The majority of smaller enterprises and businesses do not have a stated strategy.  A strategy at the most basic level tells you how you are going to succeed in business.  Clearly, every business needs a strategy, and most think they know what is required to succeed.  Logic would say that they therefore have a strategy.  But let’s look deeper into this.

Why do I say most businesses don’t have a strategy?  Just look and listen and the reason becomes clear.

Look at results.  Why do many businesses fail and others struggle for long periods?  One reason is a lack of a defined  strategy.  That means stating what they believe is needed for success and then regularly looking at their assumptions and challenging them.  A different problem is companies who are successful for a while (but are not truly aware of their strategy) and then find themselves in a painful situation when their customers or the market or the competition suddenly shifts and they are behind the curve.

Second, listen to the reasons business leaders give for not thinking hard about strategy.  When a company is successful, the argument is basically “Don’t mess with something that’s working.”  There are a lot of excuses for not doing what you know you should be.  It is easier to look outside and pin the responsibility on something else external.  If things are not going well, you can be deluding yourself with hope, optimism or just bad excuses. 

So, what should you be doing?  First, take time to actually define your strategy.  How are you going to succeed in business?

Second, play the “what if” game for a while.  What will happen if your competition starts winning market share from you, or brings out a new product/service that gains favorable attention in the market?  What if your top five customers were to defect or you lost their business?  What if a new, well-financed competitor enters your market and the rules of the game seem to suddenly change? 

Finally, make an appointment in your calendar right now to do some serious thinking about strategy before the month is over.  Resolve to follow up on it in three months.  Strategy is actually an ongoing process, not a once-and-for-all event or an annual ritual that is meaningless.  Instead of having a strategic plan (slightly better than no strategy at all), focus on thinking and planning more strategically on a regular basis.