In a
Les Miserable the character Fantine is left alone and destitute opining: "I dreamed a dream in time gone by, when hope was high and life worth living." All too often this is what a strategy session can look like in organizations today...yes, today. It needn't be true. The first step in creating a successful strategy is to consider the pitfalls. You wouldn't leap before you look would you? If Johnny jumps off a bridge you wouldn't follow would you? Two wrongs don't make a right do they? I can keep going but I won't. Let's just agree you need to know the dangers of strategy planning before you get started. There are three that are killing you and your success. Let's take them one by one:
- You look just like the others. Way back in the days of cavemen we didn't worry about strategy. It was all muscle. We didn't care if our plan was different we only need more strength to win. Today, in most states, it's illegal club your clients and force them into a business relationship. Well, except for some parts of the government. Truth is you have to lure your customers and then provide a great value proposition to keep them engaged. What Michael Porter has called Strategic Convergence has infected our board rooms. Simply stated it means we measure what we believe our clients want and compare that against our competitors. This process of benchmarking allows us to measure improvement and performance. The problem is we all start aiming for the target of customer wants. This of course presumes that the customers know what they want. Henry Ford once said "If I had asked my customers what they wanted they would have said a faster horse." Don't look like your competitors.
- You are fighting for scraps at a table of pit bulls. What are you thinking? Too frequently you are fighting to be the most attractive pork chop at the banquet. You fight to give your product/service away. There is a difference between cheap and affordable. Don't be cheap. If you must compete at this table make sure you have some great ties with small markets where you are the only dog invited. Once you have it don't abuse it. Take a day and read Blue Ocean Strategies by Kim and Mauborogne. Stop non stop head to head competition, find some niche where you can thrive.
- You aren't taking enough risk on innovation. The concept of business people being this group of high rolling dangerous gamblers is wrong. Most of us carefully consider the value proposition and act based on ROI or ROE. Nothing wrong with being responsible but we better look hard at re-capturing the environment of innovation. Let's see the resurgence of the entrepreneur. This is where many of the opportunities for blue oceans are found. Identify groups of risks and combine them when possible to provide adequate opportunity for success. If you are too risk averse your competitors will blow by you and you can follow their trail. Stop being mamby pamby and get going!
