Strategy. What is it (and why it sucks)

When I first started using the word ‘strategy’ instead of ‘planning’ I felt like an absolute boss!

It makes me smile just thinking about how naive I was.

Back then, I would spend my nights mapping out business plans on huge pieces of butchers paper and then detail every part of it in notebooks.

(I think they’re packed in a box somewhere in the garage actually. I should share them sometime).

The thing is, while I was unknowingly practising the fundamentals of what would l later know as strategy, I always struggled to implement it.

I’d have vivid images in my mind about what I wanted to build, only to get derailed over and over by the complications of actually making it happen.

It went on for at least a decade as I figured things out the hard way.

But it taught me two big lessons about strategy:

1. The most difficult bit about strategy is sticking to it. 
2. Strategy is pretty much useless without excellent implementation.

And that’s the part that make strategy suck.

It’s also why I believe the ‘buzz’ about it won't stick around forever (in the business world). I reckon it’ll be replaced with ‘implementation’ as value shifts to those who can make it happen and get outcomes.

But while it’s a hot topic, I thought I’d pull it apart and share what it means for me. 

Let’s dive in…

I read a quote late last year that said:

‘Running a business with poor strategy is like cutting grass with scissors.’ - Alex Hormozi

I scrolled back through some of my favourite content from well-known entrepreneurs and I realised they all mention one-liners like this that sound like wisdom bombs. 

But the truth is, they don’t mean a whole lot when you’re looking for lessons. And they sure as shit don’t help you implement anything.

In my eyes, strategy is picking the things you’ll work on that are going to give you the most ‘bang for your buck’.

But there’s a few things you need to be clear on before you form your strategy. 

Here's what it looks like for me:

1. Big vision

The bigger your dream, the more effective a good strategy is to get you there.

Thinking big also forces you to think about all the pieces stacked together to form something massive. And because of that, you naturally try to chunk it down which is part of strategic planning.

(Instead of a small vision where you can just go and do the thing with a strategy)

2. Pick your key activities

There’s no point in becoming excellent at shit that doesn’t matter. 

So you’re going to need to figure out what the most important things are to do that have the biggest impact on your progress.

Then do more of that.

3. Delete what’s not working

It sounds obvious, but few people do it. 

Nearly every entrepreneur I know seems to think they can keep layering on things in order to achieve their goals (me included). 

Instead, remove complexity, delete what’s not working and delegate what’s useful but not high value.

4. Being ready for the unexpected. 

I never used to plan for the unexpected. Another thing I learned the hard way...

But these days I have built-in redundancies on key equipment, a training model that’s geared towards not being reliant on one key person for critical functions, and we recruit responsive leaders who can think clearly during moments of crisis to rapidly deploy solutions. 

It’s highly likely that reaching your goals won’t go as planned.

So accept that from the beginning and make plans for it.

5. What to use your limited resources on

As an entrepreneur or leader, you have resources at your disposal.

Things like, your team, cash, relationships, attention and the weight of your authority.

But it’s not infinite. In fact, there’s often less of it that you need so you’ve got to decide what to focus your limited resources on to have the maximum impact.

This is where points 2-3 are critical.

6. Focus and discipline

One of the biggest things I realised is that most people already understand good strategy. 

Even if you don’t know what you’re doing, strategy isn’t what normally lets you down at all. 

It’s often that you just don’t stick to it for a long enough time horizon.

If only you’d commit to implementing it for decades instead of a year or two…

Your success would skyrocket and your life (plus the life of those around you) would completely transform.

But there's one thing to be careful of when you set a long time horizon - Don't lose your urgency and become lazy thinking you have more time.

Instead, look at it like this:

Build a long time horizon for strategy but compress your timeline for your key activities to catapult your progress.

That's it for today.

I’ll leave you with a quote from legendary military strategist, Sun Tzu:

Strategy without tactics is the slowest route to victory.

Tactics without strategy is the noise before defeat.

Now read that again and replace the word tactics with 'key activities'.

I hope you have a brilliant week.