In an ideal world, your key distributors would develop annual business plans for your product line and work closely with your distributor account managers to get the plans implemented. In reality, many manufacturers skip this planning effort altogether. Those that require distributor plans often struggle–either to convince distributors to create high-quality plans or to assure that the plans are followed.

To understand a typical distributor planning process, Smart Business spoke with Bob Segal, a Principal at Frank Lynn & Associates.

Why should a manufacturer require its distributors to create written plans?

The success of many manufacturers hinges on the actions of tens or even hundreds of independent, mostly small, distributors. However, each distributor has different customer targets, different product mixes, and different sales and technical skills. Many lack strategic planning skills and marketing departments. As independent businesses, they’re free to do what they want.

A manufacturer can hope for the best or use distributor plans to gain greater control over its distribution destiny.

Is it realistic to expect or require plans from each distributor?

No. Most manufacturers don’t have the capacity to handle hundreds of individual plans. Furthermore, most manufacturers experience the 80:20 rule, where 80 percent of their revenue comes from 20 percent of their channel partners. At a minimum, suppliers should require plans from key partners.

Not all manufacturers have the clout to demand distributors create a plan. A small company selling through Wal-Mart might face an uphill battle to get a detailed, written plan. Still, vendors should “think big” and not retreat unless facing a true negotiating mismatch. Even in those cases, scale back the scope of the planning request instead of giving up altogether.

What should be included in a distributor’s plan?
Obviously, these plans should have highly customized content. However, the typical items a manufacturer should expect, or even require, in a distributor plan might include:

• Business background – a short strategy statement, review of market conditions, a competitive summary and a list of the distributor’s key financial, sales and technical objectives
• Product/services summary – a list of (existing/future) services the distributor provides and complementary product lines carried
• Customer mix – sales by market segment; a list of key/major accounts
• Marketing plan – a listing of specific marketing activities including start and end dates, people assigned and resources required (of the distributor and of your company), covering trade shows, seminars, mailings, Web site, publications, advertising, etc.
• Training/personnel plan – a schedule of which distributor personnel will attend what training sessions (yours or third party) over the next year; hiring plans that will affect your product line
• Sales plan – major/key account activities, joint sales expectations, telemarketing plans
• Logistics plan – warehouse/technology investments
• Financial plan – agreement on sales targets, forecasting frequency, etc.

How big do these plans get?

First, it’s often helpful for the manufacturer to create a template. It’s a lot easier for a distributor to fill in a formatted form than to create a plan from scratch. Furthermore, this assures the manufacturer it will get the type of information it seeks (in a consistent format).

For a major supplier, distributors often want to dedicate significant time to create a comprehensive plan. Sometimes, the document becomes the overall strategic plan for the distributor. Regardless, most plans consist of two to three pages of text with five or six pages of tables or forms. Distributors often attach appendices with sales spreadsheets, forecasts, trade show listings, etc.

What is the role of the manufacturer’s channel sales team in the planning process?

The channel managers should establish an annual planning calendar with annual account plans completed in December; formal, two-way reviews each quarter and informal updates monthly.

Provided with a template, distributors–not the account managers–should write the business plans. The account managers can add commitments from their company to the plan during the annual planning meeting.

The annual meeting should take place between the account manager and the owner or senior executive from the distributor. The actual meeting, to review last year’s results and revise the plan for next year, will likely require two to four hours. In preparation, the account manager should review, in detail, the distributor’s sales history, local market trends/conditions, the manufacturers’ fulfillment of past commitments, new product plans, etc.

Author: Bob Segal
Article Source: EzineArticles.com
Provided by: Canada duty rates

Small business grants are closer than you think. They can also be the ideal way to fulfill your dreams of becoming a business owner. It is often a hot topic among entrepreneurs with limited funds and access to capital. They are given to those people who want to start their own small business as a means of supporting themselves while at the same time contributing to the US economy. Business grants are also provided by the US government. Remember, Small Business Grants are not loans and that’s why many people refer to them as Free Grant Money!

Business Grant or Business Loan…?

Grant programs don’t require credit checks, collateral, security deposits or co-signers. In some cases recipients are required to submit periodic progress reports to demonstrate that the grant funds are being utilized properly and goals are being achieved as projected in the application. Grants differ from loans in that they are not repayable. We all know what it takes to get a common loan…like auto loans, home loans, cash loans, etc. Why not try a free grant program that writes the grant for you and also addresses every issue you’ll need to cover before submitting it to the proper agency.

Business Grants Do What?

Business grants are one way that women can run successful businesses whether they have a home-based business or a business outside of the home. They are available to start a new or expand an existing business, equipment financing, acquisition of a new or existing business, rent, salaries, office expenses and overhead. Given to women who are small business owners to encourage and promote economic growth as well. Grants are available to anyone over 18 years of age. In fact, the small business grant you need to start or expand your business may be available right in your own home state.

The Purpose of Grants

A grant supports the business idea and turns the dreams of an entrepreneur in to reality. There are many types of grants offered by the government that include individual grants for personal necessities, business grants for starting new business, housing grants, ,education grants for funding education and many more.

Business Grants & Women

Grants are also available for women who want to buy an existing business. They are also available for women who want to attend business school so that they gain the knowledge they need to start their own business. They are also awarded to women who excel in their respective fields. The best part about business grants is that they are free in the sense that you do not have to pay back the money to the funding agency or the government. Women can also get money to encourage advanced online education have a distinct advantage over any business that leaves advanced learning to chance. Businesses that fall into this arena often find they are eligible for small business grants.

