Why fails the strategic planning

The secret of a good strategy is that this is the daily work of everyone, to land operations in
the Budget, in the policies of human development compensation and above all affecting the
organizational structure

Less than 10% of the formulated strategies implemented successfully walker kiechel
(corporate strategists under fire, fortune)

We have all felt at some point in our lives the frustration of a strategic planning process failes
but why strategic planning fails there are several reasons

Fault 1: confusing strategy planning one thing is to develop and deploy action plans work really
predicable and quite another is to clearly define the strategy for the organization: that is that
ability to know how to choose differentiate and build competitive advantage board members
and senior management and in the same direction the first called to design the strategy of the
company fail

This failure results in the inability of board members to read the changing environment
opportunities and threats as well as the lack of reflection on the product life cycle or their
substitutes as a result the company begins to retreat losing competitive spaces ultimately to
lose money

Fault 2: conduct strategic planning strenuous exercise without rigor, much power point and
little analysis, more poetry than statistics. Very focused on a word or exact phrase but distant
from the serious and accurate diagnosis of the company industry and competitors this
situation results in a disconnected missions and visions of the competitive reality of the
company useful for hanging on the wall but useless in addressing the challengers marked by
uncertainty and business rivalry

Failure 3: develop a strategic process unrelated to the strategic review process this equates to
a lot of activism of senior management in building the plan and little leadership to track to
monitor and adjust the results of the strategic implementation for this reason the key to
success lies in the periodic accountability is made to the strategic plan. Keep this dynamic is a
way to be sure that things are being done

Fault 4: do not communicate strategy. When the strategy does not descend to the rest of the
organization this stays in manual or cumbersome documents often the results of the strategic
planning communicate in ads and posters that used to adorn the boardroom or reception
forgetting managers one of its main roles is to communicate and mobilize the organization
around the strategy

Wrong 5: no measuring strategy it a reality the strategy that is not measurable in time risks
becoming a dead letter. Ecopetrol for example is a company that accurately defines strategic
platform in its objective and quantifiable goals and above them continually monitors

Fault 6. Disconnect the strategy of everyday life, the secret of a good strategy is that is the
daily work of everyone to land operations in the budget in the policies of human development
compensation and above all affecting the organizational structure a strategic planning that did
not inspire change management becomes a rhetorical and cosmetic exercise

Faultt 7: Lack of consensus among senior management and the board it is crucial that
expectations are clear and that all are aligned with the same vision of business. Achieving this
is the most difficult task since it is subtracted from the art it is the time for management to
achieve governance ie unity and consensus to take the best decisions for the organization
decision undoubtedly constitute the strategy the direction of the organization for the coming
years

The fact that the companies have not had good experiences with strategic planning does not
mean it is not a desirable and necessary to bring order to the organization manage uncertainty
and make the right decisions process the method does not end up overshadowing the real
purpose to do right correctly