Changryla Mae J.

Tan BSOA-3
Code OA024 Strategic Management WSAT 5:30-7:00PM

Strategy Execution: The 7 Step Process [+ Study Findings]

What is the key to implementation success?

there are also numerous methods, models and tools that make strategy implementation easier and
provide helpful guidelines. Two of the best-known models are McKinsey's 7-S model and Scott
Edinger's three Cs of strategy implementation.

Implementing strategies with McKinsey's 7-S model

The strategy and management consulting firm McKinsey has developed a model with seven
factors that are necessary for successful strategy execution. These are divided into “hard” and
“soft” elements, with the hard elements being relatively easy to identify and influence, while the
soft elements are less tangible and harder to shape.

The hard elements are:

 Strategy: The strategy a company follows to secure an advantage over competitors in the
market.
 Structure: The hierarchy and organizational structure of a company
 Systems: All the processes, tools and activities involved in daily structures

Soft elements include:

 Style: The corporate culture as a basis for cooperation

 Staff: All employees in the company
 Skills: The skills and special competencies of the team
 Shared Values: The shared basic values in the company
 The McKinsey 7-S Model
Overall, all elements in the model are interconnected. If one element changes, this always has an impact on the
others. The shared values are at the center of this. Ideally, all elements are in harmony with each other.

The 7 Step Process

Without a clear plan, the leap from strategy planning to strategic execution is practically doomed
to failure. Additionally, it requires the necessary capacity, resources and support from
employees. Here is a summary of the seven steps a team or company must take to successfully
execute strategy and achieve defined strategic objectives.

1. Choose framework and formulate goals-The two most important components of successful
strategy execution are clearly articulated goals and a process to help the team achieve them. The
goals should include the company's vision, mission and KPIs. The more explicitly the goals are
defined, the easier it will be to work towards them.
2. Assign roles - To implement a strategy effectively and efficiently, clear roles and
responsibilities are needed. Everyone in the team needs to know what they have to do, what they
are responsible for, and who works with whom on what. It should also be clear who will take the
lead and what deadlines must be met. All of this should be clarified as early as possible so that
no area of responsibility is overlooked.
3. Provide resources - Once all roles have been assigned, the next step is to provide the
resources needed to implement strategic initiatives – for example, financial resources, tools or
time capacities. It is not always easy to get an overview (and to keep it). But it helps to,

 keep an eye on the end of the project right from the start,
 define a clear project scope,
 identify and list available resources in the team,
 share the plan for the implementation process with all stakeholders and solicit opinions.
4. Execute the plan -The goals are set, everyone involved knows what they need to do, and the
resource planning is in place? Then it's time for the actual execution. As the team works to
achieve the established strategic goals, it may be useful to solicit updates and provide interim
reports at certain milestones in the process – for example, right after the start, in the middle, or in
the final stages of the process. Challenges that have been overcome or mistakes that have
happened are also good starting points to discuss progress.

5. Stay flexible - Once the implementation process has started, obstacles and unforeseen
problems will inevitably arise. Then it's a matter of responding flexibly to change and adjusting
goals or approaches to solve or work around problems.

6. Offer support- Throughout the implementation process, once roles are distributed, leaders
should trust everyone to do their jobs independently and work toward common goals.
Micromanagement is out of place, slows down the strategy process and, at worst, can lead to a
loss of motivation. Regular feedback, support in the event of problems and the opportunity to ask
questions at any time, on the other hand, have an encouraging and motivating effect. Managers
should therefore take on more of a coaching role in strategy execution, keep an eye on the “big
picture” and empower employees.

7. Reflect and optimize - Implementing a strategy is a lengthy process. Therefore, points should
be defined to mark when the initial implementation process is complete and all tasks have been
completed or have been advanced and set in motion to the point where a first conclusion can be
drawn. Once one of these points is reached, it is time for a debriefing or retrospective in which
successes (and failures) in the implementation process are discussed, reflected upon, and
evaluated. The results are noted and form the basis for future strategy projects. This way,
mistakes can be ironed out and continuous improvement is initiated.
The three Cs of strategy implementation
Business consultant and author Scott Edinger has also summarized three steps that should be
taken for effective strategy execution in the form of the three Cs of implementing strategy:
clarity, communication and cascade.

Let's take a closer look at what is hidden behind the three Cs.

 Clarity: A successful business strategy should be formulated in such a way that not only
managers but also all employees understand it.
 Communication: The organizational strategy should be communicated at all levels of the
organization through various media (e.g., internal blogs, podcasts, meetings, discussions).
It should become clear how each employee can individually contribute to successful
strategy execution.
 Cascade: Even if the company's strategy as a whole has already been communicated, it
should be ensured that it is really understood everywhere, in all areas and by all
employees. (Senior) managers are particularly called upon in this step: They must have
understood the strategy, be able to communicate it to their team (e.g., in team meetings or
individual coaching sessions), and be able to transfer it to their own area.

Why is strategy execution important?

If you develop a strategy without considering whether it can be implemented, you will inevitably
fail. Therefore, it is essential to think about execution from the very beginning.

When is a strategy successfully implemented?

A strategy is considered to have been successfully implemented when it is anchored in the minds
of all employees, the first tasks have been advanced to the point where the foundation for further
development has been laid and the first implementation phase has been completed.