Methodology for Business Success

Overview: Vision, Strategy and Execution under a Management Framework

Most businesses know what they want– they have a clear Vision of the end state they wish to achieve. However to reach that Vision, they need to do three things: formulate a Strategy that can actually achieve the Vision, develop a Management plan that coordinates activities, goals, objectives and metrics used in the Strategy, and finally Execute the plan successfully. Getting the right Business Methodology makes all the difference.

Seeing the Forest and the Trees without getting "Lost in the Bark"..

Using a familiar metaphor, it is all about understanding the way you want to see the “Forest” – your Vision. You need to know the details of how the "Forest" can and should arise from "Trees and Bark" – that level of detail is your Strategy. The "Trees and Bark" represent the projects and activities that allow your business to function. You will need to take time to determine the specifics of measuring and evaluating the progress of the "Forest, Trees and Bark" – your Management plan. Finally you must take specific actions as the "Forest, Trees and Bark" mature - you must Execute.


Most businesses fail to realize their Vision because they lose perspective and get "Lost in the Bark." They have never taken what they perceive as the "luxury" of the time to pause and review operations from such a strategic approach, instead being consumed by the tactical problems of day-to-day activities. That's a perfectly logical situation: Running a business is all about the details of execution and operations - it's all "Trees and Bark." Without that focus, a business can't function. But without stepping back to watch and plan for the strategic development of the "Forest," the business will fail to reach (or likely never really know) its true potential.

Vision

As stated previously, businesses generally know the Vision of what they want to achieve. Business problems that are identified (or any general failure to meet expectations) naturally result from shortfalls in Execution – not doing the right things at the right time. Instinctively businesses look to the trees and the bark for the problem, instead of also going back to determine if there was a problem with the Vision, the Strategy or Management plan. “Where did we go wrong? We had a clear vision, a strategy and a management plan…”

Strategy

Most often, problems start with the Strategy. In the words of Lou Gerstner, former CEO of IBM, “Vision is easy. It’s so easy to point to the bleachers and say ‘I’m going to hit one over there.’ What’s hard is saying, Ok, how do I do that?” Strategy means having the data to have a Plan that can be Executed with certainty of success – measurable, quantifiable, traceable success. Gerstner states the essence of a Strategy as: “Good strategies start with massive amounts of quantitative analysis… blended with wisdom, insight and risk taking. A successful, focused enterprise is one that has developed a deep understanding of its customer’s needs, its competitive environment, and its economic realities. This comprehensive analysis must form the basis for specific strategies that are translated into day-to-day execution.”

Business is full of pitfalls: Customers must be targeted out of a super set of every possible demographic; they continue to demand a more satisfying and sophisticated experience as a precursor to conducting business. The specific dynamics and methods of optimally advertising, or being “found,” change monthly. Competitors can gain an advantage and “raise the bar” while you were caught “flatfooted.” Of the many things you might do, a large number will cause more harm than good. There will be a seemingly endless line of experts recommending even the worst tactics, which may result in the deterioration of your business. Of all the activities to complete when allocating resources toward a business operation, getting the Strategy correct “now” rather than “later” is clearly the prudent choice. Otherwise, expectations are likely not going to be met regarding results that are on time and on budget.

Going back to Gerstner’s advice, “Good strategies start with massive amounts of quantitative analysis… blended with wisdom, insight and risk taking.”

Execution

Even with a good Strategy in place, many businesses fail to Execute and achieve their desired level of success. Sometimes this is from not having the right resources - resources are scarce and businesses must "pick and choose;" carefully managing staffing, skills and development to succeed. Often businesses make the smart choice to invest in capabilities and operations central to their business, and outsource other skills and operations which are not their core competency. Sometimes, all employees need is a little mentoring or assistance from seasoned veterans in their field - Subject Matter Experts who can transfer their knowledge and then move on. Finally, some businesses just need a little help in finding a few more of the right people on either an interrim or long term basis.

Management Framework

Even with a great Vision, a winning Strategy, and the right people and skills for Execution of your business activities; without a strong Mangement Framework, your business is likely to get off track, miss objectives, and fail to maximize its performance, productivity and return on investment.

About the Author: Bill Franklin is founder and partner of V2E Group Inc, a management consulting firm helping it's clients with Vision, Strategy, Management and Execution through Finance, Operations and Technology Services. Everyone is glad to find a helpful partners along the way - who doesn't want another "Star" on their team? V2E Group is a helpful partner - talk to us about adding another "Star" to your team.