This document provides an overview of marketing and business development plans, including: - The importance of strategic planning and having goals and objectives to guide a company's growth over 1-5 years. - Components of strategic plans like vision, mission, values, goals, objectives, and tactics to implement strategies. - Factors to consider in strategic planning like a company's business model, financial targets, organizational structure, and market research. - Recommendations for communicating and cascading strategic plans throughout an organization.

1. TEXO PROFESSIONAL DEVELOPMENT
Dallas
www.SMPSDallas.org
MARKETING & BUSINESS
DEVELOPMENT PLANS
Mike Wagner, CPSM
June 17, 2014

2. Dallas
www.SMPSDallas.org

3. Dallas
www.SMPSDallas.org
MARKETING
• Every company has a marketing plan…
• Most of my competitors have a marketing plan…
• Market planning is complicated OR a waste of time…
• Market planning is just for the big guys…
• Marketing & Business Development are the same thing...

4. Time
Growth Plateaus
(20-30)
(80-120)
(300-500)
Recognize plateaus in firm growth.
They occur for a variety of reasons
and require different approaches to
overcome.
= $25M Annual Revenues

5. Ownership Transition
Finance Organization
Project DeliveryInformation Technology
Purpose
Business Model
Marketing
Human
Resources
Leadership
Development
The
Business
Continuum
Balancing Market Planning

6. Vision (A word picture of the future 3-5 years out)
Mission/Purpose (What we are about/Why we exist)
Values (What guides us and “makes us tick”)
Goals (>1 year duration)
Objectives (< or = 1 year)
Strategies (What)
Tactics (How)
Actions (Who/When)
Cascade Effect of Strategic & Market Planning
Marketing Plan
StrategicPlan

7. Strategic Planning Process

8. Articulate Your “Core” Values
Stay away from “Mom and Apple Pie” values.
They are implicit.
• Honesty
• Integrity
• Trustworthiness
• Hard work
• Commitment
Core values reflect
“the way we do
things around here”.

9. APAI Core Values
• Provide high-quality services to our clients
• Strive to get the right people in the right seats on the bus
• Strong leadership
• Creativity and innovation
• Passion for our work
• Respect for each other
• Not tolerating non-performers
• Meeting commitments (in all things we do)
• Mentor and teach our core values
• Open, honest, frequent communication
• Having vision

10. Understand Your Business Model
PCP BCP
PCB BCB
• Primary/secondary practice focus
• Generally a niche based firm
• High “value”
• Not differentiated on price
• Generally high multiplier on DL
• Tend to be smaller firms
• Business focus ($$) may be present,
but is not a driver
• Quality is very high and part of value
proposition
• Primary focus is practice
• Secondary focus is business ($$)
• Generally has niche like qualities
• “Value proposition” is high
• Not solely differentiated on price
• Generally high multiplier on DL
• Business focus ($$) is present, but is
not the primary driver
• Primary/secondary focus is business
($$)
• Niche capabilities generally gone
• “Value proposition” is “cheapest”
• Differentiated solely on price
• Generally low multiplier on DL
• Tend to be larger, public firms
• Practice focus is not the driver
• Quality is “just enough”
• Primary focus is business ($$)
• Practice question is still asked, but is not
the driver
• Specialty possible, but generally not a
niche based firm
• Value differentiator still exists
• Price differentiation occurs
• Lower multipliers on DL
• Tend to be larger firms

11. APAI Current and Future Model

12. Define Your Future
Make the picture so real
everyone can visualize it
• What markets will you serve?
• In what proportions?
• At what office locations?
• With how many people?
• How much revenue?
• How profitable?
• What is the ownership structure?
• Under what kind of leadership?

