While working with organizations on their organization structure (to fit structure and strategy), I felt more than once, that for many organization the line between strategy and mission is blurred.
Oxford defines strategy as “a plan that is intended to achieve a particular purpose.” I grew with the concept that business strategy is a combination of what, who and how. What the business is delivering (product). “Who” is the customer. “How” defines the unique business way of the offering. Structure good business strategy will be: Providing a management platform for fortune 500 organizations that need to augment gig-economy in their business by automating all business and HR processes and charge per usage. Regretfully what I see more than once is “Dominating the fortune 500 organization with premium service”. This is more a mission than a strategy.
The problem with the second example is that there isn’t any understanding of how to achieve the strategy. Without this understanding, it is not clear what different part of the organizations need to do to execute the strategy. This is impacting our willingness to help organizations to adjust their structure to implement their strategies.
There are 4 main types of how. Gain a stronghold in a growing market through aggressive M&A activity. Product differentiation. Gaining a technological advantage and Pricing strategies. The first example used product differentiation and pricing strategies as the how.
When defining strategies make sure the how is there. Without it don’t be surprised if you won’t reach your mission.