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Managers today need to think about these three issues simultaneously, which apparently goes in contradiction with the mantra “you need to focus”. The more creative and difficult a strategy is, the more important execution and leadership become. But no amount of leadership or charisma substitutes the absence of strategic clarity. And execution is the only thing that ultimately counts.
Talking about the current business is also critical. There are many companies that fail to recognize how quickly the core business is going down, and do not get the new products in place to compensate.There are many risks when reviewing or designing a company´s strategy, but one of them to be really taken care of is innovation. There is a whole hype about innovation, and it certainly is very important. If the rate of innovation is not sufficient to sustain the inevitable decay of the current business, there will be major problems. But the point is that “correct innovation” is critical. It is well documented that more than 70% of new products fail.
Beware - do not confuse tactical wins with strategic progress.
People are critical in implementing strategy:
- Implementer as champion of the plan and astute student as the process unfolds.
- Flexible in the face of evidence than can reshape the plan.
- Embrace local realities – trust but verify.
- Walking the line between knowing when to hold your position and when to fold.
Cultural sensitivity:
- Not necessary to go “native” – will need to stand up for core corporate values while showing sensitivity.
- Emphasis on a two-way exchange of values – need to adapt corporate culture with local realities.
Balancing between HQ and Country:
- Implementing global strategy locally requires a delicate balance between local demands and HQ imperatives.
- Ability to decipher when to hold the line and when to give in.
- Ability to persuade local manages to see the larger picture and how they fit into corporate strategy that has been developed.
- Local managers will always push for customization.
- HQ managers will always champion HQ interests.