Does anybody really know what strategy means anymore?

A trusted colleague shared something with me recently that made me pause when he suggested that the term ‘strategy’ has become meaningless.

As one who essentially makes their living discussing strategy with business leaders my initial response (that I kept to myself) was to mentally process all sorts of push-back arguments (and a few sarcastic responses) I could use to prove he was wrong.

But then I realized that the assertion is in fact correct, and that the same thing could be said of many other words and phrases—the kinds of things that are given the label ‘buzz words.’

Here’s the reason for my change of heart.

Words have meaning only to the degree that it is shared and therefore the same to everyone who uses the word. In that context strategy (and a host of other words) have indeed become meaningless as a result of overuse, particularly in ways that deviate from the original intent.

It reminds me of a debate that I heard a lot in the early nineties when I directed an entrepreneurship program in the academic world. At that time it seemed that every college, large or small, public or private, state or community was launching some sort of initiative that carried the label entrepreneurship.

But if you dug deeper you quickly learned that many of these programs were actually small business programs focused much more on the day-to-day management of small businesses than on entrepreneurship in the true spirit of the word.

Countless other examples could be shared, but the point is clear—words can quickly lose their meaning when they are applied in different contexts by well-intentioned people.

It’s a logical outcome. When we communicate we seek to find common ground as quickly as possible—often reducing our communications to a small group of words and phrases we think we all understand that reduce the details that provide the meaning to tag lines, acronyms, and buzzwords.

So what’s the problem?

As with many things the problem is the assumption that underlies the behavior—that the listener understands and uses the words and phrases in the same context as the speaker. Perhaps more important, we assume that if the listener doesn’t understand they will speak up and make it known by seeking clarification.

But that seldom happens.

Everyone thinks everyone else understands and it becomes a bit like the story of the tale of The Emperors New Clothes—no one wants to announce that they don’t understand, no one wants to invest the time to clarify, and everyone assumes that it will all become clear in the future.

So what is the solution?

Step one is to recognize that shorthand is not always (if ever) sufficient to create genuine shared understanding. Often words and phrases everyone believes are well defined are not. It is worth investing the time to clarify their meaning in the context that the team will be using them to guide their discussions and actions.

Step two is to stop assuming that everyone knows what is meant by a word or phrase just because it is being widely used—widespread use (overuse?) is the reason words and phrases become meaningless (and are justifiably called buzz words). The leaders (and followers) responsibility is to confirm understanding and align actions with the intent communicated by the words.

Step three is to become an observer of the use of shorthand in the conversations you engage in with colleagues, clients, suppliers, and customers. Recognize that marketing and overuse have convoluted the original meanings of many words and phrases that we hear everyday and strive for clarity in your communication (even if it means creating your own definition for your team).

Step four (perhaps the most important step) is to make sure your actions reinforce your words. For example, if you say you empower your employees, make sure they are actually being empowered to take action and work to remove obstacles that keep them from acting in an empowered manner.

Step five is to be careful in using words and phrases that have become so popular that their meaning has been diluted. Engage your team in confirming shared understanding, choose your words carefully and take the time to explain context and meaning, and ask the questions that aren’t being asked because everyone assumes everyone else knows.

But what about strategy—has the word in fact become meaningless?

From my perspective the answer is a resounding “No.”

Despite the common (mis)use of the word to describe tactical initiatives and the frequent assertions that things change too quickly for strategy to make sense anymore, the term remains mission critical to credit unions (and every other business).  Strategy defines the destination where you are leading your credit union and sets out the parameters for decision-making in every area of the business. Without clarity about the destination the journey will be more challenging, the results less relevant, and the future more uncertain.