There are Other Options…

Also remember that the federal government, through the SBA, does offer a fine array of very attractive loans to start or expand a small business. There are also low interest and no Interest Government loans available for you to take full advantage of. Most small business owners have to look to personal resources and loans to finance their small business. You may have looked into bank loans, asked friends and family for a loan or looked into getting a few credit cards to pay for you to set your business up.

Grants for Women

Women have the largest opportunity of any group to benefit from the generosity of the Government Grant Programs. Women are taking more initiative to work for themselves. Womens small business grants are available in many forms. Women continue to account for the majority of stay at home parents. Women interested in accessing small business grants to start or expand their own businesses should understand certain limitations inherent in small business grant funding. Women have a 75% greater chance of success in business ownership.

Grants for Education

Education is a priority for any government, and for this reason the government. Education grants are available from various sources and are generally funded by the government, although many are established and sponsored by private institutions. They can vary in the amount of the grant as well as the period the grant is made available to the student. Women are also much easier to qualify for and get than education grants. Scholarships are also available for a myriad of situations.

A Little Info about the SBA

SBA does not provide lower interest rates for small businesses. SBA is not related to granting any free government grants, but instead it provides counseling, technical trainings and assistance in areas which are required to run a small business management using its resourceful SBDC or Small Business Development Center at absolutely NO extra Cost to you, its totally FREE. SBA has offices in every state and worked with various non-profit, lending and educational and training organizations nationwide. SBA also runs programs that are intended to help women with training and technical assistance, access to credit and capital, government contracts and such. As far as individuals are concerned, SBA does not offer business grants to any entrepreneur but it does help the minority groups, the women entrepreneurs, economic development of underdeveloped regions, and numerous such activities.

Author: J Pickett
Article Source: EzineArticles.com
Provided by: Humorous photo captions

“I want to write a business plan,” the young woman on the other end of the phone line said. “Do you help people to do that?” She fairly bubbled over with excitement about a retail gift shop she wanted to open. Her vision of her business was clear and detailed. Her eagerness to get started was so engaging that I was delighted she had asked me to work with her. With my guidance the plan flowed easily. She also was able to get funding for her shop.

Between Thanksgiving and New Year’s I always write my own business plan for the following year. Somehow this period has become synonymous with planning for me. What about you? What is the time of year you write your plan? If you are not in business do you have a career or job search plan?

The client I just mentioned not only wrote the plan but she also had a strong commitment to implement the plan just as she had written it. Her mailings and advertising were all detailed in the plan so she was ready to work in her shop from day one with a steady flow of customers coming in. She was able to forecast how many of those customers would ultimately make a purchase too and it proved to be pretty accurate.

As I write these words I know many will feel pangs of guilt either because they don’t write a plan yearly or because once they write the plan they never look at it. If you can hear your inner voice saying “I really should write that plan,” stop yourself. Thinking you should write a plan is taking on someone else’s suggestion as your own.

My client had said “I want to write a business plan.” That is very different. The idea was hers and she was excited about it. She was writing the plan for herself and no one else. Sure she needed funding from a bank but she also wanted to prove to herself that what she wanted to do would work. The plan did that.

When people are asked to make a change in the way they do things, often they are resistant. Unless they see an immediate benefit, they’ll drag their heels. Sometimes they will go so far as to try to prove the idea is a bad one! I’ve seen that happen in corporations trying to get employees to do something a different way.

So how can you make the “should” into a “want”? One way is to get really excited about the business, job, or work experience that you are trying to create. If you are happy where you are, think about what would make it even better for you and/or your customers/clients.

Spending some quiet time thinking about what you want in your life and in your business or job can help you to get clear about your vision. Focusing on that vision and clarifying it will help you to imagine an even better business or job situation. This is not the time to figure out how you will do it. (You can do that when you write your business plan.) This is a time to dream, feel, and envision what you want. Go for Technicolor and 3D!! How does that feel!?

Once you have the exciting picture of what you are trying to create, it will be easier to sit down to write the plan. You don’t have to write a plan that immediately gets you to the vision. It might require several steps. The plan is the vehicle that allows you to think through a logical path.

The real secret to implementation is to focus, focus, focus! Keep recalling your vision and re-reading your plan so that you are clear on your path and you are really engaged in the process. If after a few months the plan isn’t working well, it is time to consider making some changes and tweaking the plan. Quarterly reviews and updating will keep you focused on reaching your goal for the year. The reward of a good plan well executed is a business that is both satisfying and successful.

Take Action:

1. Set aside some time to envision your business or new job. How is it different from the business or job you have today?

2. Once your vision is clear think about the steps you will need to take to get your current state to that which you have envisioned.

3. Write your plan.

Here are some resources for writing your plan:

1. The Small Business Administration (USA) site and has a good explanation of a business plan. (sba.gov)

2. The SCORE website (free business counseling) has templates. (score.org)

3. The Wall Street Journal has a great career site and a business site.

4. The One Page Business Plan is what I’ve been using this for the last 3 years. It is available on Amazon. The plan is easy to review because it is all on one page.

Author: Alvah Parker
Article Source: EzineArticles.com
Provided by: Excise Tax

Small business grants are closer than you think. They can also be the ideal way to fulfill your dreams of becoming a business owner. It is often a hot topic among entrepreneurs with limited funds and access to capital. They are given to those people who want to start their own small business as a means of supporting themselves while at the same time contributing to the US economy. Business grants are also provided by the US government. Remember, Small Business Grants are not loans and that’s why many people refer to them as Free Grant Money!

Business Grant or Business Loan…?

