Arkaro Insights
Arkaro Insights is a podcast series produced by Arkaro, where we help B2B executives deliver better results with the latest ideas in change and innovation for your organisation.
About Arkaro
Arkaro is a B2B consultancy specialising in Strategy, Innovation Process, Product Management, Commercial Excellence & Business Development, and Integrated Business Management. With industry expertise across Agriculture, Food, and Chemicals, Arkaro's team combines practical business experience with formal consultancy training to deliver impactful solutions.
You may have the ability to lead these transformations with your team, but time constraints can often be a challenge. Arkaro takes a collaborative 'do it with you' approach, working closely with clients to leave behind sustainable, value-generating solutions—not just a slide deck.
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Arkaro Insights
Bridging the Gap: How to Implement Corporate Strategy Throughout Your Organisation
Welcome to the Arkaro Insights podcast. This episode is based on original content developed by Arkaro. At Arkaro, we're committed to innovation in everything we do—including how we share our insights. We've utilised advanced AI technology to transform our written expertise into this conversational format, making our content more accessible and convenient for our busy B2B audience. What you'll hear is a two-person discussion generated through AI voice technology, designed to deliver our insights in a more engaging way than traditional reading. As we continue to evolve this approach, we genuinely value your feedback. Thank you for listening to Arkaro Insights, where professional expertise meets innovative delivery.
The frustrating disconnect between corporate strategy and daily execution plagues countless B2B organisations. Despite investing heavily in strategic planning—the offsite meetings, consultant reports, data analysis—many companies struggle to translate carefully crafted visions into meaningful action. When only 28% of executives can name three strategic priorities (MIT Sloan Management Review), how can we expect frontline teams to implement effectively?
This strategy-execution gap manifests in diluted messaging as strategies cascade downward, functional silos developing as teams optimise their own operations without considering broader goals, and operational inefficiencies that ultimately stall organisational progress. Organisations typically attempt to bridge this divide through either traditional consulting (the "do-it-for-you" model) or facilitation (the "do-it-with-you" approach), but each has limitations when used alone.
What's needed is a structured framework connecting different levels of strategy throughout the organisation—this is where the emergent approach and nested strategy frameworks shine. A complete strategy isn't just about corporate-level objectives; it must provide clear direction for decision-making through four essential components: aspirations (defined targets), diagnosis (understanding current situations and bottlenecks), rules (real-time decision-making guidelines), and plans and metrics (progress tracking mechanisms).
The concept of nested strategy frameworks recognises that different parts of your business face unique challenges. While your overarching corporate strategy sets the general direction, each level develops its own focused framework that takes corporate goals as their North Star but addresses specific bottlenecks they face. For example, a chemical company focusing on specialty applications would see product management prioritising development resources toward specialty products, while regional sales builds relationships with technical decision-makers, and supply chain implements modular production capabilities—each supporting the main goal through team-specific decisions.
Arkaro's complementary facilitation approach enhances traditional consulting by focusing specifically on implementation—building lasting strategic capabilities within your team rather than delivering static plans. The result? Greater ownership, stronger alignment both horizontally across teams and vertically through the organisation, and ultimately more effective implementation that drives real results.
Visit arkaro.com to learn how we help B2B executives achieve better results through facilitated strategy development, or email Mark directly at mark@arkaro.com for a free consultation.
Welcome to the Arkaro Insights Podcast, where we help B2B executives deliver better results with the latest ideas in change and innovation for your organization.
Speaker 2:Hi everyone.
Speaker 1:Today we're tackling a challenge that well likely hits close to home for many of you listening.
Speaker 2:Mm-hmm.
Speaker 1:That frustrating disconnect between you know well-defined corporate strategy and what actually happens day to day.
Speaker 2:Oh yeah, it's a really common pain point, isn't it? I mean, think of all the effort and what actually happens day to day. Oh yeah, it's a really common pain point, isn't it? I mean think of all the effort poured into grafting a strategic roadmap.
Speaker 1:The data crunching, the off-sites.
Speaker 2:Exactly the big consultant reports, yet so often that energy doesn't quite fully translate into meaningful action across the company.
