Creating a balance between showing people where you plan to lead the company, and not becoming locked prematurely into an action plan, is one of the most critical things you can do in the first 100 days.
Instead of developing a strategic agenda think about a strategic plan. While Lou Gerstner’s famous comment “the last thing IBM needs now is a vision” is often sited in mitigation of not having a plan, he did go on to describe what the key priorities and operating principles would be under his leadership – this was his strategic agenda. He delivered a sound assessment of the critical needs and priorities – precisely what all new leaders should focus on initially.
Build your foundation
Not having a vision doesn’t mean you don’t need a good view of the company – you do. It forms the basis for your agenda. Without that knowledge, the agenda may be out of kilter with the business and the company will lose direction with potentially serious results, as Mattel’s diversification into family consumer products under CEO Jill Barad proved.
The company floundered leaving new CEO Bob Eckert to rectify the “strategic error” and re-emphasis the company’s identity as a toy maker. In his first interview on becoming CEO, Eckert made this clear: “The theme I am going to repeat over and over is that Mattel represents the world’s premier toy brand today and tomorrow. This tells you what we are and what we’re doing for the next 15 years.”
An identify crisis knocks a company off track and clouds people’s judgement regarding which route to take and how to allocate resources.
Assess the company within its operating environment and only then determine what conditions and resources need to be present to get it moving towards long-term success.
Short-term agenda
Short-term agendas typically set out priorities and allocate a time frame, informing the organization as to what you’ll be doing right away. The agenda should be rooted in the current reality. Don’t be tempted to make promises you cannot guarantee you can keep – if you fail to deliver, your credibility will suffer. The following principle should govern any short-term agenda: under promise and over deliver.
People expect a fresh perspective from new leaders but they don’t expect wholesale new direction from the start. In fact, most senior executives reserve judgement on the new CEO to the end of the first year. This gives new leaders some latitude to immerse themselves in the business before changing the company’s strategy.
Paul Pressler made the most of this period when he took over at Gap. “I’ve got a gazillion ideas, many of which are really stupid. But what the hell – you’ll let me know!” By announcing that he didn’t have all the answers, he established the openness he knew he would need to implement change.
Focus on the few
Pare the list of priorities down to the things you can concentrate on at any one time – not just for your own sake, but for that of your team. When people are deluged with long list of priorities, inaction sets in because no one knows where to start. A few concrete priorities are more likely to see the team moving ahead with purpose.
Richard Notebaert who led Qwest at a time when the company was plagued with dismal financials, sinking stock price and a SEC inquiry says: “You have to triage: first fix the balance sheet and get the revenue going. Then, sort out legal and regulatory issues.”
When creating your short-term agenda link to your business assessment; identify the core initiatives you intend launching; address short-term issues in support of long-term themes; include your team in the creation and maintenance of the agenda; and incorporate an explicit plan to address cultural issues and potential barriers to change.
Moving quickly will satisfy an organization’s hunger for information as to what the new order may entail and allow people to get a sense of where they are going; the resources required; and of what is and isn’t important.
Look for quick wins
Quick wins let people see that progress is being made. “If you can find a few things that were serious flaws in the organization and fix them quickly, you can establish your credibility as a leader very fast,” says Lew Platt, former Hewlett-Packard CEO.
Plan your promises around what you can deliver. Once those goals are public, keep evidence supporting your claims to have accomplished them. Not all achievements will be happy ones but they are also worth emphasizing if they help the organization move in the right direction.
Expect pushback
Involve key stakeholders early in the process. Identifying mutual concerns and negotiating joint solutions will increase your chances of success.
There will be differences of opinion and pushback is a natural reaction to change. In your first year your agenda is likely to be criticized, questioned and debated constantly – be patient.
Conclusion
A well-defined strategic agenda can be used to mobilize people and to ensure their attention stays on key objectives. Done correctly, your strategic agenda will evolve into your strategic plan to be used in presentations to employees, the media and the financial community. For some it will be a roadmap, for others reassurance.
A strategic agenda will help prioritize the short-term initiatives that will support long-term objectives, giving people coherent direction and reducing the uncertainty that goes with change.
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Note
This article is a summary taken from You're in Charge — Now What? published by Crown Business, New York, 2005.