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ISM645 IT Strategic Planning -- Acme Full Strategic Plan

Acme Corporation

Strategic Plan 2014-2016 As of June 5, 2015

Full Strategic Plan

MISSION STATEMENT

The mission of Acme Corporation Technology is to create technology solutions for forward-thinking organizations

VISION STATEMENT

To be known as the technology experts and resource center for small to medium-sized organizations.

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CORE VALUES

1. Purpose & Growth - our foundation is built on our purpose and provides a place for our team's passion 2. Client Focus - a razor-sharp focus on our customer's growth is essential and the only way to succeed. 3. Integrity - to have honesty and respect for all individuals. 4. Leadership - to empower and inspire entrepreneurial leaders. 5. Professionalism - to be professional in our actions to our clients, partners and each other. 6. Excellence - to continually pursue knowledge and learn. 7. Community Service - to effectively help organizations to make an impact. 8. Fun - to have enjoyment and fulfillment in our work

COMPETITIVE ADVANTAGES

1. Reoccurring revenue that is scalable 2. Assets and software products in place outside our services 3. Innovative in marrying business process with technology 4. Business Network - domestic and international 5. Patented Intellectual Property - interactive, integrated web-based

STRATEGIC ISSUES

What is the best method to meld the different cultures and build a strong team to most effectively deliver on mission? How do we build and incorporate consistency in our growth strategies, standardized operating procedures and communications in light of frequent changes in leadership? How do we best meet the growth operations and service demands in light of consistent budget cuts?

ORGANIZATION-WIDE STRATEGIES

Organization-Wide Focus: 2013 - Lay the foundation for the organization. 2014 - Execute a market penetration strategy to increase top line. 2015 - Standardization of all processes. 2016 - Develop the infrastructure to prepare for high growth.

CUSTOMER SEGMENTS CurrentCustomers

Has an existing system in place. Needs minimal to maximum coaching through the package selection process and installation. Willing to hire someone. Willing to commit time, money and staff. Willing to be facilitated throughout the process.

Program or Product Describe how program or product are service people. Needs a quick solution to focus and guide their business. Needs a tool to get started. Want a self-support product. Desire to move their business to the next level. Ready to commit time and money to their information systems. Do

New Customers it-yourselves. Not necessarily sole-proprietors. Needs to be easy, practicaland simple. Linear use. Do it and it is done. More than 5 employees. Established business. Size of market: of Small Businesses: 5.5 million

STRATEGIC PLAN 2014-2016 - AT-A-GLANCE

FINANCIAL STRATEGICOBJECTIVES&ORGANIZATION GOALS

1 RevenueGrowth:Growourrevenueby30%eachyear 1.1 KPI - Generate sales of $1.5 million by the end of the year.

2 Productivity Improvement:Maintaina20%NetProfitMargineachyear 2.1 Maintain profitability with a budget allocation of 50% for business re-investment for product development.

2.2 Increase average billable hour factor. (Source: Time-tracking Program)

CUSTOMER STRATEGICOBJECTIVES&ORGANIZATION GOALS

3 ProfessionalServices:Tobetheprofessionalpartnerofchoice. 3.1 Professional Service: Acquire 2 new consulting clients $10,000+ per month.

4 MaintenanceContracts:Tobeviewedasthetoptechnologyresourcein thewesternregion. 4.1 Maintenance Contracts: Acquire an average of 5 new maintenance contracts per month

4.2 Licensing: Acquire 1,500 total licenses by the end of the year.

4.3 Maintain 85% of our current customers.

INTERNAL/OPERATIONAL STRATEGICOBJECTIVES&ORGANIZATION GOALS

5 Innovation/ProductDevelopment:Continuetodeveloptechnologyinnovation. 5.1 Launch integration with 2 other applications.

6 OverallOperations:Developandmaintainaninfrastructurethatallowsforavirtualofficeandefficient overhead.

6.1 Set up com puters to be accessed from any destination.

6.2 Define all procedures and process in writing in order to support projected growth.

6.3 Blogs & Newsletters: Consistently timely relevant thought leadership that is developed, published and preserved.

PEOPLE ANDLEARNINGSTRATEGICOBJECTIVES&ORGANIZATION GOALS 7 Training:Activelyhelpour teamtodevelopandgrowprofessionalandpersonallybysupportingaflexiblework life,providingintellectuallyengagingwork,andfaircompensation.

