5 tips on how to be more strategic at work
Strategic thinking is not limited to boardrooms or planning sessions. Instead, it should be applied by everyone at every level of the organization. And yet, what is it exactly, and how to find, exercise, and leverage this “muscle” within you?
Strategic thinking is an informed choice between various paths and options, based on an analysis of your context and resources. It is about being deliberate and thoughtful in your actions.
Here are five tips to help you get more strategic in your work.
Tip #1: Break Down Problems
Facing a daunting challenge? Break it into smaller, digestible pieces, such that the smaller puzzle pieces or buckets are collectively exhaustive and can be tackled individually. Let’s say your organization is facing declining profits. Logically, you’ll need to check if it’s because of declining revenues and/or increasing costs. If revenues are down, consider whether it's an internal issue or a market problem. If it’s an internal issue, analyze your product-market fit, pricing, and business development efforts to pinpoint the root causes. If costs are up, you can audit your cost structure and check benchmarks for optimization opportunities.
Tip #2: Think Like a Scientist: The Hypothesis-Driven Approach
Once you’ve “atomized” your problem, resist the urge to examine all puzzle pieces - there’s simply not enough time and resources. Instead, use your intuition to make educated guesses about where the issue might lie, and then put those guesses to the test. If you're on the mark, you've identified at least part of the problem and can begin to address it. If not, regroup and hypothesize again. This iterative approach conserves resources while leading you to the solution. For instance, if you suspect “a competitor is winning over your customers with lower prices,” verify this by reviewing your churn rates and talking directly to customers for insights. After some investigation, you may find out it’s not about the price but about a new feature they’re offering.
Tip #3: Generate Strategic Options
Building on our previous example, when a new competitor's feature starts to chip away at your market share, take a moment to thoughtfully assess the landscape. Don't just react by defaulting to the most obvious action; instead, aim to understand the shift in customer behavior. Who's drawn to the competitor, and who's loyal to you? Use these insights to craft strategic responses that don't just copy the competitor or slash prices. Look into refining your product with feedback from loyal customers, ramp up revenue from them, elevate your customer service, introduce varied product tiers, adjust pricing, or run campaigns that spotlight your product's unique strengths. You might also consider partnerships to match the competitor's offerings more quickly. Create a list of options before committing to any path forward and weigh them against your specific challenges to determine the most effective option.
Tip #4. Always Connect to the Purpose
After choosing a strategy, create a to-do list that's both clear and actionable. But be cautious—don't let yourself or your team fall into the trap of ticking off tasks just for the sake of completion. Regularly review your list and question the purpose behind each task: "Why is this necessary?" Be aware that some tasks may lose their relevance as circumstances change and new insights are gained. It's crucial to ensure that every action you take serves the larger goal even if it means giving up on the satisfaction of ticking the tasks off your to-do list (we too know that feeling too well).
Tip #5. Make the Best Use of Limited Resources
As you tackle your to-do list, watch out for tasks that are particularly draining. These are often the ones that fill you with dread. Take benchmarking your product's pricing, for example. Instead of the laborious process of manually gathering data from online marketplaces and competitors’ websites, consider more efficient methods like automation or no-code web scraping tools. These alternatives can drastically cut down on the time spent and reduce your workload. Strategic thinking involves smart resource management—optimizing the use of your time and money. Hence, turn the dread into asking yourself: "How can I streamline these labor-intensive tasks?"
Incorporate these five strategic thinking tips into your workflow, and you'll notice a significant shift in how you handle complex issues—problems will seem more tractable, and less daunting, and your choices will become more impactful. We hope this approach will refine your decision-making skills, leading to more effective and strategic outcomes in your work.