making your strategy work

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Making Your Strategy Work: can your organisation successfully execute its strategy? Globalisation, new technologies, and incredible transparency in a consumer domain are key drivers in every business environment and the main reason for the variability leaders often face. Our rather unpredictable reality poses a tremendous challenge to executives in many domains: how can we successfully execute our strategies every time? “A brilliant strategy, blockbuster product, or breakthrough technology can put you on the competitive map, but only solid execution can keep you there.

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Page 1: Making your strategy work

               

Making  Your  Strategy  Work:  can  your  organisation  successfully  execute  its  

strategy?      Globalisation,  new  technologies,  and  incredible  transparency  in  a  consumer  domain  are  key  drivers  in  every  business  environment  and  the  main  reason  for  the  variability  leaders  often  face.  Our  rather  unpredictable  reality  poses  a  tremendous  challenge  to  executives  in  many  domains:  how  can  we  successfully  execute  our  strategies  every  time?    

                                                             “A  brilliant  strategy,  blockbuster  product,  or  breakthrough  technology  can  put  you  on  the  competitive  map,  but  only  solid  execution  can  keep  you  there.  

Page 2: Making your strategy work

You  have  to  be  able  to  deliver  on  your  intent.  “–  HBR,  “The  Secrets  to  Successful  Strategy  Execution”,  June  2008      The  best  preforming  companies  know  they  have  to  translate  the  abstract  into  concrete  every  day  principles  relying  on  their  own  uniquely  developed  talent  and  competencies.  These  organisations  design  and  build  their  own  specific  skills  to  set  them  apart  from  competitors.  They  then  bring  those  capabilities  to  scale.    Charles  Schwab  used  chalk  and  the  nu  mber  “6”  to  motivate  a  factory  of  steel  workers  toward  higher  output.  You  can  do  the  same  with  your  organisation  by  creating  standards  that  are  visible  to  everyone.      Over  decades  of  helping  organisations  transform  their  strategies  into  a  daily  routines,  we  developed  the  House  in  Order  (HiO)  process.  HiO  is  a  set  of  routines,  tools  and  effective  communication  tactics  to  address  systemic  issues  uncovered  from  diagnostic  data  analysis.      HiO  drives  business  improvements  for  a  competitive  advantage  in  the  marketplace  and  most  importantly  enables  the  organisation  to  become  fast,  adaptive,  and  responsive  to  the  customer.  Consisting  of  four  fundamental  building  blocks  executives  can  use  to  influence  execution  more  effectively.  HiO  is  a  process,  not  just  a  tool.      

   1.  Mine  data  and  discover  Everything  starts  with  a  solid  diagnostics.  Organisations  must  first  organise  and  collect  data  across  their  enterprise.  This  is  not  an  IT  exercise.  It  must  be  driven  with  clear  organisational  vision,  working  across  business  units  to  collect  and  aggregate  data  based  on  business  drivers,  breaking  down  silos.  It  opens  communication  from  the  CEO  to  entry  level  analysts.    Internal  data  is  often  unknown  and  highly  variable.  Different  business  outcomes  require  data  with  different  levels  of  accuracy,  granularity,  and  availability.  The  business  art  comes  when  organisations  fine-­‐tune  their  internal  processes,  and  with  the  need  for  agility,  providing  flexibility  and  technology  that  adapts  to  change.    This  analysis  phase  is  key  for  forecasting,  budgeting  next  steps,  and  clearly  articulating  how  people  will  work  together  to  solve  the  problem.  Competitive  

Page 3: Making your strategy work

intelligence  along  with  the  correct  decision  makers  at  the  table  will  enable  transparent  and  effective  thinking.  HiO  cannot  start  without  this  core  element.      2.  Inform  and  communicate  through  visual  representation    Data  is  complex  and  often  abstract.  Intelligent  and  creative  leaders  find  ways  to  make  data  decisive  with  clear  information  and  points.  This  is  beyond  graphs,  charts,  and  lines  –  visual  artefacts  need  to  tell  the  story  of  a  company’s  reality,  not  merely  report.  Organisations  must  concentrate  on  targeted  question,  fiercely  protect  scope  around  selected  areas  and  leave  other  degrees  of  visibility  untouched  until  needed.      3.  Develop  performance  monitoring  and  steering  tools    Once  the  data  has  been  collected  and  understood  it  is  time  for  leaders  to  react.  HiO  is  a  process  for  building  tools.  The  tools  your  organisation  creates  should  connect  leaders  and  managers  by  breaking  down  silos  between  business  units.  Executives  must  know  how  and  when  new  elements  of  data  and  activities  will  affect  the  product  lifecycle.  Correctly  designed  tools  directly  incorporate  customer  requirements  into  product  development.      4.  Integrate  tools  and  processes  into  the  company  environment    A  company  drives  synergies  and  collaboration  when  everyone  is  aligned  across  people,  process,  and  technology.  Connecting  enterprise  business  units  using  techniques  such  QFD  and  VoC  are  essential  for  maintaining  up  to  date  standards  and  cutting  edge  design.    Those  who  identify  needs  for  change  from  internal  data  analysis  and  diagnostics  are  setup  to  succeed.  The  first  diagnosis  identifies  the  problem  that  may  be  treated  with  the  HiO  process.  The  tools  built  from  HiO  affect  the  whole  company.  This  includes  SMART  re-­‐definition  of  objectives  and  financials  over  1-­‐3  years  and  team  building  where  it  is  most  needed.      The  HiO  process  focuses  on  increasing  collaboration  and  communication  within  an  organisation,  moving  everyone  toward  a  common  goal  and  purpose.      Companies  spending  most  of  their  time  on  the  technical  side  of  data  must  pivot  and  reconsider.  They  should  expand  their  focus  and  incorporate  HiO  process.  They  must  concentrate  on  uncovering  the  business  questions  that  need  to  be  answered  directly.    Keep  the  organisation  focused  on  practical  opportunities  and  tangible  outcomes.  Data  complexity  is  happening  whether  you  are  ready  or  not.                    Get  ready  for  it.  Coddel  helps  clients  obtain  rapid,  actionable  insight  into  their  business,  to  enhance  revenue  and  profit,  reduce  costs,  and  improve  decision-­‐making  processes  and  customer  relationships.