Speaker 1:It really doesn't. And to highlight the scale of this, there was a 2015 MIT Sloan Management Review study. I remember that one. It found that only about a quarter just 28% of executives could actually name even three of their company's strategic priorities 28%. That really makes you stop and think, doesn't it? In your experience, listening, does that kind of ring true?
Speaker 2:Well, it's a stark reminder that even the most brilliant strategy is ultimately judged by its execution right.
Speaker 1:Absolutely.
Speaker 2:If the people within the organization aren't crystal clear on what matters most and you know how their work fits in, then the strategy essentially stays locked in the boardroom.
Speaker 1:Yeah, stuck on a shelf somewhere. So that's our focus today. We're diving deep into why this strategy implementation gap exists in so many B2B companies. And more importantly, More importantly, yes, drawing on Arkaro experience and insights from Bridging the Gap how to implement corporate strategy throughout your organization we'll explore how you, as B2B leaders, can effectively bridge this divide.
Speaker 2:And start driving better results.
Speaker 1:That's the goal.
Speaker 2:You shared a really telling story in the source material from your early career that sort of perfectly illustrates this challenge in action.
Speaker 1:Oh right, yeah, I do. It was back when a family-owned company I was with was being acquired.
Speaker 2:By a big global player.
Speaker 1:Yeah, a large global chemical corporation, and they asked for our strategy document. I didn't have some you know elaborate PowerPoint deck. What did you give them? I put together maybe a half page outlining our very practical decision rules. You know who we met with in government, how often we visited distributors, that kind of real world stuff, the actual how Exactly and surprisingly, the corporate folks were pretty impressed. They said something like finally we can see how you actually make decisions.
Speaker 2:And that's such a powerful contrast with your later experience, right yeah At the big corporation itself.
Speaker 1:Oh, definitely. Later I saw these massive, impressive strategy presentations.
Speaker 2:Looked great, I bet.
Speaker 1:Looked fantastic.
Speaker 2:Right.
Speaker 1:But honestly they often left me wondering okay, what am I actually supposed to do differently tomorrow morning?
Speaker 2:Yeah, which really underscores that key point. Strategy isn't about appearances. It's about providing clear direction for those on the ground choices.
Speaker 1:Yeah.
Speaker 2:Real world decisions.
Speaker 1:Absolutely, and the research really backs this up. Beyond that MIT Sloan statistic you mentioned, gallup's 2022 Global Workplace Report highlights declining employee trust in leadership.
Speaker 2:That's a worrying trend.
Speaker 1:It is and a major contributing factor. They found a lack of clear communication about where the company's heading.
Speaker 2:Makes sense. People need clarity.
Speaker 1:And then there's a 2016 Fit for Growth study by Strategyon. It revealed that less than 60% of companies truly align their organizational decisions with their customer strategy.
Speaker 2:Less than 60%, so a lot of misalignment happening. No, it's a significant amount. You know these aren't just isolated data points, are they? They really point to a widespread systemic issue? I think so too. When that strategic intent isn't effectively communicated and translated down into action, the consequences just ripple throughout the whole organization.
Speaker 1:Exactly right. We often see strategies become well diluted and unclear as they cascade down the levels.
Speaker 2:The message gets lost.
Speaker 1:Yeah, the high level vision just doesn't provide enough practical guidance for individual teams and functions. And this lack of clarity it then breeds functional silos.
Speaker 2:Ah, the silos when teams understandably focus on optimizing their own little corner of the world. Right, but potentially working at cross-purposes with other teams and those silos. In turn, they often lead to operational inefficiencies, don't they?
Speaker 1:They certainly do. Tracking overall performance becomes a real challenge. Accountability can weaken and ultimately the organization's progress just stalls out.
Speaker 2:And there's also something you aptly called the consultant trap.
Speaker 1:Yes, the consultant trap. It's that temptation right to bring in external strategy experts who deliver these impressive recommendations.
Speaker 2:Which can be very strong.
Speaker 1:Absolutely. And look, their analysis can certainly be valuable in framing the big picture, no doubt, but if it doesn't really account for the internal culture and, crucially, if it doesn't build lasting internal capabilities, Then it can create a dependency. Exactly A dependency, without fostering real ownership inside the company, and it ends up being a beautifully crafted but ultimately unused PowerPoint presentation.
