Why Your Strategic Planning Process Isn't Working (+ Real Solutions)

In my past life, as the managing director of a commercial litigation law firm, one of my favourite things was developing the firm's strategy for 'world domination'. The exercise of indulging in a creative process was quite liberating.

Somewhat counterintuitively, the conservative nature and regulated framework of the legal profession provided great opportunity for 'blue ocean' thinking. Indeed, a lack of any frame of reference actually makes the process quite difficult. After all, an artist needs to know the medium by which their creativity is to be expressed.

Despite all the joy that attended the process of plotting our firm's success, there was often a disconnect between the talk and the action. 'No strategy survives contact with the enemy', words attributable to some Prussian Field Marshal back in the day. They're on the money. Though their meaning is much wider than it may seem.

One can plan to one's heart's content, but without action, the plan is just so many words. A well executed, but simple, strategy is much preferred to an ill-executed one - no matter how brilliant it may be. Over the years and the, many, failures of brilliant strategy, I discovered that there are a number of quite specific reasons for the failure of my plans.

Vision and Goals

Leaders often disagree on direction due to gaps in market analysis. A disjointed leadership team is fatal. This can be a function of wider issues (not to be dealt with here) but the leaders need to be of singular purpose.

To minimise the risk, start the process with stakeholder interviews to gather perspectives. Then run workshops for leadership alignment. Tools like Vision Canvas help structure these discussions.

Stakeholder Buy-in

Connected to the vision of the firm, map your stakeholders early. Understand their interests. Set up regular updates and feedback sessions. Use surveys and focus groups for input. Information is power. Communication is the lifeblood of a successful strategy. Show stakeholders how their feedback shapes decisions.

Analysis Paralysis

Teams get stuck in data collection without effective action. Doing 'something' is not necessarily doing 'anything'. Sure, accurate data is vital, but you will never have all the information at your disposal for perfect decisions.

You have to identify the level of information you're comfortable with as a basis for the decisions to be made. Set decision criteria and deadlines for each planning phase. Focus on key metrics instead of analyzing everything. Test assumptions through pilot projects.

Operational Disconnect

Plans fail when they ignore real-world constraints. Include managers and front-line staff in planning. Assess capabilities before finalising initiatives. Create implementation roadmaps. Review progress against operational realities. Know your people and their capabilities.

Resource Planning

Check both financial and personnel requirements. Build contingency plans. Use portfolio management to prioritise initiatives. Set clear processes for resource allocation.

Implementation Tracking

Monitor progress through regular reviews and clear metrics. Create/utilise dashboards for leading and lagging indicators. Assign owners to each objective. Hold consistent progress reviews. I found FathomHQ a super useful tool for regularly monitoring KPI's of all types, lagging and leading. But you have to know what you're measuring and how it fits into the plan.

Market Changes

Build flexibility into planning through scenario analysis. Set triggers for strategy reviews. Create processes for quick adjustments. Maintain backup plans. Remember the Field Marshal's words.

There is a balance to be struck here. Do not give up at the first signs of difficulty, some things just take time. But don't go tilting at windmills either. 'Fail fast' may be a useful axiom in tech startups, but in a conservative world like legal practice, some things just take time. Have faith in your decisions, and if your process of decision making is solid, you can.

Cultural Barriers

Include culture in your planning process. Do your plans reconcile with the firm's existing culture? Do you want them to, and if not, is changing the culture part of the strategy itself? Can you even identify your firm's culture? You have one, whether you know it or not. And you have to properly identify it to know what helps or blocks strategy execution. Create initiatives to evolve culture. Build momentum through early wins.

Final Word

If there's one factor that touches on every aspect of a successful strategy, it is leadership. Without good leadership, any strategy is doomed. The simplest strategy is to build your firm's leadership; the rest will flow naturally from that.