Grant programs don’t require credit checks, collateral, security deposits or co-signers. In some cases recipients are required to submit periodic progress reports to demonstrate that the grant funds are being utilized properly and goals are being achieved as projected in the application. Grants differ from loans in that they are not repayable. We all know what it takes to get a common loan…like auto loans, home loans, cash loans, etc. Why not try a free grant program that writes the grant for you and also addresses every issue you’ll need to cover before submitting it to the proper agency.

Business Grants Do What?

Business grants are one way that women can run successful businesses whether they have a home-based business or a business outside of the home. They are available to start a new or expand an existing business, equipment financing, acquisition of a new or existing business, rent, salaries, office expenses and overhead. Given to women who are small business owners to encourage and promote economic growth as well. Grants are available to anyone over 18 years of age. In fact, the small business grant you need to start or expand your business may be available right in your own home state.

The Purpose of Grants

A grant supports the business idea and turns the dreams of an entrepreneur in to reality. There are many types of grants offered by the government that include individual grants for personal necessities, business grants for starting new business, housing grants, ,education grants for funding education and many more.

Business Grants & Women

Grants are also available for women who want to buy an existing business. They are also available for women who want to attend business school so that they gain the knowledge they need to start their own business. They are also awarded to women who excel in their respective fields. The best part about business grants is that they are free in the sense that you do not have to pay back the money to the funding agency or the government. Women can also get money to encourage advanced online education have a distinct advantage over any business that leaves advanced learning to chance. Businesses that fall into this arena often find they are eligible for small business grants.

There are Other Options…

Also remember that the federal government, through the SBA, does offer a fine array of very attractive loans to start or expand a small business. There are also low interest and no Interest Government loans available for you to take full advantage of. Most small business owners have to look to personal resources and loans to finance their small business. You may have looked into bank loans, asked friends and family for a loan or looked into getting a few credit cards to pay for you to set your business up.

Grants for Women

Women have the largest opportunity of any group to benefit from the generosity of the Government Grant Programs. Women are taking more initiative to work for themselves. Womens small business grants are available in many forms. Women continue to account for the majority of stay at home parents. Women interested in accessing small business grants to start or expand their own businesses should understand certain limitations inherent in small business grant funding. Women have a 75% greater chance of success in business ownership.

Grants for Education

Education is a priority for any government, and for this reason the government. Education grants are available from various sources and are generally funded by the government, although many are established and sponsored by private institutions. They can vary in the amount of the grant as well as the period the grant is made available to the student. Women are also much easier to qualify for and get than education grants. Scholarships are also available for a myriad of situations.

A Little Info about the SBA

SBA does not provide lower interest rates for small businesses. SBA is not related to granting any free government grants, but instead it provides counseling, technical trainings and assistance in areas which are required to run a small business management using its resourceful SBDC or Small Business Development Center at absolutely NO extra Cost to you, its totally FREE. SBA has offices in every state and worked with various non-profit, lending and educational and training organizations nationwide. SBA also runs programs that are intended to help women with training and technical assistance, access to credit and capital, government contracts and such. As far as individuals are concerned, SBA does not offer business grants to any entrepreneur but it does help the minority groups, the women entrepreneurs, economic development of underdeveloped regions, and numerous such activities.

Author: J Pickett
Article Source: EzineArticles.com
Provided by: Creditcard Currency Conversion Fee

You are the CEO of a well-managed credit union and you have
just left a board meeting where you submitted your
resignation. You start another job in 30 days and plan on
relaxing and renewing with your family on the slopes around
Tahoe, catching up on the latest novels, sleeping in and
just hanging out. The board is surprised at the announcement
of your sudden departure and prefers that you stay on and
lead the credit union. However, they are comfortable that
the transition will be smooth because a strategic
initiative, for the past four years, has been to continually
and systematically build an internal talent pool.

Five years ago you and your board agreed to assess the
organizational talent to ensure that it meets with the
aggressive future strategic direction of the organization.
In a nutshell, you started Succession Planning. Your credit
union was in a marketplace that called for innovative
products and services delivered through multiple delivery
channels. If you did not grab the market, it was ripe for
other financial institutions, both traditional and
nontraditional. Some bold moves needed to be taken with your
leadership team. A couple managers moved on to other
organizations; you restructured roles and responsibilities;
and created a mindset aware of the need for excellent
talent. You moved beyond ‘Quality’ to ‘Excellence.’

This article addresses actions of a CEO who is passionate
about people development to ensure that through planned, or
unforeseen changes in personnel in critical positions, the
members of the credit union are served. This is called
Succession Planning. It should happen throughout the entire
organization and at all levels. The starting place is at
the CEO level. Developing competencies for the CEO position
is the first step in a structured and systematic Succession
Planning process.

Succession Planning ensures that the right people are in the
right places at the right times.

There are three aims of Succession Planning:

1. Match the available current talent with the needed
   future talent: An organization gains a competitive
   advantage in the marketplace through the development and use
   of a small number of core competencies that are effective
   across a number of product lines and services. What core
   competencies are required today? What core competencies are
   required to live your strategic plan of the future? Where
   are the gaps? A core competency is deliberately created by
   the executives of your organization. They decide what is
   needed and systematically allocate resources to develop and
   sustain core competencies.

2. Help the organization successfully meet the strategic
   and operational challenges:
   Organizational capabilities and the skills of people are
   combined to form a flexible, agile company that is focused
   on member needs and is adept in responding to them. What
   technical skills and knowledge are required to meet future
   operational challenges integral to the strategic plan?

3. Mitigate risks: Everyday, with the right people, with
   the right skills and knowledge,
   in the right places is another day of mitigating risks on
   behalf of your members. This requires a fluid, dynamic and
   flexible talent pool with a culture that is inspired through
   people development.

