How to make strategy work in a complex and unpredictable world. In its essence, strategy is simple. It is about answering two fundamental and interrelated questions: where to play and how to win. Almost 200 Scandinavian top managers, managers and strategists participated in an intensive day at Implement Consulting Group focusing on how to develop a winning strategy in a world that is increasingly unpredictable. Strategist and author of the bestseller Playing to Win, Roger Martin was challeging the typical strategy processes where we try to control the risk and uncertainty through elaborate and detailed planning. In his opinion these processes often seem to end up being long-winded, abstract and complex. Sometimes even without any clear choices being made.

1. Playing to win
How to make strategy work

2. Agenda
10:00 Welcome & Introduction
10:30 Roger Martin
12:00 Lunch
13:00 Novozymes – a new way of strategizing
14:30 Survey results
16:30 Outtro & Buffet
15:00 Roger Martin – Strategy & Execution

3. on strategic initiatives
33%
success rate

4. how to make
Changing
Strategy?

5. 7% of employees
fully understand their company’s
business strategies and what’s
expected of them
The main barrier for execution
success mentioned by executives is:
“Creating meaningfulness to
frontend employees”
58% does strategy
top-down with limited
involvement of
employees
59% believe that there
is an imaginary line in
the organizational chart
above which strategy is
made
30% of employees
receive no
information
on how to execute
the strategy
14%
FULLY
ENGAGED
70% of “not successful”
transformations were planned by 10
or fewer people

6. Strategy is
making choices

7. Don’t separate
Strategy & Execution

8. Frontload
design of options

9. “What needs to be true?”
is THE question!

10. Engage for real
…search for true insight

11. Leaders & strategizers
of the future are…
Social architects
of meaning
…not heroic decision makers

12. 18 HBR articles
4 bestseller business books
Roger Martin is one of the top
management thinkers in the world

13. Agenda
10:00 Welcome & Introduction
10:30 Roger Martin
12:00 Lunch
13:00 Novozymes – a new way of strategizing
14:30 Survey results
16:30 Outtro & Buffet
15:00 Roger Martin – Strategy & Execution

14. PLAYING
TO WIN
Implement Consulting Group
Copenhagen, Denmark
April 1, 2014
Twitter: @rogerlmartin

15. To win, a company must choose
to do some things and not others
STRATEGY IS ABOUT CHOICES

16. What’s our
Winning Aspiration?
Where will we play?
How will we win?
What capabilities
must we have?
What management
system are required?
STRATEGY IS THE ANSWER TO 5 QUESTIONS

17. WHAT IS OUR WINNING ASPIRATION?
General Motors 2013

18. WHERE WILL WE PLAY?
Image courtesy of Intuit

19. STRATEGICALLY DISTINCT SYSTEMS
Image courtesy of Intuit
Individual Customers
“The Industry”
Segments
Develop Competitive Strategy
Based on an Understanding of
Individual Customers?
or...
Develop Competitive Strategy
Based on Generalizations about
“The Industry”?
or...
Develop Competitive Strategy
Around Clusters of Customers
About Which We Can Make
Generalizations?

20. HOW WILL WE WIN?
A Starbucks storefront at night. Starbucks Coffee Company

21. TWO FUNDAMENTAL WAYS TO WIN
Low Cost
Differentiation
Sustainable Competitive Advantage

22. WHAT CAPABILITIES MUST WE HAVE?
Burberry Flagship Store, London

23. P&G ACTIVITY SYSTEM
Globally
Distributed
R&D
Agency
Relation-
ships
Global
Business
Services
Connect
+
Develop
Design
Global
Purchasing
Customer
Teams
GBU/MDO
Structure Shopper
Marketing
Leadership
Culture
Brand-
building
framework
Consumer
Research
Consumer-
driven
measurement
systems Consumer
Understanding
Scale
Go-to-Market
Capabilities
Innovation
Brand Building

24. WHAT MANAGEMENT SYSTEMS ARE REQUIRED?
Four Seasons Hotel, Silicon Valley

25. What do you find most
intriguing about the
approach?
What would be the
most difficult in
adopting the approach?
Blue card
Green card

26. Agenda
10:00 Welcome & Introduction
10:30 Roger Martin
12:00 Lunch
13:00 Novozymes – a new way of strategizing
14:30 Survey results
16:30 Outtro & Buffet
15:00 Roger Martin – Strategy & Execution

27. Agenda
10:00 Welcome & Introduction
10:30 Roger Martin
12:00 Lunch
13:00 Novozymes – a new way of strategizing
14:30 Survey results
16:30 Outtro & Buffet
15:00 Roger Martin – Strategy & Execution

28. on
Novozymes
A new way
strategizingof

29. Strategizing in
Novozymes
Rasmus von Gottberg
Corporate Development
& Business Creation
April 1st
2014

30. Microorganisms
Enzymes
Other proteins
We find the
microorganisms
in nature
We grow them in
big fermenters.
From one
microorganism
to trilions in only
24 hours
Global leader in industrial biotech

