Strategy Execution Life Cycle – Partial life cycle from documentation through to Board endorsement and approval.
Background context – A small gas Division within a large public utility was seeking Board endorsement and approval to make material investments ($100m+) and enter into long term (+15 year) agreements with suppliers and customers to exploit growth opportunities in rapidly changing energy markets. The Division had given much thought to the elements of a long term strategy but needed support to articulate the strategy, key milestones, and actions to execute against it. The level of understanding of the business dynamics and industry challenges and opportunities was low outside of the Division and amongst key decision stakeholders.
Strategic Challenge – To document and secure Board endorsement and approval for a 10+ year gas strategy.
Strategic Activities – Multiple stakeholder workshops were facilitated with internal and external experts from the gas Division and from within the broader gas industry to assess key elements of the external and internal environments. Key elements of a long term strategy were identified. Strategic actions were then grouped, ordered and prioritised based on the interrelationships between internal and external factors to achieve clarity of purpose within three growth horizons. Identification of key decision points and requirements for capability building to deliver the strategy were identified as part of strategy execution planning.
Outcomes – The gas strategy was documented in a concise Board paper that was presented and endorsed by the Board.