South Carolina Small Business Development Centers Strategic Plan
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1 South Carolina Small Business Development Centers Strategic Plan
2 South Carolina Small Business Development Centers Strategic Plan Executive Summary: The South Carolina Small Business Development Centers (SC SBDC) have been producing significant economic impact by assisting entrepreneurs and small businesses throughout the state for more than 30 years. Historically, our strengths have included assistance in getting new businesses launched, guidance in obtaining financing and preparation of business plans and loan packages. However, in recent years the marketplace and environment have changed significantly. Products and business practices have advanced and SC industries have evolved. At the same time, the economy has suffered a serious downturn from which we are still recovering. As a result, small business needs have changed. While assistance with business plans, start-up and early stage business issues continue to be needed, opportunities to help established businesses with a variety of challenges have dramatically increased. The SC SBDC has become much more engaged in helping these enterprises with fiscal management to support current business and future growth, strategic planning, marketing, sales growth strategies, export and government contracting assistance and more. This strategic plan for is the second four year strategic plan the SC SBDC has developed since 2011 to address these changing needs and anticipated future needs. In the fall of 2014, we conducted a statewide small business needs assessment (which is repeated every four years) in order to obtain current data on client needs before we begin the planning process. This survey is conducted with several other small business service providers in order to get as broad a data base as possible. The data obtained along with input from key partners and stakeholders was used as a starting point for the SC SBDC network strategic planning process. The network conducted a new SWOT analysis which highlighted several key challenges: 1. Awareness. The SC SBDC has made major strides in improving both awareness and credibility. Ongoing marketing of our capabilities and achievements is necessary, especially in specific areas where we have less of a presence. 2. Tools. As we continue to expand and upgrade the services we offer, we must continue to seek tools/technology and methodologies that raise the quality and consistency of our services. 3. Internal Processes/Systems. As the network evolves, we need to elevate and improve operating and service processes in order to drive efficiency and effectiveness. Market data continues to verify that there are diverse markets in various regions of the state which require SBDC assistance. In addition, there are several industries that impact most of the state in which small business is a critical component of the supply chain: 1. Aerospace ( Boeing and other aerospace/aviation companies) 2. Automotive (major players like BMW, Michelin and other tire manufacturers) 3. Energy 4. Agri - biotech As a result, we will put focus on these growth industries as well as continue to seek efficient and effective ways to ensure that all types of small businesses and entrepreneurs in all market segments are served.
3 Finally, the small business needs assessment told us that small businesses currently need assistance in three primary areas. The top three categories are the same as four years ago, but the order has changed with marketing and financing/fiscal management trading the number 1 and 3 positions. 1. Marketing 2. Sales and growth strategies 3. Financing and fiscal management The strategic plan that follows was developed by the entire network and serves as our primary guide in daily activities, current priorities and future planning. It is reviewed and discussed regularly so that we stay on course while also making adjustments as needed. Once again, the entire organization is to be commended for the outstanding teamwork that has and will continue to contribute to this plan as it guides our future success. Michele Abraham State Director
4 MISSION To advance South Carolina s economic development by helping entrepreneurs grow successful business. VISION The SC SBDC shall be recognized as the gateway and proven provider of small business assistance driving entrepreneurial growth and success. To the state of South Carolina this means BIG business because: State and local communities experience economic growth, reaping the benefits of SC SBDC contributions. The SC SBDC is a partner of choice in university/public/private collaborations to grow small business and its leaders. SC SBDC innovative tools and practices are trusted by South Carolina s small business owners to give them a competitive advantage in a dynamic economy. The SC SBDC is recognized as a world class team that leverages its network and resources to get economic results. Stakeholders recognize the SC SBDC s value and provide sustainable funding to ensure continued economic impact. VALUES 1. Integrity: The SC SBDC is committed to high ethical standards, always doing the right things for the right reasons. 2. Commitment: Responsively serving clients is our core mission and first priority; working individually and as a team, we anticipate and meet client needs with relevant, leading edge services. 3. Professionalism: We are dedicated to cultivating a capable team of business consultants that demonstrates unwavering respect and courtesy for client, stakeholders and ourselves. 4. Confidentiality: We vow to maintain the confidentiality of client information, ideas and results. 5. Accountability: We hold ourselves to the highest order of responsibility and stewardship with client, stakeholders and ourselves.
