How Strategy Met Tactics and Killed the Three-Year Plan
There are some immutable truths which relate to all businesses both on and off-line
Traditionally, large companies adopted strategic frameworks based on three to five-year plans, while most digital start ups had little interest in such rigorous strategy processes. So is the classic strategic plan dead? If the sector in which you are competing is part of the digital world, then the answer is probably ... 'YES'.
Pure plays - companies that started out as pure digital businesses - very seldom write a strategic plan. Yes, they have a long-term vision, but their planning horizons seldom extend further than three months or, at most, a year.
Hybrids, which I define as companies that traditionally operated in a business not challenged by the internet, have on the other hand been working with three-year planning cycles for decades. However, they often find themselves in competition with pure plays, as consumers increasingly wish to browse and purchase products on-line. So how do we bring together the pure play and hybrid perspectives on strategic planning?