#CIO, Practical guide to strategic planning. Adaptive strategy.

??? Strategic planning defines the actions and investments necessary to achieve long-term strategic objectives. Discover how to successfully carry it out.

Proven strategic planning, even in a highly volatile context

??? Only minority of strategy leaders believe their companies are adjusting their plans quickly enough to cope with disruptive events. Where does the problem lie? This observation often stems from unclear objectives, inadequate strategic planning processes, and a lack of commitment from business leaders.

Use this guide to:

• ??? Transition more rapidly from strategy to action
• ??? Eliminate sept common strategic planning mistakes
• ??? Document and communicate your plans using an exclusive one-page model

The four essential points to consider in strategic planning:

1. What is strategic planning?
2. Strategic assumptions
3. Scenario planning
4. Adaptive strategy

??? Especially in a context marked by significant disruptions, it's essential to understand what strategic planning is, what it enables, what assumptions to consider, and how to leverage adaptive strategy and scenario planning.

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4° Adaptive strategy

??? Embrace adaptive strategic planning to enable dynamic response

The four fundamental practices of adaptive strategy are:

• ??? Engage everyone in the strategy:

???Ensure that all stakeholders are involved in the strategic planning process. By engaging everyone, you can leverage diverse perspectives and expertise to develop a more comprehensive and effective strategy.

• ??? Embrace and explore uncertainty:

???Acknowledge that uncertainty is inherent in today's business environment. Rather than fearing uncertainty, embrace it as an opportunity for innovation and growth. Explore different scenarios and possibilities to better understand potential risks and opportunities.

• ??? Start execution as early as possible:

???Begin implementing the strategy as soon as possible, even if all details are not fully fleshed out. By taking action early, you can gather feedback, learn from experience, and adapt your approach accordingly. Early execution allows you to iterate and refine the strategy over time.

• ??? Respond to changes as they occur:

???Stay agile and flexible in your approach to strategy implementation. Monitor the external environment and internal performance indicators closely, and be prepared to adjust your strategy in response to changing circumstances. Responding to changes promptly enables you to stay ahead of the curve and maintain a competitive edge.

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??? In an increasingly volatile and uncertain world, you may quickly realize that your company's strategy is no longer relevant. In this context, strategic planning must be adaptive. The faster the pace of change in operating conditions, the more disruptions you must integrate into a long-term strategy, and the more adaptive your strategic models must be.

??? An evolving strategic approach allows your company to spot new business opportunities earlier and react faster than your competitors, giving you the best chance of success in a dynamic digital world.

??? A truly adaptive strategic approach must adhere to four fundamental practices (see figure) designed to move the company away from a rigid, hierarchical, and calendar-based process towards an event-driven strategic approach. Service strategy can integrate the same principles. While a truly adaptive approach relies on these four fundamental practices, service managers can initially focus on those that address their immediate strategic challenges.

??? Adaptive strategy does not rely on comprehensive or precise information, but it leverages available information to identify immediate actions necessary for a company's or service's success. These actions vary: they may involve focusing on highly prioritized areas, making foundational investments, or conducting trials to validate ideas. You can leverage the findings of these actions, as well as any new information and analysis, to identify your next set of actions.

??? Adaptive strategy requires you to review the strategy whenever new (relevant) information becomes available. Therefore, it is essential to continuously analyze the business context to identify developments and review (and, if necessary, adjust) the strategy based on this new data.