5 2014 SWOT Strengths Weaknesses 1) Good public image and value - proven outcomes/results ( SBDC works ) 2) Wide variety of excellent core & specialty knowledge, skills and services 3) Geographic coverage footprint/ availability to the general public and government agencies 4) Strong relationships/collaboration with stakeholders, partners and hosts that leverage resources and provide a comprehensive package of services 5) Network wide communication and teamwork 6) Documentation (Neoserra system) and data verification 7) Consistent and unique services including one on one counseling and no or low fees 8) Strong organizational branding including web presence and social media 9) Assist with networking (esp. PTAC) 10) Gateway/entry point for business assistance 11) Integration of PTAC and SBDC-seamless referrals and service 12) Professionalism and passion for work/consulting 13) Access to key financial institutions, programs and solutions for funding 14) Ongoing training and development for consultant staff 15) Supportive leadership 16) Agility and flexibility to meet demands 17) 4 host consortium mitigates some risk of 1 host changing course 1) Ongoing funding challenges (need for greater advocacy & coordinated fundraising across network) 2) Gaps in presence and lack of awareness in specific areas (eg. legislature) 3) Not systematic enough in some business processes (eg. standard client assessment tool, client segmentation, etc.) 4) Better use of technology (have improved) and need to bring more online 5) Lack of succession/continuity planning staff turnover 6) High client expectations promoting low cost services creates perception of low quality? 7) Need better leverage & promotion of SBDC package of services 8) Lack of cohesive marketing via local media 9) Pay not standard throughout state 10) Growth of competitive organizations that have some support from SBA, DOC 11) Need more professionally produced products 12) Volume of paperwork (federal requirement) 13) Are we organized to further increase team consulting and outcomes? 14) Need to collect more client data and use it more effectively to further improve services 15) Generational gaps impact communication & effectiveness
6 Opportunities 1) Continue to improve reputation, visibility, value with legislators, business community, host decision makers 2) Grow services in un/under-served communities leveraging local funding support (Hispanic, rural, mid-sized firms, minorities) 3) Increase Advisory Boards support/advocacy with funders, stakeholders, clients, hosts 4) Expand co-counseling by using more on-line tools (improved skill sets matrix, electronic forms, etc.) 5) Leverage improving economic conditions to increase client growth, success 6) Increase economic outcomes by targeting existing high potential companies 7) Increase funding/services by winning grants (grant specialist) 8) Develop fee based services (website building, in-depth analysis, etc.) 9) Expand Profit-Cents or alternative 10) Develop mentor programs for new employees 11) Create & promote comprehensive client training program (including B2B mentoring and small group topic driven sessions) 12) Design new programs to help returning military personnel start/ grow businesses 13) Develop niche market segments (dentists, lawyers, restaurants) 14) Create a systematic client segmentation process that maximizes value of services to all clients 15) Continue increasing awareness and client interaction via social media (SBDC app, etc) 16) Expand programs with key partners (USDA, client certification program with banks,etc) 17) Continue to develop/expand/integrate export and tech commercialization services (NEI goal to double exports by 2020) 18) Understand small business provider competition to secure SBDC s unique role 19) Identify new methods/tools for lead generation Threats 1) Ongoing state/federal/host funding constraints (leadership changes, loss of support) & competition for $ (costs rising) 2) Competition from other service providers, including fee based and incubators 3) General economic conditions 4) Lack of awareness of the SBDC (significantly improved) 5) Predatory/fraudulent organizations misleading clients (grants, etc.). Using free SBDC assistance, but charging clients fees (SCRA) 6) IT advances ahead of SBDC capability internal fear of new innovative approaches 7) SBA bureaucracy impeding speed, agility and results of SBDC 8) Limitations on political contacts imposed by hosts 9) SBDC image does not attract second stage growth companies promote free less and key services more (export, government contracting, strategic planning, etc) 10) Accountable to KPIs we can t control 11) Generational gaps could impact effectiveness with younger clients 12) Unskilled workers clients unable to find qualified employees 13) Uncoordinated fundraising efforts around state could threaten state support/funding
