Our world is changing faster than ever and with those changes, we need to learn to adapt quickly and intelligently. Scenario planning 2.0, as my colleague Fran Cherny describes it in his recent webinar, is all about how fast we can read, listen, and integrate new information and adjust our plans quickly. But what exactly is the role of scenario planning 2.0 in execution excellence?
The role of scenario planning 2.0 in execution excellence
Ongoing reviews and adjustments are an essential part of execution and that’s where applying scenario planning 2.0 is most effective. To do so, we must first slow down enough to be able to smoothly read, listen, and integrate new information. Only then will we able to rapidly respond and adjust execution moving forward.
Traditional scenario planning is a crucial part of strategy and business planning. It helps us consider different options and possibilities, depending on the marketplace’s current situation. Traditional scenario planning is part of good business planning; key to a company’s plan to operationalize its strategy. However, scenario planning 2.0 is different. Learning how to implement it is an important skill that any great leader needs to practice in the pursuit of execution excellence during times of fast change and uncertainly.
Axialent’s approach to execution includes developing an execution infrastructure, as well as managing the ongoing implementation of work. Part five of the model below shows how execution is managed in an organization. It is during these implementation cycles that scenario planning 2.0 will have the greatest impact. Organizations must have meetings to discuss how to manage new information and make decisions with regards to what processes, mindsets, and behaviors need to change. Once these decisions have been made, leaders can adjust the areas of their execution plan that require attention and continue to review and improve them throughout the cycles. Here is a model that illustrates our approach:
The impact of new information
Reading, listening, and integrating new information as it arises can impact aspects of a business’s execution infrastructure. Most importantly, integrating new information can change in people’s mindsets and behaviors, and the processes that support collaboration. The two essential aspects of execution infrastructure that are most affected by these changes are people and process (seen in the model above). Making adjustments in response to these changes does not require stopping execution implementation. Instead, it highlights the areas that will most be impacted by new information, (i.e. people, process, and direction).
CONCLUSION
The role of scenario planning 2.0 in execution excellence is an important one. Although traditional scenario planning has been a core part of strategy and business planning, in the current conditions, scenario planning 2.0 is core to execution. By leveraging this practice and the components of execution infrastructure, we can quickly make adjustments to processes, mindsets, and behaviors. This, in turn, builds capability as business moves forward and makes directional changes.
To learn more about scenario planning 2.0 and how to run this powerful exercise with your team, watch the recording of Axialent’s live webinar or click here to speak with one of our representatives to learn more about our Execution Excellence offering.