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Strategy Doesn’t Matter – Unless You Can Execute It…

Strategy Doesn’t Matter – Unless You Can Execute It…

By: Jim Gitney   |   blank  May 2, 2021
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Studies indicate that 90% of all companies do not execute their strategic plans effectively. So, only 10% of companies execute their strategies!? Why is there a problem with Strategic Execution™; the ability to implement strategy effectively and sustainably? Is it because they don’t care? Feel like strategy is a check the box activity?

There are multiple issues here that companies need to deal with:

  • Formation of the strategy
  • Execution of the strategy

Often times it’s the strategy itself, or lack thereof, which is the culprit. We will look at the other elements of Strategic Execution, systems, processes, organization and culture, in subsequent articles. For now, let’s consider the “What happened to my strategy?” question. Some companies have never had a true strategy in the first place. The owner/CEO is so hands-on and the work so tactical that the “strategy” is “keep up with orders, react and get through the day.”

Or…

Strategy might be “something we used to do, with an accompanying “It’s around here somewhere” attitude. The recent downturn pushed many companies into a simple “survive” mode. Some have yet to emerge from this to a strategy that is focused on getting through this economic inflection point and thriving.

Or…

A company may have a strategy, but it has about a quarter-inch of dust on it. We can all agree that things — global economics, technology, social and political influences — have changed a good bit over the past few years, but few companies have viewed the strategic needs of their business from those perspectives.blank

Strategic planning needs to be done differently in today’s environment given the Economic Inflection Point every business is going to face over the next 18 months. Every strategic plan should have:

  1. Most Important goal – Only one that the company strives for and everything else is built around it
  2. Clearly defined strategies and tactics for the three primary horizontal business processes:
    1. Market Effectiveness
    2. Business technologies – Quote to Cash
    3. Value Added activities – manufacturing, supply chain, and  services
    4. as well as….. Organizational Effectiveness

Sound strategies in the prevailing, dynamic business environment can have short half-lives and need to be reviewed routinely,  Not every quarter, but every month, some part of the the strategy should be reviewed.  One month it is operations focused and the other month it is market focused.  Every quarterly meeting, a bit more time is added to talk overall strategy at the business level. We do all of this virtually through our Virtual Strategic Planning process.

If you’re in the 90%, it’s time to take a look at your strategy and why you struggle so much here.

Group50 Consulting offers full strategic planning servicesstrategy planning workshops, assessment, development, planning and execution services that will cater to your specific business. Our assessments identify the unique opportunities for your organization and our workshops, systems, and training provide guidance to focus on your strategy and its execution. Group50 Consulting is equipped to work with you and help you lead your strategic planning process and drive your Strategic Execution for organization-wide success and sustainability.

If you want to find out where your company stands from a strategic planning and strategic execution standpoint, call us at (909) 949-9082, drop us a line at info@group50.com or request more information here.


 

About the Author:  Jim Gitney is the Founder and CEO of Group50. Jim and the Group50 team are considered strategy, operations and supply chain subject matter experts. Group50 Consultants are all former operating executives who understand operations at all levels.  They have held positions on boards, in the C-Suite and in every functional role in a business.  Jim and the team know how business works and how to quickly move the strategic needle.

This entry was posted in Inflection Point, Market Effectiveness, Strategic Execution, on May 2, 2021
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One Comment

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    Ahmed Altaf October 19, 2014 at 11:44 am

    There is a huge gap between strategy formation, strategy presentation and strategy communication, while it reaches the stage of execution the implementation depends on the human factor which is not necessarily is always the same person as the one who designed the strategy, communicated and presented the strategy.

    Based on the research papers it is clearly evident that most of the strategies success factors are not measurable and does not verify the success of the strategy as well most of the designed strategies are not the same as implemented ones and these are some of the gaps.

    All these gaps result to very poor implementation of the strategy.

    I am just at the beginner level in strategy but would appreciate all your comments.

    Thanks for reading.

    Regards,
    Ahmed Altaf

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