Be honest, most meetings are a useless use of valuable time. Come one, admit it. I know there are a whole bunch of you that don’t share my viewpoint. You, instead, seem to thrive on the ‘next meeting’. Well, if you’re so intent on scheduling meeting after meeting then, at the very least, learn to run them more efficiently.
Most business planning meetings are painful exercises in inefficiency. Here’s a way my co-author Christiane Schneider and I have been using for years to improve them.
The Whole And The Parts
What is the goal of a business planning session? To develop plans which help reach the goals of the company.
The challenge is that you can’t optimize the system by optimizing the sub-systems. This means that, to do the best for the company, it is not sufficient that each business unit has the best plan for itself.
In fact, to reach the highest performance for the company, it is necessary that no business unit pursues the highest performance for itself.
For example, sales revenue maximization does not entail profit maximization. It is possible for the sales organization to focus on selling a higher revenue but lower margin product mix than the profit maximization goal would indicate.
Similarly, it is possible for the procurement organization to focus on low cost materials that minimize manufacturing costs but create higher warranty costs—let alone quality problems that upset customers. It would be optimal for them to spend a higher amount, sub-optimizing their cost reduction goal, in order to optimize the profit maximization goal. . . [read via LinkedIn]