In • no • va • tion
: a new idea, device, or method
: the act or process of introducing new ideas, devices, or methods
— Merriam Webster Dictionary
The competitive landscape in the Age of the Customer [that is today according to Forrester] is fast-paced, confusing, and full of tantalizing off ramps that ultimately lead nowhere. One wrong turn can set you back miles. Worse still, you end up taking a road with a lot of twists and turns that eventually brings you right back where you started — frustrated, tired and resource depleted.
The need for agility, innovation, and warp speed time-to-market make flawless strategy development and execution imperative. And yet, for most firms strategy is a dirty word. Something consultants dreamed up to extract large sums of money for telling you what you already know.
A tech firm CEO turned venture capitalist recently told me “no one has time for strategy these days, they are too busy with the day-to-day needs of the business. Of course, that’s the reason why so few companies survive the start-up phase in the first place. They lack a tenable strategy.”
The problem is one of ignorance and fear of the unknown. Most executives lack the know-how or means for creating an effective strategy. Or, they simply fail to recognize that strategy is not merely a process or thing to be attained. Strategy relates to every area of your enterprise, from culture, mission and values to processes and procedures.
Why does it matter? Because inculcating the elements of strategy into every aspect of your business reaps big returns over the life cycle of the organization.
Here are four steps you can take to demystify the strategy development and execution process and integrate the elements of business strategy into every area of the organization. We call it the Big IDEA!
Imagine. Imagination begins with reality not fantasy. Analyze the market. Is it over or under-developed? What is the ideal buyer profile? Who are the market leaders? What is the potential for disruption? Where does your firm fit within the competitive environment? Where is the market headed? How can you develop solutions sensitive to the market’s growth trajectory? Where do you see your firm three, five, even ten years down the road? Imagine the ideal path for getting there.
Define. Now that you know where you are going, it’s time to map out the most efficient route for getting there. Define and prioritize action items in collaboration with all functional areas of the business. Identify, prepare, and allocate the necessary resources. Develop processes, methods, and partnerships [where relevant] for delivering maximum value to the target audience.
Execute. Establish accountabilities and performance measures. Define ongoing methods for monitoring and reporting performance milestones throughout the organization. Make sure each and every team member understands how their contribution impacts results — which means you will most likely have to do away with Management By Objective (MBO), internal politics, and hierarchies. Fine-tune processes and procedures based on client and team member feedback.
Augment. Resist the temptation to sit back and count your money. Now that you are engaging clients and team members with passion, what can you do to form even deeper, more meaningful relationships? How can you make it easier to do business with your firm? Are there opportunities to increase value through product bundling and / or cross-selling? Is there an opportunity to transform your industry by completely rethinking your product and service delivery framework? Are you selling to the right people? Where can you find additional clients just like your best customers?
Strategic planning and execution is not an esoteric concept reserved for annual meetings and self-aggrandization. It should happen every day at every level of your organization. When it does, your firm will reap big benefits — both in terms of profit and productivity. But more importantly, yours will be a company everyone recognizes and appreciates for making an important contribution in making the world a better place to live and work.
If you would like to put the elements of the Big IDEA into practice for your organization MindMeld can help. Please contact me at doug.knuth@mindmeldmarketing.com. Our proven methods for establishing precisely defined operating principles and short– and long–term business strategies help you engage prospects, clients, and team members with equal enthusiasm.
© copyright 2015, Doug Knuth, MindMeld Marketing, Inc. All rights reserved.