Speaker 2:Sitting on a server somewhere.
Speaker 1:Instead of being a catalyst for tangible change.
Speaker 2:Right. So, considering these very real challenges, how do organizations typically try to bridge this implementation gap? And maybe, where do those traditional approaches often fall a bit short?
Speaker 1:Well, we tend to see two main approaches, broadly speaking. The first is what we might call the consultant approach.
Speaker 2:The do-it-for-you model.
Speaker 1:Precisely this is where traditional strategy consulting firms come in, and they primarily work at the executive level.
Speaker 2:Top down.
Speaker 1:Very much so. They conduct the market analysis, pour over the data and deliver these data-backed recommendations, often culminating in a comprehensive report outlining the strategic path forward.
Speaker 2:And look that in-depth analysis can be incredibly valuable for setting the overall strategic direction. I mean getting that objective view, Sure, but the crucial limitation often lies in that transition to action, doesn't it?
Speaker 1:That's usually where it gets tricky.
Speaker 2:The consultants deliver the plan, maybe present it, and then often step away. They leave the internal teams to navigate the complexities of actual implementation.
Speaker 1:And, as we said, it can become that well-intentioned but ultimately shelf-bound slide deck.
Speaker 2:Yeah, that vital transfer of ownership and, importantly, skill building doesn't always happen effectively.
Speaker 1:Exactly so. The second common approach is what we call the facilitator approach.
Speaker 2:The do-it-with-you method.
Speaker 1:That's it. This focuses much more on actively engaging stakeholders at various levels within the organization, getting them involved to collaboratively develop strategies.
Speaker 2:And Arkaro core philosophy really aligns with this approach, right?
Speaker 1:Very much so.
Speaker 2:And the key difference here seems to be that emphasis on empowerment.
Speaker 1:That's central.
Speaker 2:The objective isn't solely to produce like a strategy document. It's more about equipping the client's own teams to develop strategic thinking muscles.
Speaker 1:Building those enduring internal capabilities.
Speaker 2:Exactly. It's about guiding the process, asking insightful questions, rather than just providing all the answers up front.
Speaker 1:Precisely, and while collaboration is central, effective facilitation isn't just about running good meetings.
Speaker 2:No, there's more to it.
Speaker 1:Definitely. It demands a deep understanding of strategy development principles to guide organizations toward meaningful and, crucially, actionable outcomes.
Speaker 2:So it's that combination of process expertise and real strategic acumen that's so vital. Need both. Okay. So these two traditional paths, they offer distinct advantages. The consultant model brings that high-level objective analysis, while the facilitator approach cultivates ownership and builds internal know-how. But what's really needed, it seems, to effectively bridge that implementation gap, is a framework that connects these different levels of strategy.
Speaker 1:Yes, that connection is key.
Speaker 2:And that's where this idea of the emergent approach and the concept of nested strategy frameworks become so powerful.
Speaker 1:Absolutely A key insight here, drawing on our work with Dr Pete Campo, is that simply having corporate-level objectives isn't enough for a complete strategy.
Speaker 2:Okay, what's missing?
Speaker 1:What's often missing is the how. A strategy is fundamentally the central guiding rule within a framework. Its purpose to align all actions and decisions around overcoming a critical bottleneck to achieve a key aspiration.
Speaker 2:So it's about focus, focusing on the bottleneck.
Speaker 1:Precisely Without that clear, decision-making guidance teams can just easily lose sight of the bigger picture, even with the best intentions.
Speaker 2:And the emergent approach provides a structured way to think about this. You've outlined four essential components.
Speaker 1:That's right. First aspirations, your clear, defined targets. What are we trying to achieve, Got?
Speaker 2:it Destination.
Speaker 1:Second diagnosis a deep understanding of your current situation and, critically, the obstacles or bottlenecks you face.
Speaker 2:Knowing where you are and what's in the way.
Speaker 1:Third rules these are the real-time guidelines that inform daily decisions the how.
Speaker 2:The map, the directions.
Speaker 1:And finally, plans and metrics, the mechanisms for tracking progress and making necessary adjustments along the way. Are we on track?
Speaker 2:Checking the GPS basically.
