Execution; Diagnosing The Problem As Well As Proscribing The Solution

The introduction to Andrew MacLennan's recent book Strategy Execution: Translating Strategy into Action in Complex Organisations summarises well the issue (and impact) of poor strategy execution

A survey conducted by the Economist Intelligence Unit revealed that barely 40% of executives rated their companies as being successful at execution. Another survey suggested that companies typically realise only about 60 per cent of their strategies' potential value because of breakdowns in both planning and execution. Fortune magazine estimated that 70% of chief executive officer departures are the consequence of strategy execution failures. Yet another study found that half of all strategic decisions fail to get implemented. Others have suggested that upwards of 70% of strategies fail to achieve intended objectives upon implementation. Each of these studies has limitations, but together they paint a picture that reflects the impression of experts in the field - an alarmingly small proportion of strategies are implemented successfully.

These studies and observations reflect closely the client conversations we often have with clients, and the similarities continue later in the book. For example, MacLennan devotes the majority of his 200 pages to chapters on 

• A framework for strategy implementation  
• Translating strategy into action and
• Aligning action with strategy

which equate to the 4 Disciplines of Execution framework, the Engagement and Translation process and the Manager Certification system FranklinCovey has been developing and refining through global client work over the past 6-8 years.

Before this, the early chapters focus on

• The strategy execution challenge and 
• Diagnosing strategy execution problems 

- areas where FranklinCovey has also done extensive research. Here, perhaps the most significant resource we offer is the 'xQ' (Execution Quotient) data available from more than 1,500 organisations / 14,000 work teams / 200,000 respondents from 14 countries and 18 industry sectors. This data highlights 6 of the most common breakdowns (or conversely enablers) of execution, as identified by original research we conducted with McKinsey and Harris Interactive, and then comparable data for these 6 elements (in addition to 20 sub-elements) highlighting overall / industry / regional averages as well as 'Top 10%' comparisons. 

 As MacLennan comments "it is tempting to leap straight to some principles and a framework for successful strategy execution (but) beforehand it's crucial to understand what typically gets in the way of successful strategy execution and how to identify barriers in specific situations". This tallies directly with FranklinCovey's experience, and with 'xQ' we offer perhaps the largest source of comparative data for executives to make this assessment before considering frameworks, processes and systems which are proven to work internationally in large and small organisations.