Business plan +

Personal plan
 Business plan provides the direction where the firm is going.
 Personal development planning is the process of creating an
action plan based on awareness, values, reflection, goal-
setting and planning for personal development within the
context of a career, education, relationship or for self-
improvement.
PROSPERITY FOR ALL
• Profit is a requisite for business. There are three
essential elements to create profit for a business
idea: Cash, inventories and receivables.
Collectively called the Wealth Conversion
Principle

CASH RECEIVABLES

INVENTORIES
• Every business starts with an ides. The Cash is
used to buy inventories (oftentimes on credit by
established business but cash would still be
needed to pay when credit becomes due),
Inventories are sold, often with some credit
terms, and when these receivables are
collected, they are converted back to cash. It is a
cycle with each cycle adding greater value to the
firm.
• As the cycle continues, more cash flow and
wealth are created. Without cash flow and
wealth for the company, nothing can be shared
with its employees and community, so it is
important to formulate a plan to attain critical
mass of customers not just to attain profit more
importantly, cash flow
3 Ss REQUISITES TO PROSPERITY

SPREAD
SQUAD CASH INVENTORIES

RECEIVABLES

SPEED
• SQUAD – a Team (or squad), includes his/her
choice of business partners. This is largely a
human challenge.

• SPREAD –Spread or margin, ensures product

are higher than the cost it was bought or
manufactured, it is the difference. This is largely
a marketing challenge.

• SPEED – in order for the entrepreneur to

convert receivables back to cash by way of
collection. They need to create a system to
manage account receivables effectively, also
known as speed.
3 KEY FACTORS TO SUCESSFUL
ENTREPRENEURSHIP

COORDINATION

COMMITMENT COMPETENCY

KFS
• COMMITMENT- is a strong drive to achieve
goals and objectives through focus and pro-
active follow-through.

• COORDINATION- is the organization of

different people or groups coming from various
functions to attain efficiency, effectiveness
and/or impact.

• COMPETENCY- is having a combination of

ability, attitude and behavior to do a particular
job or role repetitively well.
GATEKEEPERS OF 4 GATE MODEL
GATES INTERESTS AND GATE KEEPERS
EXPECTATIONS

Preparations Profit and dividend Owners and

Stockholders

Marketing Quality and good price Customers

Execution High pay and work-life Employees

harmony

Self-Leadership Fulfillment Self

 12 Ms TO SUCCESSFUL
ENTREPRENEURSHIP
Gate 1: Preparation
1. Money(or its equivalent)- is the cash component that creates
the cycle of wealth conversion and prosperity.

2. Model- is the business model or the big picture plan to

generate sale revenues, profit, cash flow, growth and how to
scale up.

3. Mentors- are the experienced advisers who can add value to

the entrepreneur by giving sound guidance to increase the
competency, lessen the risks, and help open more
opportunities for the entrepreneur to succeed
Gate 2: Marketing
1. Mindset- is about beliefs the innovation is better
than the commoditization, that being an
innorpreneur is better than being just an
entrepreneur.

2. Market- is the set of buyers that an entrepreneur

focuses attention on, starting from beachhead market
in the beginning, and then adjacent markets for
future expansion. It also includes the channel where
the target market can find what is being offered

3. Message- is the brand positioning that will be

communicated to persuade the target customer to
buy.
Gate 3: Execution

1. Machinery- is about an organization structure that

can deliver the value planned; hence, the
organizational structure can only be identified after
the value proposition is formulated.

2. Methods- are about systems and processes that

allows the entrepreneur information an control.

3. Management Skills- is about the ability to carry out

the plans through people, rewards and leadership
Gate 4: Self-Leadership
1. Moving Forward- is about having the grit to continue
the business despite of the obstacles.

2. Mission- is about purpose or the reason why the

business exists beyond making profit. It can help
encourage the or motivate entrepreneurs in knowing
that their actions are not just for selfish objectives but
also for the benefits of other.

3. Mastery- is about building capabilities knowing the

nuts and bolts of the business well and eliminating
gaps in the know-how.
4 Cluster Capacity Requirements
• Intelligence quotient (IQ) for preparation, or the
capacity to think and reason

• Creativity quotient (CQ) for marketing, or the

capacity innovate

• Emotional quotient (EQ) for execution, capacity to

sense and empathize

• Adversity quotient (AQ) for self-leadership, or the

capacity to recover and make progress
 D: SELF-
LEADERSHIP
Moving forward
Mission
Mastery

A: PREPARATION C: EXECUTION
Money
Model
4 Capacities needed Machinery
Methods
Mentors by entrepreneurs Management Skills

B: MARKETING
Mindset
Market
Message
Is Entrepreneurship for everyone?
• Entrepreneurship can be learned but it is not for
everybody. Passion is required to learn and keep
moving forward, but contrary to popular advice,
simply having the passion to be an entrepreneur
is not enough. One needs to have a healthy risk
appetite, to be bold and have a high tolerance for
failure to grow big.
7 Competencies of an Entrepreneur
1. Risk Appetite- sees rewards for taking on
opportunities that have potential positive (or
negative) consequences.

2. Sensemaking- scanning the environment to

detect and interpret what is happening today
in order to connect and take actions and
potential future outcomes.
3. Customer Focus- choosing, initiating and
sustaining relationships with the customers.

4. Initiative- being proactive in taking prompt

actions to attain objectives

5. Influence- ability to use personal branding and

interpersonal styles to gain buy-in constituents.

6. Adaptability- adjusting to external changes

while initiating internal changes to attain
objectives.
7. Grit- persistency to attain long-term goals
despite adversity.
Classification in Competencies of Entrepreneurs

• Personal Competencies-is made up of self-

awareness and self-management

• Interpersonal Competencies-refer to the ability to

interact positively and get along well with other

• Business Competencies-including the combination

of pooled knowledge and technical capcities that
allowed it to be competitive in market place
4 Competencies of an Innovator

• Creativity- forming a mental image or new idea

about the future.
• Critical Thinking- offering unique way to solve
problem.
• Collaboration- developing relationships with the
right partners to attain objectives.
• Communication- engaging constituents to make
them understand and accept your message.
The 12 Ms Entrepreneurship Journey Map

Preparation
• Money
• Model
• Monitors

Marketing
• Mindset
• Market
• Message