One of the main challenges of identifying a proper strategy is in determining whether such a strategy can be executed, and at what effort. Often, strategies look good “on paper,” but due to any number of factors they can’t be implemented effectively.
Of course, limitations on implementation and execution vary by company as well as other factors. As such, determining a proper strategy to implement must take into account company-specfic factors such as culture and capabilities as well as all other relevant factors.
Cost of execution is another major factor. Often, major new strategic initiatives and changes in strategy can be immensely costly. Whether such needs to be the case – or whether an alternative, less-costly solution may suffice – should be determined.
Lastly, speed of execution is another major factor of increasing relevance. While major strategic initiatives often take years to reach full implementation, in today’s business environment such a timeframe may not be viable for a number of reasons. As such, strategies that take a long time to execute should receive special scrutiny.
Whether a new strategy needs to be implemented – or whether an existing strategy is optimal – also should take into account whether the existing strategy needs to be changed. It may be that the existing strategy is optimal, but it needs a change in tactics in order for its potential to be realized.