Do You Know Why Your Strategy May Fail?
Not all strategies lead to results…even the best laid plans may not yield the outcomes you hope for. Yet, few executive teams spend the time required to identify and overcome why your strategy may fail and the associated strategic barriers to success.
Only 10 Percent of Strategies Get Fully Executed
How bad is it in the corporate world? 9-out-of-10 strategies fail to meet expectations. According to research by IBM, only 10 percent of organizations manage to successfully implement their strategies on a consistent basis. This is pretty shocking and worrisome.
What’s Going Wrong with Strategy Execution?
We find five key reasons why your strategy may fail. Most identify where corporate strategy execution fails to meet the mark.
1. Too Complex
Not least of which is the complexity of today’s marketplace. Large companies deal on a global level with multiple divisions producing a variety of offerings. It is increasingly difficult to get the right product or solution to the right customer at the right time at the right price.
2. Varied Buy-In
Strategic buy-in accounts for 31% of the difference between high and low performing strategies. If employees aren’t actively involved in creating the strategy or if they don’t have a clear understanding of the organization’s plan for success and what it means for them, how can they help support it when the going gets tough?
3. Lack of Accountability
But perhaps the greatest fault lies in the lack of follow-through. Unless and until the workforce believes that the strategy matters, that it is committed to at the highest levels, and that there will be consequences for those who don’t support it, employees tend to go about their business as usual.
4. Culture or Talent Misalignment
Even companies with clear and believable strategies can be thwarted at execution time by misaligned culture or talent. Why? Because strategies must go through culture and people to be successfully implemented. Winning strategies are implementable in your unique culture with your people.
5. Conflicting Performance Measures
A company is only as strong as the sum of its parts. If sales is at odds with marketing or product development, or if multiple business units are competing for the same customers or resources, or if teams are striving for conflicting outcomes, overall success will be diluted. Make sure your success metrics align across regions, functions, business units and teams if your strategy needs synergy to succeed.
Three Steps to Decrease Your Chances of Strategic Failure
1. Develop a Plan That Has a Few Crystal Clear Goals
Don’t try to cover too much at once. Focus in on the few critical strategies that will make the most difference in your business. We find the most successful leaders have two or three main strategic thrusts that rally the entire organization.
Any more than that, and focus gets weakened. Whatever you choose to address, keep it simple.
2. Actively Involve Those Responsible for Executing the Strategy
Remember that it is not the executives who, ultimately, will implement your strategic plan. You need every employee to get behind the strategy and drive it toward success. This means that you have to involve them in creating it.
At a minimum you must present the plan and invite input in order to gain commitment. Share the reasons for the plan and inspire employees with your view of a successful outcome. Frequent, consistent, across-the-board messages and opportunities to discuss the strategy are the minimum required to begin to gain buy-in and commitment.
3. Create Accountability and Follow Through
Develop clear success metrics to track progress toward strategic goals. Be transparent as benchmarks are met or not. Show that you are serious about execution by holding employees accountable for results.
Recognize and reward those who work toward the end goals and have consequences for those who don’t. Meet on a regular basis to look at how well you are doing and what you could do better.
The Bottom Line
Winning strategies outline clear and compelling choices about where to play and what critical few actions to take. Strategic planning is the beginning, not the end. If you keep it simple, actively involve your key stakeholders from the outset, and hold people accountable, you have a good chance of beating the odds.
To learn more about why your strategy may fail and how to beat the odds, download 7 Strategic Clarity Warning Signs to Pay Attention To
4 Keys to Keeping Talent Up to Date
Why Employees Change Their Mind
In the Next Generation Management Development courses, I was trained with skills and tools that have made me and my team more productive, motivated, and successful at communicating with other departments.
Firmware Engineering Supervisor
Over the years, both at 3Com and now at Redback, I’ve found LSA Global to be a valuable resource. The recent compliance program that they delivered for Redback’s executive and management team was the right solution, of the highest of quality, and customized to our business and culture. I would highly recommend LSA to any company looking for top quality solutions.
Vice President of Human Resources
I’ve partnered with LSA Global at two companies now, and I consider them a valuable and trusted training and consulting resource. They recommended just the right solution to address our management development needs and have wonderful facilitators that match YuMe’s culture and style of our management team. I would highly recommend LSA Global to any company wanting to deliver quality learning solutions with a valuable learning and development partner.
