Why Most Strategies Fail
Despite innovation and strategy implementation being a top priority for executives, survey after survey reveals the all too frequent failure to implement strategy and create change after seemingly, comprehensive and viable plans have been developed. As a result, strategy implementation remains a riddle and a source of frustration in many companies.
Strategy implementation requires an integrative point of view, is a multifaceted and highly complex process which tends to be messy, ambiguous and often involves many departments in the company, bringing into play social and political aspects such as personality differences, internal politics, power struggles, communication problems, and leadership inadequacies.
Company employees are the ones who have to perform the implementation activities to make the strategy a success. A key task for top management is to consistently and accurately communicate the strategic priority of the organisation to functional-level members for implementation.
Why Strategies Fail
Without timely and accurate management information it is impossible to assess the progress of the strategy implementation or adjust the strategy or its implementation before it becomes too costly or even damaging.
Many organisations have accountability problems, which may be the result of a lack of planning, the absence of a functional management information system, or the existence of cultural values which do not encourage holding persons, especially in high positions, accountable.
To increase the level of competence the company may train and educate, coach and counsel, address performance issues, re-evaluate hiring practices and bring in external expertise but without baselines these interventions will at best not deliver the required results and could even end up making the problem worse.
Strategy Implementation Research
A recent, validated, quantitative research study based on the 5P’s model of strategy implementation originally developed by Pryor et al. (2007) and adapted by InnoDynamiX Management Systems to develop an index, measures the following variables common to all companies / organisations; Purpose, Principles / Values, Process, People and Performance. This research program is the Employee Perception Index (EPI).
The InnoDynamiX Management Systems EPI model offers business leaders not only the ability to measure, better understand, and manage strategy implementation so that it becomes a core competency, stimulating innovation, it assists managers at all levels to establish and create strategy execution as a core competence. It provides the baselines against which future developments can be assessed.
Why use the InnoDynamiX Management Systems EPI model
Adopting the InnoDynamiX Management Systems EPI model will result in:
- Clarity – about why the organisation exists.
- Consensus – understanding of what the company stands for.
- Coherent Organisation – what has to be done – relook current structures and supporting processes.
- Cohesive Culture – mindset, a common language.
- Consistent Focus – on performance and adding value to the company and its clients.
- Creative Innovative ideas – providing more value to your clients.
- Creating Transformation – a game changer for your firm.
Adopting the InnoDynamiX Management Systems EPI model approach helps organisations identify and take advantage of major strengths and dynamic capabilities that can dramatically reduce costs and generate new income streams, in the shortest possible time.
What are the Benefits
- Increasing the understanding of the organisation’s strategic intent among all employees.
- Increasing the understanding of employees’ behaviour among company leaders.
- Driving deliberate, disciplined design and delivery of experiences to customers and employees.
- Creating connections between company entities, and advocating for the integration they require, whether technical or otherwise.
- Championing customers’ and employees’ perspectives in the company’s strategic decision-making.
- Measuring the impact of innovation on employees, the impact of innovation on customers, and the impact of both on the company’s KPIs.
We combine state of the art academic knowledge in strategy management with a proven track record in strategy consulting and financial advisory. Our services cover all areas of strategy management – from strategy development, to strategy execution, and strategy control. Together we will make your strategy work.
InnoDynamiX Management Systems
InnoDynamiX Management Systems assists companies to develop and implement an innovation process – enhancing their business’ dynamic capabilities & potential.
We offer a focused, ecosystem of business professionals and specialists, delivering outstanding management support in the pursuit of innovation and sustained relevance demanded by today’s highly competitive business markets. Our key differentiator is our dedication and unique approach to the management of innovation.
To continue this conversation or to learn more about the InnoDynamiX Management System approach call: Dennis on +27 72 203 6837 or Andrew on +27 82 445 2104 or email admin@innodynamix.co.za.
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