Management Tip of the Day: Create a simple strategic principle

Thu Sep 23, 2010 10:00am EDT
 
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BOSTON (Reuters) - The Management Tip of the Day offers quick, practical management tips and ideas from Harvard Business Review and HBR.org (www.hbr.org). Any opinions expressed are not endorsed by Reuters.

"Helping employees understand a strategy while simultaneously motivating them to achieve it is a dire challenge for many leaders. Creating and sticking to a pithy, memorable, action-oriented phrase can help. When designed and executed well, a strategic principle gives employees clear direction while inspiring them to be flexible and take risks. A powerful strategic principle forces trade-offs between competing resources and provides a litmus test for decisions. When faced with a choice, an employee should be able to test her options against the strategic principle to make a decision that aligns with the company's objectives."

- Today's Management Tip was adapted from HBR's 10 Must Reads on Strategy, one of six HBR article collections in the popular 10 Must Reads series.

 
<p>A man walks inside the Athens' stock exchange in Athens April 28, 2010. REUTERS/Yiorgos Karahalis</p>