An executive summary is the most important component of a business document. It's the first (and sometimes the only) part that others read, and the last one you should write. It is simply a brief summary of the document, and is written primarily for busy readers who will find it in their hands. At first glance, they will know whether to continue reading and understand what actions they are likely to have to implement.
Steps
Method 1 of 2: The Basics
Step 1. You must first know that an executive summary is a brief review of a business document
The keywords, in this case, are review and brief. The executive summary is by no means exhaustive, and does not even replace the original document. Compared to the actual text, the length should never exceed 10%. Consequently, make its content equal to 5-10% of the document.
An executive summary is different from an abstract. An abstract offers a general overview and orientates the reader, while an executive summary is basically a summary. Abstracts are usually written in academic settings, while executive summaries are typically typical of the business world
Step 2. Make sure it adheres to certain stylistic and structural guidelines
Most executive summary authors who have authority on the matter agree that certain rules apply regarding style and structure. Here are some of them:
- Paragraphs should be short and concise.
- Executive summaries should also make sense to anyone who hasn't read the original report.
- Executive summaries should be written in a language appropriate for the target reader.
Step 3. Define the problem
An executive summary must clearly express an issue, whether it relates to supply chain management or overseas marketing campaigns. Executive summaries, specifically, require clear problem definitions. In fact, the documents on which they are based, i.e. requests for quotations or offers, are often written by technical specialists who are not familiar with conceptual issues. Make sure the problem is defined in clear and understandable terms.
Step 4. Offer a solution
A problem always requires a solution. To be able to state a mission statement (and a reason to fund the initiative), you need to present the solution in a way that effectively tackles the problem. If you don't define it clearly, your solution is less likely to make sense.
Step 5. If your document is easier to scroll through this way, use charts, bullets, and headings
An executive summary is not an essay. You don't have to write long blocks of text. If they improve comprehension or facilitate general reading, you can use:
- Graphs. A graph placed in the right place and illustrating the precise nature of the client's problem could quickly convey the reason for the summary. Stimulating the sense of sight is often as effective as stimulating the analytic sense.
- Bulleted lists. Long lists of information can be broken down into more digestible bulleted lists.
- Titles and sections. If necessary, organize the themes of the abstract by titles and sections. This will allow the reader to orient himself as he reads the summary.
Step 6. Make the writing immediate and free of jargon
Jargon is the enemy of understanding. However, it is often very popular in the business world. Expressions such as "interface", "leverage", "distinctive competence" and "burning platform strategy" should all be carefully avoided. They make the true meaning incomprehensible and can make the summary seem vague and lacking in detail.
Method 2 of 2: The Details
Step 1. Start from the original document
Since the executive summary summarizes another document, you need to be familiar with the original text to condense it into a manageable and informative version. Whether the original document is a report, business plan, proposal, manual, or other type of text, reread it and research the main ideas.
Step 2. Write a short introductory paragraph
What is the purpose of the company sponsoring the document or of the original text itself? What is its goal?
Example: "Association X is a non-profit organization whose intent is to establish an all-female worldwide network and offer effective solutions against domestic violence. Furthermore, it aims to offer a support network to women who were victims. Despite the operations taking place at the headquarters, which are located in Rome, the association was joined by women from over 170 countries scattered around the globe"
Step 3. Make the introduction interesting
This section is probably the most important part of the entire executive summary. In two or three sentences, you should explain to the reader why your company is special. Why does it deserve readers' analysis, participation or collaboration?
- Maybe there's a celebrity among your customers, and they've advertised your product for free on Twitter. Maybe you recently signed a partnership agreement with Google. Maybe you've just received a patent award or made your first big sale.
- Sometimes, a simple quote or testimony is enough. The key is to get the public's attention, make the business look as respectable as possible, and intrigue the reader into reading the rest of the document.
Step 4. Define the main problem
Discussing the problem is the first real ingredient of an executive summary, so define the usefulness of your products / services to solve it. Make sure you explain this as clearly as possible. A poorly illustrated problem doesn't seem convincing, and as a result, your solution won't have the same impact it should have.
