It is a common belief that strategies fail because they were not elaborated properly. But in reality, strategy development is less than half the battle. In the majority of cases – we estimate 70% – the real problem is not bad strategy. It is bad execution [Charan/Colvin: Why CEOs Fail].

When we talk about strategy execution we think of hundreds of different initiatives defined to transfer abstract strategy into tangible business reality. In turn, every single initiative contributes to strategy execution. Hence the equation is simple: if a set of initiatives fails, strategy fails.

Within strategy execution we distinguish between smaller initiatives constantly developed and executed in daily business, and major strategic initiatives executed in a project setting. Companies with poor results in strategy execution might have trouble with the implementation of one or both kind of initiatives.


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