Strategy: A Simple View
Strategy is the choices you make to differentiate the value you create. It is the choices you make to deliver that value to customers. It is the choices you make to embed that capability into your organisation.
Businesses need to differentiate to compete. Why would anyone buy from you rather than someone else if your products and services are the same and there is nothing special about how you provide them?
Lots of people have ideas on how to create a strategy. Some of those ideas are really good. Some not so much. It takes an understanding of an organisation and its target markets to offer the right advice but there are some principles that are generally useful.
The Steps to a Successful Strategy
Our business has a focus on strategy implementation. We know what is likely going to help you create and implement a strategy that delivers value. You need to add your special sauce and you might need some of those clever strategy ideas too. Here is my simple view of what you need to do:
- Start with a clear view. Get all the key information about your business: financials, issues, trends, markets, customer feedback, competitors, expert perspectives etc.
- Clarify your value proposition. Take the time to set out your value proposition and make sure you understand and agree on it. Note where it could be developed or strengthened.
- Clarify your business model. How do you create, capture and offer value in what you do, how you do it and who you do it with? Note where it could be developed or strengthened.
- Plot where you want to go. Note what you can build on, what you need to create and what you need to let go to make that happen. How you run your company to deliver value consistently is called your operating model. It exists whether you call it that or not.
- Create scenarios and build a strategic roadmap. Have the flexibility to pursue your preferred ones while managing the risks of other ones. Create a compelling story.
- Implement your strategy consistently and coherently. Help your people to take action and make decisions that reflect your strategy. Commit but track progress and adapt as necessary to make the story come true.
Your strategy starts with your value proposition. What tasks do you help your customers complete? Which problems does your product or service address? What benefits does a customer gain from the value you provide? How is your offer special? Your business model is everything you do to give effect to that value proposition – how you work internally and with others to create value through your products, services, delivery and support.
We love to help people make good strategic choices and we excel at helping clients implement strategy successfully. Contact us for a free chat – no hard sell, no spam, no mailing list. If you want to explore ideas about strategy, here are a few people on LinkedIn with good ideas:
- Strategy and Innovation Expert: https://www.linkedin.com/in/osterwalder/
- All Things Strategy: https://www.linkedin.com/in/jeroenkraaijenbrink/
- Strategy and Transformation: https://www.linkedin.com/in/aliciamckaynz/
- Strategy and Leadership: https://www.linkedin.com/in/andrewpaulbass/
- Strategy Execution: https://www.linkedin.com/in/gkkenny/
- Personal Transformation, Leadership, Career Strategy: https://www.linkedin.com/in/herminia-ibarra-4455411a/
Phil Guerin, Consultant/Director, Hague Consulting Ltd. © Hague Consulting Ltd 2024.
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