32. 32

33. Our journey…

34. Guiding strategy principles
Strategizing
is for
everyone
Choices
Common
language
Dialogue

35. Choices

38. Agenda
10:00 Welcome & Introduction
10:30 Roger Martin
12:00 Lunch
13:00 Novozymes – a new way of strategizing
14:30 Survey results
16:30 Outtro & Buffet
15:00 Roger Martin – Strategy & Execution

39.  The quality of the process
 The quality of the outcome
 Your level of involvement
 Your view on challenges
within strategy in general
We asked you some questions about your latest strategy process…

40. Analysis
1 out of 10 point to
analysis as a key
challenge
Engagement
Twice as many state
engagement as a
key challenge
Ownership and
empowerment
Engaging the
organization
Not having the
right data
Basing choices
on facts

41. Choice
3 out of 10 point to
making choices as
a key challenge
Execution
Twice as many state
execution as a
key challenge
Ability to
execute
Linking strategy
to actions
Decide what
not to do
Making the
tough choices

42. 1 2 3 4
high
high
low
low
Quality of
process
Quality of
outcome
Your view of
the process
correlates with
your view of
the outcome

43. 1
2
3
4
1 2 3 4
Your own level of involvement
clearly impacts how you perceive
the quality of the strategy process …
Own level of
involvement
Perceived quality
of process
Engaging
Effective
Fun

44. 1
2
3
4
1 2 3 4
… and the same is true for your
perception of the strategy outcome
Own level of
involvement
Perceived quality
of strategy
Right
choices
Good
execution

45. Key
take-
aways
 Engagement and Execution are typically
bigger hurdles than analyses and choice
 A good process correlates with a good
outcome
 Level of involvement correlates with
both a good process and good outcome…

46. Agenda
10:00 Welcome & Introduction
10:30 Roger Martin
12:00 Lunch
13:00 Novozymes – a new way of strategizing
14:30 Survey results
16:30 Outtro & Buffet
15:00 Roger Martin – Strategy & Execution

47. Reverse
engineering
applied
Management
dialogue
Bridging to
execution
Role of
Strategy office
Strategy as on-
going or one-off
MAKING
STRATEGY
WORK

48. Frame the choice
Convert issues into at least two mutually
independent options that might resolve the problem
Generate strategic possibilities
Broaden the list to ensure consideration of an
inclusive list of possibilities
Specify conditions
For each possibility, specify which conditions must
hold true for it to be strategically sound
Identify barriers to choice
Determine which conditions you feel least confident
are true
Design valid tests
For each key barrier, design a valid test sufficient for
generating commitment
Conduct tests
Conduct hypothesis-driven analysis, testing the
conditions with the lowest confidence first
Choose
Compare test results to key conditions and make
informed choices
MAKING CHOICES IN ORGANIZATIONS

49. What is true?
What would
have to be true?
MAKING CHOICES IN ORGANIZATIONS

50. What’s our
Winning Aspiration?
Where will we play?
How will we win?
What capabilities
must we have?
What management
system are required?
STRATEGY IS THE ANSWER TO 5 QUESTIONS

51. The brain
makes the choices
The arms and legs
execute the choices of the brain
THE VIEW OF THE HUMAN BODY

52. IMPLICIT METAPHOR OF THE CORPORATION
Senior Leaders
• The brains of the organization
• Formulate the decisions
• Create control procedures
• Sell to get “buy-in”
The Rank and File
• The arms and legs of the organization
• Implement the decisions
• Controlled by procedures
• Get “bought-in”

53. Corporate
Level
Cascade
Strategic
Group
Cascade
Individual
Business
Cascade
A MORE USEFUL CONCEPTION OF THE CORPORATION
Winning
aspiration Where to
play
How to win
Capabilities
Man. systems
Winning
aspiration Where to
play
How to win
Capabilities
Man. systems
Winning
aspiration Where to
play
How to win
Capabilities
Man. systems

54. 1. Explain the choice that has been made and the
reasoning behind it
2.Explicitly identify the next downstream choice
3.Assist in making the downstream choice,
as needed
4.Commit to revisit and modify the choice based on
downstream feedback
SYSTEMS TO SUPPORT STRATEGY – CHOICE FRAMING

55. Agenda
10:00 Welcome & Introduction
10:30 Roger Martin
12:00 Lunch
13:00 Novozymes – a new way of strategizing
14:30 Survey results
16:30 Outtro & Buffet
15:00 Roger Martin – Strategy & Execution

56. 2.
Scandinavian network
“Playing To Win”
knowledge sharing
1.
USA study tour
w/Roger Martin
(Winter 2014)

57. Enjoy the Buffet
Playing to win
How to make strategy work

58. No more slides
now, go eat

59. Change with Impact.
implementconsultinggroup.com