Generations of Succession Planning

If you start today, planning for Successors in the right way
with the right people, in two years you will have created a
talent mindset that will be integral to your culture. Start
with your position, the CEO job, and systematically web
Succession Planning throughout the credit union.

First

Start with a Replacement Plan that can be invoked in the
case of your unplanned departure from the credit union.
Provide a step by step checklist for your Chair to aid her
in effective a smooth transition as best possible. (See more
on this is a related article).

Second

Develop a structured Succession Plan for direct reports to
your position. Understand who are the potential successors,
their strengths and weaknesses, how to support their
continual growth and their interest level in being selected
as the next CEO. More discussion on how to make this happen
will follow.

Third

Create a Replacement Plan for direct reports to you. If one
or more of your executive team unexpectedly departs or has a
sudden demise, know where and who to go for to continue to
fulfill daily responsibilities. This may mean requesting
that two or more individuals temporarily accept additional
responsibilities. Document your plan and provide a copy to
Human Resources Executive. Be aware of ‘job block.’ If a
manager is too important in her position, and cannot be
promoted, her direct reports are job blocked. Develop and
train people assuming that everyone will be able to leave
their current job within the next two years. This creates
an attractive pool of talent that is fluid, flexible and
dynamic.

Fourth

Start a Succession Plan for your middle level managers.
Include people development as part of every performance
review for every manager and supervisor.

Fifth

Create Succession Plans for all organizational key or
critical positions. Assess your organization and target
every critical position. A critical position is one that
materially impacts the purpose of your credit union.

Sixth

Update your Succession Plans as part of your strategic
planning process. Do you have the right people in the right
places to live your strategic plan?

Create a Culture that is Attractive to Talent

Your ability to attract, develop and retain talent will be a
major competitive advantage far
into the future. Talent is attracted to talent. All
managers, starting with the CEO, are responsible for
strengthening their talent pool. Shape your organization,
your jobs, even your strategy to appeal to talented people.
Treat recruiting like marketing, not like purchasing. Fuel
development primarily through stretch jobs, coaching and
mentoring and affirm all of your people, but invest
differentially in your A, B and C players.

Open or Closed Process: Treat with Candor or
Secrecy

Should your Succession Plan be opened or closed and what are
the issues related to each scenario. With an open process,
the plan is treated with candor and the work requirements,
competencies and conditions of success are openly
communicated. A closed process is held close to the vest
and there is no input from those impacted by the process.
Potential Successors participate in their own assessment and
development plan in an open environment. They are aware of
their weaknesses and receive appropriate coaching and
mentoring and routinely receive feedback and course
correction. Potential Successors receive stretch
assignments, increased responsibilities and special projects
to enhance their potential selection for the CEO job. In a
closed environment, there is a loyalty issue especially if
an outsider is the unexpected choice. The risk of turnover
is higher because employees perceive that they were
overlooked for development and, consequently, look elsewhere
for where they can add value to another employer.

Coaching the CEO of Today and Tomorrow

A professional needs a coach. An amateur does not.
Consider the possibility of a coach who has been trained to
‘lead from behind’ the leaders of today and tomorrow.
Potential Successors will know themselves better and how to
strategically use their strengths and weaknesses if they
work with a trained coach. It is impossible to lead others
if you cannot lead yourself. Coaches are trained to work
with clients who want to move forward in a different way but
are not sure how or what to do. This is all part of
Succession Planning – growing ourselves so we can be what we
want to be in the future.

Building Blocks

Essential building blocks to creating a robust succession
plan include;

Developing competencies:

• itting substantial time and resources to developing
  competencies in support of the purpose of your credit union.

• Linking and aligning the organization’s core values to
  job competencies. A core competency is a unique bundle of
  technical expertise and know-how that is central to the core
  purpose of your organization; it spans multiple divisions
  and business units.

• Creating significant and definable opportunity to
  outperform competitors in core products and services.

Defining high potentials:

• Differentiating your high and potential high
  performers.

• Investing in the high performers so they meet the
  competency requirements of the future.

Compensating for Excellence:

• Deciding that excellence is your benchmark and creating
  performance strategies accordingly. Competencies in position
  descriptions are behaviorialized so they are observable and
  verifiable.

• Rewarding, through incentives those who constantly raise
  the benchmark for performance.

Getting Started

Like with any strategic plan it is best to know what the
desired outcome is; understand your starting point and
create a plan to link the present with the future. Use
surveys, questionnaires, behavior profiles and other
assessment tools to understand what competencies are
intrinsic to your organization from the viewpoint of several
participants. Understand what talent, potential talent and
hidden talent can be tapped or uncovered. Consider using an
external facilitator to guide the assessment process. They
are trained to ask the right questions and to assess the
systems and processes.

Summary

Succession Planning is having the right people in the right
place at the right time. Start with the end goal. Assess
the current talent and structure roles and responsibilities
so that competency development is emphasized for your
strategic plan of the future. Decide if you want a closed or
open succession planning process and the merits of each. Use
a coach to lead you from behind and to help see
possibilities for creating a talent mindset. Decide if you
want quality or excellence for there is a difference.

Copyright DDJ Myers, Ltd. 2007

Author: Deedee Myers
Article Source: EzineArticles.com
Provided by: Electric Pressure Cooker

Small business grants are closer than you think. They can also be the ideal way to fulfill your dreams of becoming a business owner. It is often a hot topic among entrepreneurs with limited funds and access to capital. They are given to those people who want to start their own small business as a means of supporting themselves while at the same time contributing to the US economy. Business grants are also provided by the US government. Remember, Small Business Grants are not loans and that’s why many people refer to them as Free Grant Money!

Business Grant or Business Loan…?

