Strategy Tools for a Shifting Landscape

It's time to reinvent the way companies develop strategy. Traditional strategy frameworks operate under the assumption that industries have distinct boundaries and that companies know who their rivals, customers, and suppliers are. Moreover, those frameworks create categories and visual representations that are static, using, for instance, maps and comparative value curves. Today, as the competitive landscape is continually redrawn and most industries are in a constant state of flux, the existing strategy tools do not offer much help. Instead of using maps, graphs, and numbers, executives should use words to write a playscript: a narrative that sets out the cast of characters in a sector, the way in which they are connected, the rules they observe, the plots in which they play a part, and how they create and capture value as the sector changes. Playscripts force companies to focus on the causes of change, and they allow companies continually to assess the relevance of their strategies. They also acknowledge that strategy could involve changing a company's links to other players. Companies can follow a three-step process to reinvent their strategies using playscripts. Step 1: Write the current playscripts for your company and your sector. Step 2: Rewrite your company's playscript and perhaps the playscript for the entire sector, focusing on how you could change the way value is created and which elements of the plot you could influence. Step 3: Future-proof your playscript by considering how customers' needs are evolving and building relationships that can reinforce your position.

• Strategic alliances
• Strategy formulation
• Industry analysis
• Competitive strategy
• Strategy management