EXECUTE.... OR BE EXECUTED!!!

"Strategy gets you on the playing field, but execution pays the bills"

- Gordon E. Eubanks, former President and CEO, Symantec Corporation

As I sip through coffee glazing over the Forbes magazing, I am surprised to read that:

"82% of Fortune 500 CEOs surveyed indicated that they feel their organization did an effective job of strategic planning. Only 14% of the same CEOs indicated that their organization did an effective job of implementing the strategy".

Corporate Strategies are intellectually simple; their execution is not. The question is, can you execute? That's what differentiates you. While most organizations have the strategy, they lack an actual strategy-execution process. Some organizations cannot articulate their strategy in a clear, simple, consistent voice - a requirement for enabling discussion and encouraging followership.

Sadly, many employees don't understand the corporate aims of their organization, let alone see themselves as an integral part of the solution. Harvard Business School findings suggest that 95% of employees do not understand their organization's strategy. Do your employees understand? or even if you are running a program or initiative, does your team understand... how this helps the organizations' strategy?

A group of U.S senators were visiting NASA at a time when funding was being threatened. One senator asked a man cleaning the floor, "So, what are you doing here?" The man answered, "I'm here putting a man on the moon"

Linking strategies to execution remains a key component of achieving business value. Last year I presented a method/technique for creating this link... and was well received, but the more projects I execute and more experience I gain, I understand the importance of this link more deeply.

In one of my recent engagements, I saw top leadership doing a great job of executing and more precisely they were able to close this gap between strategy and execution. Basically boils down to effective leadership.

So when folks say project/program managers are lateral thinking....and have an adminitrative focus... and not innovative focus, I tend to disagree. More and more execution of strategy happens with effective leadership, hence the project/program managers who consistently succeed show a relentless capability to innovate.

Maturity Model of an IT organization and outsourcing

The business-IT alignment challenge is moving into a new territory according to Mckinsey survey released in May 2007 entitled, The next frontier in IT strategy: A Mckinsey Survey.

According to Mckinsey, IT organizations naturally pass through three stages as they evolve toward reaching their full potential: Support, Business Collaboration and Innovation.

The first stage is to support the business via mastery of the basics of IT service delivery in a cost-effective and consistent manner. The next stage of the Mckinsey maturity model requires mastery of 'business collaboration'. Mckinsey states that 'collaboration' means that IT is pro-actively engaged in working with the business rather than responding reactively to events and crises as they occur.

Mckinsey reports that significant stage-two progress has been made in the past few years. 83% of of the 72 senior IT executives surveyed reported that they believe that they have mastered stage 2: business-IT collaboration.

The next Mckinsey stage is mastery of 'innovation' . That is, IT must help business identify new technologies that will help them drive corporate innovation to enable distinctive business processes to effectively compete.

It is very interesting find these results, but in my experience a lot of IT shops within organizations are stuck at stage 1 and just able to provide support and not business collaboration or innovation. Very often, we see re-orgs within the IT shops or the top management wanting to outsource all of IT because business looses faith in IT. Even though the goal maybe to reduce IT costs, but are they really reduced by outsourcing? Definitely not, but what these companies do obtain is more predictable and trustable IT shop (from a delivery standpoint).

'Innovation' is what some of the big outsourcing vendors are pitching. They claim to add strategic value through IT and a lot of organizations are buying into that. Does that mean that the inhouse IT shops have failed to do so? We will have to wait and see...