[Editor's Note: Almost 2/3 of all strategies fail to reach expectations. Why do so many business strategies fail? Below are some key reasons. Knowing the barriers in your organization to successful planning and execution is the first step. Clients that follow our recommendations have significantly outperformed the competition. We like to say, "A good plan, well- executed, beats a great plan, poorly executed, every time." Contact us if you would like more information. [dpm]Fuzzy
goals lead to fuzzy outcomes. While it seems obvious, many organizations
simply don't articulate the specific goal of a business strategy. If the goal
of your customer intimacy strategy is to form deeper customer relationships,
that's fuzzy. If the goal is to increase customer retention by 10 percent and
increase annual revenue per customer by $10,000 and net profit by $1,000,
that's clear. Here, deeper customer relationships may be the mechanism to
achieve the goal. When
everything is a priority, nothing gets accomplished. Many so-called strategic
plans have too many goals, objectives, success drivers, strategies,
initiatives and so on. Worse, it's not clear how these various appendages are
linked. Is it any surprise these plans sit on shelves and collect dust?
Choose to do fewer things much better. Many
plans are simply a brainstormed list of things to get done by unspecified
people at indeterminate times. A plan with specifics will outline who - will
do what - by when. It takes into account the sequencing and timing of tasks,
activities and resources. Make certain that the goals of everyone in the
organization are aligned to the few key objectives. Mead Consulting's process
involves supporting strategies in each function that support the
organization's key strategies. Ever
notice how plans placed in the spotlight flourish while those left in the
dark shrivel? Any plan worth executing is worth tracking. A monthly meeting
with a tight agenda can quickly determine what actions have been taken; what
progress has been made; what will be accomplished over the next month and by
whom, and what, if any, challenges have emerged. This builds commitment,
accountability and confidence in the process. Some
of those nice people who work for you may not be the right people to get the
job done. That statement makes you uncomfortable, doesn't it? Many have been
loyal, are committed to the culture, and may be friends and family. However,
If you are truly committed to winning, or achieving success - however you
define it - then at some point you have to take a long, hard, honest look at
the capabilities of your people. Point them in the right direction, support
them, develop them - give them a fair chance to succeed. But if they can't
get it done, then your responsibility is to get people who can. Reserve
the right to do what makes sense. Plans are based on assumptions that can
change over time. If they do change, then the plan may need to change. A
quarterly "recalibration" meeting is a good forum to test your
assumptions and determine which, if any, have changed. The meeting may result
in either a re-validation or redesign of the plan. It ensures the plan stays
real and relevant. Is your team serious about its
definition of success? Your response to failure sends a clear message about
your commitment to winning. Just as importantly, it sends a message about
your credibility. Do you ignore a failed initiative and move on to the next
big thing (which conveys that you really weren't that committed and you
shouldn't be taken seriously)? Do you look for scapegoats (which communicates
that you don't take personal responsibility and can't be trusted)? Or do you
first look in the mirror, take responsibility, then publicly commit to
getting it right, and effectively engage your people to make it happen? Your
choice speaks volumes about who you are as a leader. Best regards, Dave
Mead |
