Think Strategically:
Key Qualities of A Superior Strategy
by Leland A. Russell

Organizations that consistently win in the New Normal have one thing in common—committed proactive leaders who think strategically about the organization’s challenges and opportunities. Their “deliverable” for the organization is a superior strategy.    

A superior strategy is the sine qua non, the necessary precondition, of winning in FastTime®. In fact, a superior strategy, when aggressively implemented, even enables organizations with limited resources to accomplish the seemingly impossible. 

What are the key qualities of a superior strategy?

A superior strategy might aim to create a new market space (eBay); or offer a better business model (Dell Computers); or become a dominant brand (Nike). Regardless of the aim, a superior strategy usually has three key qualities.  

The first quality of a superior strategy is that it is reality—based.  

This begins with seeking well-informed answers to a series of questions: What are your customer and marketplace current realities?  What are your strengths and weaknesses concerning these realities? What trends are shaping your future? What do you NOT know about the emerging future? Given the foregoing, what are your key challenges and opportunities? 

Answering these questions provides the foundation for developing a smartly conceived approach that takes into account the current and emerging macro­environment and, most importantly, a deep understanding of customer needs and market trends.  

The second quality of a winning strategy is that it has a number of interrelated elements that differentiate you in the market.    

Herb Kelleher, who reinvented air travel when he founded Southwest Airlines, understood that many airline passengers would eagerly forego extras like in-flight meals, reserved seats, and the like, in exchange for bargain fares. He also understood that elements like reliable, on-time service and dependable baggage delivery were considered essential. The core of the Southwest Airlines strategy was to bring these and other elements together in a differentiating package.    

Dell changed the computer hardware game with a brilliant new business model that left tactically focused rivals like Compaq in the dust. "Direct from Dell" leveraged the capabilities of the Internet to create a virtual organization that not only eliminated the middleman, but also rewrote the rules of inventory management and product distribution; in the meantime, competitors were continually improving by making marginal changes to their equipment and to their existing distribution systems.  

The third quality of a winning strategy is that it alters the competitive scenario in ways that may not be immediately obvious to competitors.  

This means your strategic actions are indirect (versus “head on” competition”) and aimed at long­term strategic advantage.    

For example, when the Japanese automakers moved to capture U.S. market share, they did not take on Detroit's Big Three directly. They began to build a reputation in the automobile market for quality and low price. Still flying under the radar screen, they quietly assembled a network of dealers around the United States. Slowly but surely, their market share grew.  

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