Speaker 1:Think of it exactly like planning a significant journey you need your destination, aspir aspirations. Understand your starting point and challenges diagnosis. Have a Mac with clear directions, rules and a way to monitor if you're heading the right way. Plans and metrics.
Speaker 2:That makes sense and to make this more of a team effort, you mentioned tools like the strategy triad.
Speaker 1:Yes, the strategy triad is incredibly valuable here. It's a visual tool. It connects potential aspirations, the key bottlenecks that could stop you from reaching them and the various strategic approaches or rules you might take to overcome those bottlenecks.
Speaker 2:So it makes it visible, connects the dots.
Speaker 1:Exactly, and what makes the strategy triad so effective is its accessibility. You really don't need to be a strategy guru to understand it or use it.
Speaker 2:So it lowers the barrier to entry for participation.
Speaker 1:Massively. It's intuitive, it encourages broad participation from across the organization and it really fosters buy-in because team members can directly see how their input shapes the strategy.
Speaker 2:And then, following on from that, there's the strategy alternatives matrix, the SAM.
Speaker 1:Right. The SAM helps teams systematically evaluate those different strategic options that might emerge from the triad exercise. Helps prioritize.
Speaker 2:Okay, but perhaps the most critical element for truly bridging that implementation gap, especially in today's complex B2B world, is this idea of nested strategy frameworks. Could you unpack that a bit more? How do these work in practice?
Speaker 1:Certainly Nested strategy frameworks are based on the realization that a one-size-fits-all strategic approach just won't work effectively in most diverse organizations.
Speaker 2:Because different parts of the business face different realities.
Speaker 1:Exactly Different divisions, different functions, even individual teams. They all face their own unique sets of challenges and operate within their own specific contexts.
Speaker 2:So, while the overarching corporate strategy sets the general direction, maybe sets some key constraints, yes, establishes the boundaries. Each level within the organization develops its own more focused strategy framework. Is that right?
Speaker 1:That's precisely it. These nested frameworks take the corporate goals as their North Star, their main aspiration, but then they specifically identify the key bottlenecks they face in contributing to those broader objectives.
Speaker 2:So it becomes relevant to their specific world.
Speaker 1:Highly relevant and, crucially, they develop their own set of clear decision-making rules and policies the how for them that are directly applicable to their specific area of responsibility.
Speaker 2:Along with their own plans and metrics too, I assume.
Speaker 1:Yes, their own tailored plans and metrics to track their progress against their specific goals and rules. This creates a cascade of strategy ensuring alignment from the top down. But also empowering teams from the bottom up alignment from the top down, but also empowering teams from the bottom up, exactly Empowering them to address their unique challenges in a way that actively supports the overall company strategy. It connects everything.
Speaker 2:You provide a really compelling example in the material. The chemical company aiming to grow its market share in specialty applications.
Speaker 1:Ah yes, that one illustrates it well.
Speaker 2:Can you walk us through how that high level corporate strategy might then kind of mess down through different parts of the organization?
Speaker 1:Sure. So let's say, at the corporate level, the core strategy, the main rule, is something like prioritize investments in customer education and application development for high margin specialty markets.
Speaker 2:Okay, focus on specialty.
Speaker 1:Rather than focusing on lower margin opportunities in emerging markets. So a clear choice.
Speaker 2:Got it Now. How does that translate?
Speaker 1:Well, let's look at product management. Maybe their key bottleneck is a really broad, somewhat unfocused product portfolio, too many low margin items.
Speaker 2:Okay, makes sense.
Speaker 1:So their nested strategy rule could become focus 80% of our new product development resources on products with clear potential for specialty applications.
Speaker 2:Very specific.
Speaker 1:And systematically phase out low margin commodity products. It gives them clear guidance on resource allocation.
Speaker 2:Right, Okay, what about say regional sales?
Speaker 1:Good example. Perhaps their biggest hurdle is effectively reaching the technical decision makers in those specialty markets. It's not just a simple price sell.
Speaker 2:Needs a different approach.
Speaker 1:Exactly so. Their nested strategy could be build strong relationships with technical decision makers through targeted educational workshops and the publication of technical papers.
Speaker 2:Adding value, building credibility.
Speaker 1:Shifting away from a primarily transactional sales approach. Again, a clear rule guiding their behavior.
