Not convinced until we try it ourselves?

The annual update and effective execution of a strategy directly correlate with a company’s success in the coming years.

There is ample evidence for this from both domestic and international studies. This message was recently reinforced by the Finnish Board Research 2024 (Talentree), which found that 84% of boards in companies that update their strategies annually rate the company’s ability to succeed as good or excellent, compared to only 17% of those that update their strategies every 4–6 years.

You would think that having a clear, up-to-date strategy would be a top priority for every company. However, the further down the corporate hierarchy you go, the less importance is placed on strategy.

Strategy has a bad reputation. The word itself sounds complex, and strategy is often perceived as disconnected from daily operations and requiring a significant amount of “unnecessary” work. In many companies, strategy ends up as a PowerPoint presentation that is never revisited after it’s presented to the board.

A good strategy genuinely transforms daily operations. Changes must be broken down into sufficiently small, manageable pieces to ensure they are easy to understand and implement. Leadership plays a crucial role here, but how can leaders themselves be encouraged to commit to regular strategy updates and persistent implementation?

By showing results!

If research findings don’t resonate, try experimenting within your own organization.

Simplify your strategy.
Focus on the most essential 20% of changes likely to deliver 80% of the results. Break these down into manageable, comprehensible tasks, set goals, and assign clear responsibilities.

Communicate clearly, frequently, and through the right channels about what you aim to achieve and why, and what is expected from each person involved in the change.

And track the results.

A successful strategy doesn’t necessarily require more effort but can completely change your trajectory.