7.1 Train sales people in best practices

7.2 Develop better comm unication and presentation skills to increase ability to work with and assist clients. 8 Community Involvement:Developand implementacorporategivingstrategythat is in linewithourcompetitive advantages.

8.1 Manage the selection, contribution and customer communication of nonprofit donations. Target is 15% of revenue. 9 LongTermStrategicObjective(Noassignment, far reachingandbroadbased,3-5yearsout) [**SampleGoal Cascading**]

9.1 Organizational Goal (Corporate-wide, generally not assigned, 18-24 months) [**Sample Goal Cascading**]

STRATEGIC PLAN 2014-2016 - DETAIL

FINANCIAL STRATEGICOBJECTIVES&ORGANIZATION GOALS 1 RevenueGrowth:Growourrevenueby30%eachyear

1.1 KPI -Generatesales of $1.5 million by theendof theyear. (Administration) (12/31/17)

Measure: $ in sales

EOY Target: $1,500,000

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

1.1.1 Maintenance Contracts: Generate $500,000 in maintenance contracts. (Marketing)

$

$500,000 01/01/1312/31/15

1.1.2 Software Licenses: Generate $300,000 in added software features by the end of each FY. (Adm inistration)

$generated

$300,000 01/01/1412/31/16

1.1.2.1 Secure 25 new l i cense contracts weekl y (Musi c, Chi l dren. (Top#5) (N ate Pl att) # of new l i censecontracts

25 01/01/1412/31/15

1.1.2.1.1 Create new contract for weekl y l i censes. (Crystal O' Langdon)

% compl ete

100% 01/01/1506/30/15

1.1.2.2 Devel op 20 software programs to moni tor l i censes. (Grant H owel l )

# of software programs

20 01/01/1412/31/15

1.1.3 Professional Consulting: Generate $200,000 in web design consulting. #sample (Customer Service)

$ - net income

$200,000 01/01/1312/31/14

1.1.4 Increase sales conversion by 5% (Administration)

Percent

25% 01/01/1412/31/15

2 Productivity Improvement:Maintaina20%NetProfitMargineachyear

2.1 Maintain profitability with abudgetallocation of50%for business re-investment for productdevelopment. (Administration) (12/31/15)

2.2 Increaseaveragebillablehour factor. (Source:Time-trackingProgram) (Administration) (12/31/15)

Measure: % for product development

Measure: $ per billable hour.

EOY Target: 50%

EOY Target: $220

CUSTOMER STRATEGICOBJECTIVES&ORGANIZATION GOALS 3 ProfessionalServices:Tobetheprofessionalpartnerofchoice.

