Lessons from a journey in strategy

I have been reflecting whilst I have been writing this series that what underpins these lessons is my personal approach to strategy: it’s a way of thinking about strategy in organisations and what’s really important that has developed over the 25-plus years of my own journey in strategy. It has been a journey of learning - from the ideas and experiences of others as well as my own practical strategy work with organisations.

(I struggle to find a better word than ‘approach’. ‘Philosophy’ is too grand and not correct in the strict meaning of the word; ‘belief’ belies how practical experience has shaped this; ‘mindset’ could convey something fixed, whereas I continue to learn and develop my thinking. So ‘approach’ seems closest.)

In this article I will summarise the ‘lessons’ in the ten articles, and maybe together they will help illustrate this approach.

1. Understanding an organisation’s specific current context is an essential starting point; why is it considering its strategy now, what critical issues does it need to address, what should be the scope of its strategy work at this stage in its strategy journey? This is one of the ways in which seeing strategy as a journey for an organisation is a helpful metaphor: it’s about giving direction to where the organisation wants to go next and how to proceed on the next phase of its journey. An organisation’s situation, and the context for its strategising, can change: it’s where the organisation is now, and understanding how it came to be there, that provides the platform to think about where to go and what to do next.
   
   

2. Achieving that understanding - about why the organisation is doing this now, identifying the critical issues and opportunities driving this, and recognising the scope (defined or unconstrained) is an important first stage of the strategising process - it can take some deep reflection and challenging conversations to achieve. It shapes the process, determining what the organisation focuses on exploring initially - which can evolve as the organisation’s strategy work progresses. Each organisation’s context is unique; and the strategy process it adopts to decide its path towards its future will similarly be unique.
   The structural, cultural and political aspects of an organisation will also influence this process. Who is involved, whose views get attention, what is considered (and what isn’t): the actuality can be very different to what was intended. There is no perfect-for-all best practice way that is right for every organisation regardless of its context and current situation - every organisation’s strategy journey is different.
   
   

3. The process is important. An effective strategy process is a journey of exploration and discovery, when people come to a shared understanding about their organisation, its purpose and role, what they would like it to achieve and how it should develop to enable this to happen.
   People also develop their strategic thinking abilities from their participation in such a process: the need to make sense of situations, and how rich conversations help develop shared meaning. It develops both people’s individual skills and the organisation’s capabilities in strategising, organising, leadership and learning, and most importantly strengthens its ability to embark on the next stage of its strategy journey. It is the organisational learning that occurs from an effective strategy process, and how this then strengthens the organisation's strategy capabilities, that will enable an organisation to adapt to the challenges and opportunities that it encounters as its future evolves - which is arguably even more important than any strategic plan document.
   
   

4. For me, the fundamental elements of a strategy process are not about sophisticated tools or techniques, who should be involved, or how to execute the strategy successfully. Instead, they are about the mindset with which to approach strategy.
   The first of these is perspectives. In Henry Mintzberg’s excellent description, strategic thinking involves looking behind at where the organisation has come from and how it has developed; it requires both 'big picture' thinking ('above') and the ability to question and dig down in depth ('below') to get to the fundamental core of issues. There's the ability to think ahead to the future of course - but this requires also the ability to think how the future might develop ('beyond') and to think laterally and consider things differently ('beside'). And then there's the ability to think through the possible implications, and what might happen. All these perspectives then need to be brought together in an integrated, synergistic and rational 'story' about where the organisation is now, where it sees its future (and why), and how it's going to get there.

   Developing a perspectives mindset is also important in considering how others view things, and how they might respond: customers, colleagues, competitors, regulators, shareholders, other stakeholders, suppliers, partners and collaborators: organisations operate in wide and deep ecosystems. Recognising this and seeking to understand these perspectives (without any organisation-centric blinkers) and think through their implications is an essential part of thinking strategically.
   
   

5. The second fundamental element - and arguably the most powerful - is questions. Arguably, every step in developing a strategy can be defined as a question (“Where are we now?”; “What possible futures should we consider?” “What if…?” “What are the implications of…?”). Questions - relevant and well-constructed - provide a focus for the organisation in its strategy work, a starting point for people to seek the answers, to probe and challenge, and to prompt further questions in an iterative process that leads to shared, deep understanding.
   The questions are for each organisation to work out: they define the challenge that people in the organisation need to work together to answer, and they will evolve as the organisation’s strategic thinking progresses. The appropriate process to work out the answers follows from this - as does what tools and techniques could be used to help. Considering strategy work in this way it becomes less of a daunting and complex challenge and more about a logical way of working out answers to critical questions and developing a shared understanding and rational narrative across the organisation that will steer it towards its future. It is the power of questions that drives strategy.
   