13. Define the Vision Financially
Financial Parameter FY 2008 FY 2009 FY 2010 25th %ile Median 75th %ile FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Total (Gross) Revenue $20,738 $21,489 $19,003 $15,959 $26,767 $23,794 $25,432 $27,154
Net Revenue $14,355 $14,790 $13,319 $12,133 $16,060 $15,466 $17,040 $18,736
Net/Gross Revenue Ratio 0.69 0.69 0.70 0.76 0.60 0.65 0.67 0.69
Target Direct Labor Multiplier 3.29 3.29 3.29 3.04 3.16 3.39 3.29 3.29 3.29 3.29 3.29
Achieved Direct Labor Multiplier 3.06 3.07 3.00 2.72 3.02 3.28 3.09 3.10 3.12 3.15 3.15
Labor OH Rate (% of D.L.) 70% 82% 92% 88% 61% 69% 67% 64%
Non-labor Overhead (excl. bonus) $5,000 $4,777 $4,920 $4,109 $5,388 $5,205 $5,680 $6,245
Non-labor OH Rate (% of D.L.) 106% 99% 111% 105% 104% 105% 105% 105%
Total OH Rate (before Incentive/Bonus) 176% 181% 203% 133.1% 149.1% 177.4% 193% 165% 174% 172% 169%
Operating Return on Overhead (ROO) 17% 15% -1% 0.0% 26.0% 53.0% 9% 27% 21% 25% 27%
Chargeability (Based on $ of Labor) 59.0% 55.0% 52.1% 54.1% 62.1% 65.2% 53.2% 62.0% 59.0% 60.0% 61.0%
Chargeability (Based on hours) 59.4% 56.0% 53.9% 54.8% 63.8% 61.2% 61.8% 62.8%
Net Payroll Multiplier (Revenue Factor) 1.80 1.69 1.56 1.54 1.71 2.14 1.64 1.92 1.84 1.89 1.92

14. Define the Vision Organizationally
General
Colonel
A
Colonel
B
Captain
A
Sergeant
A
Sergeant
B
Private A Private B
Captain
B
Captain
C

15. Set Your Goal Horizon
At what point does
your crystal ball get
too cloudy?
• 1 year?
• 3 years?
• 5 years?
• 10 years?

16. Trajectory of Goal Setting
Vision
Today
Time
Intensity

17. Document & Communicate Goals
FOCUS AREA
GOAL TEAM
GOAL #
CHAMPION:
Objective #
Actions Details
Person
Responsible
Completion
Date
Deliverable(s) Budget Status Comments
Action 1
Action 2
Action 3
Action 4
Action 5
Action 6
Action 7

18. Vision (A word picture of the future 3-5 years out)
Mission/Purpose (What we are about/Why we exist)
Values (What guides us and “makes us tick”)
Goals (>1 year duration)
Objectives (< or = 1 year)
Strategies (What)
Tactics (How)
Actions (Who/When)
Cascade Effect of Strategic & Market Planning
Marketing Plan
StrategicPlan

19. Market Planning
Goals (>1 year duration)
Objectives (< or = 1 year)
Strategies (What)
Tactics (How)
Actions (Who/When)Marketing Plan
EXTERNAL RESEARCH
& ANALYSIS
INTERNAL RESEARCH
& ANALYSIS

20. • The Great Game of Business, Jack Stack
• Speed of Trust, Stephen M. R. Covey
• Good to Great, Jim Collins
• Built to Last, Jim Collins
• The Five Dysfunctions of a Team, Patrick Lencioni
• It’s Our Ship, Michael Abrashoff
• It’s Your Ship, Michael Abrashoff
• Blink, Malcolm Gladwell
• Outliers; The Story of Success, Malcolm Gladwell
• Execution, Larry Bossidy & Rham Charan
• Confronting Reality, Larry Bossidy & Rham Charan
• A Whole New Mind, Daniel Pink
• Winning, Jack Welch
• First Break All the Rules, Marcus Buckingham
• Now Discover Your Strengths, Marcus Buckingham & Donald O. Clifton
• The One Thing You Need to Know, Marcus Buckingham
• The World is Flat, Thomas Freedman
• Hot, Flat & Crowded, Thomas Friedman
• The One Minute Manager, Kenneth Blanchard & Spencer Johnson
• Who Moved My Cheese?, Spencer Johnson
• Getting Things Done, David Allen
• How to Get Your Point Across in 30 Seconds – or Less, Milo O. Frank
• Conscious Business; How to Build Value through Values, Fred Kofman
Suggested Readings