Don't Let Strategy Puzzle You

Guest post by: Dr. Rick Johnson
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Sales Management --Unmask the Confusion of Territory Account Assignment - By Dr. Rick Johnson

I was cleaning the garage last week, and I found an old jig saw puzzle. Black paint had been spilled on the cover of the box. The only thing visible of the picture the puzzle was supposed to represent was a glimpse of a white picket fence. Tracy loves puzzles, so I gave it to her and challenged her to complete this 900 piece puzzle in less than two days. She immediately accepted the challenge but the minute she saw that the picture on the cover was not visible due to the black paint she began to vacillate on her decision. Can you imagine trying to put a puzzle together without a picture of what it should look like? Maybe a more familiar analogy would be trying to assemble toys at Christmas time without directions and without a picture of what they should look like.

Tracy made a valiant attempt but the challenge of completing this puzzle without some vision as to what it was supposed to look like was overwhelming, and she insisted that I help her.

"No way, " I replied. "We have no idea what goes with what and no picture to guide us."

Think about that for a minute. Could you complete a 950 piece puzzle with no picture in a reasonable amount of time without getting totally frustrated and maybe so annoyed you would just throw it away?

Well, once I found that puzzle, I figured out exactly why it is so critical to create an "End Game --- Vision of the Future" and then work backwards to create an effective strategy for success in business.

Driving in the Dark

Visualize that puzzle with no picture again. Now think about trying to develop a strategy without having some vision, some form of reference - a picture that can guide you in the process of putting the strategic pieces together. Imagine driving at night with no head lights.

We sometimes have a tendency to try putting our strategic plan together without having a real picture of where we want to go, and what we really want the business to become. It's like driving in the dark or putting that puzzle together with no reference at all.

Often times action plans are even written, segment and product initiatives are developed and the management team attends a retreat where they come up with fifty four grand ideas, drink the same Kool Aid and sing the same motivational song.

Six months later they have accomplished very little, and they can't figure out why they aren't achieving great success.

The End Game Drives the Strategic Planning Process

Contrary to the definition of End, the "End Game" is really the beginning, the beginning of long term strategic planning. Strategic planning is a management tool. It is used to help an organization clarify its future direction - to focus its energy, and to help members of the organization work toward the same goals. The planning process adjusts the organization's direction in response to a changing environment. Strategic planning is a disciplined effort to support fundamental decisions and actions that shape and guide what an organization is, what it does and why it does it, with a focus on where it wants to go and how it is going to get there.

A critical factor and the very first step in developing a strategic plan is creating the end game. Just exactly what do you want your company to be when it grows up? Ask yourself the following questions from the perspective of looking five to seven years into the future.

1. What markets should your company be serving five years from now?

2. What products should you be distributing?

3. Who are your primary competitors?

4. What are your strengths?

5. What are your competitors' strengths?

6. How has your marketing strategy changed?

7. What are your core competencies?

8. What is the size of your revenue stream?

9. How is your revenue stream segmented?

10. Do you have a Human Resource Development plan?

The End Game Vision creates a picture of what the organization should look like and where it is going five to seven years into the future. The strategic plan determines how it's going to get there. The End Game is the picture of the puzzle and the strategic plan becomes the pieces to the puzzle. Typically, the process is organization-wide, or focused on a major business segment such as a division. But, it all starts with a picture of what the company should look like in the future. Strategic Planning supports the fundamental decisions and actions that shape and guide an organization.

Creating an "End Game" involves looking at a longer time horizon and developing a strategy that can identify future trends and create action plans based on the highest probabilities. A good strategic planning process will enable a business to anticipate changing trends and implement actions that will help gain or maintain a competitive advantage. This is especially critical during tough economic times.

Developing a carefully thought out strategy that involves much of the entire organization utilizing the vision provided by the "End Game" creates your road map to success.

Don't try to put your pieces of the puzzle together without having a picture that guides you.

If you would like help creating the strategic planning process, contact rick@ceostrategist.com to discuss your needs and desire to prepare your team for future challenges and help create your "End Game Vision for the Future."

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Sales Management --Unmask the Confusion of Territory Account Assignment - By Dr. Rick Johnson

About the Author: Dr. Rick Johnson

RSS for Dr. Rick's articles - Visit Dr. Rick's website

www.ceostrategist.com - Sign up to receive "The Howl" a free monthly newsletter that addresses real world industry issues. - Straight talk about today's issues. Rick Johnson, expert speaker, wholesale distribution's "Leadership Strategist", founder of CEO Strategist, LLC a firm that helps clients create and maintain competitive advantage. Need a speaker for your next event, E-mail rick@ceostrategist.com.

Dr. Rick Johnson has over 35 years of experience in distribution sales and operations. Rickï¿½s career can be broken down by decades. The first ten years of his distribution career were spent with the largest steel-processing distributor in the world (Joseph T. Ryerson). The second ten years began with Rick starting his own processing distribution center from scratch. In the first year, sales reached $1 million dollars and had grown to $25 million in its tenth year when Rick sold the business to one of the major national chains. The third ten years of Rickï¿½s career dealing with financially troubled Turn-A-Round companies. After completing ten years of TAR work, Rick decided a decade of acting like Darth Vader was enough and became a consultant to the Wholesale Distribution Industry in 1999. Rick received an MBA from Keller Graduate School in Chicago and a Bachelor's degree from Capital University, Columbus Ohio. He also served six years in the United States Air Force as a survival instructor. Rick completed his dissertation on Strategic Leadership and received his Ph.D. in 2005. Rick is frequently published in numerous magazines including a column in Supply House Times, with over 250 different articles published to date. Heï¿½s also a published author with eight books to his credit.

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