Every business needs a long term strategy and annual goals. It is acknowledged best practice for MGAs to have a strategy document that includes a business plan covering a 3-5 year period.
This should outline the current shape of the business, the key risks and opportunities identified by management, and a roadmap for achieving its objectives within the lifetime of the plan.
A typical MGA strategic plan will include:
• Executive summary: a condensed version of the overall plan, usually completed last
• Mission statement: a summary of business aims, ethos and culture, setting the tone from the top
• SWOT analysis,: a breakdown of strengths, weaknesses, opportunities and threats identifying where attention and resources should be concentrated
• Key Performance Indicators (KPIs): setting out the metrics and criteria on which the business will assess its success
• Competitor analysis: looking at where the MGA sits within its broader market context and identifying opportunities for growth
• Financial projections: a financial breakdown of how the 3-5 year plan can be realised.
Completed plans should be updated at least once a year, and progress against them continually monitored.