Speaker 2:Okay, one more Maybe supply chain.
Speaker 1:Let's do supply chain. Maybe their bottleneck is a lack of flexibility. They're set up for long runs of standard products, not the diverse needs of specialty manufacturing.
Speaker 2:Right, quick changeovers are tough.
Speaker 1:So their nested strategy might be implement modular production capabilities that enable rapid changeovers for specialty product lines.
Speaker 2:Even if it costs a bit more per unit sometimes.
Speaker 1:Even if it means a slight increase in per unit costs compared to long standardized production runs, because the overall strategy demands that flexibility.
Speaker 2:Wow, okay, so you can really see how each of those nested strategies directly supports the main corporate goal, addresses a specific relevant bottleneck for that team. Critically important provides clear, actionable guidance for their day-to-day decisions and ultimately creates a much more aligned and well effective approach across the entire organization. Everything pulls in the same direction. That's the power of it. This naturally leads us, then, to Arkaro specific approach, which you described as complementary facilitation. Yes, how does this method build upon and maybe enhance what traditional corporate strategy consulting offers?
Speaker 1:Well, we absolutely recognize that many organizations make significant investments in bringing in traditional consultants and that's often for that crucial high level market analysis and objective setting, the big picture stuff Exactly.
Speaker 2:The big picture stuff.
Speaker 1:Exactly. Our role isn't to replace that valuable input, but rather to significantly enhance it by focusing squarely on that often challenging implementation phase.
Speaker 2:Where the rubber meets the road.
Speaker 1:Precisely Right. And ultimately, our aim is to help the internal teams become more effective strategists themselves, building that capability.
Speaker 2:So, really shifting away from that do it for you model we talked about earlier, Arkaro truly embodies the do it with you philosophy. You're essentially coaching teams in strategic thinking.
Speaker 1:We are.
Speaker 2:Facilitating the development of those practical frameworks with the clear decision rules.
Speaker 1:Yes, making it actionable.
Speaker 2:Ensuring that crucial alignment, both horizontally across teams and vertically up and down the organization.
Speaker 1:Both are vital.
Speaker 2:And establishing those important ongoing processes for strategy review and adaptation, Because strategy isn't static right.
Speaker 1:Absolutely not. It needs to live and breathe. So exactly. We're not just delivering a static plan. We're actively building lasting strategic capabilities within your own team.
Speaker 2:And that naturally leads to greater ownership of the strategy, doesn't?
Speaker 1:it. It does Much stronger buy-in across the organization and, ultimately, a much more effective and sustainable implementation. Yeah, people support what they help create.
Speaker 2:The material included. A really useful table, actually that clearly contrasts the do-it-for-you consultant model with the do-it-with-you facilitator approach.
Speaker 1:Ah, yes, the comparison table.
Speaker 2:Yeah, it highlights key differences in areas like the primary operating level, the fundamental work approach, the core deliverable, even the intended cultural impact. It's quite insightful.
Speaker 1:And, when you think about it, when you effectively combine the in-depth data-driven analysis that traditional consulting offers with Arcara's focused facilitation.
Speaker 2:You get the best of both worlds.
Speaker 1:You really do. You create a truly seamless and powerful strategic architecture. We help translate that high-level strategic direction into concrete, actionable steps at every level of the organization.
Speaker 2:Adding that absolutely crucial contextual understanding.
Speaker 1:That's what makes the strategy relevant and impactful on the ground, where the work actually gets done.
Speaker 2:MARK BLYTH, and the resulting benefits of this kind of combined approach seem really significant. Melissa DILBER, we believe they are. Mark BLYTH. You see increased confidence among leaders, knowing the strategy is actually being implemented. Melissa DILBER. Yes, mark BLYTH. Guidance for managers at all levels knowing what decisions to make. A much deeper understanding of the strategy for frontline teams, knowing why their work matters.
Speaker 1:So important for engagement.
Speaker 2:And the development of a shared strategic language that connects everyone within the organization.
Speaker 1:That shared language is incredibly powerful for alignment.
Speaker 2:And for organizations then that have maybe already engaged with traditional strategy consultants. How does our car work there?
Speaker 1:Our partnership approach is particularly effective in that scenario. We can seamlessly come alongside your existing consultancy partners.
