Why is Executing Strategy So Hard?

Here's a great article by Brian Lassiter, President of the Minnesota Council for Quality (a state-level Baldrige program) that discusses the impediments to executing strategy.

He cites a small study that ranks specific issues. Here's an excerpt:

“69% of these leaders are NOT confident in their organization’s ability to execute strategy. Wow – that is as disturbing as it probably is accurate: leaders at various levels in the organization fully recognize and are realistic about the challenges in implementing strategic actions within their organizations. The more interesting question, however, had to do with why…

When responding to the question of what was the number one barrier to effectively executing their strategy, what would you predict? The economy and constrained financial resources perhaps? Increasing competition, which causes priorities to shift? Maybe rapidly changing market dynamics and customer needs? Game-changing regulations? No, no, no, and no. In fact, most of the barriers reported by these leaders were INTERNAL issues, not external factors. In ascending order, they were:

• Company reputation, mentioned by 4% of respondents
• Customers, 10% (those darn customers)
• Lack of confidence, 16%
• Technology, 18%
• Competitive Environment, 24%
• Government Regulations, 26%
• Employees, 30%
• Way We Work Together, 34%
• Budget, 40%
• Economic Conditions, 44%
• Middle Management, 46%
• CEO/President, 50%
• Senior Management, 52%
• Company Culture, 64% -- and the number one reason strategies fail to be fully executed:
• Past Habits, 66%"

Read more at:
http://www.strategyexecutionblog.com/2010/01/why-is-executing-strat...