← Back to News & Articles

7 Tips for Creating a Great Business Strategy

Build business strategies that drive lasting results through organizational memory systems, ensuring strategic insights become institutional capability rather than forgotten documents.

Technical14 min read
7 Tips for Creating a Great Business Strategy

Every business creates strategic plans. Yet according to research from Harvard Business Review, fewer than 10% of organizations successfully execute their strategies, and the primary failure point isn't strategic insight—it's implementation breakdown and organizational amnesia. Companies invest months developing brilliant strategies, produce impressive strategic documents, gain initial alignment and enthusiasm, then watch as daily operational pressures push strategic intentions to the background.

The strategies that drive sustained business success share common characteristics that distinguish them from the forgotten plans gathering dust in shared drives. Great strategies aren't just well-conceived—they're designed from the outset with organizational memory systems that ensure strategic thinking becomes embedded in operational practice rather than remaining aspirational documents that everyone forgets.

Creating strategy that actually shapes organizational behavior and drives results requires thinking beyond the strategy development process itself to the memory systems, execution disciplines, and organizational habits that transform strategic intent into business reality.

Tip 1: Build Strategy on Documented Organizational Memory, Not Just Current Thinking

Most strategic planning begins with analyzing current market conditions, assessing competitive dynamics, identifying opportunities and threats, and charting desired direction. This forward-looking orientation is necessary but insufficient. Without grounding strategy in systematic understanding of organizational history and accumulated knowledge, companies repeat past mistakes and fail to build on previous learning.

Effective strategy development starts with organizational memory work: reviewing documented records of previous strategic choices and their outcomes, analyzing why past strategies succeeded or failed, identifying patterns in organizational capabilities and constraints, understanding which strategic assumptions proved accurate versus misguided, and capturing institutional knowledge about what works in your specific organizational context.

This historical grounding prevents the amnesia where each strategic planning cycle starts from scratch, unaware of or dismissing previous strategic lessons. Research from McKinsey shows that organizations maintaining systematic strategic memory—documented records of strategic choices, implementation experiences, and outcome analyses—make 40% better strategic decisions and achieve 35% higher strategy execution rates compared to organizations treating each planning cycle as a clean slate.

Building this strategic memory requires deliberate systems. Maintain a strategic decision record documenting major strategic choices, the context and assumptions behind those choices, expected versus actual outcomes, and lessons learned. Create strategic framework repositories preserving analytical models, decision criteria, and planning approaches that proved valuable. Conduct formal strategic retrospectives extracting insights from previous strategic initiatives before beginning new planning.

When your new strategy connects explicitly to organizational memory—building on proven strengths, addressing documented weaknesses, applying lessons from previous attempts—it benefits from institutional intelligence rather than relying solely on current leadership insight. This compound learning creates progressively smarter strategy over time.

Tip 2: Develop Strategy Collaboratively to Build Shared Understanding and Memory

The traditional strategic planning model positions strategy as primarily an executive leadership activity. Senior leaders convene for strategic retreats, hire consultants to provide external perspective, develop strategic direction, and then communicate finished strategy to the organization for execution. This top-down approach creates several problems, with the most significant being that strategic understanding resides only in the minds of those who developed it.

When the broader organization receives strategy as a finished product to execute rather than participating in its development, several forms of amnesia emerge immediately. The strategic context and reasoning behind choices remain unclear. The trade-offs and alternatives considered aren't understood. The strategic narrative connecting current reality to desired future state exists only in executive understanding. As a result, strategic execution becomes implementing directives rather than applying shared strategic thinking to operational decisions.

Collaborative strategy development addresses this memory gap by expanding strategic thinking participation beyond the executive team. Involve middle management in strategic analysis and issue identification. Engage frontline employees in understanding customer and competitive reality. Include cross-functional teams in evaluating strategic alternatives. Create broad participation in strategic planning sessions and reviews.

This collaborative approach builds shared strategic memory across the organization. Participants develop firsthand understanding of strategic context, rationale for strategic choices, trade-offs and constraints considered, and connections between strategy and operational reality. This distributed strategic understanding dramatically improves execution because operational decisions throughout the organization can align with strategic intent.