Grant programs don’t require credit checks, collateral, security deposits or co-signers. In some cases recipients are required to submit periodic progress reports to demonstrate that the grant funds are being utilized properly and goals are being achieved as projected in the application. Grants differ from loans in that they are not repayable. We all know what it takes to get a common loan…like auto loans, home loans, cash loans, etc. Why not try a free grant program that writes the grant for you and also addresses every issue you’ll need to cover before submitting it to the proper agency.

Business Grants Do What?

Business grants are one way that women can run successful businesses whether they have a home-based business or a business outside of the home. They are available to start a new or expand an existing business, equipment financing, acquisition of a new or existing business, rent, salaries, office expenses and overhead. Given to women who are small business owners to encourage and promote economic growth as well. Grants are available to anyone over 18 years of age. In fact, the small business grant you need to start or expand your business may be available right in your own home state.

The Purpose of Grants

A grant supports the business idea and turns the dreams of an entrepreneur in to reality. There are many types of grants offered by the government that include individual grants for personal necessities, business grants for starting new business, housing grants, ,education grants for funding education and many more.

Business Grants & Women

Grants are also available for women who want to buy an existing business. They are also available for women who want to attend business school so that they gain the knowledge they need to start their own business. They are also awarded to women who excel in their respective fields. The best part about business grants is that they are free in the sense that you do not have to pay back the money to the funding agency or the government. Women can also get money to encourage advanced online education have a distinct advantage over any business that leaves advanced learning to chance. Businesses that fall into this arena often find they are eligible for small business grants.

There are Other Options…

Also remember that the federal government, through the SBA, does offer a fine array of very attractive loans to start or expand a small business. There are also low interest and no Interest Government loans available for you to take full advantage of. Most small business owners have to look to personal resources and loans to finance their small business. You may have looked into bank loans, asked friends and family for a loan or looked into getting a few credit cards to pay for you to set your business up.

Grants for Women

Women have the largest opportunity of any group to benefit from the generosity of the Government Grant Programs. Women are taking more initiative to work for themselves. Womens small business grants are available in many forms. Women continue to account for the majority of stay at home parents. Women interested in accessing small business grants to start or expand their own businesses should understand certain limitations inherent in small business grant funding. Women have a 75% greater chance of success in business ownership.

Grants for Education

Education is a priority for any government, and for this reason the government. Education grants are available from various sources and are generally funded by the government, although many are established and sponsored by private institutions. They can vary in the amount of the grant as well as the period the grant is made available to the student. Women are also much easier to qualify for and get than education grants. Scholarships are also available for a myriad of situations.

A Little Info about the SBA

SBA does not provide lower interest rates for small businesses. SBA is not related to granting any free government grants, but instead it provides counseling, technical trainings and assistance in areas which are required to run a small business management using its resourceful SBDC or Small Business Development Center at absolutely NO extra Cost to you, its totally FREE. SBA has offices in every state and worked with various non-profit, lending and educational and training organizations nationwide. SBA also runs programs that are intended to help women with training and technical assistance, access to credit and capital, government contracts and such. As far as individuals are concerned, SBA does not offer business grants to any entrepreneur but it does help the minority groups, the women entrepreneurs, economic development of underdeveloped regions, and numerous such activities.

Author: J Pickett
Article Source: EzineArticles.com
Provided by: Programmable pressure cooker

There is no second ‘First Place.” Once the baton is dropped
in the leadership race . . . your credit union is at risk.
The Purpose of your credit union is to Serve Your Members.
Strategic Succession Planning is a critical step to serving
that Purpose and mitigating unnecessary risk. If for any
reason your CEO departs and you have not identified or
groomed a “step in” or “drop in” candidate, your members are
not being served. You have not adequately mitigated risk.
This is not a gray area but very black and white.

There are many reasons why a CEO may no longer be available
for work. Regardless of the reason; the board has a
responsibility to have potential successors ready to serve.
A strategic succession plan covers all the bases for CEO
departure for any reason:

• Incapacitating illness
• Sudden demise
• Surprise departure
• Under performing
• Normal retirement
• Organization restructure

Succession Planning is a process to ensure that the right
people are in the right places at the right time. It is not
a ‘Drive By’ event that leaves leadership to chance and
risks the purpose of the credit union. The board of
directors is responsible for hiring the CEO and,
consequently, that future potential successors are
identified and available when needed. The CEO is
responsible for the development of potential successors.
Ensuring proper succession to the CEO desk is a
responsibility with an outcome that materially impacts the
members, employees, community and the future of the credit
union. It should be taken seriously as it is could be the
most important decision the board will make. This article
describes a systematic process for the board to ensure that
the right people are ready at the right time so they can be
in the right place.

One Page Interim Plan- A Warm Up

Replacement Planning is different than Succession Planning.
Replacement Planning is what most organizations do in a
reactive state. It is mitigating, reducing the negative
outcomes of catastrophic effects from the unplanned loses of
key personnel.

Without a replacement (interim) plan, your credit union
loses, overnight, the ability to effectively compete in its
marketplace. Think of it as a race. It is impossible to
cross the finish line, at a reasonable pace, without
training and without viable race participants. It’s like
having a party and you forgot to send out the invitations.

A good place to start is to develop an Interim Replacement
Plan. If the board does not have a Succession Plan they need
to develop an interim plan that addresses who will step into
the role of the CEO in the case of a sudden demise, an
unexpected departure or an incapacitating illness. This is
an interim step that would help allay issues that might
arise from an unplanned catastrophic event. Once the Interim
Succession Plan is completed, the board will need to start
addressing a structured approach to ensure that the CEO
position has worthy successors.

