There are two extremes that we all should worry about regarding business planning: having no idea or plan on where we are going, AND, strictly adhering to our plan regardless of what is actually happening on the outside of our business in the market!
“Measure Your Business Plan Results” by Tim Berry goes over some of the things that you should be thinking about in this slower economy.
Your business plan is like a flight plan, it provides the general location on where you are now, what destination you want to be in the future, and how you INTEND to get there. If your weather map states that you can fly VFR (Visual Flight Rules, i.e. flying with no weather problems ahead) then it’s up, up, and away.
But sometimes “bad weather” diverts your intended flight plan and you have to fly IFR (Instrument Flight Rules) and you have to go around it any number of different paths to reach your destination, or even having to go through it. But whatever the case, you still need the plan to monitor your business resources of your “flight,” like how much gas you have (cash flow), the number of airfields that you may need to divert to in case of an emergency (such as running into cash flow problems), and making sure your radio is operational (communicating with other small business owners) to get help if you need it.
So, keep the nose of your aircraft heading in the right direction.