Speaker 2:So you work together.
Speaker 1:Absolutely. We let them focus on that broad overarching analysis, their strength, while we concentrate on making that analysis truly actionable.
Speaker 2:Through the development and implementation of those nested strategy frameworks we discussed Exactly.
Speaker 1:It's really about leveraging the unique strengths of both approaches.
Speaker 2:Creating a powerful synergy.
Speaker 1:Yes, a synergy that ultimately leads to far better and more sustainable results than either approach could typically achieve in isolation.
Speaker 2:Makes a lot of sense.
Speaker 1:So for those of you listening who might be, you know, currently grappling with this persistent strategy implementation gap within your own b2b organizations, what are some practical first steps, things you can do right away to start bridging that divide?
Speaker 2:You've outlined three really concrete actions in the material, which seemed quite doable.
Speaker 1:We tried to make them practical.
Speaker 2:The first one is to take a hard look at the decision-guiding power of your current strategy.
Speaker 1:How well does it actually guide choices?
Speaker 2:Exactly Conduct a focused, maybe small cross-functional review and simply ask team members to connect some of their recent key decisions back to the existing strategy documents.
Speaker 1:See if they can make the link yeah.
Speaker 2:If they struggle can make the link. Yeah, if they struggle to make those connections easily, well, that's a very clear indicator you likely have an implementation gap.
Speaker 1:It's a simple diagnostic. Okay, what's second?
Speaker 2:Second, identify a specific high-impact pilot area within your organization.
Speaker 1:Start small, but somewhere important.
Speaker 2:Right. Choose a team that's facing important strategic choices but perhaps lacks clear direction on how to make them, and, ideally, pick a team that's receptive to trying something new.
Speaker 1:Good point. A receptive team and a strategically important part of your business is an ideal starting point for a pilot.
Speaker 2:And third.
Speaker 1:Third, create a dedicated and, importantly, a safe space for framework development.
Speaker 2:Safe space.
Speaker 1:Yeah, where people feel comfortable exploring challenges and new ideas without fear of judgment. Consider facilitating a workshop, perhaps with Arkaro help. Okay, even a focused half-day session can be incredibly valuable in helping a pilot team identify its key bottlenecks and begin developing those practical strategy rules that directly align with your overarching corporate objectives.
Speaker 2:So these initial steps, they're designed to be manageable, right? Not a huge undertaking immediately.
Speaker 1:Exactly Manageable and designed to deliver quick, demonstrable value. In addressing that strategy implementation challenge builds some momentum.
Speaker 2:Makes sense. Ultimately, it feels like a truly effective strategic architecture requires both things, doesn't it? It really does.
Speaker 1:You need that essential high-level direction that comes from corporate leadership.
Speaker 2:The what and why, and you absolutely need those practical team-level frameworks that provide clear guidance for daily decisions.
Speaker 1:The how they really are two indispensable sides of the same coin. You can't have effective strategy without both.
Speaker 2:And by making a strategic investment in this type of facilitated strategy development, you can fundamentally close that often frustrating implementation gap. And maybe more importantly, Build the core strategic capabilities needed for sustained success in today's let's face it very competitive B2B environment.
Speaker 1:Absolutely. It's about building for the long term.
Speaker 2:So to learn more about how Arkaro helps B2B executives like you achieve better results through facilitated strategy development.
Speaker 1:Covering areas like strategy itself, innovation process, product management, commercial excellence and integrated business management.
Speaker 2:Please do visit our website at Arkaro. That's A-R-K-A-R-O dot eight dot com.
Speaker 1:You can also follow Arkaro on LinkedIn for ongoing insights and updates. We share content regularly there.
Speaker 2:And if you'd like to explore your organization's specific needs in bridging this strategy implementation gap and perhaps discuss a free consultation.
Speaker 1:Please don't hesitate to email Mark Blackwell directly. His email is mark at Arkaro.
Speaker 2:He'd be happy to chat, Definitely Well. Thank you for taking the time to listen to this. Arkaro Insights deep dive.
Speaker 1:Yes, thank you for joining us, and if you found this discussion helpful, please do share it with your colleagues and connections who might also be facing these challenges.