   

6. The aim of strategy work is to enable the organisation to make sense of its situation and decide how it wants to develop in the future. The basic aim in a strategy process is to facilitate this by providing opportunities for people to think through fundamental questions collectively, enabling the exchange of information, the sharing of views, the conversations and debate through which they will develop answers to questions about the organisation and its future. An effective strategy process needs to create the time and space for people to engage in thinking and talking; it is about facilitating conversations.
   These conversations need to be of a depth and quality that enables ideas to be shared and interpretations clarified, to encourage questioning and challenge, to explore implications and alternatives. Creating the right conditions in which such ‘rich conversations’ can happen is one of the leadership challenges at the core of strategy work: what are the key aspects to consider, who should be involved, what is the most appropriate format, how can this be discussed effectively, what happens next? How to create the space, time, and an environment that encourages collective deliberation with due focus, commitment and energy are all part of the craft of guiding the process - as is realising that what is said, and how, and by whom are critical influences on the outcomes. Views might not be listened to, unwelcome evidence dismissed, perspectives undervalued, ideas disregarded, and subconscious biases cloud the discussion. Strategy work might be seen as analytical, technical and sophisticated, but in practice it is about people and conversations. Conversations are how strategy work happens.
   
   

7. The ‘strategy journey’ metaphor applies at two levels: the process by which an organisation develops and applies its strategy, and the path it takes as it moves forward. It is the journey that matters: there might be an intended destination and a planned route, but what happens on the way - and how the organisation deals with this - is what really counts. It is a journey of exploration into a future yet to be experienced: wherever the organisation is on that journey, there’s always a next step on the path, and decisions to be made about what path to follow (whether that is clear or navigating the mists of uncertainty).

   Whether an organisation’s strategy is determined by a deliberate process or emerges, it is not an end point, a defined result that provides ‘the answer’; rather it is just a start, a platform for what follows. When organisations fail to execute their strategic plans successfully, it might not be the ability of the organisation that’s the reason but the rigidity of a set plan that is unrealistic in its expectation that everything can be controlled and nothing will change. Organisations exist within an ecosystem which is shaped by many influences both within and outside it, and they survive and develop within this by adaptation. Seeing strategy as a guide to the next steps in the organisation’s journey, rather than a fixed path, helps the organisation to approach its strategy work more openly, and to be prepared to adapt and evolve. It’s a platform constructed of the shared understanding developed through the collective thinking and conversations in the organisation. It is the organisational learning that has occurred though the strategy process that provides a basis for the organisation to adapt to the challenges and opportunities it encounters: its strategy is just a starting point for whatever comes next.
   
   

8. Few strategic plans survive their encounters with reality. Is this because organisations lack the ability to develop a successful strategy and put it into practice, or the traditional approach to strategic planning that is flawed?

   Maybe it’s not strategic planning that is the limitation, but an organisation’s approach to it, focusing on ‘the strategic plan’ as a detailed path to the organisation’s self-defined future, rather than on the processes of strategising and organising to develop a platform to guide the organisation’s next actions. An organisation cannot control its self-determined desired future; it is part of an ecosystem with other actors and forces. Seeking to understand this dynamic context in which it exists is a vital aspect of its strategy work.
   Strategy develops not only by intention; it can happen in various ways, including emerging, through crisis, and even by chance. Strategising and organising activities are a continual, ongoing part of the life of an organisation, not just an episodic exercise at a decreed time.

   Organisations need a more dynamic approach to strategy than the traditional sequential project-based development of a strategic plan. There needs to be continual strategic thinking and adaptation, a willingness to involve and engage and develop understanding throughout the organisation, and an openness of culture that encourages questions, welcomes ideas and challenge, and sees the organisation's strategy journey as as an important opportunity for it to learn and adapt.
   
   

9. Strategy work is changing. Viewing strategy as a periodic strategic planning project is clearly no longer sufficient; it has to be dynamic and continual, embracing unknown futures and enabling the organisation to respond and adapt with agility. Organisations are working out how to think differently about their future and the lack of certainty, and what it takes to be adaptive - and this is different for each organisation.

   They need to invest in developing their strategy capabilities to do this, ensuring the organisation is well prepared for the next stage of its strategy journey and can embark on this with the confidence to deal with whatever is encountered. I think that the shift to focusing on strengthening the organisation’s strategy capabilities to enable it to learn how to think differently about the future and adapt with agility is a very significant way in which the practice of strategy in organisations is developing.
   
   

10. Strategy work is how the people in an organisation make sense of where it’s going and how they can help it get there: it’s about people engaged in a common purpose to understand and articulate how they want their organisation to move forward, understanding how it can thrive and how they can make a difference.
    Strategy work is about depth and meaning within an organisation. It is the way in which the organisation makes sense of its purpose, how it fits within its ecosystem, how it envisages its future might develop, how people can work together to make this happen. It is about developing understanding – thinking and communication – and inspiring people to commit their knowledge, skills and energies towards a common goal. This – involving the minds and the hearts of the people in the organisation – is what ultimately makes strategy work so powerful, alive and relevant. It is people that are at the heart of strategy.