First robotics, then AI and machine learning, and now Elon Musk’s neural link working on neural devices implantable in humans — radical technological innovations are pervasive and fundamentally changing the way we work and the world operates.
Markets are kind to only those who keep up with the times, others just weed out. This is why businesses are typically considered the frontrunner in adopting the latest innovations.
Are you prepared to inculcate new technologies in your business? Where will you begin? What will be your endgame? Then, are you merely running a population of employees or are they working collectively towards the organization’s strategy? Do you have a talent strategy for the era of gig economy and liquid workforce?
Strategizing and Business Strategists are the answers to these questions.
What is Business Strategy?
Business Strategy, popularly known as B-Plans, are the documented plans of a business which outlines several crucial aspects — its goals and strategies on how to achieve them; stakeholders and their needs/expectations; competitors and tactics to deal with them; and much more.
According to Michael Porter, a renowned management academician, business strategies are formed across two dimensions, i.e., Cost and Differentiation. Be it any domain, strategies are influenced by these two needs of the businesses, which is cost factor and the level of differentiation one seeks to bring in the product/services at hand.
Initially they are developed by the founding team, but they have to be reviewed periodically, either by specialists or the core team. As organizations grow, the C-suite may require Business Strategists who specializes in helping businesses formulate and evolve appropriate responses to the internal organizational changes as well as external changes in the market via influx of a new tech or anything else.
Why you need a business Strategy?
How do you know what you are doing is right and working? Strategies help you figure that out by setting desired success metrics and assessing future risks. Operating a business without strategy is like preparing for a marathon without a stopwatch or pedometer; not knowing anything about your running speed. Here are five reasons why you need a business strategy and how it can future-proof your business and make you change friendly.
- Brings everyone on the same page.
A well-outlined business strategy clarifies the organization’s vision. It brings everyone on the same page, where every cog of the business works towards achievement of overall business objectives. A business strategy sets the direction and you may also find your priority initiatives therein which may not be taken so seriously at the moment.
- Keeps you ahead of the times.
You know of the latest trends, but not so sure how to bring them to benefit your business. What do you do? You come up with a business strategy or take help of a professional Business Strategist. It will make you think of possible future changes, which will keep modifying and upgrade your business. You don’t want to be using newspaper advertisements in the times of Insta (unless your TA requires you to)!
- Talent and leadership development in advance.
This is one of the most overlooked aspects of formulating a business strategy. A business is as good as its people. A business strategy includes or should include a component for the assessment and development of your organization’s talent and leaders. For instance, you should have an answer to what you are doing about the gig economy. Why and Why not?
- Makes you Analytics-Driven.
You don’t want to run the business based on how you ‘think’ things are working, but you have to ‘truly know’ how things are working. AI. Big Data. Predictive Analytics. Surveys. These are the tools for formulating a sound business strategy. You may not be leveraging them at present to inform your decisions. Business Strategists can help you use analytics to your advantage.
- Get that competitive advantage.
Finally, having a business strategy gives you a competitive edge, since you know your present business health and are working on making it better.
How to go about it? — Strategy experts don’t have to be outsiders.
You don’t necessarily need to hire a business strategist externally, instead, you can get your inner circle trained for the role with a strategy certification. Getting a certification will help them get trained through learning resources and course material provided by the certifying body, and help them combine their educational qualifications with knowledge of business strategizing.
A sound business strategy sits at the top of the heap of running a business. Knowing it will put you in a different category and set you up for faster growth. Are you prepared for it?