Here are guidelines for what information should be included
in an Interim Plan:

1. The first step is to communicate the information about
   change in status of the CEO. Be sure to include contact
   information of internal and external constituents who need
   to know and react accordingly to the status change.

2. Next, create a list of potential candidates selected from
   current employees, external consultants, or in the rare
   case, an existing or retired board member if they possess
   the required expertise. Summarize your current
   understanding of the strengths and weaknesses of the
   potential interim successors. Create an understanding of
   how to provide the selected successor with required support
   to be successful in the interim.

3. Include a list of search consultants who should be called
   upon to provide an effective search. Ideally, these
   consultants should be interviewed by the board prior to the
   need for their service. The board should be familiar with
   how the search consultant works their process for
   identifying and recruiting top talent, the extent of their
   network and a fee structure. Decide if you want to hire a
   search firm that exclusively handles the credit union market
   or if you are open to a search firm that specializes in
   financial organizations. Do the ground work in advance so,
   with a telephone call, your search consultant is ready to
   provide a service without delay.

The Interim Plan is brief and, in most cases, a single page.

Again, this plan is temporarily suited for organizations
that do not have a Strategic Succession Plan and are in the
process of developing one in a systematic process. It does
not replace the necessary robust and strategic succession
plan that mitigates potential risks in leadership gaps.

Board Checklist

Creating an effective Strategic Succession Plan is not a one
time event. It requires effort and contribution from the
entire board and the necessity to ask the right questions
and the tough questions. This is serious work with an
outcome that helps move the credit union forward in many
ways not previously explored or ventured.

Here is a checklist for the Board to use in their commitment
to ensuring that the right people are in the right places at
the right time for the CEO job.

• The board will assume responsibility for developing
  a CEO Succession Plan, complete with competencies, and
  assign a core group of board members with the responsibility
  to guide the process.

• The board should insist on ‘ready now’ or ‘drop in’
  candidates who are trained for the CEO role.

• The board of every credit union should have an
  understanding, at all times, of who are the potential
  successors and their competency development issues.
  Understand how each individual would perform in certain
  circumstances. Minimize surprises that can put the credit
  union at risk.

• Assuming that the CEO does not have imminent plans
  for retirement or departure from the credit union, he/she
  should be requested to present an annual evaluation of
  potential internal and external candidates to the board.

• If the CEO is to retire within two years, every
  board meeting should include a serious succession
  discussion. The board should understand what the CEO is
  doing to ensure a smooth transition.

• The board should consider an economic incentive for
  the current CEO to motivate their progress in succession
  development of potential internal candidates. This can be
  one of the measurements included in a performance review
  metric.

• The board will update the CEO position description
  as part of the annual strategic planning session.

The Starting Point is the Most Important Place

There are two types of competencies when deciding what type
of person is needed in a particular job. The first type is
what we call Technical Knowledge and Job Skills, or what are
commonly called Hard Skills. The second competency type is
Performance Skills, or Soft Skills. Deciding what the CEO
job needs to effectively lead is the responsibility of the
Board; not the current CEO.

The starting point for these decisions is in your strategic
plan. Pretend it is five years in the future, the year
2008. What will your credit union look like? Who will it
serve? How will it serve? What products and services will
it offer?

A word of caution . . . pretend that there is no one in the
CEO job now and that the job can talk. If the job could
talk, “What would it say?” This is the most effective way
to move forward. This is the most effective way to move
forward. If your CEO is retiring, she can provide input but
should not be used as an example of what is needed five
years in the future. Think of it like this – if your CEO
plans on staying for another 15 years, she will need to
develop, update and strengthen her competencies in order to
be the best CEO of your credit union over the next 15 years.

The waves keep coming and the sails need to be adjusted
accordingly.

The next important step is to understand “What decisions
will the CEO make?” Typically, there are three decisions
the CEO should make:

1. What businesses should we be in?
2. Who will lead the business units?
3. How will resources be allocated?

Using these three decisions as a framework is the starting
place for developing a list of competencies for the CEO
position. What Hard skills are required to make these
decisions? What Hard Skills are required to use knowledge
effectively? Individuals typically develop their hard
skills in a formal education setting and on the job. Often,
they are not transferable across industry lines. Soft
skills include communication, work habits, style and
teamwork. They are transferable across industry lines and
products and services.

Hard Skills

Be specific in articulating your requirements. For example,
if a college degree is required, name the disciplines that
are acceptable. If prior management expertise is necessary,
define the scope and depth of that experience. Constantly
refer to your strategic initiatives and the future of the
credit union to develop leadership competencies that will
meet the requirements of your strategic plan.

Soft Skills

Articulating the soft skills is difficult but rewarding. To
be effective in defining these competencies you will need to
behaviorialize your statements. Behavioralizing a statement
means that you convert a phrase like ‘effective verbal
communication’ to ‘clear articulate speech’ or ‘skilled at
influencing others.’ A behavior is an action that you can
observe, describe and verify. Members of your board need to
agree on what behavior is acceptable. To be acceptable, the
behavior needs to be observed, described and verified by two
or more people. For example, what does it really mean when
someone manages conflict? Do they hand out candy bars to
stop the fighting? Do they reduce the performance incentive
payout? Or, are they able to express opinions directly and
clearly without abuse or manipulation? Does she listen to
opinions and feelings of others and demonstrates
understanding by restatement? Does he communicate
disagreement to persons in authority as necessary; asks for
negative feedback in order to learn?

