GROWTH AND PROFITABILITYOptimizing the Finance Function for Small and Emerging Businesses phần 10

strategy if the worst-case scenario were encountered? This section is critical for

those who may be skeptical of the relevance of the finance strategy and its ability

to be implemented. Skeptics may lie in wait for a bump in the road that may derail

the overall effort or call it into question. Defining these bumps in the document will

put all members of the organization on notice that certain events or issues may be

encountered that could change the landscape of the overall effort. This section is

not a list of excuses for the finance strategy to fall short; however, in this section

the finance strategist can establish realistic expectations for all involved. Risk fac￾tors of note for Downey Interiors include the need to commit the organization to

long-term information system construction and maintenance. The need to develop

solid GAAP accounting methodologies for the company is also mentioned. These

particular items communicate two considerations that could dampen the effective￾ness of the finance strategy or impede its development altogether.

PUTTING THE DOCUMENT TO USE

The organization must ensure that after the document is written, the finance strategy

is implemented. Doing this means mobilizing available resources and procuring

those that are not readily available. The objective now shifts from conceptualizing

and designing to action and follow-through. The finance strategist must contend

with barriers to completion and internal and external events that may hinder ac￾complishing key tasks and initiatives. Three issues will require attention:

1. Administering the strategy. Often the organization defines a limited role

for the finance strategist. If the organization has hired a consultant or a

contract employee to conceptualize and design the strategy, it may not

be in a position to retain that person as the overall administrator of the

strategy. This may be the case for small and emerging businesses due

to budgetary constraints, or it may be that the consultant/ contractor

does not wish to take on the role of administrator. Business owners/

managers must understand the role of the finance strategist from the

outset of the strategizing effort to ensure that a proper succession of

dedicated personnel has been arranged to put and keep the strategy in

motion. The intention may be for a member of the management team to

take on the role of administrator. If this is the case, the business should

demand that the proposed administrator be involved, to some extent, in

the conceptualization of the strategy. The organization also may de￾mand that a comprehensive strategy document be crafted and commu￾nicated to the management team. The organization may want to keep

the consultant/contractor for a limited time to ensure that an adequate

PUTTING THE DOCUMENT TO USE 231

transfer of knowledge has been made to the administrator. The role of

the strategist at this point is one of support, ceding the executive duties

related to the strategy over to the new administrator.

2. Developing/managing subinitiatives. The strategy administrator’s ma￾jor role is to manage the subinitiatives and tasks that make up the strategy.

More than likely, small and emerging businesses have to manage limited

resources for these purposes. The challenge, therefore, is to utilize avail￾able resources wisely in achieving the desired end. Downey Interiors must

create a data flow process where it never existed before. Doing this will

not be a simple task but rather an iterative, evolving one that may demand

considerable resources. The strategy administrator must be aware of who

is most suited for these tasks and prepare them for the challenge. Signifi￾cant up-front time may be required to explain the objective of the pro￾posed process and the key dependencies/factors. This task also may

demand steady monitoring to ensure that the process development stays

within both the design parameters and the necessary time constraints.

The strategy administrator also must dedicate time to the develop￾ment of subinitiatives. Doing so may involve ensuring that certain subini￾tiatives or proposed tasks are relevant and constructive and do not create

more issues than they solve. To this end, the strategy administrator may

purge proposed tasks from workflow rather than initiating them. This

high-level awareness of the strategy is vital given that many aspects of the

strategy will be assigned to various parts of the organization, some of

which are nonfinance areas.

3. Making changes. Change will be constant throughout strategy follow￾through. Finance administrators may or may not be the strategists, but

they must be knowledgeable enough to understand the dynamics of the

strategy and its supporting initiatives and possess the administrative skills

to coach personnel through shifting tasks and initiatives. The external and

internal business environment is in a constant state of flux, which may

generate significant changes to the strategy. For example, the system de￾sign for Downey Interiors may be impacted by a new requirement of ven￾dors that all orders be done online (over the Internet). Downey must be

prepared to refocus its efforts on developing the capability to place orders

online or risk being cut off by key vendors. Additionally, an unreasonable

time element may make matters more complicated. The finance strategy

administrator, therefore, may be called upon to be the de facto strategist.

Managing shifting needs, resources, and expectations will be critical to

the success of strategy administration. The strategy administrator must be

prepared to recognize these changes and incorporate them into the over￾all plan.

232 WRITING THE STRATEGY DOCUMENT