The Strategic CEO – What is the right ratio of strategic versus operation activity for a CEO?

 

 

The CEO Strategic Ratio – 75/25%

 

 

If you as the CEO or your organization’s CEO is not spending 75% of the time in strategic activity, you should be. As a results you and/or they are potentially not focused on the right activities (this is true over the long term and does not apply to start up organizations and/or organizations having to deal with short term business needs that require all hands on deck).

The reason this is stated as strongly is because if the leader is not spending the time in strategic activity to this magnitude the organization’s long term success, growth, innovation, and evolution is at risk. If he or she is not doing this and everyone recognizes the need to be strategic and evolve, then who is? Exactly, no one is and the organization is therefore in serious long term jeopardy.

Do the math in terms of time required to do these strategic activities and do them well and you quickly come to base level of 75%.

There is also a trickle down impact too that impact the organization’s ability to get things done, done by the right people at the right time, and to also participate to the level they should in the similar strategic activities. If the CEO is not at the correct level and balance others at all levels will likely be off their marks as well.

In the end, the importance of having clear and defined strategic activities not just at the CEO level will make all the difference to long term organizational success. The day-to-day business life is a tough one and it is easy to fall into the “get it done” day-to-day business and not take the time to think ahead and plan for the future al a number of fronts.

The strategic activity is job number one for the CEO. It is the most important activity he or she must undertake to be useful and doing his or her job for the organization. All to often the leaders of an organization has risen through the ranks of an organization because of his or her expertise and ability to get things done. They often know specific aspects about the work better then others and it can become easy and in the short term what an organizations needs to achieve short-term success. The problem often becomes one of transition for the CEO and a feeling of not contributing to the same degree they once did. Wrong thinking! The CEO must be doing at least 75% of his or her activity in specific strategic activities.

You ask what are examples of CEO strategic activity? These are actually really well defined and every CEO should be doing all these activities on a regular basis:

     - Strategic Vision & Organizational Direction

     - Regular Communication with the organization

     - Strategic Planning Session

     - Surgical Networking

     - Key Customer Relationship Management

     - Personal Development

     - Coaching, advising, and mentoring of key individuals in the organization

     - Succession Planning

     - Innovation & R&D – Products and Services

     - Organizational, Structure, & Process Evolution

Doing these activities on a regular basis is a full time job for any CEO.

 

 

One Comment

  1. Heather says:

    “The Strategic CEO – What is the right ratio of strategic
    versus operation activity for a CEO? | Stryder Performance Management Inc.
    ” was a very good posting. However, if it possessed a lot more
    images this would likely be quite possibly more effective.
    Thank u -Cerys

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