| DMAIC stands for Define, Measure, Analyze, Improve | | | | percent, all activities to support this objective will |
| and Control. Here we analyze how these steps can | | | | need to be mapped out. This can be easily done with |
| streamline the business planning process. | | | | the help of a fishbone diagram, which is a simple |
| Define | | | | graphical tool used to create a structure that would |
| This is the phase that requires attention to VOC, | | | | delineate the interrelationships between the different |
| which is "voice of the customer". Here you are the | | | | aspects of the business. Using some other analysis |
| customer since the business plan is meant to serve | | | | techniques along with this will help you gain an |
| you. There are other minor customers, such the | | | | in-depth understanding of the more complicated |
| government, partners and shareholders etc., and all | | | | aspects of the business. |
| have an interest in the business. Here you define | | | | Improve |
| what you wish to achieve with your business in the | | | | Once you have completed the analysis, it is time to |
| near and foreseeable future. | | | | initiate improvement-oriented actions. If you have |
| Measure | | | | decided to make improvements to sales through a |
| The purpose for measurement is to set the targets | | | | marketing campaign, the improvement stage is |
| to be achieved. The baseline for measurements is | | | | where you determine the modalities. |
| the previous year's budget and accounts. For making | | | | The entire action plan for overall improvement would |
| a business plan, the previous year's gross margin and | | | | be a collection of small, individual activities but each |
| profit in dollar terms would serve as parameters to | | | | would be tied into the fishbone diagram reflecting |
| determine the projected targets that need to be | | | | support to the overall objective. |
| achieved. | | | | This would serve as a reference document to |
| Analyze | | | | identify the message, targets, timing and vehicle; |
| This is the stage that requires you as the business | | | | which would actually detail the who, what, how and |
| owner to put in the maximum effort, as it is here | | | | when -keeping you focused. |
| that you will critically examine your business to | | | | Control |
| identify areas for improvement. As overall business | | | | This is the monitoring stage. Here you would list the |
| objectives are achieved through a variety of actions, | | | | activities that you would undertake to ensure that |
| it is necessary to break down the entire process into | | | | you are keeping track of progress, and taking |
| different activities, depending upon what exactly | | | | whatever corrective action is required for putting |
| your business does. However, there are some | | | | things in order if they go off track. |
| activities that are common to most businesses that | | | | This may involve some sort of periodical reporting |
| are helpful in understanding the process. | | | | connected to lead conversion, production, sales, cost |
| For example, if your objective is to achieve one | | | | reporting or service delivery. |
| million dollars in profit with a gross margin of 15 | | | | |