Research from Bain & Company indicates that organizations with collaborative strategic planning processes show 60% higher employee understanding of strategy, 50% better strategic alignment across functions, and 45% superior strategy execution compared to organizations with top-down strategic planning. The performance advantage stems from shared strategic memory rather than centralized strategic knowledge.

Implement collaborative strategy development through structured working sessions where cross-functional teams analyze strategic challenges, evaluate alternatives, and develop recommendations. Use digital collaboration platforms to enable ongoing strategic input and discussion. Document strategic development processes to capture the thinking and dialogue that produced strategic choices. These practices transform strategy from executive knowledge to organizational memory.

Tip 3: Create Visual Strategy Maps That Make Strategic Logic Visible and Memorable

One of the most common strategic planning failures involves producing lengthy written strategy documents that few read and fewer remember. Traditional strategic plans often span dozens of pages with extensive narrative, detailed analysis, and comprehensive descriptions of strategic initiatives. While thorough, these documents prove difficult to internalize, nearly impossible to remember without frequent reference, and poorly suited for guiding daily operational decisions.

Visual strategy mapping addresses this accessibility problem by representing strategy graphically in formats that reveal strategic logic, highlight critical priorities, show relationships between strategic elements, and enable rapid comprehension and recall. Strategy maps become memory aids that keep strategic thinking active and accessible rather than buried in forgotten documents.

Effective strategy visualization takes several forms. Strategic roadmaps show timeline progression from current state through intermediate milestones to desired future state, making strategic sequencing and phasing clear. Strategic relationship maps illustrate connections between strategic goals, initiatives, capabilities, and outcomes, revealing how different strategic elements reinforce each other. Priority matrices highlight where organizational focus should concentrate versus lower-priority areas deserving less attention.

These visual representations work because human memory and comprehension favor visual information over text. Research from 3M Corporation shows that visual information is processed 60,000 times faster than text, and people remember 80% of what they see versus 20% of what they read. Strategy presented visually becomes more accessible, memorable, and actionable than strategy described in traditional written documents.

Create strategy maps using simple, clear visual conventions that can be understood without extensive explanation. Use color to highlight critical priorities and show category relationships. Employ spatial positioning to indicate importance, sequence, or relationships. Limit text to essential labels and descriptors rather than detailed explanations. Make maps accessible in formats that enable frequent reference—wall displays, digital wallpapers, printed one-pagers.

The goal isn't artistic sophistication but strategic clarity and memorability. When employees throughout the organization can recall strategic priorities and logic without consulting reference documents, strategy becomes working organizational memory that actively guides decisions rather than requiring constant document lookup.

Tip 4: Embed Strategy in Operational Systems, Not Just Strategic Documents

The most fundamental distinction between strategies that drive results versus those that gather dust involves integration with operational systems. Effective strategies don't just exist as strategic documents separate from operational work—they're embedded in the systems, processes, and tools where actual work happens.

This embedding occurs across multiple organizational systems. Goal-setting and performance management processes should cascade directly from strategic priorities, ensuring every team and individual pursues objectives that advance strategy. Meeting agendas and rhythms should include regular strategy review and discussion, keeping strategic thinking active rather than confined to annual planning. Decision-making frameworks should explicitly reference strategic priorities as decision criteria, ensuring important choices align with strategic intent.

Resource allocation processes represent particularly critical integration points. When budgeting, hiring, and investment decisions explicitly connect to strategic priorities, resource allocation materially supports strategy rather than continuing pre-strategic patterns. Research from McKinsey on strategy execution shows that organizations linking resource allocation tightly to strategy achieve 70% higher strategic initiative success rates compared to organizations with loose connection between strategy and resources.

Technology platforms provide powerful opportunities for strategic embedding. Strategic planning software can maintain live strategic dashboards showing initiative progress and goal achievement. Project management tools can tag initiatives and projects with strategic priorities they advance. Communication platforms can feature strategic content prominently, keeping strategy visible in daily work context.

The litmus test for strategic embedding asks: Can employees pursue strategic priorities without referring to strategic planning documents? If strategy lives primarily in planning documents rather than in operational systems, it will remain aspirational rather than operational. When strategy infuses the systems guiding daily work, it becomes organizational memory actively shaping behavior.

