The first 100 days move toward two outcomes: a Business Plan and an Action Plan. Step 3 builds the Business Plan; Step 4 launches execution. At this stage, the Business Plan is an early iteration that is structured enough to guide decisions, flexible enough to adapt as it’s tested against reality.
A full turnaround takes time, but in 100 days you can create the structure that sharpens focus, reallocates resources, and positions your team for profitable growth.
From Strategy to Structure
Step 2 gave you a strategy. Step 3 turns that strategy into structure by applying the 80/20 Principle to segment customers and products, spotlight the Fort, and clarify where profitable growth will come from.
Divergent and Convergent Thinking
Numbers alone show opportunity. Disciplined thinking decides what to do about it.
Step 3 starts with divergent thinking – broad brainstorming across leadership to surface possibilities such as:
- Entering adjacencies or new markets
- Product development and line extensions
- Acquisitions or divestitures
- Supply chain or footprint changes
- Build vs. buy decisions
- Capability enhancements
- Core business improvements
- Competitive positioning initiatives
Then comes convergent thinking—narrowing the list to a small set of priorities that answer three critical questions:
- Where will we compete?
- How will we compete?
- How will we win?
Zeroing in on Priorities
The process then assigns financial targets to customer segments or product lines, stress-testing whether the strategy supports the goal set in Step 1. If gaps exist, resources shift from lower-value quadrants into Quad 1.
Through this process, leaders identify the “critical few” initiatives, usually 3 to 5, that offer the highest return. For each, you must define:
- Required changes
- Financial projections
- Resource needs
- Risk assessments
Producing the Business Plan
The outcome of Step 3 is a segmented Business Plan that provides clarity on:
- Boundaries of the business
- Core capabilities and strategic assets
- Market and customer dynamics
- Competitive positioning and sources of advantage
Finally, it restates 3 to 5 high-priority objectives tied to customer segments, product development, channel access, operational effectiveness, or data requirements. With this in place, you’re ready for Step 4: launching the Action Plan.
We’ve seen leadership teams cut through dozens of competing “priorities” and align on just 3–5 initiatives, freeing up millions in resources and unlocking double-digit EBITDA growth within a year.
The Bottom Line
Step 3 turns strategy into structure. It’s where ideas are tested against reality, filtered down to the critical few, and organized into a clear Business Plan.
At The 80/20 Institute, we help leaders build segmented Business Plans that sharpen focus, reallocate resources to the Fort, and align execution with financial targets.Schedule a Discovery Call today to start building the structure your turnaround needs—one that adapts to change, guides execution, and drives profitable growth that lasts.