Three department heads, Three strategies
You have a corporate strategy. It was developed in an offsite, approved by the board, presented in a town hall. There is a strategy paper, perhaps even a roadmap. Everything documented, everything communicated. And then you ask three department heads what the strategy specifically means for their area. You get three different answers. None of them is wrong. But none of them is the same.
Strategy rarely fails in formulation. It fails in translation. Those who are unable to make the corporate strategy concrete for their area create disorientation, even when the strategy itself is sound.
A managing director I advised had his five division heads independently write down the three most important strategic priorities for their area after a strategy presentation. The result: fifteen different priorities, only two of which overlapped. The strategy was clearly formulated. But it had never been translated, and each division head had derived their own version, filtered through their projects, their resources, their perspective.
This is not a communication problem. This is a translation problem. The strategy exists at the management level as a clear picture. But on its way through the organization, this picture becomes blurrier with each level it passes through. Not because people are not listening, but because a strategy only takes effect when it is translated into concrete action. And no one performs this translation automatically. Three levers make the difference.
Lever 1: Understand It Yourself Before Passing It On
The most common reason managers do not translate is as simple as it is uncomfortable: they do not fully understand the strategy themselves. A town hall presentation with thirty slides is not enough to penetrate a strategy deeply enough to make it concrete for one’s own area. And because asking questions is seen as weakness, few do it. There is also no time, because strategic translation is intellectual work that competes with daily operations. And it is often not even expected: management formulates, communicates, and assumes the rest will follow.
Henry Mintzberg, one of the most influential strategy researchers, distinguishes between intended strategy and realized strategy. In between lies what he calls “emergent strategy”: what actually happens when strategy meets the reality of the organization. The gap between intended and realized is the space in which managers must translate, or in which strategy is lost.
Take time to truly penetrate the strategy. What exactly does “growth in area X” mean? What assumptions underlie it? If you do not understand something, ask. This is not weakness, this is your duty. Then break it down for your area: which projects gain importance, which lose it? What competencies are needed? And translate into your team’s language. Instead of “We are focusing on profitable growth,” say: “This means for us that we prioritize Project A, put Project B on hold, and build three new capabilities over the next six months.”
Lever 2: Make Four Dimensions Visible
Strategic clarity manifests in four dimensions, and each is a distinct translation task.
Direction: Can your employees describe in their own words where the area should develop? Not repeat the formulation from the strategy presentation, but explain in their own language what the goal is. Priorities: Do your employees know which projects take precedence and which can wait, not because you tell them daily, but because they understand the logic behind it and can derive it themselves? Boundaries: What an organization deliberately does not do is strategically as important as what it does. If your employees do not know which projects or markets are not being pursued, they invest energy in strategically irrelevant matters. And Context: Why are we investing here and not there? Those who understand the context make better decisions in daily work because they do not have to escalate every individual question upward.
| Dimension | Test Question | Warning Signal |
|---|---|---|
| Direction | Can your employees describe the goal in their own words? | They quote the strategy slide but cannot explain it |
| Priorities | Do they know what to leave out? | Everything is equally important, no one dares to stop |
| Boundaries | Is it clear what you deliberately do not do? | Projects without strategic relevance tie up resources |
| Context | Do they understand the why? | Decisions are escalated instead of made independently |
A division head I accompanied during the strategic realignment of her division used these four dimensions as a structure for a team meeting. Instead of presenting the strategy, she asked four questions: “Where do we want to go? What takes priority? What do we deliberately leave out? And why?” The discussion lasted two hours, and at the end her team had for the first time a shared picture that went beyond the strategy slide.
Lever 3: Reflect Upward What Does Not Fit
Translation is not a one-way street. If you find during implementation that the strategy fails against reality because resources are lacking, goals contradict each other, or timeframes are unrealistic, then it is your duty to communicate this upward. Blind obedience is not strategic clarity.
Management makes three typical mistakes here. First, it confuses communication with translation: a town hall is a communication tool, not a translation tool. Second, it does not plan time for follow-up questions: if division heads cannot ask, discuss, and question in peace, they will interpret instead of translate. Third, it assumes understanding follows automatically: what seems obvious at the management level is anything but obvious at the next level, because the context, discussions, and considerations are missing.
The most cynical but most common reason for failed translation lies in incentives. If the new strategy demands innovation and calculated risk, but the manager’s bonus depends exclusively on short-term cost reduction, they will not translate the strategy. They will ignore it, and from their perspective that is rational. As long as the reward system defends the old world, the new strategy remains lip service. If no one aligns the lived culture with the proclaimed strategy, culture will always win.
Create space for questions, and make strategic alignment a regular part of your leadership work, not an annual event. Strategies change, markets change. The translation that was correct six months ago may be outdated today.
Reality Check
First: Can you explain in three sentences what the corporate strategy specifically means for your area? If you need to think for more than ten seconds, you lack the translation.
Second: Ask two of your employees this week which three projects are strategically most important. If their answers do not match, you know where you need to start.
Third: Check whether your current reward system promotes the behavior the new strategy demands. If your bonus is tied to the old goals, you have not only a translation problem but an alignment problem.
The Uncomfortable Truth
Most strategies do not fail because they are wrong. They fail because they never arrive where they need to take effect: with the people who implement them.
Strategic clarity is not a one-time presentation. It is a daily leadership performance. If no one knows where to go, everyone goes in their own direction. The responsibility for this lies with you.
Further Insights
Twenty priorities are none – Strategy without prioritization is a wish list that overloads the team.
Managers lead – Alignment without uniformity: How to ensure your management level means the same strategy.
All Insights can be found in the overview.