:: A very simple concept

"Management by objective works - if you know the objectives. Ninety percent of the time you don't."

"Efficiency is doing things right; effectiveness is doing the right things."

 "There is nothing so useless as doing efficiently that which should not be done at all."

 

Peter Drucker

selected quotes*

 

Principles

Effective strategic planning should follow two simple principles:

Principle #1: Clearly and simply defining …

  • “What” success looks like for an organization over a defined period of time, and

  • “How” the organization will allocate its limited resources to deliver that success

Principle #2: Making real and focused strategic choices about …

  • “Where you will Play”  Examples of these choices include Geographies, Distribution Channels Target Consumers, Product or Service Categories, or for non-profits Target Donors/Funders.  Organizations possess a degree of control in choosing where they will compete.
  • “How you will Win”  These are more difficult choices for organizations, as it’s a chess match with their competitors where they can’t control the other players moves.  This is about asking yourself, “what is my permission to succeed?”  Examples include Superior Product or Service Performance, Superior Marketing Messaging and Execution, Excellent Value (the intersection of price and performance), Credible Endorsements, Financial Stability, Strong Culture

Suggested Resources:  To help our clients make winning choices that form the substance of their strategic plan, we direct them to the excellent framework created by A.G. Lafley (former CEO of Procter and Gamble) and Roger Martin (Dean, Rotman School of Management).  Click on the titles below to purchase a copy of their 5-page article entitled A Playbook for Strategy: The Five Essential Questions at the Heart of Any Winning Strategy, or their 2013 book Playing to Win: How Strategy Really Works.

Given the complexity and speed of change facing all organizations today, we urge everyone to embrace a Focus or Die® mindset.  More recent challenges such as the 2008 recession and the COVID-19 driven shut-downs have made focus even more critical for every organization.