Undertaking strategic reviews for a client

Strategic reviews are an outstanding service that accountants can offer to SME clients. The preferred time of the year for the strategic review to be conducted is in April, May and June.

The strategic planning process commences with the following questions:

Where are we now?

What do we want to look like in 12 months – 5 years?

Instead of doing a SWOT analysis, it is a good idea to undertake a TOWS analysis:

T: s for trends which are coming at us

O: s for opportunities

W: is for weaknesses

S: is for strengths we are going to build on

Suggested process for the conduct of a strategic review:

• Review past years’ financial performance

• Analyse the client’s customers

• Analyse products or services provided

• Analyse competitors

• Are there any demographic changes occurring in the marketplace?

• Are there any attitudinal changes or government legislative changes coming at us?

You need to know what the trends and opportunities are and identify the weaknesses that need to be fixed. Then the strengths can be built on to create a successful strategy.

This process commences about 2 weeks prior to any formal meetings – by sending to your client an “opinion questionnaire”, seeking comments and opinions on a range of issues relative to the business from the client’s senior leadership team.

Up-to-date financial accounts and associated key performance indicator analysis are prepared.

The responses to the questionnaire and the financial accounts are distributed to the leadership team. Then the leadership team meets with the accounting team, coordinating this review for a 1 ½ day meeting to review the process.

ESS BIZTOOLS can assist you with planning material to organise and coordinate strategic reviews for your clients. Visit our website - www.essbiztools.com.au - for an overview of the product packages available. Alternatively, call us on 1800 232 088 to arrange a complimentary Zoom meeting.