A Systematic Approach to Maximize Strategy Execution

A blockbuster product, breakthrough technology, or brilliant strategy can put an organization on the competitive map, but without solid execution everything can go in vain. Hence strategy execution, the end result of a large number of decisions made by employees of every level of an organization based on their self-interest and the information they have, is the most important indicator of an organization’s success. Getting every aspect of an organization moving in the right direction to support organizational strategies is regarded as both an art and a science.

Strategy Execution (Image Reference)

There is no alternative to follow a systematic approach to maximize strategy execution. An organization need to pursue the following approach to maximize its strategy execution:

Step 1- Engage Employees of All Levels in Strategy Formulation

Major part of strategy execution is done by lower and mid level employees of an organization. Therefore, engaging these lower and mid level employees in strategy formulation can motivate them toward successful strategy execution.  It can effectively communicate the organizational goals and objectives to them too. Thus, organizations should include representatives from all employee levels in strategy formulation.

Step 2- Clarify Decision Rights

Higher level managers must clarify decision rights of each and every level of employees. Everyone in the organization should have a good idea of the actions and decisions for which he/she is responsible. This would result in timely and hassle-free strategy execution.

Step- 3 Design Smooth Information Flow

Effective communication is the key in maximizing strategy execution. Research shows that maximum execution of strategies of an organization vastly depends on smooth information flow. Field and line managers need to have necessary information to understand bottom-line consequence of their everyday choices. Therefore, there should have a smooth information flow from the top management to line managers.

Step 4- Develop a Strategic Workforce Planning (SWP)

Identifying, recruiting, motivating and retaining right kind of employees in the right roles is as important as maintaining a smooth information flow across the organization. As strategies are executed by employees from all levels, HR department should ensure that it makes a comprehensive SWP. There should have a proper reward and incentive plan to motivate employees towards maximum strategy execution.

Step 5- Restructure If Necessary

Restructuring is necessary only when the strategy execution of an organization is at its lowest point. That means the organization doesn’t have clarity of decision rights, smooth information flows, and a proper strategic workforce planning. So, it should initiate a transformation program to restructure the whole organization and move every aspect of it to support strategy execution.