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The Blog of Daniel Wolf

Archive for August, 2007

Strategy, Engagement and Trust

Tuesday, August 14th, 2007

One of the most common issues in business growth and change strategy is the mismatch of intention and organization behavior. There are several aspects at play here, and they are important. Serious research and common sense take us to a few key points:

First, when senior executives miss or ignore the realities of the marketplace or their organization, customers, employees, suppliers and investors notice and credibility is diminished.

Second, when management gets confused about strategy and resources, and when the messages it sends to stakeholders get jumbled, the changes of engaging people in critical plans diminish.

Third, when the organization conveys value propositions that are not in sync with a thoughtful, relevant business agenda, they are driving messages that undermine the company’s intent.

These are problems of engagement in strategy. They are cultural in nature and they are the products of experience, leadership, perspective and knowledge. They are tempered by trust and confidence. They are shaped by awareness, understanding and appreciation.

Jeffrey Pfeffer remarks about the divide between what organizations know and how they act. Our Corporate Aristotle group shares many great examples of private companies and public organizations that “expose” one strategy and “inform” another. And corporate board members who ask about the “real strategy” of the company they serve are posing a great question: Is our strategy relevant, meaningful, and credible to the people who play a part in our organizations’ success?