3.1 Professional Service:Acquire2newconsultingclients $10,000+per month. (Administration) (12/31/15)

Measure: # of new consulting clients

EOY Target: 24

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

3.1.1 Develop 2 new webinars a quarter to assist Sales Team. (Marketing)

# of new webinars

4 07/01/1512/31/15

3.1.1.1 Devel op 15 mi nute "Basi c Package" presentati on. (Crystal O' Langdon)

% Com pl ete 01/12/1411/01/15

3.1.1.2 R evi ew exi sti ng presentati ons format for consi stency. (Cr ystal O' Langdon)

% Com pl ete

100% 01/12/1303/22/14

3.1.1.3 Create a consi stent sl i de templ ate for Webi nars. (Thomas Wri ght) % Compl ete ofstandard tem pl ates

100% 07/13/1512/31/15

3.1.2 Develop a new software program to track clients (IT Group) % of programcom pleted

100% 06/19/1512/31/15

4 MaintenanceContracts:Tobeviewedasthetoptechnologyresourcein thewesternregion.

4.1 MaintenanceContracts:Acquirean averageof5 newmaintenancecontracts per month (Marketing) (12/31/15)

Measure: avg monthly # of new maintenance contracts

EOY Target: 0

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

4.1.1 Identify and m aintain list of 50 target customers that could benefit from a maintenance contract. (Marketing)

# of target custom ers

50 01/01/1312/31/14

4.2 Licensing:Acquire1,500total licenses by theendof theyear. (Operations) (12/31/14)

Measure: # of new licenses

EOY Target: 1,500

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

4.2.1 Grow average monthly licenses by 40% to 560 (IT Group)

# Licenses

560 01/01/1312/31/14

4.2.2 Grow new custom er conversions by 100% to an average of 75/m onth. (IT Group)

# of new licenses

75 01/01/1312/31/14

4.2.3 Grow new custom er trials by 25% to m ark of 85 New Trials per m onth. (IT Group)

# of New Trials

85 01/01/1312/31/14

4.2.4 Maintain or decrease the Churn Rate of Licenses which is currently at 8.01%. (Customer Service)

% Churn

8.01% 01/01/1312/31/14

4.2.4.1 Secure coachi ng on Customer Success Manager for team. (Crystal O' Langdon)

% Com pl ete

100%

12/09/13

4.3 Maintain 85%of our current customers. (Administration) (12/31/15) Measure: % increase in customer base annually

EOY Target: 85%

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

4.3.1 Implem ent marketing cam paign to draw in new markets. (Marketing)

% completed

100% 01/01/1312/31/13

4.3.1.1 R esearch and i denti fy 6 opportuni ti es i n new m arkets that company coul d expand i nto. (Joanne & Tracy) (JoAnne R ogers)

% compl ete

100% 01/20/1306/30/15

4.3.1.1.1 Compl ete a competi ti ve anal ysi s study of our current and prospecti ve m arkets. (Tom Jones)

% compl ete

100% 01/01/1104/30/12

4.3.1.2 Devel op cam pai gn materi al for new markets. (Sal es Di rector)

% compl ete

100% 03/01/1212/31/13

4.3.1.3 Create new web pages (rough draft) for the cam pai gn promoti on. (R andal l Sci on)

% Com pl ete

100% 06/01/1205/31/13

4.3.2 Develop a competitive analysis survey for our market. (Administration)

% Complete

100% 06/01/1312/31/15

4.3.3 Increase sales close rate by 25% (Marketing) % increase in closerate

70% 01/01/1312/31/15

INTERNAL/OPERATIONAL STRATEGICOBJECTIVES&ORGANIZATION GOALS 5 Innovation/ProductDevelopment:Continuetodeveloptechnologyinnovation.

5.1 Launch integration with 2 other applications. (ITGroup) (12/31/15) Measure:

Applications Integrated

EOY Target: 100%

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

5.1.1 Map out entire integration process (Web Specialists)

Map completed

100% 01/01/1406/30/15

6 OverallOperations:Developandmaintainaninfrastructurethatallowsforavirtualofficeandefficientoverhead.

6.1 Set upcomputers tobeaccessedfromany destination. (Administration) (12/31/15) Measure:

% complete of computer accessible from any destination

EOY Target: 100%

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

6.1.1 Purchase necessary software/hardware or make arrangements with an internet service provider for virtual access. (IT Group)

% complete

100%

01/01/15

6.2 Defineall procedures andprocess in writingin order tosupportprojectedgrowth. (Administration) (12/31/15)

6.3 Blogs& Newsletters:Consistently timelyrelevant thought leadershipthat is developed, publishedandpreserved. (Marketing) (12/31/13)

Measure: % of process in writing.

Measure: % complete

EOY Target:

EOY Target: 100

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

6.3.1 Write 1 blog post per week (Web Specialists)

# of blog posts

52 01/01/1312/31/13

6.3.2 Write 2 newsletters per month. (Administration)

# of newsletters

2 01/01/1312/31/13

PEOPLE ANDLEARNINGSTRATEGICOBJECTIVES&ORGANIZATION GOALS

7 Training:Activelyhelpour teamtodevelopandgrowprofessionalandpersonallybysupportingaflexiblework life,providingintellectuallyengagingwork,andfaircompensation.

