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STRATEGY implementation is a bit like tidying your bedroom. It seems like a
good idea and you have a clear objective, but when you get down to it, it
isn’t as easy or as exciting as it could be, and you end up leaving the
place in disarray.
There are lots of chief executives who have experienced the corporate
equivalent of a messy bedroom only to find that their carefully-formulated
strategies for tidiness have led them to close the door quietly behind them.
The basic problem is usually not one of bad strategy but badly-executed
strategy. Business brains, it seems, are better at drawing up strategies
than at implementing them. The Economist Intelligence Unit and Marakon
Associates found that two-thirds of senior executives believe they are worse
at executing a strategy than at developing it. This shortfall is hitting
them where it hurts — in their wallets.
Increasingly the ability to draw up a decent strategy isn’t seen as
particularly big or clever. Let’s face it, there is no shortage of
consultants and MBA graduates who have read the books and bought the
T-shirts. It is the ability to execute well that differentiates. But the two
— planning and implementation — aren’t mutually exclusive, says Jim Scholes,
a director of Strategos, a strategy consultancy, and professor of management
science at Lancaster University Management School. “If strategy is
effectively coming from outside the organisation — often from consultants
and sometimes from inside the heads of one or two very smart people —
implementation is almost bound to be problematic,” he said. “Think about it
this way: if a strategy is beyond an organisation’s capability to conceive,
why should one believe it is within its capability to implement?”
It is a situation which is akin to trying to build a flat-pack kitchen using
only the designer’s sketch. That is why Scholes advocates bringing designers
and builders together.
Good examples of companies that have used collective brain power to align
thinkers and doers include Danone, in Poland, which sent its top management
team with a group of 20 young managers on fact-finding tours to London,
Chicago, Istanbul and Barcelona to come up with new local strategies. There
is also Nokia, which turned around its fortunes with the creation of a
company-wide “strategy architecture” to involve all employees in generating
new ideas.
Linda Holbeche, director of research and strategy at Roffey Park, agrees: “It
is not just about drawing on the brains at the top but about drawing on
everyone’s brains.”
She says that if the people implementing the strategy are different from those
who devised it, then there needs to be flexibility and “space for people to
bring their own two-pennorth”. The downfall of many a strategy has been the
“Fred said” scenario, with people slavishly following instructions unable to
take any initiative, she adds.
DATA FILE
STRATEGY is a word that has been hijacked by academics and profiteers. It
sounds important and it promises to give us a leg up in corporate life, if
only we knew what it meant. In this ten-week series Career is translating
some of the gobbledegook into practical advice. Each week we cover an aspect
of the basics — What is a strategy? How can you get one? And why bother?
This week we talked to Roffey Park(www.roffeypark.com), we read Steps to Implementation
by Jim Scholes, published on the European Business Forum (www.ebfonline.com),
and Strategy: Create and Implement the Best Strategy for Your Business (Harvard
Business Essentials, £12.99)
Next week: How you can learn to think more strategically and why you would want to anyway.
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