Strategic planning involves the development of long-term strategies to increase the profitability and competitiveness of your farm business. This may involve developing new enterprises for your farm such as organic production, on-farm processing, direct marketing of your products to consumers, or the efficient production of traditional farm commodities.
The purpose of the strategic planning process is to design a farm business that allows the individuals involved in the business to achieve their personal goals. You can do this by using the strengths of your business to take advantage of opportunities in the industry. Strategic planning involves developing plans for your business and implementing and evaluating these plans.
Strategic planning looks outward and inward at the business, considers all available resources, and evaluates past performances. It focuses on managing interactions with competitors, neighbors, government agencies, suppliers, customers, special interest groups, and others. The primary purpose of strategic planning is to keep the business in step with a changing environment. It anticipates the future and considers the future but does not attempt to predict it.