"Training is not the learning of facts, but the training of the mind to think."
- Albert Einstein

Strategy is simply a plan.

 

Risk is simply uncertainty.

 

Resilience is the outcome of the resulting balance between risk and strategy.

 

These are not independent concepts – they are parts of a larger whole and are inexorably tangled up when we talk about creating organizational success at any level.

 

1. Strategy design is more robust when we identify and incorporate the right risk perspectives - this is not just SWOT!

2. Risk is more focused, efficient and meaningful when we align with strategic priorities - this is what we really mean by enterprise risk.

3. Resilience is only achieved when we understand what the organization needs in order to thrive – risk and strategy feed this, but it also requires a deep understanding of purpose. 

 

These concepts may feel intuitive to a seasoned leader, but it is easier said than done. Inefficient decision processes, divergent risk perspectives, unanticipated impact to strategic goals and frequent or radical course adjustments are indicative of internal systems that are misaligned and lack focus.

 

There are critical elements of strategy and risk programming that must flow across the entire organization and be understood with equal clarity by all contributing to the function of the entity. When we identify these “mission critical” threads, then we are able to trace them through and prioritize them above others.

 

The issues described above exist at the functional management level as well, just on a smaller scale. Just as we wouldn’t attempt to eat entire blueberry pie in one bite, we cannot align the organization from a single point.  

 

We find clear direction from the top that establishes a system and framework that can be used function by function, department by department and subsidiary by subsidiary in order to create alignment up, down and across the organization. 

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This is a better way. 

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Essential Strategy