From Tools and Frameworks to a New Way of Thinking

When people learn about strategy (e.g., in a strategy class or workshop), they often learn about strategy tools and frameworks such as Porter's Five Forces, VRIO, STEEP, S-curves, Business Model Canvas, etc. In our book, Strategy in 3D, we shared 16 different strategy tools.

The purpose of learning about and applying these tools and frameworks is not that you apply them religiously exactly as they were designed for the rest of your career but rather that as you apply them and use the language from them over and over, they begin to change your thinking and the way you see the world.

Using these tools opens your eyes to opportunities and allows you to see risks and challenges that were not previously evident.

In board rooms and executive retreats, you won't necessarily see people pulling out a template to systematically analyze the Five Forces impacting their industry or mapping their business model perfectly onto a Business Model Canvas, but you will hear them talking about "buyer power, substitutes and barriers to entry" and debating how to foster stronger customer relationships and establish new channels to get their value proposition to customers more effectively. In other words, the language and concepts of Porter's Five Forces and the Business Model Canvas (and many other strategy tools) become part of the boardroom conversation and how business leaders see the world.

Today, my MBA students are writing their final strategy exam in which they will need to apply strategy tools and frameworks to assess and analyze issues in the business media over the past six weeks. While I am testing them on their ability to apply the tools and frameworks now, I know they won't remember every nuanced detail of those tools and frameworks going forward; however, I hope they will understand and appreciate the underlying concepts and language associated with these tools and frameworks as they go forward.

Now, onto grading exams...