Strategy That Works: How Winning Companies Close the Strategy-to-Execution Gap

by Paul Leinwand, Cesare R. Mainardi

In a recent survey of executives, two-thirds of the respondents said they didn’t think their organization could execute the company’s defined strategy. Why is the strategy-execution gap so pervasive? And what can executives do to close it?

In Strategy that Works, Paul Leinwand and Cesare Mainardi share their latest research into how the best companies in the world connect strategy to execution.

Having the right capabilities in place is essential; but subsequent research by the authors’ firm, Strategy&, shows that capabilities alone don’t close the gap between what companies aspire to do and what they can actually accomplish. The authors identify, in all, five fundamental principles for connecting strategy and execution, and show how the best companies in the world use these principles to out-execute and out-compete their opponents. They:
• Commit to winning by what they do best, instead of chasing multiple opportunities
• Focus on and build only those capabilities, instead of benchmarking against competitors
• Prune what doesn’t matter to invest more in what does
• Leverage the culture they have instead of reengineering it
• Shape demand instead of constantly reacting to market changes
Based on in-depth interviews inside companies that are known for their flawless execution and for redefining the competition in their industries, this book provides executives with the path for connecting strategy to execution.

Genres: Business, Management, Nonfiction, Business Strategy, Leadership, Startup, Self Help

288 pages, Hardcover

First published January 12, 2016

Reviews

[Darren · Rating 3 out of 5]

Companies have strategies galore, yet shockingly it seems that most executives don’t think that their companies are even close to executing these finely homed plans. Why is there such a disconnect? How can things be better? This book believes that it can help and seeks to show how.

Examining how many of the world’s best companies manage to successfully connect strategy to real-world execution, the authors believe it is as simple as following five key principles. Effecting change may be the harder part, yet the authors have conducted much in-depth research with companies that have understood the necessity of executing strategy and believe that it is quite conceivable that any company could also “get it right”. The way a company is managed is the biggest stumbling block. It may be harder to change a less-functional management style and its underlying culture, yet the potential benefits may outweigh any changing pains. If only the company can recognise and accept a need to change!

The principles are focussing on what a company does best rather than chasing multiple, less optimised opportunities; focusing on building up capabilities rather than watching what competitors do; keep costs down and invest wisely; leverage existing cultures rather than reengineering and seek to shape demand rather than dancing to the reactive tune of the market.

It was an interesting read but it didn’t seize this reviewer in the way that it should have. It just felt lacking in some ways, becoming a reasonable book rather than an exceptional book. Fortunately the book’s price is hardly prohibitive, so it could be a useful read in any case, as it only needs to give one nugget of useful information or to nudge you in a given direction for it to have paid for itself many, many times over.

[Ahmad hosseini · Rating 4 out of 5]

This book is an effort to document how companies (Apple, IKEA, Starbucks, etc.) narrowed the gap between strategy and execution in the face of competition pressure and their own internal complacency. The book is based on the review of famous companies.
Authors provides a clear and compelling framework for executives to use in developing a cohesive and strategic vision. For this reason they introduce good tools and practices and examine good case studies.
The five acts of coherent leadership described in this book are:
1. Commit to an identity
2. Translate the strategic into the everyday
3. Put your culture to work
4. Cut costs to grow stronger
5. Shape your future
Authors also believes that there have been four basic schools of strategic thought: 1. Position 2. Execution 3. Adaption 4. Concentration. So they try to provide a theory of strategy that incorporates the best of all four points of view (position, execution, adaption, and concentration) in practice.
The book is suitable for corporations, but it can also provide tips for startups in order to create a better working culture for themselves.

[Magdalene Lim · Rating 3 out of 5]

In the first chapter, they talk about the five acts that will help to close the gap between strategy and execution - a summary of the chapters to come. I found that the most useful. The elaborations in the following chapters are useful if you are interested to know more for a specific portion that may apply to your company. Else, the "summary" in front is good enough (for me). Save yourself the time.

Many of the acts could probably be applied to an individual. One I found particularly interesting and applicable - "Cut costs to grow stronger - rather than managing a preconceived bottom line, they treat every cost as an investment. They base their decisions about where to cut and where to invest on the need to support their value proposition and differentiate themselves through their capabilities. "

[i.e. Spend more than competitors on what matters most to them and as little as possible on everything else.]

[applekern · Rating 5 out of 5]

This books really came at the right time in my career, and is the first book I‘ll make a genuine effort in rereading next year (if no other amazing books spike me interest even more). I was afraid it‘d be too general and not practical enough, but I‘ve really enjoyed reading the different cases and the advice. What really stuck with me was a. when building a strategy for the future to not focus on what could be and what trends might come but rather on which trends we‘re sure are going to stay and build capabilities around that b. that growth masks many problems and inefficiencies.
The five key recommendations:
-commit to an identity
-translate the strategic into the everyday
-put your culture to work
-cut costs to grow stronger
-shape your future

[Dmitry Polupan · Rating 2 out of 5]

Useful. Long. Dull. Read in abstract.

“Understand and form your company value and than build you unique competencies to deliver it. Use following approaches to create better correlation between strategy and realization: be devoted to your identity, implement strategy into daily business, involve culture, save for growth, form your future”.

Do you you think this was a quote from the book? No, it’s a full sense of it. But it is stretched for 200 pages. Authors made a great job with a lot of statistics and analysis. But all this is a great a article for HBR, but not a book.

[Ihor Petryk · Rating 2 out of 5]

Не дочитав на половині
Книжка про 2 слова: "ідентичність" та "компетенції".
Чи корисно читати про ці 2 слова протягом 100 сторінок? Ні
Чи досконало пояснюється за стільки сторінок що ці слова означають? Ні
Чи почерпнув я щось для себе? Хіба 2 нові розумні слова, які можу використовувати у дискусіях про стратегії. Хоч їхнього значення точно і не зрозумів
Назва абсолютно невідповідна, книжка не відповідає очікуванням

[Valentyna Merzhyievska · Rating 4 out of 5]

Мені і сподобались принципи, викладені в цій книжці. Про те, що в бізнесі, фактично, втілюється ідентичність засновника. І що пріоритети варто виставляти відштовхуючись від мети, а не наявних ресурсів.
А те, що культура в компанії важить більше, ніж усі візії і місії - це я бачила на власні очі.
Але чому в усіх бізнес-книжках кілька думок так розтікаються на сотні сторінок... Де ефективність використання часу? :)

[Rawin Ngamloet · Rating 3 out of 5]

Short

And literally can still be shortened without loosing any context

[Sara (onourshelves) · Rating 4 out of 5]

3.5 had some strategic insights, but could have been a lot shorter.

[Charles · Rating 4 out of 5]

Good basics covered.

[Rachel]

DNF but helpful context and exercises in first half

[Felipe · Rating 5 out of 5]

Introduce una nueva manera más práctica de planear y ejecutar una estrategia

[Sushanth Vasuki · Rating 4 out of 5]

Was a textbook part of my MBA course

[Kathy Cowie · Rating 3 out of 5]

This book will be reviewed in the March/April Global Business and Organizational Excellence

[Vassilena · Rating 4 out of 5]

An interesting read, well structured with nice examples. The platform they've created online is also really useful for further implementing the principles of the book.

[Nguyễn · Rating 4 out of 5]

Inspiring

[Jimmy Gardner]

Great book that made me think, simple ideas and thoughts that allowed me to apply them directly to a growing business