Every year, organisations invest billions in strategy formulation. Leadership teams retreat, consultants synthesise, and polished presentations are delivered to boards. And yet, McKinsey's own research suggests that fewer than 30% of strategic initiatives deliver the value projected at inception. The slide deck was excellent. The execution was not.
The Knowing–Doing Gap
The challenge is rarely one of intelligence. Leadership teams generally know what needs to be done. The failure is almost always structural: strategy is formed by one group, communicated through another, and executed by a third — with decreasing specificity and ownership at each handoff point.
We call this the "last mile" problem. The strategy travels 90% of the way through the organisation with reasonable fidelity. It is the final 10% — where abstract objectives must become specific daily decisions — that destroys value.
Three Root Causes
- Ambiguity at the operating level. Strategic pillars like "accelerate digital capability" or "deepen customer relationships" rarely translate into actionable guidance for a department head managing quarterly targets.
- Misaligned incentives. Bonus structures, performance reviews, and budget cycles typically reward short-term operational metrics that may actively conflict with long-term strategic objectives.
- Insufficient middle management capability. Senior leaders set strategy. Frontline staff execute. Middle managers must do both simultaneously — and are rarely given adequate support for the translation role they play.
A Framework for the Final Mile
At Volume, we've developed what we term the "Strategic Activation Model" — a structured approach to translating board-level strategy into team-level operating rhythms. The model comprises three components: Decomposition (breaking strategic themes into specific, measurable outcomes by function), Alignment (linking those outcomes to existing performance management infrastructure), and Cadence (establishing review rhythms that create accountability without bureaucracy).
The Consultant's Responsibility
We should be candid: consulting firms bear partial responsibility for this problem. An engagement that concludes with a pristine strategy document and no implementation roadmap has delivered an incomplete service. At Volume, we do not consider our work complete until the client organisation can credibly articulate how the strategy will be executed at the team level. Anything short of this is strategy theatre.
Marcus Lim is Managing Partner at Volume. He has led over 60 strategy engagements across financial services, technology, and consumer sectors in Asia-Pacific.