Posts

Showing posts from November, 2024

Leading the Shift - How Leadership Drives the Strategy Transition

Image
Leadership plays a pivotal role in transforming an organization’s strategy from ineffective to impactful. According to Richard Rumelt’s Good Strategy/Bad Strategy , a good strategy requires a clear diagnosis, a guiding policy, and coherent actions. Yet, moving from a bad strategy to a good one demands more than just a framework; it requires leadership to inspire, plan, execute, and sustain change. As we are not aiming to delve into the treats of leadership team or how to differentiate between manager and leader, we are here only focused on what leadership team should do to ensure the strategy is actively and correctively transformed to action plans and executed accordingly This article outlines how leadership can initiate the transition, design a clear roadmap, enforce the new strategy, and measure performance to make course corrections when necessary. 1. Initiating the Change: Setting the Tone and Vision Leadership must first recognize the presence of a bad strategy and crea...

The Kernel of Good Strategy - Connecting Boardroom to Operation

Image
  In most organizations, no matter what the board members strategies, plan and work on selecting the right KPIs and put policies and framework in place, yet teams on the ground perform their day-to-day work on As-Is basis prefer the no-change, no-risk, no-responsibility work mode. Decision makers will lean after sometime to let the plan be a plan and let the operation proceed as-is. The real-issue, there is no or limited connectivity between boardroom objectives and the personal objectives of the operating teams. The connectivity issues may come from different gaps in the implementation plans like communication, functional decomposition, KPIs, career progression, training, business process, and many other things Richard Rumelt’s Good Strategy/Bad Strategy introduces the "kernel" of good strategy—a framework built around diagnosis, guiding policy, and coherent actions. While this approach provides clarity at a high level, its real value lies in how it connects the strategic ...

Strategy Capsules - Strategy Shift Examples

Image
  Management consultants often rely on acronyms and buzzwords, which can make strategies appear overly complex. Our mission is to distill large, macro-scale strategies into clear, actionable, and easy-to-understand processes. Effective consulting teams excel in adapting their communication style and approach depending on their audience, ensuring alignment while staying focused on the organization’s objectives and goals. Hence the need for simplification. Organizations striving for rapid progress or recovering from setbacks often choose to proactively embrace transformation rather than risk being left behind by external changes. Below, we highlight examples of companies that successfully shifted their strategies and reaped significant rewards. 1. Shell (Restructuring in the 2000s) Diagnosis: Shell faced falling profits due to over-diversified projects, inefficiencies in its operations, and weak cost controls. Guiding Policy: Streamline operations and focus on core areas of e...