Why Strategic Thinking is Necessary for Entrepreneurs
There is a movie you love, an intelligent movie you would even wish to recommend to your friends. A movie that makes you say to yourself, WOW! this is an amazing movie, yes you might have already been in that situation.
Watching Prison break, Racasa de Papel, Peaky blinders or the icy intelligence scenario from Tom Cruise you might even read that wonderful book, or a biography of one of the most wonderful generals the world ever held. Do you see how the CIA or FBI or any intelligence department are able to analyze circumstances and find out the next moves from their enemies? This is what I mean by strategic thinking.
Strategic thinking is about unravelling the mysteries of the chaotic world surrounding us and harnessing powerful force to our own end. It has been there ever since man learnt to control his mind and the environment surrounding him. The strategy has its ancient origin in the military borne Greece and China, theorists such as Thucydides and Sun Tsu. You might read about the ancient battles of Delium and Cannae, you might also read about the military strategists’ such Napoleon, Jomin, Carl Von Clausewitz, Sir Basil Liddell Hart, Pagondas, Hannibal Barca, Vegetius, Machiavelli and many others, you might even know any from your settings.
The military principle of competition offering us a variety of tactical options for use in our own strategic endeavours. However, it is important for an entrepreneur to learn to think strategically because it will not only save you from executing products but it will also save you from the cost of making ineffective decisions that can hamper your business. We all think about the future, of course, but there is a difference between strategic thinking and daydreaming about what might be.
What moniker is strategic thinking? Prior to this article I had taken a course on strategic thinking from Drexel university and had bundles of work from lecturer Stanley Ridgley observed that strategy is a method or plan that we craft to bring about the diary’s future such as achievement of a goal or a solution to a problem. It’s a plan that assesses, acquires and allocates necessary resources to the most effective and efficient use and it’s a plan that anticipates and incorporates competitor responses. Whether you are an entrepreneur, businessman, leader, Doctor, militarist you will need to acquire strategic thinking skills so that you can effectively plan for your future success.
Strategic thinking is the most highly sought-after management competency, why? Because employees who can think logically and strategically can have a tremendous impact on a business or project trajectory.
If you must improve your strategic thinking the good news is that; there is some practical way you can develop them.
Here are four ways to improve your strategic thinking skills.
What are strategic thinking skills? According to Harvard business school, strategic thinking is any skill that enables you to use critical thinking to solve complex problems and plan for the future. These skills are essential to accomplish business objectives,
Strategic thinking skills involves
● Problem-solving skills: strategic thinking is often used to solve problems or address difficult circumstances such as missed financial targets, inefficient workflows or an emerging competitor
● Planning and management skills: A strategic thinker should be able to plan and manage the course, think of the ancient militarist or business Guru such as Steve Jobs, what could you say about management from them, they are simply good planners and managers.
● Communication skills: in the military, you should be able to communicate to both people you lead and to the top as an entrepreneur you should be able to put the strategy into place for your company or a team regardless of its size requires communication skills, the ability to transform your complex idea, to understand others’ ideas as well, to collaborate with internal and external stakeholders, build consensus, and ensure everybody is aligned and working toward shared goals.
● Analytical skills: to sketch, craft or ideate a strategy that helps your company to each and achieve its missions and objectives, you must be able to analyze various inputs from — -financial statement, KPIs to marketing conditions, emerging business trends or technology and internal resources allocations.
HOW TO DEVELOP STRATEGIC THINKING SKILLS
Well, who is your strategic thinker? I think you got the one you adore maybe from the book you read, movies or history and you are saying to yourself, wow! I’d love to think and plan like her /him, the good news is that there’s no born-know person (inert) every skill can be learned and acquired, through dedication although some might cost us a great deal of time.
Here are starting points on how you can sink into strategic thinking.
● Ask strategic questions; according to Harvard business school online course “Disruptive Strategy”, strategic questions can relate to a challenge, opportunity and ambiguity you face in your current situation whether personal or professional. They might, for instance, relate to launching a new business or product, beating a competitor, or structuring your organization for innovation.
Some examples of strategic questions you might ask include:
- How can we strategically position ourselves to enter a new market? What’s the direction for growth for each of our products or services?
- Where will the organization’s growth come from in the next five years, and how does it compare with where growth has historically come from?
- How should the organization respond to the threat presented by potentially disruptive competitors?
● Observe and reflect; in addition to asking strategic questions, you need to answer and address them skillfully. One of the most effective ways of accomplishing this is to observe and reflect on your current situation, ensuring any strategy you conceive is grounded in facts. For example, imagine that the business you work for has begun losing market share for one of its products among its traditional customers. At the same time, it’s gained market share from an entirely new customer base. It’s easy to assume why this might be happening, but doing so can lead you down the wrong path at a critical moment in your organization’s existence.
● Consider Opposing Ideas; once you’ve landed on a strategy that can help your organization reach its goals, question your assumptions, and put your hypothesis through rigorous testing. By doing so, you can ensure you’re not overlooking another possibility.
● Embrace Formal Training; By practising the methods described above, you can improve your strategic thinking skills at your own pace. However, there are other learning options you can pursue. If you need to quickly ramp up your strategy skills — to address a pressing need your organization is facing, position yourself for a new role, or finally launch your own business — formal training might be your best option.
HAMZA Bakker (MalcomX II) Author
About the author;
Hamza Bakker is an imaging entrepreneur, investor and startup specialist.
