What is the cost of a failed strategy? Depending on your organization, it will range
from lower revenues to bankruptcy. Was
it a faulty strategy or simply a failure to execute? Over the years, I’ve seen dozens of good
strategies fail because they weren’t executed.
Strategy is like driving – you can’t steer a parked car and you can’t
execute a strategy stuck in park.
When I first evaluate a failed strategy, rather than examine
its construction, I look for signs of execution failure. Execution failure is easy to spot. A quick look at how strategy is understood within
the halls of a company will tell you a lot.
Do the employees have a clear picture of how the company creates value
for its customers? Do the employees
describe the unique value proposition of the company the same way the executive
team does? Are managers using their strategy
to prioritize their work and guide their decisions?
When you observe execution failure, the answer to these and
similar questions is a resounding “no”!
So, instead of jettisoning the strategy, look first at execution. Effective execution starts with
alignment. In practical terms, it
requires the company’s model, organizational construct, and culture to be consistent
with its strategy. If the strategy is
reasonable the culprit is most likely misalignment – start there. Do your metrics reflect and support your
strategy? Do your policies and
procedures recognize and reward the right behaviors? Can everyone answer the question “why do
customers buy from us” in a consistent way?
Complex strategies also contribute to execution
failure. One of the most challenging
tasks of an executive team is to create a simple and compelling summary of its
strategy. The old adage ‘less is more’
is critical to strategy execution. When
employees can’t identify the line of sight from their contribution to the
company’s strategy, failure is on the horizon.
Briefing the strategic plan to your workforce is not sufficient to bring
alignment or relevancy. Just as Tip
O’Neill stated that “all politics is local” so also all strategy is local. Translating and localizing strategy is a
critical function for all leaders – make it accessible and meaningful.
Ignition happens when the leader’s strategy and workforce
alignment intersect. The spark is from
the vision and the fuel is employee engagement.
Success comes from bringing the spark and fuel together in the same
place at the same time. Every
organization is unique and the root cause of misalignment is sometimes
difficult to spot. One of the best tools
to uncover these disconnects is the Prana Business PB Line-of-Sight™ diagnostic. It focuses on the strategic elements that
drive execution and employee engagement, and allows understanding of the root
cause factors that impede the joining of the spark and fuel.
Lastly, don’t boil the ocean. Strategy execution requires a series of
connections. Once you identify the
factors that are hampering your execution, select the levers that maximize
progress and focus there. Employees expect commitment and consistency from
their leaders. When they see alignment
within the leadership team, they will be more likely to follow. Once you get the flame started, consistently
feed the fire with new fuel. Keep your
employees engaged with regular deliveries of strategic content and they will keep
the fire burning.
Duane Grove is founder of Connect2Action, a strategy
execution specialist at the intersection of employee engagement and executive
leadership, igniting innovation as a lever to accelerate your growth. Follow Duane on Twitter @connect2action and
connect with him on LinkedIn, Facebook, and Google+. Learn more by visiting
www.connect2action.com.
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