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We can?t seem to operate without a business plan these days: can?t get funding, can?t plan for the future, can?t ?develop?. But what useful purpose do these plans really serve? Hilary Keenleyside explains.

It?s a pity we borrowed the term ?business planning? straight from the realms of commerce ? there?s nothing guaranteed more to turn off our creative colleagues than to mention the word business ? out goes creativity and freedom ? in come accountants and consultants. It all has to boil down to money ? or does it? What place does a business plan have in our cultural ventures? And what do we mean by ?business? in the context of the arts? Let?s forget that somewhat pejorative word for now, and look at it from a different, non-commercial, angle.

Charting a direction

Would you sail a small boat across the English Channel without a plan of how you were going to get there? You might. You might think ?my objective is to sail from Portsmouth to Cherbourg, meet some friends, have dinner, buy some wine and cheese and have a great experience?. You know which direction Cherbourg is in, and as long as you keep pointing at it, and moving forwards, you will get there. Eventually. Possibly. Or you might end up in the Channel Islands. Or, worse still, you might never get there.

There will be more variables at work than we think. Circumstances change - the tide will carry us in one direction for some hours and then in another, the wind will blow or not, the sea will be smooth or rough, our crew will know what they are doing - or not. Many, many things will alter during the trip and each can have a significant impact upon our progress. What we really need to do is to make a proper plan that identifies our goal, how we are going to get there, what resources we need to achieve this and what contingencies we need to make just in case circumstances change or things go wrong?..

It?s exactly the same when we embark on journeys (also known as ?development projects?, ?annual programmes?, ?future season planning? etc.) in our own working environments. We might be a super tanker, like the Royal Opera House, unable to make changes speedily, but aiming to sustain quality, increase access and improve working conditions for 2004/5, or a nimble, manoeuvrable racing yacht like SeaChange in Great Yarmouth, a small arts development agency able to respond quickly to local conditions, but faced with many immediate and challenging opportunities. The same conditions apply in each case. It?s better to have a plan for what we are trying to do ? this simply means properly thinking it through. The result is about so much more than just money. In the end, the figures are merely a translation of your actions into another language that ties it all together. Getting the actions right and getting them resourced (supported, financed) is what matters. The translation of this ?joined-up thinking? is your plan.

Adapting to the conditions

Back to sailing. First we need to consider the external environment. What?s happening out in the English Channel, how busy are the shipping lanes, how many small boats are nipping across, are the tides strong, what?s the weather forecast? Equally, in our own working environments, what?s happening out there? What are the forecasts for getting the right artists, collaborators, audiences, participators for our journey ? will they be interested enough in what we are trying to do? Will they take part, will they pay money to attend? Will the funders (if need be) cough up? In order to cross the English Channel, we may have to make a detour to get through the shipping lanes legally ? are we prepared to make compromises (for example, with funding agencies, local authorities) to complete our artistic journeys? Are we prepared to make detours? Are we prepared to take longer to achieve our objectives if need be ? not to suit ourselves but to suit others?

Internally, do we have the crew (colleagues) with the right skills and experience? If not, can we find them at a price we can afford? Will they commit for the whole journey or might they jump ship to a bigger vessel at some point? Do we have enough financial resources to last the whole journey? Have we shown the harbourmasters (board) our plans and are they going to give us permission leave port? Do we have contingency plans if the wind blows us in completely the wrong direction? How will we know the journey has been worth it ? how will we evaluate the quality of the food and wine (artistic experience, end product) when we get there?

Routes to the future

These are merely examples of approaches to good planning and forward thinking. If tackled properly, this route to the future can be applied imaginatively and it will supply an invigorating challenge to our creative colleagues, with the result often being better than the first, typically untested, ideas.

The aptly named SeaChange, originally set up with A4E money, is now consolidating its position and preparing for the next stage of its development. However, before being funded to do this, it was charged with producing a business plan. Having viewed it at first as a necessary evil, Stephen Page, its Director, is now convinced of the value. ?Feeling you know what you're about is one thing, but putting your ideas into words and figures, making it cogently argue to your most cynical imaginary critic, is quite another. Having gone through the process, I?m now converted. Business planning is a just as much an essential part of the creative process as knowing what your artists can do. I?ll never be the same sloppy and disorganised visionary again ... because our programme is so concerned with the politics of inclusivity, increasingly we?ve got to articulate what the arts can offer cross the regeneration agenda. With a clear and growing plan, we?re able to offer the arts contribution in a way that the key funders can understand and approve of, see the planned impact and make adjustments on the way. This will have all kinds of positive spin-offs or us when it comes to demonstrating the role we can play in the bigger plans for local development?.

Therefore, don?t be put off if you?re challenged to produce a business plan. Put the word business to one side and get on with planning your creative journey. Investigate and challenge your plans and assumptions, test them externally and internally, get your resources lined up, get your colleagues and supporters signed up, be prepared for the winds of change and challenge to blow and set sail. Bon Voyage!

Hilary Keenlyside is a Director of Bonnar Keenlyside and a Sloan Fellow of London Business School. She has piloted clients through the business planning process many times and has sailed regularly across the English Channel. t: 020 8962 9710 (London)/01592 874478 (Scotland) e: info@b-k.co.uk; w: http://www.b-k.co.uk