External Resources: When to Use Them and Where are They?
In creating a robust Succession Plan for the first time may
require the guidance of a trained professional with
expertise in team coaching, facilitation, competency
development in a financial organization and, preferably, a
discipline in People Development and Succession Planning.
Along the path to your desired outcome you may encounter
boulders and obstacles that need to ignored, traversed or
destroyed. Some issues, intentionally or unintentionally
arise, involve diversity and dominance. If left to an
unstructured process most succession plans will result in a
“CEO look alike.” Human nature naturally is comfortable
with someone that looks and acts just like the current CEO
especially if he is popular with most of the board. A
systematic and structured process will ensure that the right
questions are asked that lead to a purposeful and informed
decision: What skills, knowledge and personal competencies
are needed to live our strategic plan? Another reason to
use a facilitator is to structure a domain where all board
members are heard equally instead of one or two board
members dominating the process.

Your Succession Planning Facilitator should have access to
web enabled tools to structure competencies and to build a
Succession Plan that can be tracked and updated. Using a
template designed for succession planning both eases and
empowers the process. Your requirements are fed into the
system along with assessments of potential successors. A
Gap Report is automatically created and a structure for
building an individual development plan for each potential
successor is easily updated and viewed.

Summary

Creating a robust and fail safe Succession Plan requires a
structured and systematic process. It is the boards’
responsibility to decide what competencies are required to
meet present and future needs of the credit union. Use the
strategic plan as a beacon for developing a list of
competencies, both hard and measurable skills and soft,
personal mastery skills. Competencies need to be defined so
there is no misunderstanding of how to measure performance
of that competency. A Succession Plan needs to be updated
every time there is an update in the strategic plan. The CEO
Position description needs to be reviewed and updated on an
annual basis. A written position description should include
measurable work habits and personal skills required to
achieve a work objective.

Using a qualified facilitator for your first time through a
systematic process will provide a foundation for moving
forward and updating your Succession Plan every year. There
are certified coaches with specific disciplines in
Succession Planning and on-line templates to document and
create performance yardsticks for competencies. This is
deep and serious work that will strengthen the
organizational competencies and capabilities. As a member
of a board that creates a Robust Succession Plan you will be
adding value that will positively impact your credit union
for years to come. . . . the baton will be passed in the
Leadership race.

Copyright DDJ Myers, Ltd. 2007

Deedee Myers

DDJ Myers, Ltd.

Phoenix, AZ

ddjmyers.com

Author: Deedee Myers
Article Source: EzineArticles.com
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Small business grants are closer than you think. They can also be the ideal way to fulfill your dreams of becoming a business owner. It is often a hot topic among entrepreneurs with limited funds and access to capital. They are given to those people who want to start their own small business as a means of supporting themselves while at the same time contributing to the US economy. Business grants are also provided by the US government. Remember, Small Business Grants are not loans and that’s why many people refer to them as Free Grant Money!

Business Grant or Business Loan…?

Grant programs don’t require credit checks, collateral, security deposits or co-signers. In some cases recipients are required to submit periodic progress reports to demonstrate that the grant funds are being utilized properly and goals are being achieved as projected in the application. Grants differ from loans in that they are not repayable. We all know what it takes to get a common loan…like auto loans, home loans, cash loans, etc. Why not try a free grant program that writes the grant for you and also addresses every issue you’ll need to cover before submitting it to the proper agency.

Business Grants Do What?

Business grants are one way that women can run successful businesses whether they have a home-based business or a business outside of the home. They are available to start a new or expand an existing business, equipment financing, acquisition of a new or existing business, rent, salaries, office expenses and overhead. Given to women who are small business owners to encourage and promote economic growth as well. Grants are available to anyone over 18 years of age. In fact, the small business grant you need to start or expand your business may be available right in your own home state.

The Purpose of Grants

A grant supports the business idea and turns the dreams of an entrepreneur in to reality. There are many types of grants offered by the government that include individual grants for personal necessities, business grants for starting new business, housing grants, ,education grants for funding education and many more.

Business Grants & Women

Grants are also available for women who want to buy an existing business. They are also available for women who want to attend business school so that they gain the knowledge they need to start their own business. They are also awarded to women who excel in their respective fields. The best part about business grants is that they are free in the sense that you do not have to pay back the money to the funding agency or the government. Women can also get money to encourage advanced online education have a distinct advantage over any business that leaves advanced learning to chance. Businesses that fall into this arena often find they are eligible for small business grants.

There are Other Options…

Also remember that the federal government, through the SBA, does offer a fine array of very attractive loans to start or expand a small business. There are also low interest and no Interest Government loans available for you to take full advantage of. Most small business owners have to look to personal resources and loans to finance their small business. You may have looked into bank loans, asked friends and family for a loan or looked into getting a few credit cards to pay for you to set your business up.

Grants for Women

Women have the largest opportunity of any group to benefit from the generosity of the Government Grant Programs. Women are taking more initiative to work for themselves. Womens small business grants are available in many forms. Women continue to account for the majority of stay at home parents. Women interested in accessing small business grants to start or expand their own businesses should understand certain limitations inherent in small business grant funding. Women have a 75% greater chance of success in business ownership.

Grants for Education

Education is a priority for any government, and for this reason the government. Education grants are available from various sources and are generally funded by the government, although many are established and sponsored by private institutions. They can vary in the amount of the grant as well as the period the grant is made available to the student. Women are also much easier to qualify for and get than education grants. Scholarships are also available for a myriad of situations.

A Little Info about the SBA

SBA does not provide lower interest rates for small businesses. SBA is not related to granting any free government grants, but instead it provides counseling, technical trainings and assistance in areas which are required to run a small business management using its resourceful SBDC or Small Business Development Center at absolutely NO extra Cost to you, its totally FREE. SBA has offices in every state and worked with various non-profit, lending and educational and training organizations nationwide. SBA also runs programs that are intended to help women with training and technical assistance, access to credit and capital, government contracts and such. As far as individuals are concerned, SBA does not offer business grants to any entrepreneur but it does help the minority groups, the women entrepreneurs, economic development of underdeveloped regions, and numerous such activities.

