The Power of a Growth Vision

Why should manufacturers develop a Growth Vision and what will it do for your business?  My experience over the last 10 years working with manufacturers of all sizes in Ohio and Michigan tells me that establishing a Growth Vision is the critical first step on the path to growth.  Establishing a compelling Vision 10 or more years in the future draws a line in the sand today and says to your entire company “this is where we’re headed”.  It sets the bookends for growth, one for where you are today and another for where you aspire to be in the future.

During the last month I have written about how to begin developing a Growth Vision while simultaneously concentrating on improving profitability of your Core Business.  Today’s column will focus only on making progress with establishing a Vision for Growth in your company.  You can read previous columns to understand more of the details of identifying your Core Values and Core Purpose, two elements of developing a long-term Vision.  Consider the graphic at the beginning of this post when thinking about a Growth Vision.

If you have been following the exercises I suggested in previous columns, you have now met with your team twice to consider the two elements of a Growth Vision.  These are:

• What to Preserve:Your Core Values (what you stand for) and your Core Purpose (what you do best)
• What to Change: To achieve your 10 year Big Hairy Audacious Goal (BHAG)

I suggest that you gather your team again this week and review your progress in the following areas.  

• Values:  Ask yourself again what you really stand for as a company, the historical values that have probably been carried forward since the company was founded.  Examples include: 
  • Commitment to the communities in which you do business
  • Respect
  • Honesty in all you do
  • “Walking the Talk”
• Purpose:  What do you really do the best, better than your competitors, better than any company in our industry, etc.  Examples include:
  • Integrating design, engineering, production & customer service
  • Getting the job done, on-time, on-budget to customer specs
  • Best quality and durability in the industry

Now ask yourself again where your team envisions your company in 10 years or more.  What will you be doing in 10 years that you’re not doing today in terms of products, markets, services, customers, etc.  Can you identify a BHAG, a stretch goal that will be a huge challenge but is ultimately achievable, that will be your mantra until it is achieved?  Examples of BHAG’s include:

• Grow to $100M in sales by 2018 with 10% net profit
• Launch a dynamic new “Green Products” business that will generate $20M in new sales
• Create a profit center worth $10M annually from your knowledge of Polymer Chemistry

The trick with establishing a Growth Vision is to be clear on what needs to be Preserved and what needs to be Changed.  Articulating this in the ways I suggest are clearly a best practice in Growth and have been researched by many people during the last 20 years, most notably by Jim Collins in his two excellent management books Built to Last and Good to Great.

Good luck on your Growth journey and tune in next week for another installment.

Charlie Alter owns Bentbrook Advisors LLC based in Sylvania, OH - he specializes in Growth Strategy Consulting & Executive Coaching, Charlie can be reached at calter@me.com