In theory I agree with you - but in practise I don't.
There are a number of reasons why business plans don't seem to work as a plan to run the company.
- The business plan of many companies tends to be a stale document that never gets rewritten, and gets more and more out of whack with reality until it is completely obsolete.
- If there are many stakeholders (investors, founders, banks, partners. etc.) they will all need to give their consent whenever changes are made. This easily turns into political hell with you in the middle.
- The more specific you are in your businessplan the more it will come back to haunt you. If you wrote it and it turns out not to be the way you said it's your falut.
- Nobody actually reads updates to business plans, thus rendering them unusable.
Some of these can of course be remedied, but it's a lot of hard work. And maybe that effort is better used building a product or getting customers.
If you have an internal planning business plan document and things don't turn out the way you said they would. You should be 100% accountable to yourself, your partners, and your employees about why your projections were wrong.
There are a number of reasons why business plans don't seem to work as a plan to run the company.
- The business plan of many companies tends to be a stale document that never gets rewritten, and gets more and more out of whack with reality until it is completely obsolete.
- If there are many stakeholders (investors, founders, banks, partners. etc.) they will all need to give their consent whenever changes are made. This easily turns into political hell with you in the middle.
- The more specific you are in your businessplan the more it will come back to haunt you. If you wrote it and it turns out not to be the way you said it's your falut.
- Nobody actually reads updates to business plans, thus rendering them unusable.
Some of these can of course be remedied, but it's a lot of hard work. And maybe that effort is better used building a product or getting customers.