René Otto, who launched insurer MiWay in 2008 at the behest of Sanlam, Santam and PSG, says that while it is important that businesses have a strategy – so they know where they are going and what they are doing – it is more important that they are able to execute their strategies if they want to succeed.
Strategy is not unimportant, but more time and energy should be spent on execution than on strategic planning.”
“All successful businesses have found solutions to difficult problems and have developed the ability to execute them well. A great strategy that is poorly executed will lead to poor results. However, a mediocre strategy that is well executed will lead to decent results. Of course, a great strategy that is well executed will lead to exceptional results. Therefore, the goal should always be to master both strategy and execution,” he says.
Otto continues, “Execution depends on people, and culture is about the way people do things. A strong corporate culture, based on core values, creates the framework for discipline, focus and ethical behaviour – which in turn leads to good execution of strategies.”
Otto’s provides five tips for entrepreneurs:
“South Africa has identified entrepreneurship as the solution to the triple threat of poverty, unemployment and inequality with which we are grappling. Unfortunately, too many small businesses in this country fail or fail to grow. I hope that this advice during Global Entrepreneurship Week will help entrepreneurs to not only survive but thrive,” concludes Otto.