Example: "Rome has been paralyzed by traffic. There are few Italian cities where this problem has such a considerable impact. And the problem is not just stress. Smog and pollution caused by traffic jams reduce worker productivity, increase the risk of suffering from asthma and slowly generate serious health problems. In Rome, there are more cars than adults to drive them"
Step 5. Offer a one-time solution
Illustrating the problem is easy. Now, you need to persuade the reader that you have a one-time solution at hand to fix it. With these two ingredients, you'll have a solid proposition from yours.
Example: "Innotech has created an innovative system to control the traffic. Our patented sensors have been installed on roads with traffic controlled by traffic lights. They analyze the quantity of cars on each single carriageway and direct the traffic accordingly. In this way, the travel times are considerably reduced. Italian motorists will no longer have to waste time at the red light, staring inert at the empty streets which the traffic light has given the green light"
Step 6. Talk about the market potential
Work out the initial problem further by providing statistics regarding your industry. Be careful not to pretend you have a bigger market than it actually is. The fact that the medical device industry bills 100 billion euros annually means nothing, because your new equipment will only be bought by a small segment of the market. Make calculations based on realistic market potential.
Step 7. Incorporate a unique selling proposition
At this point, you need to work out your original solution. What are the characteristics that give a competitive advantage to your product or service? Maybe you offer a home computer repair service and send graduate engineers to clients' homes, not technicians; you may be able to guarantee visits on the same day of booking, so that you don't have to book them well in advance. Emphasize why you are special.
Example: "Intellilight offers an additional benefit: its sensors are able to detect the presence of people in a space. If a light is left on in an empty room, the system automatically turns it off, and then turns it back on when it detects movement in the room again. room. This allows the customer to save on electricity bills, and the waste of energy is less"
Step 8. If necessary, talk about your business model
Some executive summaries do not require a business model (non-profit and non-governmental organizations are an example). However, if yours needs it, the template needs to be clear and easy to follow. Basically, you have to answer the question "How are you going to get people to take out their wallets and give you their money?". The model must be simple, especially in an executive summary. A brief summary is all it takes.
Step 9. Talk to your management team if necessary
Depending on the industry, this can be one of the most important parts of the executive summary. Investors or banking institutions put their trust in a team, not an idea. Ideas come and go, but implementation can only be done by a strong team. Quickly demonstrate why your team has the experience and knowledge to deliver the business plan.
Step 10. Provide financial projections to support your claims
Based on your market, your business model and your historical performance, you need to develop ascending financial forecasts. The purpose of these projections is simply to demonstrate your skills and ability to make economic forecasts based on a solid set of assumptions.
If your plan is aimed at a group of investors, don't waste too much time on this part, because they know you don't have a clue of possible future earnings. Investors don't usually make a final decision based on the financial projections they read, they make their own forecasts
Step 11. Please enter your request carefully
At this point, you need to apply for an investment or a loan, this depends on the purpose of the executive summary. You should reaffirm why your business generates value. Remind the reader that you are capable of solving big problems and that you have some market potential. Finally, put the emphasis on your team and their ability to get the job done. Claim the amount of money needed to achieve your main business goals. Do not disclose the principal or interest rate you are willing to pay. This should be done later, during a face-to-face negotiation.
Step 12. Review the summary
After writing the main parts, read it carefully. You should correct it very carefully. As you reread it, consider the recipients of the document as well. Make sure you explain the parts they don't know and that the language is clear to someone unfamiliar with the subject. Rewrite it according to your needs.
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Ask another person to reread the executive summary, paying particular attention to:
- Clarity. Are the words and ideas clear? Does the abstract contain no jargon?
- Errors. Grammatical, punctuation, and spelling errors may abound. It is also preferable to ask someone to check the figures and statistics.
- Effectiveness. Do the ideas translate into an interesting presentation? Are there any points where it goes flat?
- Consistency. Which parts are not consistent? What are they?
Advice
- The busier the reader, the less likely they are to read the summary. Write accordingly.
- Document templates found in most word processors can help you get started.
- Executive summaries may vary based on the length of the source document, but should always be relatively short. Your goal is to put as much information as possible in a minimal or moderate space. If you include details in the summary, include the most important points at the beginning, such as your considerations and recommendations.
- These tips can be used to write executive summaries in a variety of business contexts.
