Why Strategic Initiatives Disappoint

Business executives and cross-functional teams have repeatedly faced a common issue over several decades: the failure of strategic planning and business transformation initiatives to successfully deliver on what was originally expected. For example, a global survey of 587 senior executives showed that just 56 percent of strategic initiatives were successful.1 A similar survey found “on average, […]

Business executives and cross-functional teams have repeatedly faced a common issue over several decades: the failure of strategic planning and business transformation initiatives to successfully deliver on what was originally expected. For example, a global survey of 587 senior executives showed that just 56 percent of strategic initiatives were successful.1 A similar survey found “on average, large IT projects run 45 percent over budget and 7 percent over time, while delivering 56 percent less value than predicted.”2

It turns out that Strategic initiative execution is actually designed to fail

Despite an abundance of models and tools, teams commonly struggle when it’s time to integrate strategic plans, operational priorities, and cross-functional project execution. As a result, it’s painfully common for important initiatives to start fast but finish slow (or with significantly lowered expectations as people struggle to stay on the same page).

Begin by integrating the way stakeholders think as individuals

Some people solve problems intuitively while others rely on data. Some solve problems through processes while others try to leverage personal relationships. These differences, left unchecked and disintegrated, lead to predictable implementation dysfunctions.

Better integration = Greater success

To solve implementation dysfunctions, it’s first important to measure stakeholder preferences for problem-solving. Then, integrate them so that strategy, priorities, implementation steps, and stakeholder alignment are integrated up front and able to be executed with greater speed and quality.

This may seem very simple, and it is, but it’s not a natural organizational act. Fortunately, solving it doesn’t take a long time. There is a definitely a better way to implement important strategic initiatives.

Sources:

1 Why Strategy Execution Unravels–and What to Do About It. Harvard Business Review. March 2015

2 Delivering large-scale IT projects on time, on budget, and on value. McKinsey and Company. October 2012

Recommended For You

Transform your business with Turnaround Time

Transform your business with Turnaround Time

Consequent Consulting is thrilled to announce new groundbreaking business transformation offerings, partnering with Oscar Munoz, former Chairman and CEO of United Airlines, and the author of the best-selling book Turnaround Time. Working with Consequent is the best...

AI Hype Will Not Win – AI-driven Productivity Will

AI Hype Will Not Win – AI-driven Productivity Will

Artificial intelligence (AI) is a hot topic these days. But not all AI is the same. Some AI is just hype and doesn’t really deliver anything useful. Some AI can help us get more done and be more creative. AI hype is heaviest when people make big claims or have high...

5 Signs Your Strategic Initiative is in Trouble

5 Signs Your Strategic Initiative is in Trouble

As a major project sponsor (or project leader), you want your strategic initiative to be successful and deliver the expected business benefits on time and within budget. However, the reality is that many initiatives struggle and fail to meet their targets. According...

Download your guide to super successful strategic initiatives

Find out what the top 1% know. What you learn in these pages will help you improve every initiative you lead.

We emailed you the guide, please check your inbox or spam folder.