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Strategy misalignment is subtle and sometimes difficult to spot. Yet without a properly aligned corporate strategy, you are likely to introduce a serious dose of chaos into the organizational environment. Corporate strategy is the blend of strategic goals that support the mission and vision of an organization. When a corporate strategy is aligned, the key outcomes (strategic goals) of the organization are united with operations and execution tactics. In other words, all parts of the organization’s eco-system (the sum of internal and external functions of an organization’s environment) are moving in the same well-defined direction. When strategy is misaligned operational initiatives are out of sync with the strategic goals of the organization, mission drift occurs within the operations of the business.
It is critically important to identify strategic misalignment early since misalignment can lead to chaotic reactions. Uncorrected, problems compound quickly and lead to serious issues within the organization. How do you know if your corporate strategy is aligned?
Look for these symptoms:
- Financial Projections are Missed
- Growth is Stalled
- Reactive Spending and Duplicated Initiatives Occur
- Cultural Erosion and Morale Problems Appear
- Revenue and/or Profitability Decline
How to Address Strategy Misalignment:
Just as it takes time and effort to see results from strategy, re-instilling strategy alignment and correcting misalignment requires time, work and discipline. The situation didn’t occur overnight, and won’t disappear overnight either.
This article was adapted from Method Frameworks.