Tuesday, November 1, 2011

What is 'STRATEGY'?

I've got this client, he is all (100%) operation based thinker.  Even when we talk strategy it's operational strategy.  Even when we talk about how he is going to get paid back from this venture (which he said is a main goal) we talk about operations. 

After a while I feel like I'm beating a dead horse.  So now I venture to some experts to help me find some new ways to beat my clients over their heads with strategy.  My schpeel is something like this, "Strategy is how you get from where you are to where you want to be and tactics are the things you do in between to get there."  I usually get some perplexed looks but in general I think it helps.

My general problem is getting people, who don't get it, to apply the concept to their own business.  Sometime we back into strategy by defining all the things they are doing to 'move the ball' then describe the entirety of the tactical collection as strategy.

Another way is to get even more granular.  We jump to business modeling and break down the business into bite-size pieces.  This can backfire by either a lack of patience or, the other way, we open a can of worms.  In general, this is a fantastic tool.

Here's what some others say about strategy:

http://www.thinkingmanagers.com/business-management/business-strategy.php
http://www.planware.org/strategicplan.htm
http://www.briefcasebooks.com/formisano01.pdf
http://www.the-business-plan.com/what-is-business-strategy.html

So, I think, 'how can I get this guy to think strategically about his business?'  He already thinks he is thinking strategically.  So then it starts to take shape.  We share a passion for the mountains.  Let's incorporate our shared passion for climbing into this lesson.  I look at the idea (mountain climbing) and I think about the options for strategy.  One option would be to define the objectives.  Which to me are to have fun, be safe, and push our limits.  Usually there are route options and approach options, and of course the choice of the mountain, and multi-day vs day trip, etc.  But the strategy is ultimately what?  How we decide to get from the bottom of the mountain to the top.  It's as simple as "that way", as I point with my finger.  What we do in between is all tactical.  Whether it be hike, technical ice climb, scramble, ski, alpine style, expedition style, whatever.  Those are all tactical decisions.  The strategic part is the terms and conditions that it is climbed and whether it should be climbed at all.



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