What killed the Monitor Group, the consulting firm co-founded by the legendary business guru, Michael Porter? In November 2012, Monitor was unable to pay its bills and was forced to file for bankruptcy protection. Why didn’t the highly paid consultants of Monitor use Porter’s famous five-force analysis to save themselves?
Was it negligence, like the cobbler who forgot to repair his own children’s shoes? Had Monitor not executed its’ strategy? The financial crisis of 2008 was a wake-up call that reminded even the powerhouse firms how vulnerable they were. Today, large firms have little interest in paying large fees to strategists. They just want to check their stars and do a rain dance to expect better results!
Its not rocket science to say “what killed Monitor was the fact that its customers were no longer willing to buy what Monitor was selling.” Companies are also killed by leaders who spend a lot of time strategizing and close to zero amount of time in implementing or taking the actions required or tactics to succeed.
The following quotes can be related to the strategy ‘talkers’ in your office:
“Creative without strategy is called ‘art.’ Creative with strategy is called ‘advertising.’”- Jef I. Richards
“Leadership is a potent combination of strategy and character. But if you must be without one, be without the strategy.”
“Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat.”- Sun Tzu
I like the way Jack Welch has interpreted strategy, “In real life, strategy is actually very straightforward. You pick a general direction and implement like hell.” Provided the leaders has a good sense about the business.