Strategy Portfolio – Part 3: Strategic Acting Traditionally, in strategic planning, when the plan begins, the different parts of the strategy move forward along a fixed schedule. Everyone involved performs their predetermined assignments and works toward the milestones that were developed in the context of the plan. The leader makes sure that the plan stays on track and that everyone completes his/her duties with respect to the project. This is all done regardless of internal or external disruptions. Hughes, Beatty & Dinwoodie (2014) use a different approach. They state that strategic acting is “committing resources to build sustainable competitive advantage” (p. 106). Strategic acting is making decisions to move forward while, at the same time, keeping an eye on both the internal and external situations and making changes and modifications as necessary (McKeown, 2016). Hughes et al. (2014) state that not every action is a strategic action. If the action has an impact on the company’s future performance potential, then it becomes a strategic action. Everyday decisions that do not affect the future of the company are not strategic in nature. The authors use the example of promoting someone to manage the mailroom or to choose a caterer for a company function. These decisions do not affect the future of the company, therefore, are not strategic actions. Strategic acting also requires looking at both short-term and long-term objectives. My wife is a district manager for a fast food company, and I often hear her tell her managers that they must live in the present but plan for the future. This is an example of strategic acting. In her article, “Putting Leadership Back into Strategy,” Montgomery (2008) suggests that the strategy must be clear to the people from the start.
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Hughes et al. (2014) also advocate clarity of focus. They feel that strategic leaders must be committed to the strategic purposes and goals. Leaders must know what to do and what not to do. There are also times when a leader must stop the progress if it is leading the strategy down the wrong path. To assist in determining what is working and should be continued and what is not working and needs to cease, Hughes et al. (2014) advise developing a small set of metrics to gauge and assess performance and future capabilities. In addition to a strategy impacting a company’s future performance and having a clear focus, Hughes et al. (2014) also feel that strategic acting also is an opportunity for learning. There are many ways to foster this learning. Leaders influence through their actions so, once again, they must know what to do and not to do because their actions are a direct reflection of the overall strategy. They also must participate in ways that are designed to strengthen the performance and value of not just the company, but the employees and themselves. When building a strategy, including data of what it takes to be successful is necessary. One of Mintzberg, Ahlstrand, & Lampel’s (1998) Five Ps is pattern. Looking at patterns is another opportunity to learn. The company can learn from their mistakes and their achievements. Additionally, leaders who lead by example create environments that advocate for others to learn about strategy and promote others to excel. Leading by example and inspiring others help to move the strategy forward. The fourth mindset of strategic acting is that strategic decisions always involve uncertainty. Hughes et …show more content…
(2014) discuss taking action despite the volatility, uncertainty, complexity, and ambiguity in the environment. They refer to this as the VUCA environment. Leaders engaging in strategic actions must act decisively in the face of this VUCA environment. They must move forward with the information presented, even though they may wish for more. This competency can easily be associated with the uncertainty mindset. In the Colin Powell example, knowing that the decision had to be made with only 40 percent of the information is the mindset. Actually making the decision with that amount of information is the competency. I believe this is the most difficult competency to implement. Many leaders are afraid of risk, and any chance of failing can be frightening to some. However, as explained in the next paragraph, not making a timely decision can cause the strategy to lose momentum and lower the chance of staying ahead of the
Hughes et al. (2014) also advocate clarity of focus. They feel that strategic leaders must be committed to the strategic purposes and goals. Leaders must know what to do and what not to do. There are also times when a leader must stop the progress if it is leading the strategy down the wrong path. To assist in determining what is working and should be continued and what is not working and needs to cease, Hughes et al. (2014) advise developing a small set of metrics to gauge and assess performance and future capabilities. In addition to a strategy impacting a company’s future performance and having a clear focus, Hughes et al. (2014) also feel that strategic acting also is an opportunity for learning. There are many ways to foster this learning. Leaders influence through their actions so, once again, they must know what to do and not to do because their actions are a direct reflection of the overall strategy. They also must participate in ways that are designed to strengthen the performance and value of not just the company, but the employees and themselves. When building a strategy, including data of what it takes to be successful is necessary. One of Mintzberg, Ahlstrand, & Lampel’s (1998) Five Ps is pattern. Looking at patterns is another opportunity to learn. The company can learn from their mistakes and their achievements. Additionally, leaders who lead by example create environments that advocate for others to learn about strategy and promote others to excel. Leading by example and inspiring others help to move the strategy forward. The fourth mindset of strategic acting is that strategic decisions always involve uncertainty. Hughes et …show more content…
(2014) discuss taking action despite the volatility, uncertainty, complexity, and ambiguity in the environment. They refer to this as the VUCA environment. Leaders engaging in strategic actions must act decisively in the face of this VUCA environment. They must move forward with the information presented, even though they may wish for more. This competency can easily be associated with the uncertainty mindset. In the Colin Powell example, knowing that the decision had to be made with only 40 percent of the information is the mindset. Actually making the decision with that amount of information is the competency. I believe this is the most difficult competency to implement. Many leaders are afraid of risk, and any chance of failing can be frightening to some. However, as explained in the next paragraph, not making a timely decision can cause the strategy to lose momentum and lower the chance of staying ahead of the