Document your approach to strategic embedding explicitly. Map which operational systems will incorporate which strategic elements. Assign responsibility for ensuring strategic integration in each system. Review periodically whether operational systems are actually referencing and advancing strategy or operating independently from strategic direction.

Tip 5: Establish Systematic Strategic Review Rhythms That Maintain Strategic Focus

Even well-designed strategies lose influence over organizational behavior without systematic review processes that maintain strategic focus. The natural organizational tendency favors responding to immediate operational demands over pursuing longer-term strategic priorities. Without deliberate systems maintaining strategic attention, operational urgency inevitably crowds out strategic importance.

Strategic review rhythms create structured opportunities for strategic thinking, discussion, progress assessment, and course correction. These rhythms should occur at multiple time scales: annual strategic planning sessions revisiting overall strategic direction, quarterly strategic reviews assessing progress and adjusting priorities, monthly strategic check-ins maintaining strategic visibility, and weekly strategic leadership discussions ensuring ongoing strategic attention.

Each review rhythm serves different purposes. Annual reviews enable step-back assessment of whether overall strategic direction remains appropriate given evolving conditions. Quarterly reviews allow significant course corrections while maintaining strategic continuity. Monthly reviews keep strategic initiatives visible and progressing. Weekly touchpoints prevent strategic drift by ensuring strategic considerations inform current decisions.

These review rhythms work only with disciplined structure and documentation. Create consistent agendas for each review type specifying what gets assessed and discussed. Use standard templates for reporting strategic progress enabling clear trend visibility. Maintain systematic records of review discussions, decisions, and commitments creating institutional memory about strategic evolution.

Research from the Corporate Executive Board shows that organizations with systematic strategic review cadences achieve 65% higher strategic goal attainment and 50% better strategic initiative success compared to organizations with ad hoc strategic review. The performance advantage reflects the power of systematic attention and memory versus sporadic strategic focus.

Build strategic reviews into organizational calendars as non-negotiable commitments rather than optional meetings that get rescheduled when operational issues arise. Assign clear ownership for facilitating each review type and maintaining associated documentation. Measure review effectiveness through tracking whether review discussions actually influence subsequent decisions and actions.

The goal extends beyond monitoring strategic progress to maintaining active strategic thinking throughout the organization. When strategic review rhythms operate effectively, strategic considerations become habitual organizational memory rather than requiring conscious effort to remember.

Tip 6: Document Strategic Decisions and Rationale to Enable Learning and Adaptation

Every strategic planning process involves countless decisions: which markets to enter or exit, which products to emphasize or discontinue, which capabilities to build or outsource, which customer segments to target or ignore, which competitive positions to pursue or abandon. Traditional strategic planning captures the chosen directions in strategic documents but often fails to record the reasoning behind strategic choices, alternatives considered and rejected, assumptions underlying decisions, and criteria used to evaluate options.

This documentation gap creates organizational amnesia with serious consequences. When strategic assumptions prove incorrect or conditions change, organizations lack clear records of original strategic logic to inform adaptation. When strategic choices produce unexpected outcomes, missing documentation prevents systematic learning about what went wrong. When new leaders join or organizational memory holders depart, strategic context and rationale disappear along with them.

Systematic strategic decision documentation addresses this gap by creating accessible records of strategic reasoning. For significant strategic choices, document the strategic question or decision being addressed, alternatives considered and their relative merits, key assumptions underlying the chosen approach, decision criteria and their application, expected outcomes and success measures, and accountability for execution and results.

This documentation transforms strategic decisions from point-in-time choices to learning opportunities. When actual results diverge from expectations, documented decision logic enables meaningful analysis of what assumptions proved wrong, what decision criteria should be reconsidered, what was missed in alternative evaluation, and how future strategic decisions should improve.

The documentation serves additional valuable purposes. It creates strategic transparency enabling broader organizational understanding of why strategies were chosen. It provides onboarding resources for new leaders joining the organization. It demonstrates strategic discipline and rigor valuable for board and investor relations. And it builds institutional strategic intelligence that makes future strategic decisions progressively smarter.

