What's Driving Your Business: Defined Strategy or Destination Unknown?

How 3 Simple Questions Will Tell You.

By Peter Christian • Published July 2010

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Is a Strategic Plan Different from a Business Plan?

The answer is a resounding "YES"! While a business plan is an integral part of starting a new company or launching a new product/service, the focus of a Strategic Plan is on an established organization. Here's a side-by-side comparison.

A Strategic Plan:		A Business Plan:
•	Is for established business and business owners who are focused on growth	•	Is for entrepreneurs who are serious about starting up a new business or businesses launching a new product/service
•	Helps define and build your competitive advantage	•	Defines the purpose of the business/product/service
•	Provides information for analyzing and modifying the existing organizational structure and culture	•	Helps to plan the human resources and operational needs
•	Communicates your strategy to every level of the organization	•	Communicates your vision to funding sources
•	Aligns and prioritizes your financial resources	•	Assesses opportunities and potential obstacles
•	Provides focus and accountability to drive the company forward	•	Provides focus and structure to new ideas

A Strategic Plan charts the organization's future course by creating a consensus about what the organization is (mission, vision, purpose), how it can excel at what it does (competitive advantage), who the customers are (target audience), and what they want (service).

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