is still waiting for us, the merry Christmas is the daily grind back ... Go on and on. How often do we hear: " January takes so long ".
Once. It is a long, gray and cold month. We are all secretly ready for vacation. A sunny vacation. Voyage Nomad have listed three sunny winter destinations that will certainly make you warmer!
It is about 9 hours flying to sunny Curacao, where you can enjoy an average temperature of 28.5 ° C for 8 hours a day! Cooling off in the sea is difficult, with a sea water temperature of 27 ° C. Want to sunbathe? Then go for the most beautiful beaches to the Kleine Knip and Grote Knip. On both beaches you really get a Bounty feeling! White sand, an azure blue sea and background music from the rippling waves ... Do you like quiet beaches? Then go to Kleine Knip. There are few to no facilities here and it is quieter.
Of course a small road trip in Curacao cannot be missed. Because yes, you also have the best holiday on the small island with a rental car at your doorstep! A nice route is that from Willemstad to Westpunt. Along the way you will not only come across beautiful beaches, but also a number of special nature parks. And near Sint Willibrordus you can spot flamingos. How fun!
Only 4.5 hours of flying and you get off in the warm Gran Canaria. The average temperature during the winter months is 21.3 ° C. Want to swim? With a little luck, that is still possible.
Are you on vacation with your loved one? Then a visit to Playa de Amadores, the beach of loved ones, should not be missed. The yellow gold beach is on a wide bay with crystal clear water. Finish the afternoon with a nice glass of wine or a tasty cocktail? Behind the beach you will find various restaurants and bars. A nice market is held twice a week near the beach in Puerto de Mogan. Also nice to spend an afternoon strolling.
It takes about 13 hours to fly to Miami. Quite a long piece, but afterwards you can fully enjoy the winter sun! During the day it is a nice 22 ° C in Florida, the sea water is around 23 degrees and you can enjoy no less than 7 hours of sunshine every day.
Florida certainly belongs in this list of winter sun destinations. It might not be a destination where you can only sunbathe on the beach, but you can optimally enjoy a pleasant temperature during road tripping. So you can visit Miami, then to Orlando and of course not to forget: The Florida Keys. And yes, you can of course enjoy sunbathing, boat trips or snorkeling.