CHAPTER 4 Strategic Proficiency

Investors Want Leaders Who Know Where They Are Going

Investors look at past performance, but what they’re investing in is the future. So they look for leaders who have a capacity to create the future: leaders who focus forward rather than backward, who seem to see around corners rather than allowing themselves to be cornered in a present position, who can turn a compelling vision into committed actions, and who engage others in folding the future into the present. Figure 4.1 illustrates the six basic elements that go into the development of strategic proficiency.

These six elements echo the work of many of the most prominent thinkers and framers of strategy discussions. Although these thought leaders use different terms, they basically propose similar components for strategic proficiency. Table 4.1 synthesizes current strategic work in the field that adds up to an overall strategic approach. The remainder of the chapter reviews these elements, with indicators that investors can track to assess the leaders' strategic proficiency.