The One-Word Strategy – from the Scaling Up playbook
In the fast-paced world of scale-up business, it’s easy to get pulled in multiple directions. However, achieving significant and sustainable growth requires one essential ingredient: focus. A clearly defined strategy provides a central point for everyone in the business to work towards. Without it, businesses risk scattering their efforts and failing to make substantial progress. As a coach for CEOs of high-growth companies, I’ve learned something crucial: While all CEOs have a strategy, only about 5% can articulate it in one sentence. This lack of focus breeds a lack of confidence, as complex strategies are often forgotten or misunderstood.
Remember, the goal of the 7 Strata tool is to distil a complex strategy into something clear, simple, and memorable. When your strategy is easy to remember and visualise, your team can confidently make faster decisions daily, all driving toward your three-year goal—your company’s clear market position goal for the next three years.
Ask yourself—whether you are a CEO or not—can you say your company’s strategy in one sentence or less? Do you have confidence in your strategy? You will if you get clear on your three year goal. Start with turning your strategy into a picture that everyone can relate to and understand. Then, foster regular discussions with all your leaders and team members to keep the focus sharp and aligned.
Why Focus Matters
Within any strategy, it’s crucial to identify and concentrate on the one thing your business does best—its “hedgehog concept,” as Jim Collins calls it. This involves determining what the business is passionate about, what it can excel at globally, and what drives its economic engine. Effective leaders must communicate a single, clear message to their teams, ensuring everyone understands and aligns with the primary objective. This focus extends to all aspects of the business, from talent acquisition to daily operations.
A simple, memorable strategy empowers your team to move quickly and decisively, ensuring everyone is on the same page and working towards the same goal. Let’s make strategy straightforward and effective.
Three Actions CEOs Can Take with Their Teams to Identify Their One Word
1. Host a Focus Workshop
Action: Gather your team for a focused workshop on distilling your company’s strategy into a single word or phrase.
Is every member of your SLT on the same page? At the beginning of the strategy-setting process, I get everyone to write, in one word, what they think the strategy of their company is. No conferring. No phone-a-friend. Every team member writes their answer on a Post-it note and sticks it on a flipchart. The differences of opinion are staggering. This meeting should serve as a platform to align your team’s efforts and set a clear vision. Introduce the concept of a one-word theme that encapsulates your strategic focus.
Example: Begin by brainstorming sessions where everyone contributes ideas about the company’s strengths, passions, and unique value propositions. Encourage open dialogue and collective input to identify the word that best represents your company’s mission and goals.
Why It Works: This process not only clarifies the company’s focus but also fosters a sense of ownership and unity among team members. A single, powerful word can serve as a rallying point, giving employees something to unite around and drive towards.
2. Integrate the One Word into Daily Operations
Action: Incorporate the one-word theme into all aspects of your business operations and communication.
Once your team has identified the one-word theme, integrate it into your daily operations. Use it as a guiding principle in decision-making, performance evaluations, and goal-setting. Make it visible and audible within the company culture.
Example: If your word is “ACCOUNTABILITY,” ensure that it’s reflected in how you conduct meetings, set targets, and recognise achievements. You could have a “ring the bell” moment for each significant win or public acknowledgements for employees who embody the theme.
Why It Works: Embedding the theme into everyday activities reinforces its importance and keeps it at the forefront of everyone’s mind. It transforms the abstract concept into tangible actions and behaviours that drive progress.
3. Maintain a Regular Feedback Loop
Action: Establish a rhythm of regular check-ins and feedback sessions to keep the focus sharp and ensure alignment.
Regular communication is key to maintaining momentum and ensuring everyone stays on track. Schedule weekly or monthly check-ins to review progress, celebrate wins, and address challenges. Use these sessions to reiterate the one-word focus and how each department’s efforts contribute to the overall goal.
Example: Implement quarterly reviews based on your one-word theme. Discuss how the focus has impacted performance and where adjustments might be needed. Encourage team members to share their successes and obstacles in relation to the theme.
Why It Works: A consistent feedback loop ensures that the focus remains a living part of your business strategy, not just a slogan. It helps identify areas for improvement and keeps the team engaged and aligned with the company’s objectives.
Conclusion
The one-word strategy is more than just a guiding principle; it’s a powerful tool for achieving sustainable growth. By hosting a focus workshop, integrating the theme into daily operations, and maintaining a regular feedback loop, CEOs can align their teams and drive meaningful progress. Remember, the ability to distil your strategy into a singular point of focus and align your entire organisation around it is what will set you apart in a competitive landscape.
Stay focused, stay aligned, and watch your business thrive.