Something very important all business leaders should be aware of is having a great strategy does not guarantee success.
Some years ago a survey by Marakon Associates and the Economist Intelligence Unit of nearly 200 senior executives revealed that “firms only achieved 63% of the expected results of their strategic plans”. How critical were the 37% not achieved?
So isn’t great implementation the critical element of building a great business? And it must be recognised it is people in the business who are called upon to implement strategy. So what is important for successful implementation?
Paul Johnson of Shortcuts to Results LLC(1) captured it nicely in “The top Five Reasons Why Strategic Plans Fail”. Turning his points around into the positive sense success is driven primarily by:
- Motivation and passion in the business with energy to see things through to a successful conclusion and a belief in what the business is trying to be.
- Good communication and thereby an agreed understanding of the goals of the business. Remember communication is not only what people say and hear but how they behave.
- A plan that turns the strategy into action, importantly backed up by good business processes and measurement to ensure things happen
- Proactive management in particular of people to ensure clear standards are set and adhered to.
- Good leadership and this means having the right resources in place as well as traditional guidance and importantly the recognition we are all leaders in our particular roles. That is we take responsibility for our actions and commitment.
If you would like to find out how your business rates against these criteria try our free diagnostic at http://www.promentis.co.uk/diagnostic_tool/request.asp it takes only a few minutes.
(1) With special thanks to Paul Johnson of Shortcuts to Results LLC for his support in allowing Promentis to develop this concept.