7 Goals, Strategies and Action Plans Goal 1: Increase Resources (Increase and stabilize funding and support resources to ensure the SC SBDC s continued economic impact.) Strategy 1: Maintain existing funding. Actions: a. Conduct semi-annual discussions with key legislators (ask them to share SBDC impact with peers). b. Seek private sector donations (banks, utility cos., industry assns., city & county councils, small business owners, vets programs, etc.) c. Continue professional interface with SBA (quarterly resource day, Salute to Small Business, co-presentations, vets programs, etc.) d. Continue relationships with host universities Strategy 2: Generate new grant/contract/donations funding. Actions: a. Participate in partner funded activities and ask for funding support (eg. Chambers, ED groups COGS, Vet Affairs/Natl. Guard/military facilities, SC DOT, SC DOC, clients, tech commercialization partners, clusters, etc.) b. Where possible, pursue outside grants/contracts that align with the SBDC strategic plan and augment our resources (CDBG, private sector grants, WIA, etc.) c. Pursue outside federal/state contracts that align and augment resources. Strategy 3: Enlist the help of clients we impact successfully to advocate for the SBDC. Actions: a. Continue standard procedure to let clients know at the start of their work with the SBDC that the cost of using the SBDC is to become an advocate for the SBDC b. Send clients the SBDC request for Letters to Legislators each January (copy to local SBDC center) c. Encourage client participation to meet with stakeholders one-on-one or in groups. Possible U-Tube/video testimonials Strategy 4: Generate fee-based services. Actions: a. Identify competitive rate and charge for specific SBDC workshops and seminars. b. Establish fee for in-depth series of workshops. c. Evaluate fees for in-depth export and marketing plans & complete financial analysis
8 Strategy 5: Add value to host institution relationships. Actions: a. Proactively identify faculty and staff to collaborate on client/student projects. b. Leverage graduate students/undergraduate student workers in centers where not currently utilized c. Encourage student participation in SBDC activities d. All consultants should make themselves available as guest speakers in classes and to communicate this to host faculty and staff Goal 2: Build awareness. (Increase recognition of the SC SBDC as the gateway and key player in economic development with more local effort as driven by market need and opportunity) Strategy 1: Streamline and effectively target SBDC marketing and communications to yield greater advocacy, funding, in-kind support and increased referrals. Actions: a. Define stakeholder lists at each level of the organization to effectively message influencers, clients, policy makers, strategic partners, professional organizations, community leaders and media. b. Develop and maintain market specific electronic resource directory of key business resources (bankers, CPAs, attorneys, insurers, graphic designers, IT, human resources, etc.) to provide additional support to SBDC clients. c. Identify needs and opportunities with specific local market impact where SBDC can play a positive role and target appropriate stakeholders to effectively respond. d. Define key information/announcements to share locally (new staff, awards, funds received, new centers, new projects, key local initiatives, economic impact/performance of SBDC) e. Develop formal training and reference documents on the state website to guide field on designing impactful breaking news, effective social media content, media releases and success stories f. Leverage local partners membership lists (host, chamber, SCORE, Rotary, etc.) to inform their membership of SBDC activities, services and initiatives g. Plan targeted, strategic speaking engagements to communicate SBDC economic impact and performance h. Create key referral source/lead cultivation program. Input data consistently in Neoserra on referral sources and use/analyze to identify strongest ones. Design information that assists referral sources to better qualify SBDC client referrals based on specified criteria, cluster, etc. Strategy 2: Create a disciplined approach to cultivating stakeholders which converts them to advocates. Actions: a. Target policy makers, funders, legislators, collaborating partners for one-on-
9 one contact. b. Orchestrate meet and greet coffees between legislators (local, state, federal) and SBDC clients who are their constituents) c. Communicate state and local performance and economic impact to key influencers listed above. Strategy 3: Re-examine and recalibrate regional/local advisory boards as appropriate. Actions: a. Analyze current effectiveness and impact of regional boards on the mission of SBDC, plus their role, accomplishments and action agenda. b. Study the value of replacing regional advisory boards with local boards for greater effectiveness and targeted activities on behalf of local centers. Goal 3: Be client/market focused. (Identify and focus on meeting both current and emerging client and market needs to maximize economic growth). Strategy 1: Research market needs through multiple sources and incorporate data into strategic plan/priorities. Actions: a. Support local economic development council priorities. Obtain economic development scorecard annually. b. Obtain client feedback via quarterly client satisfaction survey. c. Apply feedback from partner organizations to local SBDC efforts. d. Assess current long term client survey process and feedback (Chrisman). Strategy 2: Utilize internal and external resources to provide high quality assistance to clients. Actions: a. Conduct initial assessment to identify client needs. b. Develop partnerships with other private, public and educational organizations to avoid duplications of services and provide a coordinated effort. c. Maintain and use skill set matrix to facilitate team counseling. d. Utilize standardized workshops/presentations or local market data. e. Update staff section of website to share information and best practices. Strategy 3: Target sources that refer potential clients. Actions: a. Utilize Neoserra to ID referral sources of clients that create KPIs. b. Develop relationships with key referral sources. c. Provide key referral sources contact information to Lead Center s Executive Assistant (newsletter). Strategy 4: Differentiate SBDC consulting methods (vs. other consultants). Actions: a. Convey value of KPIs to client. b. Promote SBDC expertise and continuing education requirements and certifications. c. Convey value of practical experience across the network ( street smarts, hands-on)
