The Basic Principals of Good Strategy
Chris Zook and Jimmy Allen have just written a book called Repeatability that discusses how to maintain profit growth in the face of great turbulence. Their conclusions around strategy are as important for small and medium-sized businesses as they are for large businesses.
The First Light Leader
In times past, CEOs kept close counsel, sharing their nascent strategic ideas or concerns with a narrow cadre of confidants. Fortunately leading CEOs have rejected this behavior. Now the best share ideas early and often. The goal–to inspire collaboration; to shape and hone these ideas; to improve them.
We call these new century CEOs, “First Light” leaders. That is, as soon as an idea begins to form, the CEO moves it into the organizational dialogue. This works well within the broad leadership team. Not only does it serve the objective of improving ideas through the interaction, it builds commitment to the eventual decision. Involvement in the early stages deepens commitment.
First light dialogue works especially well for a CEO interacting with the Board of Directors. Picture the CEO stepping away from the formal agenda and spending a moment or two on a white board sharing an early strategic initiative, such as a possible acquisition, then discussing the candidate over time as the idea moves from early thought to possibility. Through this process the Board will have challenged, added and even understood the rationale. Typically the Board only has an opportunity to react to a polished presentation with little early dialogue. Such a Board is compromised. Not so when the CEO adopts the first light approach.
Decision-Making in Crisis
Working with Simon Gifford, CEO of the Genesis Management Consulting Group of Spain, and nearly a dozen other business leaders, Sage Partners is working to develop a framework and process to assist organizations deal with the impact of the geo-politcal and economic crisis we face. Given that the participants are scattered around the globe, the collaboration is being conducted through a series of web conferences. As the work of our group gets codified we will share it with our community.
Rich Schneider at Cornell’s Johnson Graduate School of Management
Rich serves as visiting lecturer at the School and has been teaching in the MBA program for four years. His courses focus on strategy and the consulting profession, actively coaching teams working with external clients. In addition he is in his second four year term on the school’s Advisory Council. Rich and his other Sage Partners use academic relationships to both pass on our experience and expertise and to stay current with new and evolving management concepts.
Larry Bennigson to oversee MIT Sloan’s Office of Communications
As Larry has migrated from his role at the Harvard Business School he is keeping his hand in the academic side of the business world. During Sloan’s search for a leader for its newly constituted Office of Communications, Larry will act to set the strategic focus of the office and develop its management processes. Larry brings deep expertise in both the private sector (Sloan’s core clients) and higher education (its role in the world) to his new role.
Ted West CEO of PhoneTell
Consistent with Sage Partners’ business model which balances ongoing commitment to Sage with career flexibility, Ted West has once again taken the reins as an entrepreneurial company CEO. In this case his charter is to bring PhoneTell from its early stages (founded in 2009) to capture its full market potential. PhoneTell, “Let your phone tell you”, is completely rethinking and reworking the mobile phone user experience. The company is backed by many of Silicon Valley’s most respected business and financial entrepreneurs.
Engaging the Board in a Strategic Dialogue: 6 Secrets for Success
Recent governance reforms intensify the role of the board of directors, mandating increased involvement and contribution. Coupled with the sharp rise in merger and acquisition activity, directors are drawn deeply into the strategic dialogue.