Posts tagged strategy

There is no “box” at Walmart

Walmart Advanced Vehicle Experience (WAVE) concept truck Have you seen the new Walmart Advanced Vehicle Experience (WAVE) concept truck that is powered by a prototype turbine-powered hybrid engine with a trailer made almost exclusively with carbon fiber, which saves 4,000 pounds?

This is Strategy at its finest and has the world’s number one retailer leveraging their strength–their logistics network–and turning it up a notch.

Clearly Walmart was thinking way out of the box in designing this new semi truck–in fact it appears that they threw the box out in the trash.  Walmart isn’t in the truck building business?

True strategists look outside their realm and outside of what they do today as well as looking at what they are good at.  Recently I talked about the SWOT Assessment and had a lot of “know it all” input from fellow strategists saying that a SWOT is this and a SWOT is that.  Ladies and gentlemen, see the result of a great application of strategy based on a SWOT.  This is why I highlighted some simple tips for you to start using a SWOT effectively.

Heavy-duty trucks spend more time on the road than passenger vehicles, so improving their efficiency can have a major effect on emissions–and their owners’ bottom lines.  That’s why Walmart is getting into the truck-design business with the WAVE.  With its aerodynamic cab, the WAVE certainly doesn’t look like any other large truck currently on U.S. roads and doesn’t operate like one either.

Walmart’s design was achieved in part by placing the driver in the center of the cab.  The steering wheel is flanked by LCD screens–in place of conventional gauges–and there is a sleeping compartment directly behind the driver’s pod.  The WAVE features a range-extended electric powertrain, consisting of a Capstone micro-turbine and an electric motor.  To reduce weight, the entire truck is made of carbon fiber–including the trailer.  Walmart says this is the first example of a carbon-fiber trailer ever produced, and that its 53-foot side panels are the first single pieces of carbon fiber that large that have ever manufactured.  Like the tractor, the trailer was also designed for optimum aerodynamic efficiency.  It features a convex nose, which not only reduces aerodynamic drag but has the added of benefit of increasing cargo space in the trailer.

Take that Peterbuilt and Freightliner!  Ha!  And I thought the MAN Super Streamlined Semi-Truck was cool.  The MAN was designed by truck manufactures, not a super store retailer!

I’ll say it again; use your strengths to overcome your weaknesses.  Then turn threats into opportunities.  Walmart is known for their distribution system–it is what makes them Walmart and it is their biggest strength.  They focused on the threats to that strength and turned it into opportunity.  This is a perfect demonstration of a SWOT in action.

Implementation of strategy is barely visible by the naked eye.

I think that one of the reasons most people see strategies as a failure is because they don’t ‘see’ them unfold when implemented.

Strategy is not about massive change, it’s about strategic change. Massive changes are tactical activities that slowly bring about the vision over many years.

Honestly, the best vision is a lasting one that you don’t have to change every three to five years. The Air Force Sergeants Association’ purpose is to fight for Air Force enlisted benefits on Capitol Hill. Their vision is simple, To be the professional organization of choice to Air Force and the families. This is a measurable long term vision that AFSA will strive to, but may never achieve.

So, why do I say that strategy is invisible?

Strategy is about placement and preparedness. To implement a strategy, normally, you are (to use a military term) prepping the battle space for operations. The strategic actions in themselves are seldom that noticeable, but what they do is prepare you for opportunities that are sure to reveal themselves–opportunities that probably would not have shown themselves if you were not prepared.

Recently, I had a senior leader tell me that all the successes the group I’ve been working with was happenstance (i.e., luck). I disagreed. The strategic activities that we were intertwining over the last two years allowed for the successes to occur.

This is why people who are implementing strategic plans seldom see the forest through the trees. They have to go on faith that what they’re doing will have impact. Even to the employees, they seldom see the subtle changes taking place in the organization.

It is the leader and the strategy experts job to watch for these changes and to stand on the mountaintop and scream out these changes so everyone will know what has happened.

Strategic programs being put in place, strategic organizational changes, strategic development of employees… These things happen over time and when something happens over time, it is often. Viewed as ‘normal operations’ — just part of the daily routine.

This is so far from the truth. In my current role, we started two years ago to “improve document management.” Today, everyone in the document management space meet once a week under a developed governance structure. Today their is a six-person team that matures the do unenthusiastic domain slowly every day. Today there is a 26-page document strategy that highlights how we got here and where we’re going. Today there is an end-to-end understanding of the document life cycle. Today there is a robust document metrics program with accompanying metrics collection strategy.

Those things were strategic in nature and have produced tactical actions, which will lead to us moving closer to our vision of being the leader in document management.

Strangely enough, after two years of discussing and working with ten to twenty industry consultants, we are beginning to think that we are already a leader in this space. The beauty of our strategic effort is that we see how far we have to go and if we can achieve that over the next several years, we will not only be a leader, but ‘the leader!’

A year ago, we researched the only book written on document strategy–written by Kevin Craine. Kevin is a nice guy, who wrote his book based on a Master’s program. Today, he has a blog and regular pod casts about document management and strategy. That’s the authoritative leader in this space.

The harder you look at your strategic implementation the clearer it will become that you are improving. Take the time to understand why you are doing the things your are doing and look for the subtle outcomes. You just might find out you’re well on your way to your vision already and you just can’t see it.

Strategic Planning Presentation

Upcoming for American Society for Quality and Continuous Improvement Professional here in San Antonio…

Strategic Planning

Think Big, Take Small Steps

70 Percent of all strategic plans fail!

This presentation is designed to answer these four questions:

  • What is it?
  • Why does it fail?
  • Why is it important?
  • How do I do it?

Learn about what strategic planning is, how all plans are inherently the same, how strategic planning is a process much like DMAIC, why planning saves money, and how process improvement is linked to planning.

Discover the five primary reasons strategic plans fail:

  • Focus
  • Framework
  • Implementation
  • Rigor and Accountability
  • Communication

Walk away with a simple hoshin kanri-based three-step approach.  This presentation will show you the basics of strategic planning, but, by no means, will it make one an expert.

Strategic Planning Presentation