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20 FEDA News & Views road. The final key external factors you should be looking at are those specific "industry drivers" that are currently fueling or impacting the industry (both positively and negatively). Eating trends, various segment dynamics, channel of distribution issues and challenges, vertical and horizontal integration trends, end-user/operator preferences and attitudes, and similar areas should be carefully examined and thoroughly understood by all as a prerequisite to any planning efforts. Measuring the Pros and Cons Internal environmental assessment takes a little bit different tack, but one that is absolutely crucial for good planning. The primary purpose of undertaking an internal assessment is to see what assets and liabili- ties you have as an orga- nization so that when you start crafting your plans or strategies, you will not mismatch your goals and ambi- tions with the realities of your firm's capabilities. Start by doing a thorough and honest SWOT (strengths, weaknesses, opportunities, and threats) analysis. The key here is the "honest" component. Organizations have a ten- dency to overstate their strengths and underestimate their weaknesses. The net result is often disastrous—as once again the realities of the operating environ- ment do not match with the capabilities of the organization. Ascertaining your company's core competencies is another critical internal assessment that needs to be undertaken as part of the planning process. If you don't inventory and thoroughly understand what your core competencies are, then you will not be able to attain maximum strategic leverage in the marketplace. You also will not be able to accurately pinpoint which ones you are deficient in. continued on page 22 People want to hear what is important, germane, and relevant to their job, their company, and their individual efforts. What people don't want to hear is fluff. Activities-based organization versus a results-based organization. Unfortunately, the vast majority of organizations are what I refer to as being "activity-based" in their basic nature. That is, the individuals who make up these organizations are performing "activities" on a day-to-day basis opposed to driv- ing to a very specific result or series of results. A change in mentality will significantly enhance your chances of implementing your plan. Lack of accountability and "consequences." Finally, another key reason that plans do not get implemented is because peo- ple are not held accountable for achiev- ing the necessary results that comprise the overall business plan. Some com- panies I've worked with have initially disputed this "accusation" when I tell them that they are not holding their people accountable. They often say that such and such a person "has been given the task and responsibility" to get "some- thing" done. But the most important part of the equation is are there consequenc- es associated with not meeting specific goals and objectives. If there are no con- sequences, then what is the motivation to complete something? So, now that you have a better understanding as to why plans and initiatives fail, you should also have a good idea as to what you can do to change your management and leadership style to help eliminate these distractors of success. There are many different planning processes out there, but all of them have some common basic elements. The most important thing is not the plan itself but its execution. That is why I place a significant amount of time on the implementation process part of planning. Not implementing a great plan will lead you right back to where you started. Properly implementing a Preparing for 2015 continued simple plan, will garner you significant advancement. Starting the Planning Process Before you can actually determine what you want to be as an organization and how you are going to get there, you have to ground your planning team in the real- ities of your business and operating envi- ronment. By environment, I mean both the external operating environment as well as your inter- nal operating environ- ment. One place to start is by examining the "key drivers of change" within the industry and the short- and long-term impact they can possibly have on the industry and your organiza- tion. Key drivers are those macro forces at play that you have little control over. Over time, they have the potential to significantly change the complexion of the industry and thus how you operate within it. Think of what impact the Internet has had and will continue to have on business in general. Look at all of the consolidation that has taken place in recent years. What about government rules and regulations, or new and different competition? These are just a few of the key drivers of change that all companies should be looking at as they start their planning process. Other key areas of self and external examination should include conducting a detailed competitive profile. What are the overall strategies of your competition and how could they potentially impact you and your organization? Take the time and effort to ascertain some of their key strengths and weaknesses. There may be some opportunities for you to exploit if you look carefully enough. But what is also very important in this area is to determine exactly who your competition really is. Many times it's not quite so obvious. And quite often, organizations fail to identify and take seriously "indirect" competitors that can, and often do, cause them fits down the If you don't inventory and thoroughly understand what your core competencies are, then you will not be able to attain maximum strategic leverage in the marketplace.