Strategy can, and does, mean vastly different things to vastly different people. A good strategy is absolutely priceless which is why there is such a demand for excellent strategic planners in the advertising world. The flip side is that bad strategies, along with being ten a penny, can really kill your business, brand or campaign.
Which is why I really like this list, from McKinsey’s Strategic Thinking team, on what makes for bad strategy:
Failure to face the problem – to solve a problem, you must really hone in on and accept as an issue, the root issue you’re facing.
Mistaking goals for strategy – goals are great, but understanding exactly what is needed to acheive those goals is just as important. “Winning” is not a strategy. I liked this quote:
A leader may justly ask for “one last push,” but the leader’s job is more than that. The job of the leader—the strategist—is also to create the conditions that will make the push effective, to have a strategy worthy of the effort called upon.
Bad strategic objectives – either in the form of a (“long term”) laundry list or a “blue sky” restatement of the desired outcome.
Fluff – restating the obvious and often with buzzwords in a superfluous and unnecessary wordy, perhaps even pontificating style. Just like this bullet.
So what is “good strategy”, and how do we get there?
According to McKinsey:
Good strategy works by focusing energy and resources on one, or a very few, pivotal objectives whose accomplishment will lead to a cascade of favorable outcomes. It also builds a bridge between the critical challenge at the heart of the strategy and action—between desire and immediate objectives that lie within grasp. Thus, the objectives that a good strategy sets stand a good chance of being accomplished, given existing resources and competencies.
There are some core components of a strategic plan, according to McKinsey, but do not mistake this list for the “fill in the blanks” templated approach which, along with the “inability to focus”, is one of the reasons for bad strategy in the first place:
- A diagnosis: an explanation of the nature of the challenge. A good diagnosis simplifies the often overwhelming complexity of reality by identifying certain aspects of the situation as being the critical ones.
- A guiding policy: an overall approach chosen to cope with or overcome the obstacles identified in the diagnosis.
- Coherent actions: steps that are coordinated with one another to support the accomplishment of the guiding policy. I imply from this that measurements of success are vital in all strong strategies
Pretty simple stuff. But as Seth says, simple is scary.