The Nine Vital Components for Successful Strategy Execution in the Public Sector Dr. Anton Olivier PMI AFRICA CONFERENCE 2015

Execution = Journey Strategic Plan

“Execution is the great unaddressed issue in the business world today” “Strategy does not separate the good from the great, but execution does” (Collins 2001) “Execution is the great unaddressed issue in the business world today” (Bossidy & Charan 2002) “In business, execution is everything. If an organization can’t execute, nothing else matters: not the most solid, well thought-out strategy, not the most innovative business model, not even technology that could transform an industry.” (OnPoint Consulting, 2006) “The No 1 challenge facing managers in the 21st century is strategy implementation” (Muell & Cronje 2008) “60% of strategies are not successfully implemented” (Barrows 2009) “strategy execution evolved … to a top priority in most organisations … companies continue to lose 40 to 60 percent of their strategic potential while trying to execute it.” (Schreurs 2010)

Programs / Projects / Activities Strategy Focussed Balanced Logical Integrated Understood & Accepted SMART Objectives Clear accountabilities Clear initiatives Realistic/executable Vision Theme Theme Theme O O O O O O I I I I I I I I I Programs / Projects / Activities

O O O Theme O O O Theme Vision Theme O O O Theme O O O

Theme A Objective Acc PI Target Initiative Resp Cost Schedule Yr 1-5 X A1. Objective name & description HoD PI 1 PI 2 BL = Yr1= Yr2= Yr3= Yr4= Yr5= A1.1 Project AB 1,000 X A1.2 Project CD 4,000 A1.3 Project 500 A1.4 Project 3,000 Theme A A1 A3 I A1.1 A2 I A1.2 I A1.3 I A1.4 I I I

Project Management Strategy is mostly executed through Projects …. therefore the need for Project Management …. 5 Process Groups & 10 Knowledge Areas

Research RESEARCH QUESTION: “What does the ideal strategy execution model for the public sector look like?” What is the current practice? main problems? main gaps? What are the main components of such a model? How can these key components best be integrated? How can this model best be applied in the public sector? RESEARCH HYPOTHESIS: Strategy execution will significantly improve by using a simplified, dynamically integrated conceptual model as guide in tailoring strategy execution in each public sector organisation.” RESEARCH METHODOLOGY: Literature Research Participative Action Research [PAR] 10 Case Studies in Namibia

Leading Sources on Strategy Execution Kaplan and Norton (2001) Bossidy and Charan (2002) Hrebiniak (2005) Fogg (2006) Paladino (2007) Morgan, Levitt and Malek (2007) Spitzer (2007) Kaplan and Norton (2008) Harbst (2008) Marr (2009) Mukherjee (2009) Active Strategy (2009) Strickland (2010) De Flander (2010) McKnight, Kaney and Breuer (2010) Lepsinger (2010) Cohen (2011) McChesney, Covey & Huling (2012) Childress (2013) 7 Vital Strategy Execution Components: Leadership Strategic planning Project management Alignment PMS Drive Engagement

Difference between Private and Public Sectors Purpose Governance Leadership Culture, values and guiding principles Decision-making ESTLE influences and challenges Political influences Planning and execution cycle Funding and budgeting Stakeholders, complexity and transparency Strategic objectives Structure and human resources Flexibility and change Project management Costs and productivity Performance management Description: nature & importance Differences: key differences between the two sectors Implications & Actions +2 Components for Public Sector: Risk Management Stakeholder Management

NINE VITAL STRATEGY EXECUTION COMPONENTS Leadership ☼↑ [Driver] Strategic Planning  [Road Map] Project Management  [Wheels] Alignment Structure, People, Culture, Processes, Technology, Funding [Chassis & Body] MERIL PMS [Dashboard, Dialogue, Steering wheel] Drive PAAMAA [Engine & Fuel] Engagement   [Gears engaging & Lubricant] Risk Management  [4X4 modifications for obstacles] Stakeholder Management ↑↓ [Owners, sponsors, customers, partners]

Stratex 7. Engagement Gears engaging & Lubrication 2. Strategic Plan Road Map 1. Leadership Driver 5. MERIL - Improve Steering wheel 5. MERIL - Evaluate & Learn Discussions 5. MERIL - Measure Dashboard 6. Drive Engine & Fuel Stratex we deliver service 3. PM Wheels Public Sector Road 8. Risk 4X4 modifications for bigger obstacles 4. Alignment Chassis & Body 9. Stakeholders Owners, Customers, Partners

Leadership Politics Learn Strategic Planning Improve Engage [DAILOGUE] [DIRECT] Leadership Learn [GET WISER] Review the Plan Strategic Planning [PLAN] Improve [RESPOND] Project Management [EXECUTE] Engage [DAILOGUE] Alignment Drive [MOTIVATE] Focus on Indiv & Groups Follow the Plan Demand accountability & Reward Listen to your People Report [COMMUNI- CATE] Respond to Change Measure [SENSE] Hindsight & Foresight Risk Mgt [ESTLE, Competition, etc.] Evaluate [MAKE SENSE] SH Mgt [COLLABO- RATE] Organisational Context Public Sector Context

Stratex Assessment Framework [SAF] Total Strategy Execution Capacity [TSEC]

CONCLUSIONS Hypothesis: Strategy execution will significantly improve by using a simplified, dynamically integrated conceptual model as guide in tailoring strategy execution in each public sector organisation. Further research

Comments / Questions anton@stratexconsult.com