10% increase in sales, unchanged prices, 29% increase in sales productivity and a complete new set up for Strategy Execution
”The past has been great for ICM, but I think we can do even better”; CEO Jan Selchau. More growth was wanted and a new strategy with a number of Must-Win Battles was decide.
This case is about how ICM successfully executed their new Strategy, and how they builded up a new set-up for more systematic process for Strategy Execution.
Before: |
After: |
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The Strategy was primary made by the board alone. |
The Strategy is developed as a part of the yearly strategy cycle involving all management levels. |
| Traditional central controlled budget process – top down. | An engaging process, RACE®, for setting up Result targets and Activity targets and Execution Plans for departments, processes, teams and individuals are made. Following up on budgets has been abolished. |
| We are heroes if we achieve our sales budgets. | Leaders and employees have developed the courage to set up higher goals. Focus now is on personal ambitions, self-confidence, courage and interpersonal skills/corporation to succeed. The Execution Leadership. |
| Responsibility for the achieving targets are placed at the owner and board members. | Middle managers and employees are accountable for achieving own goal. The responsibility has become much more clear and the ability to delegate has increased overall in the organization. |
| The company is primary managed by looking at lack indicators | A new Microsoft Power BI Dash board, showing lead- and lack indicators, with clear lines from the strategy down to each activity. The speed for correction and execution has increased dramatically. |
”As a company owner, you love to be involved in everything, and you feel like an indispensable asset for the company and the organization. But as an owner, you first have a solid ground for growth when the desire for more, is driven by the organization and not by the owner. With the introduction of RACE, we managed to get people to set and visualize their own goals, after which we have found a management form where we can constantly monitor whether the development is achieved. It helps to divide responsibility for growth across all departments, and it maintains momentum and gives us a faster opportunity to respond to negative and positive trends. We’ve become much better at addressing and managing your own mistakes and missing and eliminating things that do not give value to our customers..”
JAN selchau
CEO and founder
