Congratulations! You’ve taken the crucial first step of developing your strategy. But strategy is only the beginning. The real challenge lies in execution—translating vision into action, goals into outcomes, and plans into sustained success. So, what’s next? This article explores the critical steps to ensure your strategy moves from a well-crafted document to a living, breathing force that drives your organization forward.
Thought Experiment: On a scale of 1-10, with 10 being perfect, how closely would you say organization's behaviour and outcomes align with your strategy? Are you executing perfectly and meeting objectives & KPIs? If not, where is it faltering? Why?
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In your strategy, you identified Strategic Projects, those high-impact initiatives essential to bridging gaps between where you are and where you want to be. But what exactly do these projects entail?
Strategic projects often require a deeper dive to fully understand what changes are needed to serve customers and the organization better. For example, suppose your strategy prioritizes exceptional customer experience. In that case, a strategic project might involve redesigning your customer support process or investing in advanced CRM software.
Real-World Example:
When Starbucks wanted to improve its customer experience, it undertook a strategic project to retrain baristas on customer interaction and speed. This wasn’t just about better coffee—it was about making every customer feel valued.
A critical, and often overlooked, aspect of strategy execution is aligning employee performance with organizational goals, i.e. Performance Management. Rewards, compensation, and metrics need to reflect your strategic priorities. Small shifts in focus—such as moving from prioritizing speed to prioritizing quality—can profoundly influence behavior. One of the easiest ways to get employees to do what you want, is to make it in their financial interest to do so.
Real-World Example:
Imagine a logistics company that transitions from “fastest delivery” to “most reliable delivery.” To succeed, it must recalibrate performance metrics to reward accuracy and consistency, not just speed. Subtle changes in how employees are evaluated and compensated can make all the difference in achieving the new goal.
As Peter Drucker famously said, “What gets measured gets managed.” To keep your strategy on track, you need a robust system for monitoring progress. Tools like the Balanced Scorecard help you track your objectives, KPIs, and measures effectively. This ongoing data collection ensures you can course-correct as needed.
Real-World Example:
A healthcare provider aiming to reduce patient wait times uses a Balanced Scorecard to monitor average wait times, patient satisfaction, and employee efficiency. By reviewing this data regularly, leadership can address bottlenecks and ensure continuous improvement.
Your strategy will only succeed if your people understand and embrace it. This is where effective communication comes in. The ADKAR model provides a practical framework for leading change:
• Awareness: Clearly articulate the strategy—what it is, why it matters, and how it will impact the organization.
• Desire: Inspire employees with storytelling and a compelling vision. Show them the meaningfulness of their work and its connection to the company’s goals.
• Knowledge: Ensure employees understand their specific role in the strategy.
• Ability: Identify and address any skill gaps, either through existing resources or strategic projects.
• Reinforcement: Align performance management systems to reward behaviors that support the strategy.
Real-World Example:
When Microsoft pivoted to cloud computing, CEO Satya Nadella communicated the strategy through a bold vision of empowering every individual and organization. By tying the company’s new direction to its long-standing mission, Nadella inspired employees and aligned their efforts with the strategic goal.
Your strategy isn’t just for internal consumption. Sharing your vision externally can inspire confidence, attract new customers, and enhance your reputation. Publicly committing to your strategy also builds accountability—you’ve told the world what you stand for, and now you must deliver.
Real-World Example:
When Patagonia announced its commitment to sustainability and pledged 1% of profits to environmental causes, it didn’t just win customer loyalty—it created a brand synonymous with purpose and responsibility.
With the strategy communicated, the metrics defined, and the projects underway, success now rests on the shoulders of every individual. Their day-to-day efforts, guided by a well-aligned system, will determine whether your strategy takes flight or falters.
Assuming effective performance management and communication activities have taken place, success boils down to accountability, both for the employee and the organization. When performance targets are met, the organization must reward its people to reinforce the desired behaviour. Where performance is unsatisfactory, there must be consequences. Tolerance sends a powerful signal of the wrong type to employees about the importance of the organization's goals and the type of behaviour that is acceptable.
Which is why success also rests on the shoulders of each and every leader in the organization and their ability to coach individuals and teams effectively. You can count on hitting bumps in the road along the way--the strength of your leadership team will be visible in the duration and severity of these bumps. Public praise and effective coaching conversations will help keep you on track.
If misalignment occurs, use tools like ADKAR and the Balanced Scorecard to diagnose the issue. Is there confusion about goals? A gap in skills? Insufficient communication? Addressing these gaps quickly ensures momentum is not lost.
Executing a strategy is a marathon, not a sprint. By focusing on strategic projects, aligning performance management, measuring progress, and communicating effectively, you create the infrastructure for long-term success. With everyone rowing in the same direction, the mechanics of alignment will drive your organization forward, building powerful success upon success.
Strategy is only the beginning. Execution is where greatness happens. Are you ready to make it real?
Thought Experiment: What do you need to do first? You're probably already doing each of these in some capacity--how can you do them better?
[Get help developing a strategy, testing it, and becoming strategically fit.]
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