Business Master Plan
A master plan is a term from comprehensive planning and a term to guide the future growth and development of a business. Similar (formerly used) designations for informal planning instruments were “framework planning”, “master planning”, “development planning” or ” spatial planning “. With a master plan, global planning strategies can be developed and proposals for action can be drawn up.
A master plan can be created at all levels of urban planning. The procedure for drawing up a master plan is not legally defined, so a master plan can be used very freely to develop urban planning solutions. At the same time, a master plan can be updated.
The inclusion of a project in the Master Plan does not, however, guarantee the completion of the associated work. Indeed, the terminology of the word “project” covers that of intention, which implies the notion of feasibility, which is one of the intermediate stages between the realization of the master plan and the beginning of the project.
A master plan includes an analysis, recommendations and proposals regarding the population, economy, housing, transport, community facilities and use of a site. It is based on public comments, surveys, planning initiatives, existing developments, physical features, and social and economic characteristics.
What is it used for?
- Develop an implementation schedule and define priorities for action
- Acting to attract private sector investment
- Organize and plan the urban environment
- Define public, semi-private, private spaces and public facilities
- Engage the local community and act as a consensus builder
The benefits
A benefits master plan in business refers to a comprehensive strategy that outlines the advantages and value that a company aims to achieve through its initiatives, projects, or investments. The benefits master plan helps align business objectives with specific actions and provides a roadmap for maximizing the outcomes and returns on investment.
Once finalized, the master plan brings several benefits to his organization:
- Visibility: It provides clear visibility on information technology and how it will contribute to the organization’s strategy over the next few years.
- Managed risks: thanks to its security component and the succession plan, the master plan allows the organization to reduce its risks relating to information technology.
- A reference tool: reference will be made to the master plan to validate each of the major decisions, particularly with regard to budget planning.
- Clear priorities: through its various axes of development, presents the main priorities of information technologies.
- Value Maximization: By defining and quantifying the expected benefits, the master plan allows businesses to prioritize projects that deliver the highest value. It helps in making informed decisions about resource allocation and investment choices.
- Performance Tracking: A benefits master plan sets measurable targets and defines key performance indicators (KPIs) to track progress and evaluate the success of initiatives. It enables businesses to monitor and assess the actual benefits realized against the planned outcomes.
- Resource Optimization: By prioritizing projects based on their anticipated benefits, the master plan helps optimize the allocation of resources, including financial, human, and technological resources. It ensures that resources are utilized effectively and efficiently to maximize returns.
It’s structured around 3 essential parts:
- Expression of the company’s policy specifying the objectives set over a period of 3 to 5 years.
- Architecture of the project that will have to be gradually put in place to meet the objectives set.
- Choice and timetable for setting up the means that will have to be gradually installed and aligning strategy with operations.
Who will do it?
It’s drawn up by a Steering Committee (or Strategy Committee) bringing together representatives of the organization’s general management. The Management Committee therefore represents the General Management of the company for all projects.
Read also: Solutions Business Strategy Management Consultant | How to develop a business strategy that works?
How to improve the management of the master plan and its projects?
A project must be part of the general objectives of the company because it generally mobilizes personnel for a long period of time. This is why it is necessary for an organization, even before embarking on projects, to define its medium-term intentions (one to three years).
To improve the maturity of your organization in project management, we have identified 5 progress levers to focus on:
- Methodology: the project methodology within the organization. Be sure to empower Project Managers while maintaining autonomy. For example, tell them what is expected of them in piloting practices with a job description.
- KPI: management indicators. Have simple and effective project management indicators (schedule, budget, resource, etc.)
- Governance: aligning strategy with operations. Develop a list of projects monitored by “Top Management”, with follow-up on progress KPIs.
- Comitology (board committees): setting up monitoring and decision points. Encourage the projection, at least over the next 3 months, rather than the current monitoring.
- Tools: the tools used to manage the projects & portfolio. Leave the Project Managers autonomous in their tools, but offer a single model of the “Project Progress Sheet” type.
How do I write a business master plan?
