Choose your location to get a site experience tailored for you.

Remember my region and language settings

Strategic Planning

Faster markets demand more nimble approaches to strategy development.

Most organizations are dissatisfied with the way they develop strategy. They see their approach as too rigid, bureaucratic, reactive, and disconnected from execution. Even more troubling, they doubt their process can see around the bend to reveal the big, disruptive opportunities that drive long-term value creation.

At the heart of these concerns is the misconception that strategic planning is just about annual budgets and five-year plans. These .

Other strategic environments call for different approaches that match the clock speed of planning to that of the market. They also call for fresh approaches. When done right, strategic planning yields not only better plans but also a leadership team better prepared to react to disruptions, a stronger strategy team, and greater organizational engagement and alignment around the strategy.

Strategy

Taking Action to Improve the Strategic-Planning Process

A strategy department’s role is to orchestrate winning strategies, yet many executives feel the process is overly bureaucratic or insufficiently insightful. BCG’s Nicolas Kachaner shares best practices from strategic-planning processes that deliver real results.

Four Best Practices for Strategic Planning

. However, the companies that benefit most from their strategic-planning activities emulate four best practices:

  1. Explore strategy at distinct time horizons. It’s important to think about strategy at different time horizons: long term, medium term, and short term. Each requires different approaches, a different frequency, and different stakeholders—a single, inflexible process doesn’t work.
  2. Reinvent and stimulate the strategic dialogue, constantly. Business leaders must learn the “art of questioning”—how to stretch their team’s thinking beyond the current priorities. Frequently the best approach is to enliven the standard strategy process each year by focusing it on different pressing strategic questions.
  3. Engage the broad organization. Organizations that engage a broader group of internal and external stakeholders yield better results. Going broad prevents groupthink, improves peripheral vision, increases buy-in, and smooths implementation.
  4. Invest in execution and monitoring. Investments in engaging communication, fostering alignment, building traction, and highlighting success metrics are vital for translating the strategy into results.
Strategy
Previous Page