Strategic Fluency - Frameworks or Stories?

Transcript

00:00:01

Stop me if you’ve been in Bob’s position. Every strategist learns the frameworks. Porto five forces, blue ocean strategy, and SWAT analysis. And we assume great strategy comes from great frameworks. So how Schultz of Starbucks fame, he knew all of the frameworks, but he didn’t transform Starbucks or any of them. In 1983, Schulz visited Milan. He walked into an express bar. He saw the ritual, the community, the third place between home and work. And that experience became a story. That story became his northstar.

00:00:34

That story created a hundred billion dollar plus company. Not a framework, a story. But here’s where most strategists get stuck. Baba spent hours preparing for the strategy retreat. He had the perfect framework from his MBA and he was excited because he was going to nail it by explaining this framework. As the conversation progressed, some doubts crept in, but he prepared for hours. So when the moment came he jumped in and as he explained his framework eyes glazed over. So he tried to speed up

00:01:07

that made it worse. Phones came out people started to read and his boss gave him a dark look that was kind of like a cut it out and Bob gave up. But moments later another colleague jumped in. And in that case, she told a story. And Bob suddenly realized she was explaining the same concept that he just tried to describe using a framework. But this time, the heads were nodding. There were some new insights that were emerging as people built on her initial story. There was some buying happening. She was accomplishing the result. And he

00:01:42

thought to himself, why didn’t I try that? Well, here’s what he discovered and what Howard Schultz knew all along. that we’ve been taught that strategic thinking is about mastering frameworks. They give us the illusion of sophistication. But here’s the truth that plays out in every boardroom and every strategy retreat and every presentation given by consultants that there’s a big difference between strategic thinking and strategic fluency. Strategic thinking is all about those frameworks

00:02:09

that you learned in MBA school, ones I mentioned before. Strategic fluency teaches you stories. So when JFK committed America to go to the moon, he didn’t pull out the Gad chart. He didn’t tell a framework. Instead, he went to the future and told a story about the future. So the best strategists actually aren’t searching for which framework applies in which situation. Instead, they’re reaching out for their curated collection of signature stories. So how do you avoid that awkward moment Bob

00:02:38

found himself in? I recommend that you prepare three signature stories. One transformational stories like the one about Schulz in Milan. One about the future like Kennedy’s moonshot. And one story about strategic choice. That’s three stories. Good news is that Strat Cinema helps you to find your three.