Title: Overcoming Leadership Pitfalls: Engaging with Company Strategy
Written on
Chapter 1: The Importance of Strategic Engagement
Many leaders mistakenly believe that formulating corporate strategy falls outside their responsibilities. This belief can lead to significant oversight in their roles as leaders.
A common refrain among some leaders is, "Strategy isn't my role." This perspective implies that strategic planning is not part of their job description. Others may become so engrossed in daily operations that they lose sight of how their team's efforts align with the organization's broader objectives. A concerning statistic from Harvard Business School reveals that 85% of executive leadership teams dedicate less than one hour each month to discussing strategy, with 50% spending no time on it whatsoever. This is a troubling trend.
As Sun Tzu, the renowned strategist, noted, "Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat." Thus, strategic thinking should be among the most prized skills for today's leaders. While many organizations recognize the critical role of strategy in achieving success, a disconnect persists.
Unfortunately, many leaders face hurdles that inhibit their strategic thinking. Time constraints are often cited as a reason for this disengagement. Even when they do find the time, there is often a lack of consistency in how they relate their thoughts to the team's contribution to the overall organization.
Section 1.1: Key Reasons Leaders Struggle with Strategy
Leaders often stumble for three primary reasons, leading to their disengagement from company strategy:
Failure to Empower Their Team
A frequent excuse for not engaging in strategic planning is a perceived lack of time. However, this often stems from an inability to delegate tasks effectively. Leaders may take on responsibilities that could be handled by team members or outsourced to external agencies.
Leaders must prioritize their role, which is to empower their teams to accomplish their tasks. As Steve Jobs famously said, “It doesn’t make sense to hire smart people and tell them what to do; we hire smart people so they can tell us what to do.”
It's easy for leaders to become bogged down in daily tasks, mistakenly believing they can do them more efficiently than their team. This approach can detract from overall productivity and morale. Leaders need to carve out time for strategic thinking and encourage their teams to make decisions, tackle challenges, and learn from their errors. They must strike a balance between maintaining focus on the broader vision while managing everyday operations.
Misalignment with Other Departments
Another challenge leaders face is a disconnect with other departments. A survey conducted by MIT Sloan School of Management indicates that only 26% of senior managers strongly agree that their key performance indicators (KPIs) align with their company's strategic objectives. Additionally, Harvard Business School found that 95% of employees lack a clear understanding of their company's strategy.
Strategic alignment falters when there is ambiguity regarding the goals of the organization and its individual departments. Employees are generally eager to comprehend the company's strategy and their role in contributing to it. However, leaders frequently struggle to articulate and communicate this strategy effectively. A strategy is only as effective as its clarity and communication.
Insufficient Leadership Skills
True leadership skills are not universally possessed. Many leaders exhibit detrimental behaviors that erode trust, struggle to navigate dual roles as both coach and player, and lack strategic foresight. While some leaders may have an innate ability to think ahead, others do not.
Many leaders shy away from discomfort and fail to challenge themselves regularly. To be effective, leaders must cultivate their skills, remain aware of their behaviors, and establish positive habits. As Michael Jordan wisely stated, “Earn your leadership every day.”
The challenge is that leaders often lack the skills necessary to juggle immediate responsibilities while also preparing for the future. They should actively seek training, coaching, and resources that foster their development, while also enabling their teams to grow.
Section 1.2: Synthesizing the Insights
In summary, three significant barriers prevent leaders from engaging with a company's strategy: insufficient empowerment of their team, misalignment with other departments, and a lack of essential leadership skills. Leaders must encourage their teams to work more intelligently, not just harder. They should collaborate with their peers to develop a coherent strategy that genuinely qualifies as a strategy.
As Michael Porter remarked, “The essence of strategy is choosing what not to do.” Many leaders mistakenly assert that strategy is not part of their job description, which is a misstep. Strategy is integral to their leadership role. It's vital for leaders to allocate time in their schedules for strategic contemplation, planning, and to decline pursuits that do not yield results.
“Leadership is a potent combination of strategy and character,” said Norman Schwarzkopf, a United States Army general.
Join my email newsletter for a free eBook and further insights.