Why do we need strategy, I wonder? In my list of the most abused business words, STRATEGY is at the very top, it’s the “Shame Spot”. I have written about strategy before with the perspective of what it means, may be that will lead me to my answers?
In my quest I found three leads:
- Data & Information
- Hedging & Speculation
- Hypothesizing results
People often confuse data with analytics and analytics with insights and insights with strategy. I believe in the real world data translates to information, information to knowledge. Our data systems only capture limited elements of data not just about events and their performance but all the ancillary things connected and disconnected that may or may not have affect the outcome.
From the point in time we start school to the point we retire we hedge! There is not guarantee that you will score an 'A' in a course and likewise no guarantee that we will have enough saved for a stable, relaxing retirement. We set ourselves to an unstated (but understood) mission of meeting our goals successfully. We make puts and calls on the options that lie ahead of us, pace ourselves, change directions until we get to our set destination or close to the goal.
Hedging and Speculation only works if you know what to expect? The goal therefore is just a hypothesis from making the puts and calls.
So there we go… I believe collectively they create the need for strategy?