JR

Strategy Contrast

To contrast a strategy is to force it to choose

An external contrast that puts the leadership team in front of its own dilemmas, checks whether what it declares is what it prioritises (and funds), and closes when the decisions have a name and a date on them.

This is work of my own design: design, coordination and support. It comes from having been on the other side (running the management of organisations, sitting on the boards of technology companies and research institutes, and a previous decade in industry and international trade) and from having applied it from outside as well, with no executive responsibility and therefore nothing to defend.


What the problem is

A strategic plan can be impeccably written and still not choose what the organisation prioritises when two legitimate options rule each other out.

It happens often: the plan is written, approved and published; and when the leadership team is then put in front of the choices that plan should have settled (grow or consolidate, centralise or distribute, exploit what already works or explore what is new), what comes up most often is the middle ground. Ambivalence is then presented as balance, it sounds reasonable and nobody loses anything, but the cost arrives later, and by two routes:

To contrast is to force that choice while the people who govern can still make it.

What a contrast is

To contrast is to set what the organisation thinks of itself against what its strategy declares and what its budget prioritises. Three sources that are almost never read together, and the distance between them is where all the value sits.

It is worth drawing the boundaries, because the word is used for very different things. A contrast does not audit, does not take minutes of the session and does not amend the strategic process the organisation already has under way; nor does it bring an alternative plan written from outside, because someone arriving from outside does not know the institution better than the people who govern it.

The four patterns a contrast looks for

These are the patterns that come up most often when those three sources are crossed in a large, deliberative organisation.

How it is done

The engagement has a fixed core (prior analysis, working day, report) and an optional foresight session. The sequence stays the same from one organisation to the next; what changes are the dilemmas it is made to choose between.

The foresight session

This is the optional part of the service and the most elaborate. What builds the scenarios is the joint analysis and the debate among the people in the room: the conversation is the work. A console of my own holds it up underneath (everyone answers from their phone, results are projected on the spot and nothing is tied to identified individuals), and that brings speed, anonymity and a real-time reading of where the group is heading. The route has seven blocks.

The early warning watch board

It is the final part of the workshop and the part that decides whether any of the rest is worth anything. The room identifies observable signals attached to each scenario, and a few of them are adopted (five or six, not fifteen). Each one comes out with six columns:

The demand is in the first column. A signal has to be something you can look at without arguing about it: a figure, a third party's decision, a change in price. "Uncertainty is increasing" is not a signal.

And it is worth saying what this board does not do. It does not watch anything by itself: it is a snapshot of the day of the workshop, an indicator changes status because somebody goes in and changes it, and nobody reopens a workshop session five months later.

The only things that survive are the two columns on the right (the owner and the review date), and they survive in that person's diary, not in a tool. If nobody leaves the room with a date in the committee's calendar, the board is an ornament. I would rather say so here than sell it as an alert system it is not.

What comes out of a contrast

All of the above leaves the room in a single document.

What makes it different

It crosses three sources, not one

Almost all the strategy contrast on the market compares a strategy with itself. The value is in crossing it with what the organisation believes about itself and with what it actually pays for.

It works on the organisation's own material

The later sessions do not start from generic frameworks but from the material the organisation itself produced. That is what makes it recognise itself in the result instead of filing it away.

There are questions I do not answer

Deciding whether an organisation centralises or distributes is a function of governance, not of advice. The contrast points at the decision, argues why it is the most decisive one, and leaves it where it belongs.

Collective intelligence is the mechanism

An imposed direction holds for as long as senior management is paying attention; one built by the people who will have to carry it stays, because they own it.

It does not interrupt the organisation's own process

If the organisation already has its strategic plan under way, the contrast does not amend it: it puts it under tension and hands back material for the phases that follow.

What did not come out gets said

If a table named no owners or put no figure to what it proposed, the report says so in those words. A deliverable that smooths over the gaps is a deliverable that passes them on intact to the next phase.

Who it works for

How it is contracted

What your organisation brings

How it is agreed

Scope and terms are settled in a preliminary conversation, based on the size of the organisation, the number of sessions, and whether the contrast stops at the working day or chains on to the phases that follow. Every engagement is quoted on that basis.

Let's talk about contrasting your strategy
Joaquín Romero Roldán · Independent Board Advisor joaquinromero.com