Many organizations have performed some level of strategic planning that typically sets a longer term, static, direction for the future of the organization. This direction is typically for the next five to ten years, does not change or adapt with the changing circumstances or environment, and often is not nimble enough to adjust to the pace of changes organizations face. I would classify this as traditional strategic planning [1]
Some pitfalls that may exist in traditional strategic planning:
- Sets a static vision 5 to 10 years out with little room to adjust to the rapidly changing environment
- Typically consists of a feel-good event that gains little traction in day-to-day work
- Neglects making the strategic plan real and relevant for everyone in the organization
- Does not encourage the organization to say ‘no’ to things the organization has always done to make way for the strategically important items today
- Does not account for underlying organizational challenges standing in the way of strategic success [2]
- Utilized more for marketing and fundraising purposes than to create strategic focus in everything the organization does
This methodology had success several years ago when the pace of change was slower than it is today [1]. In our environment of rapid change, changing expectations of the people we exist to serve, unparalleled labor market challenges, and limited resources it is time to let go of traditional strategic planning. We, and our organizations, deserve something much more impactful and engaging!
Dynamic Strategic Management [3]
While there is no perfect or easy solution to ensure a strategic plan is created and implemented effectively, a different view of strategic planning has presented itself in Dynamic Strategic Management.
An organization’s dynamic strategic management system is the process and system that unleashes strategic focus. It takes the vision for the future and converts it into tangible operational priorities and plans.
The dynamic strategic management system helps create and maintain continuous organization alignment between an organization’s foundational elements while simultaneously creating and sustaining strategic focus.
Implementing a dynamic strategic management system results in discipline, or saying ‘no’ to things that would be good to do in order to say ‘yes’ to the few things that the organization must do to succeed today and tomorrow.
“Dynamic” – In today’s fast-paced, ever-changing environment, organizations are no longer able to plan five or ten years out. Today, strategic plans must constantly adapt. A strategic management system is not a stable or static planning process that is done periodically, rather it is an ongoing, dynamic process that allows organizations to make constant adjustments to maximize organizational effectiveness and impact [4]. The vision for the future is set, but how the organization gets there is nimble, constantly adapting to the new things the organization is facing, constantly aligning and tweaking elements within the organization to ensure it is aligned with the strategic direction.
“Strategic Management” – Strategic management takes strategic planning a step further. Strategic management aligns the long-range plan with short-term operational strategies, plans, and priorities. Strategic management considers all aspects of the organization and seeks to keep those aspects in continuous alignment, creating the space for the organization to gain focus and realize its vision [2].
Strategic management constantly moves the organization toward its strategic vision while making constant tactical adjustments along the way. Leadership must resist the urge to change focus based on their latest thoughts and ideas while adapting to the latest trends facing the organization.
Strategic management requires discipline. Discipline that propels the organization toward accomplishing its mission and realizing its vision. A vision that rarely changes unless significant factors and changes in the environment occur [1].
“System” – Dynamic strategic management is a systematic and ongoing process that is central to the organization. This system continuously creates clarity about plans, priorities, and goals. It determines the priorities for each team and relates them to the broader strategic priorities.
This system should shape meeting agendas, conversations throughout the organization, and drive communication [3]. Everyone should know the current priorities, plans, goals, the progress made toward them, and their individual role in helping the organization achieve strategic success.
When a dynamic strategic management system is working at its best, everyone within the organization knows what is most important, knows what the organization is doing towards what is important, knows how the organization is measuring its progress towards what is important, and knows how their day-to-day work contributes to what is important.
Dynamic Strategic Management in Action
I witnessed an organization fully embrace a dynamic strategic management system. This organization was stagnant for many years prior to implementing dynamic strategic management. The organization did not ignore foundational items in its planning, instead, many of the first focus areas dealt with culture enhancement, team health, systems and processes, and cultivating a community of collaboration.
Once these foundational areas were addressed, new initiatives were identified that focused on how the organization could tangibly impact more people. Before implementing these growth-oriented initiatives, the organization grew organically because longstanding foundational weaknesses were no longer standing in the way.
This organization centered everything it did around the dynamic strategic management system. Leadership team meetings and department meetings focused on the strategic priorities and what the next steps were in each area. These conversations went beyond updates and included dialogue and debate to make decisions and move the needle.
This organization did not refuse to have tactical conversations in their leadership team meetings because ‘it is too much in the weeds’ or ‘should be taken offline’. Instead, they leveraged the leadership team to have conversations and make decisions to constantly move its strategic priorities forward. They learned how much can happen when a leadership team spends twenty authentic minutes trying to move a strategic priority forward.
The organization started monthly all staff meetings designed to fuel the necessary culture change and build a more collaborative community. Each staff meeting started with an update on the progress toward the strategic plan, celebrated successes and progress made, and highlighted what strategic initiatives were coming up. This communication rhythm, coupled with goal alignment throughout the organization, helped to make the strategic priorities tangible and real to everyone in the organization.
Once this organization had been operating with its dynamic strategic management system for eighteen months, the culture was collaborative, people were connected to the mission and strategic priorities, and the growth desired at the outset of the process was surpassed.
When done well, with intentionality, and humility, organizations have the ability to truly transform their planning process and the impact they realize from it by implementing a dynamic strategic management system.
[1] Aaker, David A. 2001. Developing Business Strategies. 6th Edition. John Wiley & Sons, Inc. Canada.
[2] Vector Group Inc. 2013. “Strategic Alignment Model.” Carleton, Robert J. and Gary W. Craig.
[3] Wheelen, Thomas L., J. David Hunger, Alan N. Hoffman, and Charles E. Bamford. 2015. Strategic Management and Business Policy: Globalization, Innovation and Sustainability. 14th ed. Boston: Pearson Education, Inc.
[4] Burke, W. Warner. 2018. Organization Change: Theory & Practice. 5th ed. Thousand Oaks, California: Sage Publications, Inc.
