In an interview with Business Insider, P&G’s Ex-CEO A.G. Lafley explains the main reasons people get strategy wrong. Businesses and people don't like to make choices If people don’t make choices to change at all, how do they expect to make a difference? Lafley mentions that “choices are the core of strategy." However, most people fear decision making because it is difficult and requires a lot of risk taking. This stops them from bringing their company forward with an efficient strategy.Companies go halfway and don't fully develop a strategy Rather than of not making choices at all, some companies have decided with a strategy but don’t fully fulfill it. Lafley suggests that companies go all or nothing when it comes to carrying out a strategy and explains that “strategy is five choices...What is winning; where am I going to play to win; how am I going to win where I play; where are my core competencies that are going to enable me to win where I play; and what management systems and measures are going to help me execute my strategies?"
Companies have to define an ideal future in strategic terms, limit the field rather than try to please everybody, decide on the best strategy for that market, discover and use what they're best at, and determine how to support and measure its people as they carry out the strategy.
Companies must identify their ideal strategy that is best for their market, what their strongest points are and work specifically on those.
Strategy requires the on boarding of everyone in an organization. It is in a sense, a cultural change where staff is onboard and working together to make those difficult choices together and completely act on them to move forward.
Read the full article here.