Writing a business master plan involves careful planning, analysis, and articulation of key elements. Here are the steps to write a business master plan:
Examples
– Step 1: The audit of the existing and the assessment of the previous project
Business architecture
The objectives achieved in 2021:
- Infrastructure
- Equipment
- Services
The points of weakness/progress were at the level:
- Computerization
- Governance
- Cybersecurity
– Step 2: Development of the master plan. Survey of the needs of the different departments
Governance
4 workshops were carried out by the Deputy General Management in order to question the needs of the different departments.
3 main axes have been set for the 2022-2025 Master Plan:
- An efficient regional e-administration
- A secure and adapted agile information system
- Digital at the service of the territories
– Step 3: The proposal of scenarios to the Management Committee and arbitrations to smooth the workload and budgets
Roadmap developments
The last step is the prioritization of projects. Indeed 80% of the projects were to be carried out in the first 2 years!
The ambitions of the IS Master Plan 2022-2025:
- 84 projects divided into 3 areas and 14 programs
- €10 million of investments planned over 5 years, i.e. an average of €2 million / year, with a breakdown of budgets by type. 90% of investments concerning improvement or transformation.
- 12,119 d/h overall workload.
Long Term Financial Goals: Examples for Business Growth and Prosperity
The content of a Business Master Plan
A business master plan is a comprehensive and strategic document that outlines the long-term goals, objectives, and strategies for a business. It provides a roadmap for the organization’s growth, development, and success. While the specific content of a business master plan can vary depending on the industry and company, here are some key components typically included:
While the specific content of a business master plan can vary depending on the industry and company, here are some key components typically included:
- Executive Summary: A concise overview of the business master plan, summarizing the key points and highlighting the main goals and strategies.
- Introduction: Provide a brief introduction to the business, including its mission, vision, and values. Explain the context and rationale for developing the master plan.
- Vision and Mission: Clearly define the long-term vision and mission of the business, capturing its purpose, values, and aspirations.
- Business Description: Provide a detailed description of the business, its products or services, target market, competitive advantage, and unique selling proposition.
- Market Analysis: Conduct a comprehensive analysis of the industry, market trends, customer needs, and competitors. Identify opportunities, potential risks, and challenges that may impact the business.
- Goals and Objectives: Set specific, measurable, achievable, relevant, and time-bound (SMART) goals and objectives that align with the business’s vision and mission. These goals should cover various aspects, such as financial targets, market share, customer satisfaction, and innovation.
- Strategies and Action Plans: Outline the strategies and action plans to achieve the defined goals and objectives. This may include marketing strategies, sales plans, operational improvements, product development initiatives, and human resources strategies.
- Financial Projections: Include financial forecasts, such as revenue projections, expense budgets, cash flow projections, and profitability targets. Conduct sensitivity analysis and assess the financial viability of the business plan.
- Resource Allocation: Identify the resources required to execute the strategies and action plans outlined in the business master plan. This includes human resources, technology, equipment, facilities, and capital investments. Determine how resources will be allocated and ensure they are aligned with the overall goals.
- Risk Assessment and Mitigation: Identify potential risks and uncertainties that could affect the business’s success. Develop strategies to mitigate these risks and establish contingency plans to address unforeseen events or changes in the business environment.
- Monitoring and Evaluation: Establish a framework for monitoring progress, tracking key performance indicators (KPIs), and evaluating the effectiveness of the business master plan. Regularly review and update the plan based on market dynamics, internal capabilities, and feedback from stakeholders.
- Implementation and Execution: Clearly define the responsibilities, timelines, and milestones for implementing the strategies and action plans. Assign accountable individuals or teams and ensure effective coordination and communication throughout the organization.
- Communication and Stakeholder Engagement: Develop a communication plan to keep stakeholders, including employees, customers, investors, and partners, informed and engaged. Regularly communicate the progress, achievements, and updates related to the business master plan.
- Review and Update: Regularly review and update the business master plan to reflect changes in the business environment, market conditions, or strategic priorities. Adapt the plan as needed to ensure its relevance and effectiveness.
Remember, a business master plan is a living document that should be regularly reviewed, revised, and adapted as the business landscape evolves. It provides a strategic framework to guide decision-making, align resources, and drive the long-term success of the business.
Photo credit: jarmoluk via Pixabay
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