10 d. Convey value of lead business consultant and access to all SBDC resources (statewide and nationally). Goal 4: Develop/adopt tools and processes to allow us to be successful. (Continually develop innovative, efficient capabilities that ensure our ability to give South Carolina small businesses a sustainable competitive advantage) Strategy 1: Continue to facilitate a culture of communication across centers (willingness to share resources and time to best serve clients). Actions: a. Make skills matrix accessible to the network and more user friendly to easily identify strengths within the organization. Possibly transfer information into Neoserra. b. Identify and use software and tools to facilitate shared counseling across center/region borders. Software options such as Adobe Connect, Skype and Google Hangout are available. c. Continue to structure a mechanism for regular communication and/or resource updates system-wide (in person, phone, online, etc.). Conduct regional KPI meetings and ensure region newsletters are issued. d. Develop a crisis communications plan for the SC SBDC that will govern employees responses in the event of a media relations issue affecting the integrity of the organization. Strategy 2: Establish a standing process improvement task force/team to identify, evaluate, resolve issues on the horizon that impact SC SBDC effectiveness (multi-region teams that work over a 3-6 month period each on specific issues). Actions: a. Identify issues to be addressed. Use of social media outlets such as Alignable and LinkedIn can be utilized to promote idea share with. Strategy 3: Continue the process of periodic technology assessments in centers to ensure we all keep up. Actions: a. Identify needs and what tools are available to meet these needs. Reorganize staff site to allow easier access to tools and training information. b. Ensure that all centers meet a consistent, minimum level of technology and capability (identify and procure as resources allow). Communicate to regional director software updated needed. c. Establish and periodically revise social media and website standards for the network. Consider possibility to streamline website and social media efforts to have one site instead of state site and various area/region sites. Strategy 4: Expand/enhance intranet, website or other online repository of data, calendars, training resources, templates/forms, assessments, communication. Actions: a. Assess how clients contact us. Continue to work on client segmentation and process flow improvement. b. Develop and maintain statewide online calendar and event registration
11 through state SBDC website. Streamline efforts by incorporating calendar on social media outlets (eg. Alignable for the Town Calendar feature). Goal 5: Maximize SBDC organizational effectiveness (Hire, train and develop professionals who have the skills, knowledge and tools to function as a world class team that achieves exceptional economic impact.) Strategy 1: Continue to improve communication and sharing of best practices. Actions: a. Reconvene the process improvement task force/team (see goal 4, strategy 2). Consider Market research tools, business plan template alternatives, Bizbenchmarker vs. ProfitCents and existing business/sba entrepreneur assessment forms. b. Improve communication procedures: (1) Share region newsletters, current events, statewide orientation schedules, etc. with entire network; (2) Useful search engines; (3) Categorize consulting tools; (4) Add workshop videos/tutorials; (5) Industry expertise, technical and professional skills c. Cross train consultants by industry/skill segments Strategy 2: Leverage expertise and skill sets to achieve maximum effectiveness. Actions: a. Integrate a more sophisticated Skills Matrix database to include access by Category, ie: industry expertise, technical and professional skills (see goal 4, strategy 1) b. Identify and engage external experts to conduct internal training c. Establish a train-the-trainer program (internal). Refer to strategy 3 Strategy 3: Provide training and tools that ensure consistent, high quality services to clients. Actions: a. Implement internal standardized training (i.e. train-the-trainer) b. Continue to utilize external certification programs such as NDC, CGBP, etc. Strategy 4: Provide advancement opportunities and recognition for staff and students. Actions: a. Provide career advancement paths. Example: develop/adopt Consultant Advancement Program (senior consultant, etc.). Communicate statewide job opportunities through state website (staff section) b. Continue to recognize and communicate stellar performance: (1) Creation of incentive (2) Create evaluation programs
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