The question what a good strategy is is difficult to answer. With hindsight it is easy: A good strategy is one that works. But in foresight? Many formulated, intended strategies are plain boring, generic and not customer centric, but focused on investors. Many business model innovators on the other hand have clear strategies that are focused on customers and on the value proposition.
“We earn a premium on our cost of capital”
“We form the best team in industry”
“We help our customer to be more successful”
“We ensure sustainable development”
Have you found out which company has these pillars for its strategy?
Probably not. The strategy is so generic and interchangeable that it fits for almost any large company.
Are you attracted as a customer to this company?
Probably not, since so many companies claim to help customers to be more successful.
Does this spur emotions in you?
Definitely not! It is just plain boring!
How about this company: It claims that it is driven by “passion of success” that rests on “four cornerstones”: “superior brands”, “superior supply chain”, “superior talent in lean organizations”.
Do you know which company it is?
No, since it is so generic. It could stand for many companies in many industries. It is boring. It does not give the company any real purpose to exit.
Value centric strategies
So how about this:
“to organize the world’s information and make it universally accessible and useful.” (more…)