Strategy vs. Leadership

Many product teams obsess over crafting the perfect strategy document. They spend countless hours wordsmithing detailed multi-year plans, fine-tuning OKRs, and building dashboards to track progress. But does all this effort actually lead to better outcomes?

I believe exceptional leadership matters far more than comprehensive strategy artefacts. I recently worked with a high-growth SaaS company that lacked traditional strategic planning documents. However, the CEO had a clear vision that he effectively rallied the team around. In every discussion, he conveyed where the business was heading, what customers needed, and how the product could evolve. He was consistent, gave the reasoning behind priorities, and talked convincingly about small details in context to big picture strategy.

Everyone I spoke with across many teams and roles shared this clarity of purpose. Remarkable, since there wasn't much in the way of strategy and roadmap. It was stable and coherent decisions and messaging from the CEO that gave the team confidence and calm. They knew exactly which initiatives mattered most and how their work laddered up to company goals. Despite the lack of a polished strategy deck, the team was aligned and executing with precision.

Conversely, I frequently see organisations with intricate strategic plans that fail to deliver results. Even with OKRs, dashboards, and regular reviews, misalignment and confusion fester without decisive leadership. No amount of process can compensate for poor or indecisive leadership. Leaders who frequently change their minds or shuffle goal priorities create chaos. The resulting whiplash leaves teams spinning as they scramble to rework plans and materials.

Why does leadership eclipse strategy? First, strategy is hypothetical while leadership is human. A strategy document makes assumptions about the future. A leader interprets real-time signals from the market and adjusts accordingly. Strategies become outdated quickly. Great leaders can sense the winds of change and rapidly orient the team.

Second, strategy is static while leadership is dynamic. A strategy sits on a shelf passively. Leaders actively rally people around a vision through their words and actions. Strategies can lack the energy to inspire teams. Great leaders transmit their passion and conviction daily.

Finally, strategy is a point-in-time plan while leadership evolves with changing contexts. A strategy represents a plan created at a given moment with then-current information. However, contexts inevitably change over time, rapidly rendering strategies outdated. Great leaders adapt priorities and details as new realities emerge, while also maintaining a stable and consistent direction, empowering teams with autonomy to achieve the desired outcomes. This adaptive approach keeps the team aligned, informed, and poised to deliver results in fluid conditions.

In today’s fast changing world, banking on a bulletproof strategy is futile. Crafting an airtight plan for an uncertain future is impossible. Rather than spending months wordsmithing a document destined to quickly become irrelevant, invest in developing exceptional leaders. A great leader with a loose grasp of strategic direction trumps an intricate strategy not reinforced by leadership.

So next time you find yourself wondering if poor performance is a strategy problem, consider whether leadership is the real culprit. Reflect on how leaders communicate context and priorities. Observe how leaders apply strategy to day-to-day decisions and actions. Look at how leaders align, motivate, and inspire their teams. A compelling strategy ultimately manifests itself through leadership. And no strategy document or process can compensate for deficient leadership.