Generating strategic thinking through multi-level teams

Cross-functional strategic planning teams, made up of the CEO and his executive staff, have been common industry practice for several years. General disappointment with this approach has also pevailed. This is because strategic thinking and operational thinking are not synonymous. Attainment of a high managerial position is evidence of a possession of operational and not strategic thinking skills. The inter-functional/ multilevel planning (IMP) approach solves the deficiencies of the traditional cross-functional planning team by (1) providing a paradigm for identifying the firm's best strategic thinkers, (2) appointing them to the strategic planning group regardless of their functional speciality or level in the management hierarchy, (3) describing the planning groups relationship to the CEO's executive staff, and (4) describing the planning groups relationship to the organization. The IMP approach also contains provision for the continuation of the high level strategic thinking capability in the firm by identifying those managers with latent strategic thinking capability and exposing them to opportunities that will foster its development through the use of an incubator group. The major hurdles to be encountered in using the non-traditional IMP approach are identified and proven solutions are suggested and illustrated with three case examples. The IMP approach has been successfully implemented in recent years in several firms ranging from $50–$800m.