Implement decision documentation using simple, consistent templates that capture essential information without creating excessive documentation burden. Integrate documentation into strategic planning and decision processes as standard practice rather than optional addition. Store documented decisions in accessible, searchable repositories rather than scattered files. Review documented decision records periodically to extract strategic learning.

According to research from McKinsey on decision-making, organizations that systematically document strategic decisions show 40% better decision quality, 50% faster adaptation when conditions change, and 45% stronger organizational learning compared to organizations without decision documentation discipline.

Tip 7: Build Strategic Communication Systems That Cascade and Reinforce Strategy

The final tip for creating great business strategy addresses a challenge that undermines many otherwise well-designed strategies: insufficient or inconsistent strategic communication. Organizations invest enormous effort developing strategy but often treat communication as an afterthought—a single announcement or presentation rather than an ongoing systematic process.

Effective strategic communication requires multi-channel, reinforcing systems that create shared strategic understanding throughout the organization. One-time announcements prove insufficient because people absorb information at different rates, require multiple exposures for retention, need opportunities for questions and dialogue, and benefit from hearing consistent messages through varied channels.

Design strategic communication as systematic cascades rather than single events. Create primary communication materials explaining strategy in accessible, compelling formats—visual presentations, narrative documents, video messages, Q&A resources. Cascade communication through organizational layers with each level adapting messages for their teams while maintaining core consistency. Reinforce strategic communication through multiple channels—all-hands meetings, team gatherings, written communications, visual displays, digital platforms.

Strategic communication should emphasize the "why" behind strategy as much as the "what." Help employees understand not just strategic directions but the market realities, competitive dynamics, customer insights, and organizational capabilities that shaped strategic choices. This contextual understanding enables employees to make strategically aligned decisions independently rather than requiring constant guidance.

Ongoing strategic communication maintains and reinforces initial understanding. Reference strategy regularly in organizational communications. Connect operational updates to strategic priorities they advance. Celebrate wins that demonstrate strategic progress. Address questions and concerns about strategic direction openly. This continuous communication keeps strategy in active organizational memory rather than fading into background.

Measure strategic communication effectiveness through assessing employee understanding of strategic priorities, ability to explain how their work advances strategy, consistency of strategic understanding across organizational levels, and voluntary references to strategy in organizational discussions and decisions. Weak performance on these measures indicates strategic communication gaps requiring attention.

Research from the Conference Board shows that organizations with systematic strategic communication programs achieve 80% higher employee strategic alignment, 60% stronger strategic focus, and 55% better strategy execution compared to organizations with ad hoc strategic communication. The performance advantage reflects shared strategic memory created through deliberate, reinforcing communication versus scattered, inconsistent messaging.

Conclusion: Strategy as Organizational Memory Work

Creating great business strategy requires thinking beyond strategic planning as an analytical and decision-making exercise to understanding it as organizational memory work. The strategies that drive sustained organizational performance aren't just well-conceived—they're designed from the outset with memory systems that ensure strategic insights become embedded in organizational knowledge, processes, and behaviors.

Build strategy on documented organizational history and learning rather than treating each planning cycle as a fresh start. Develop strategy collaboratively to create shared understanding distributed throughout the organization. Represent strategy visually to make it accessible and memorable. Embed strategy in operational systems where actual work happens. Establish systematic review rhythms that maintain strategic focus. Document strategic decisions and rationale to enable learning and adaptation. Build strategic communication systems that cascade and reinforce strategic understanding.

These seven practices transform strategy from aspirational documents that fade quickly to powerful organizational memory that actively shapes decisions, priorities, and behaviors over extended periods. The difference between forgotten strategies and strategies that drive results almost always traces to whether strategic thinking becomes institutionalized organizational memory versus remaining confined to strategic planning documents and executive leadership.

Your next strategy should be designed not just for analytical rigor but for organizational memory creation. The quality of strategic thinking matters, but the systematic embedding of strategic insights into organizational memory ultimately determines whether strategies drive results or gather digital dust.

About the Author

Stuart Leo

Stuart Leo

Stuart Leo founded Waymaker to solve a problem he kept seeing: businesses losing critical knowledge as they grow. He wrote Resolute to help leaders navigate change, lead with purpose, and build indestructible organizations. When he's not building software, he's enjoying the sand, surf, and open spaces of Australia.