Knowing the difference between 'operations' and 'strategy' is vital to the growth of a small business

Stephen Grootes speaks to Allon Raiz, renowned business incubation pioneer and CEO of Raizcorp, about the common pitfalls small businesses face when developing a strategy.

Listen to the interview in the audio player below.

Many small business owners spend a lot of time creating plans for success. They set goals, talk about their vision, and write strategies to grow their business. But despite all this effort, things often don’t work out as planned.

The problem is usually not a lack of vision. Most small business owners know what they want to achieve. The real issue is poor execution, or having limited understanding of how to achieve it.

Speaking to Stephen Grootes on The Money Show, Allon Raiz, renowned business incubation pioneer and CEO of Raizcorp says most businesses fail to understand the difference between business 'operations', and business 'strategy'.

Raiz says operations are the daily functions of a business, while strategy is the rollout of something new that will eventually result in the businesses growing.

"The problem is that there is very little understanding of what strategy is. The framework is your current situation, where I am right now, where I want to be which is vision. And the strategy is how I get there."

- Allon Raiz, CEO - Raizcorp

"Strategy is about the creation of new. Something new has to happen."

- Allon Raiz, CEO - Raizcorp

"What I try to get small businesses to understand. If they want to move to the next level, they've got to bring equality to the operations, which I call the queen, and the strategy, which I call the king."

- Allon Raiz, CEO - Raizcorp

Scroll to the top of the article to listen to the full interview.