Author: J Pickett
Article Source: EzineArticles.com
Provided by: WordPress plugin Guest Blogger

Making certain financial projections in your business plan is necessary for the creation of a proper business plan. For example, if you want to make projections, such as sales forecasts, break down the sales into manageable parts. You may refer to more business plans articles and other related articles which are usually sorted by relevance, dates, and items per page.

Business planning can be demystified. Your company’s business plan is always a key document for both planning and funding purposes. You may also use Web resources to develop your business plan. The Web can be beneficial when you are looking for articles about business plans and for sample plans to guide you. You must be able to understand why business plans matter in order to frame a proper business plan. You may also refer to the University of California, Berkeley, Lester Center for Entrepreneurship and Innovation for help regarding your business plan.

If you don’t know where to start and don’t want to waste time, start off with a rough sketch of your business plan. The United States Small Business Administration offers a section about business plans in the Starting Your Business section which is further categorized into parts. For the business plan, you can also refer to the two major business plan software programs, Business Plan Pro from Palo Alto Software and the BizPlanBuilder from JIAN, where you can offer information on projections and other financial forecasting. You can also find information on business plan software by conducting an online search with the phrase “business plan software” and that may give you helpful results. How does one go about defining the ‘perfect’ business plan ? The perfect business plan is one that meets its objective — which, for many, is raising money. All business plans usually cover essentially the same material. You may try and jot down ten most important reasons why you need a strong business plan because a business plan is the cornerstone of starting a business as well as a significant tool for monitoring the progress and growth of your company.

You may wish to read more : Sample Business Plans

Author: Jonathan Robertson
Article Source: EzineArticles.com
Provided by: Guest blogger

Small business grants are closer than you think. They can also be the ideal way to fulfill your dreams of becoming a business owner. It is often a hot topic among entrepreneurs with limited funds and access to capital. They are given to those people who want to start their own small business as a means of supporting themselves while at the same time contributing to the US economy. Business grants are also provided by the US government. Remember, Small Business Grants are not loans and that’s why many people refer to them as Free Grant Money!

Business Grant or Business Loan…?

Grant programs don’t require credit checks, collateral, security deposits or co-signers. In some cases recipients are required to submit periodic progress reports to demonstrate that the grant funds are being utilized properly and goals are being achieved as projected in the application. Grants differ from loans in that they are not repayable. We all know what it takes to get a common loan…like auto loans, home loans, cash loans, etc. Why not try a free grant program that writes the grant for you and also addresses every issue you’ll need to cover before submitting it to the proper agency.

Business Grants Do What?

Business grants are one way that women can run successful businesses whether they have a home-based business or a business outside of the home. They are available to start a new or expand an existing business, equipment financing, acquisition of a new or existing business, rent, salaries, office expenses and overhead. Given to women who are small business owners to encourage and promote economic growth as well. Grants are available to anyone over 18 years of age. In fact, the small business grant you need to start or expand your business may be available right in your own home state.

The Purpose of Grants

A grant supports the business idea and turns the dreams of an entrepreneur in to reality. There are many types of grants offered by the government that include individual grants for personal necessities, business grants for starting new business, housing grants, ,education grants for funding education and many more.

Business Grants & Women

Grants are also available for women who want to buy an existing business. They are also available for women who want to attend business school so that they gain the knowledge they need to start their own business. They are also awarded to women who excel in their respective fields. The best part about business grants is that they are free in the sense that you do not have to pay back the money to the funding agency or the government. Women can also get money to encourage advanced online education have a distinct advantage over any business that leaves advanced learning to chance. Businesses that fall into this arena often find they are eligible for small business grants.

There are Other Options…

Also remember that the federal government, through the SBA, does offer a fine array of very attractive loans to start or expand a small business. There are also low interest and no Interest Government loans available for you to take full advantage of. Most small business owners have to look to personal resources and loans to finance their small business. You may have looked into bank loans, asked friends and family for a loan or looked into getting a few credit cards to pay for you to set your business up.

Grants for Women

Women have the largest opportunity of any group to benefit from the generosity of the Government Grant Programs. Women are taking more initiative to work for themselves. Womens small business grants are available in many forms. Women continue to account for the majority of stay at home parents. Women interested in accessing small business grants to start or expand their own businesses should understand certain limitations inherent in small business grant funding. Women have a 75% greater chance of success in business ownership.

Grants for Education

Education is a priority for any government, and for this reason the government. Education grants are available from various sources and are generally funded by the government, although many are established and sponsored by private institutions. They can vary in the amount of the grant as well as the period the grant is made available to the student. Women are also much easier to qualify for and get than education grants. Scholarships are also available for a myriad of situations.

A Little Info about the SBA

SBA does not provide lower interest rates for small businesses. SBA is not related to granting any free government grants, but instead it provides counseling, technical trainings and assistance in areas which are required to run a small business management using its resourceful SBDC or Small Business Development Center at absolutely NO extra Cost to you, its totally FREE. SBA has offices in every state and worked with various non-profit, lending and educational and training organizations nationwide. SBA also runs programs that are intended to help women with training and technical assistance, access to credit and capital, government contracts and such. As far as individuals are concerned, SBA does not offer business grants to any entrepreneur but it does help the minority groups, the women entrepreneurs, economic development of underdeveloped regions, and numerous such activities.

Author: J Pickett
Article Source: EzineArticles.com
Provided by: Gadget reviews