7.1 Train sales people in best practices (Marketing) (11/30/15) Measure: actual attendance per year by all 12 m anagers

EOY Target: 12

7.2 Developbetter communication andpresentation skills toincreaseability towork with andassistclients. (Customer Service) (12/31/13)

Measure: % complete in communication/presentation skills

EOY Target: 100%

8 Community Involvement:Developand implementacorporategivingstrategythat is in linewithourcompetitive advantages.

8.1 Managetheselection, contribution andcustomer communication ofnonprofit donations. Target is 15%ofrevenue. (Administration) (12/31/15)

Measure: % of license revenue

EOY Target: 15%

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

8.1.1 Determine budget for Community Involvement party. (Customer Service)

% Complete

100% 01/01/1305/31/15

8.1.1.1 Sol i ci t i deas for them e, entertai nment, cateri ng for Communi ty Invol vem ent party. (Thomas Wri ght)

% Com pl ete

100% 01/01/1507/31/15

9 LongTermStrategicObjective(Noassignment, far reachingandbroadbased,3-5yearsout) [**SampleGoal Cascading**]

9.1 Organizational Goal (Corporate-wide, generallynotassigned, 18-24months) [**SampleGoal Cascading**] (Operations) (12/31/14)

Measure: % complete

EOY Target: 100%

DepartmentGoalsandTeamMember Goals

Measure

EOYTarget StartDate,EndDate

9.1.1 Department Goal [Corporate Action Item] (Assigned to the Department responsible for seeing that the goal and its actions are com pleted, 12-18 m onths)

$

$5,000 01/01/1309/01/14

9.1.1.1 Team Member Goal (or Dept Acti ons) (Assi gned to Team Member responsi bl e for seei ng thi s goal compl eted, 6-12 months)

% Com pl ete

100% 01/01/1306/30/14

9.1.1.1.1 Team Mem ber Acti on (Assi gned to the Team Mem ber responsi bl e for seei ng thi s acti on compl eted, short term i tems onl y (30, 60, 90 days))

% Com pl ete

100% 03/01/1305/31/13

PLAN IMPLEMENTATION

Appoint a strategic plan manager

Hold people accountable (now that they are

able) Put in place an incentive

compensation plan Coach for achievement

Empower managers

Hold effective strategy meetings - first

Mondays Hold annual retreat - second

week in December

APPENDIX A: STRATEGIC PLANNING TERMS StrategicPlanningTerm Definition CoreValues/GuidingPrinciples

How people want to behave with each other in the organization. Value statem ents describe actions that are the living enactment of the fundamental values held by most individuals within the organization. What are our guiding principles, as a group, to adhere to no m atter what?

CorePurpose/MissionStatement The organization's core purpose. Why do we exist? Vision Statement(5+years) Where you are headed — your future state — your Big, Hairy, Audacious Goal. Where are we going?

Competitive Advantages A characteristic(s) of an organization that allows it to meet their custom er's need(s) better than their com petitioncan. What are we best at in our market?

Organization-Wide Strategies

Your strategies are the general methods you intend to use to reach your vision. A strategy is like an um brella. It is a general statem ent(s) that guides and covers a set of activities. You can develop strategies for your whole organization, a department, a specific set of activities, or a guiding statem ent for a year. No matter what the level, a strategy answers the question "how."

Long-TermStrategicObjectives(3+ years)

Long-term, broad, continuous statements that address all areas of your organization. If you have a five-year vision, these would be three- to four- year interm ediate guideposts on the way there. What m ust we focus on to achieve our vision?

Short-TermItems(1year)

Short-term items that convert the Strategic Objectives into specific performance targets. Effective goals clearly state what, when, who and are specifically measurable — they are Specific, Measurable, Attainable, Responsible person, tim e bound (SMART). What must we do to achieve our long-term Strategic Objectives?

KeyPerformanceIndicators(KPIs)

Metric and non-metric measurements essential to the completion of an organization's goals. Each organization narrows the possible list down to a m anageable group of KPIs that m ake the most difference to perform ance. KPIs are linked to goals. How will we know we have achieved our goals?