"Companies typically realize only about 60% of their strategy's potential value because of defects and breakdowns in planning and execution."
Harvard Business Review
"82% of Fortune 500 CEO's feel their organization did an effective job of strategic planning. Only 14% of the same CEO's indicated that their organization did an effective job of implementing the strategy."
Forbes Magazine
The Strategy Execution Gap is the variance between management's strategic plans and the organization's actual execution or implementation of those plans. Unfortunately, the Strategy Execution Gap represents substantial lost opportunities that are costly for ALL organizations. Even in the best run companies, there is still a huge opportunity to improve their performance by closing the Strategy Execution Gap.
How is it possible that organizations ignore the huge cost of their strategy execution gap, yet will waste scarce resources tweaking minor business processes in hopes of achieving substantial savings? Denial of the strategy execution gap is probably the primary reason for management's oversight. Management's belief that their organization does not have time for the administrative burden of implementing a formal strategy execution process is a close second.
Assuming an organization has a viable strategy that is well thought out and realistic, there can be nothing more important than making sure it is executed in a timely and efficient manner. Closing an organization's Strategy Execution Gap by translating their Vision2Reality remains management's best opportunity to assure their success.
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