The gap between strategy and execution

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A study by OnPoint Consulting which surveyed the gap between strategy and execution. Of the leader’s surveyed 49% perceived a gap between their strategies and execution (the ability to make their strategies happen) and of these 64% didn’t have full confidence that their companies would be able to close the gap! Those companies that successfully close the strategy - execution gap exhibited the following factors:

  • Change is well managed by top management
  • Decisions and actions are well coordinated across different levels of management
  • The actions and decisions of top management are consistent with their espoused objectives, values, and priorities

The research highlights the following key lessons for leaders looking to close this strategy - execution gap:

  • Successfully achieving execution takes more than clarifying and communicating the organization’s strategic direction. Many businesses put all their energy into crafting and gaining agreement on their vision and strategy. They frequently do not attend to clarifying the assumptions about what it will take to achieve the strategy (what will be required operationally) and the priorities for action.
  • Few organizations appear to ask whether or not they have the proper management systems in place to support the achievement of the strategy. If the strategy calls for “innovation,” do they have systems in place to facilitate organizational learning and creative thinking (or do they just assume that asking leaders to ensure they happen is sufficient)?
  • It is also important to go beyond gaining understanding and acceptance of the strategy throughout the organization. Vision and strategy must be translated into action at each level of the organization and, beyond that, these actions must be reviewed by senior management to ensure they are mutually supportive and well coordinated across work units and levels (rather than everyone going off and doing what they think is best for their work unit) and monitored to ensure performance expectations are met or to recalibrate the plan when new information becomes available.
  • Leaders must behave in a way that is consistent with organizational values and priorities. You can’t expect people to trust you or follow you if are not willing to live by the same values and consistently support the same priorities that you require of others. This idea is hardly a newsflash. Yet, the fact that it shows up in OnPoint’s survey as a top driver of both execution effectiveness and employee confidence shows that “walking the talk” still counts—and counts big.

The strategy-execution gap is not new to most leaders. Leadership is about initiating and leading change. This requires strategy, the casting of vision as well as guide the implementation and execution of the strategy. To be successful leaders need to be as diligent in guiding the execution as they are at setting and communicating strategic direction.

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5 Responses to “The gap between strategy and execution”

  1. Ron Lamb on June 6th, 2007 21:49

    Great find of a survey and great article. I’ll be quoting you and the article on my blog. I don’t see a way to track back. I’ll being taking a look at some of your older articles. A quick glance says you’ve got some great insights. Congratulations.

  2. The Language of Strategy 2 Execution - The Disconnect between Strategy and Execution on June 6th, 2007 22:05

    [...] enough focused effort to address the gap between strategy and execution. George Ambler’s blog The Practice of Leadership, has found a great survey on the Disconnect between Strategy and Execution. This is a must read for [...]

  3. Rob Jacobs on June 11th, 2007 2:03

    I can’t tell you how very important this concept is in education. With limited resources stretched to the breaking point, education can not afford an “execution gap.” Educational leadership must do everything in their power to ensure the effective implementation of strategies to execution to results.

  4. Howie on June 13th, 2007 8:53

    Nice post. I believe that coordination is an essential tool in every decision a group makes.
    Without coordination, a group will certainly break down and fail.

  5. Pamela on June 14th, 2007 6:48

    True. Those factors are indeed necessary not only to close the strategy-execution gap, but also in every situation for us to achieve success. Thanks for sharing this.

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