What is a Business Strategy?
Definitions of strategy vary substantially.
Here are six general descriptions that most authors would agree with:
An approach to bring about a desired future
A long-term approach to achieve objectives
The art of planning and allocating resources for their most effective use
How a business competes successfully in a particular market
Making entrepreneurial decisions and committing resources
Strategic decisions about choice of products, meeting needs of customers,
gaining advantage over competitors and exploiting opportunities
A good business strategy directs a laser-like focus on how much organic
revenue growth can be realistically achieved and and on how one can fill
a potential gap with acquisitions, partnerships, alliances, cooperations,
licensing, and other means.
What are your long-term goals?
You have to choose the right direction. Here is a negative example: Kodak, a leading international multi-billion dollar company with 60 000 people had excellent chemists, technicians, patents and technology in the conventional, analog photography film business which they improved to new levels of excellence. However they focused on the wrong goal. They should have invested in the new digital technology that revolutionized the photography business.
"The essential question is: What new and different things do we have to do,
"A company's primary responsibility is to serve its customers, to provide the goods
or services, which the company exists to produce"
- Peter Drucker -
Key Performance Parameters
"How do you know you are on the right track?"
Key performance parameters (KPIs) help you determine if the
path you have chosen is likely to be a successful one.
Roles and Responsibilities
First you have to get the strategy right,
then you worry about the tactics.
The leadership team is paid for selecting
the right people and the right strategy.
If the leaders are not concerned with the strategy,
they have left the steering wheel of their ship
and the ship is now drifting in the sea.
The leaders have the key.
It is up to them and only up to them to
think strategically .
They are responsible for the direction the ship is going.
Making your strategy actionable to achieve business results:
Put a clear focus on innovation, marketing, communication and outcome!
Tips for Success
Tipps zum Anpacken