A clear strategy is essential. But ultimately, what counts is what an organisation manages to achieve.
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This requires strategic clout: the ability to prepare the organisation to implement the chosen strategy and then to continue to operate and perform whilst staying on course.
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The framework for effective strategy execution consists of four interrelated building blocks: Direction, Structure, Governance and Behaviour. Their quality is determined by the extent to which they ensure alignment, agility and the capacity to learn.
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But how do you take things to the next level within this framework? How do you ensure that you actually achieve more from that carefully mapped-out strategy?
I see five consecutive steps for this:
Highlight the gap
Don’t start with solutions, but with a clear diagnosis. What is the gap between the intended and actual performance? And which shortcomings in Direction, Structure, Management and Behaviour are causing this performance gap? This provides insight into both the results and the underlying maturity gap.
Determine the direction of improvement
Not every organisation needs to achieve the highest level in every area. You should therefore determine which level is both necessary and realistic for the successful implementation of the strategy. Focus in particular on the areas that are lagging behind: after all, the whole is only as strong as its weakest link. Then translate the chosen target level into a clear roadmap.
Improve the Building Blocks
Bring the necessary tools, structures and working methods up to standard and ensure they are balanced with one another. Consider well-defined strategic plans, a comprehensive KPI framework, appropriate organisational structures and processes, portfolio management, dashboards, leadership and team development. Not a collection of isolated interventions, but a single, coherent improvement programme.
Learn to manage holistically
New tools only deliver value when people are able to work with them. Organisational and process teams therefore learn to manage in an integrated way, following a set cycle of planning, implementation, evaluation and adjustment: first demonstrating how it’s done, then doing it together, and finally doing it themselves.
Secure your position and stay on course
Strategy execution is not a one-off project. Establish a governance framework and a maintenance process that enable the organisation to continuously monitor, maintain and further develop its strategic capabilities.
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In this way, strategy execution is not a leap from plan to implementation, but a controlled progression towards consistent performance.
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