On behalf of Roche and my staff I would like to sincerely thank you for your help with this. The English as a Second Language (ESL) assessment and coaching that you provided for our team was a great success.
“We turned to LSA to help us custom design and deliver a leadership and management development curriculum to help drive performance. They have done an excellent job diagnosing the business situation, designing an approach that fits our culture, and delivering a first class solution.”
VP Human Resources
Hyperion has a commitment to lifelong learning. LSA helps us provide the right business sales training, management training programs, and leadership development programs at the right time to meet the needs of both individuals and departments. I especially appreciate their ability to listen to my needs and recommend the appropriate facilitators, solutions and content.
Senior Project Manager
I am very impressed with the quality of work and talent. LSA did a great job of listening to my needs and providing the exact management training program expertise I needed to get the job done.
Director, Business Planning & Analysis
LSA’s Employee Engagement Consulting and Survey work has provided critical visibility into: how well our people are holding up under the general economic environment, as well as, the specific challenges that face biotechnology companies in their efforts to discover and develop new medicines; their level of alignment and commitment to XOMA’s Vision and mission critical strategies; how leadership practices and management systems support an environment that engender commitment, and the specific actions that our leaders can take to improve on areas that are important to our people. I highly recommend LSA’s employee engagement solutions.
Vice President, HR and IT
We consider LSA our true business partner in the areas of Learning and Organizational Development. From Strategic Planning to Presentation Skills and Management Training, they continue to provide excellent value and extremely high quality solutions – not just one time events. I recommend them to anyone looking to drive true business results.
Michelle A. Mitchell
Vice President, Worldwide Human Resources
LSA has been a tremendous asset to my portfolio, both at my current company and my past company. As an HR leader, I am always looking for ways to find external resources that can provide a solution to our management training needs. LSA does that for me. Their solutions are presented in a much more leadership-oriented manner so as to be crisp, business relevant, and easy to apply right back on the job. I will continue to augment our programs using LSA solutions.
VP of Human Resources
We partnered with LSA to pilot a customized behavioral interviewing program to help ensure that we continue to hire the best and brightest as we continue to rapidly scale. LSA’s ability to understand our business and our unique culture combined with their desire to ensure that the best practices framework truly fits our performance environment and is highly adopted by our people is a real blessing. Most other firms want to just ‘give you training.’ Not LSA, they are focused on helping me hit our hiring forecasts and attract A players.
Director of Global Recruiting
Here’s a token of my appreciation for ALL your efforts. I’m offering my most sincere appreciation, and it extends to all the folks who made our customized management development programs possible.
Workforce Planning Bureau
LSA exceeded all my expectations. We interviewed 7 potential training and consulting partners and selected LSA due to their expertise, flexibility, and breadth and depth of solutions. We were able to construct a management training course from the modules most appropriate to our needs, and are able to provide additional training from their well developed portfolio of experts. Our managers galvanized as a team throughout the session and are better prepared for the rigors of a competitive market.
We have worked with LSA Global for our learning and development needs and have always had great success. They helped us recently with customized Management Workshops that we held for the second time. It was fantastic, and I would highly recommend LSA to anyone that is attempting to get immediate and impactful improvements.
HR Manager, BU Radiology Informatics
What a refreshing change from the half-baked psycho-babble you normally get from training and consulting organizations. LSA gives you the practical and results-oriented assistance you need to define and reach your goal. They provide a results driven plan – not just a temporary fix. They are great to work with, and even more importantly, they “get it!”
Vice President Human Resources
Download key published insights and tools from industry experts highlighting best practices in the areas of talent, strategy and culture.
Want to know how you stack up against leading organizations? Receive a complimentary benchmarking analysis courtesy of an LSA Expert.
Get up to speed on timely solutions critical to your business. Published by LSA Experts based upon client feedback and key industry trends.
First we identify the key metrics you want to improve. Then we assemble a dedicated team of elite experts who have successfully solved similar problems with similar clients.
Stay up to do date with the latest information on how we help high growth companies align their culture and talent with strategy.
Real world consulting and training approaches from LSA projects, providing insights on how your company can outperform the competition.