Six Disciplines and Secrets to Successful Strategy Execution |
Book Review |
Gary Harpst was one of the founder and CEO of The Lord’s Business Inc.(TLB), aka Solomon Software, very popular software back in the 80's and early 90's when the PC industry was very young. He grew his business from startup to achieve great success, finally selling the company to Great Plains Software (since purchased by Microsoft) for a hefty sum (Bergin Tim, An Interview with GARY HARPST). Gary’s book, “Six Disciplines Execution Revolution: Solving the One Business Problem That Makes Solving All Other Problems Easier” was published in July 2008. In Six Disciplines Execution Revolution, ...view middle of the document...
This requires a disciplined organization, one that’s able to execute well enough to address the needs of today and build for tomorrow at the same time. But this is what the Execution Revolution is all about: the process of changing the game with regard to enduring excellence by focusing on how to plan and execute strategy more effectively while successfully managing the surprises along the way. |
Quadrant III: Weak Strategy/Weak Execution: The shift into this state of weakness results from gradual decline in growth and profitability, caused by decisions made (or not made) a year or two earlier. The best exit plan for moving out of Quadrant III is to aggressively reallocate resources from low-profitability areas to the growth areas. | Quadrant IV: Strong Execution/Weak Strategy: A company in Quadrant IV usually gets there because it is experiencing the pains of growth. |
Reasons for poor strategy execution:
1. Inability to manage change effectively or to overcome internal resistance to change.
2. Trying to execute a strategy that conflicts with the existing power structure.
3. Poor or inadequate information sharing between individuals or business units responsible for strategy execution.
4. Unclear communication of responsibility and/or accountability for execution decisions or actions.
5. Poor or vague strategy.
6. Lack of feelings of “ownership” of a strategy or execution plans among key employees.
7. Not having guidelines or a matrix to guide strategy-execution efforts.
8. Lack of understanding of the role of organizational structure and design in the execution process.
9. Inability to generate “buy-in” or agreement on critical execution steps or actions.
10. Lack of incentives or inappropriate incentives to support execution objectives.
11. Insufficient financial resources to execute the strategy.
12. Lack of upper-management support of strategy execution.
Seven key areas of business improvement advancements are fueling the Execution Revolution:
1. Quality Programs.
2. Business Process Best Practices
3. Personal Productivity Tools
4. Business Intelligence
5. Strategy Formulation
6. Virtual Community Development
7. Business Coaching
In order to build a sustainable strategy execution program in small and midsized businesses, three major barriers or hurdles need to be overcome: insufficient expertise, prohibitive economics and simple human nature. Sustainability is the capacity of an organization to maintain the necessary balance between strategy and execution and doing so while overcoming the hurdles requires a complete program consisting of four tightly integrated elements:
• A Repeatable Methodology to drive organizational learning and understanding.
• Accountability coaching to nurture and nudge to stay the course.
• An Execution System to engage everyone, everyday in real-time alignment.
• Community learning to share and reinforce best practices and accelerate learning.
The Repeatable Methodology is a...