New Delhi: Punditspeak: "What was `look, aim, shoot' in the old economy changed to `Look, shoot, aim' in the early phase of the Internet and has now morphed to `shoot, shoot, shoot'." What role, then, does strategy as a function play in an environment moving at the speed of light? Sara Vetteth, VP - Strategy and Principal Architect of ITSpace.com attempted to answer that question and more.Preface: "There are a lot of problems in identifying futures with a single path leading to it," Vetteth said, elucidating the different approaches to strategy.
The traditional approach, she drew out, was based on a binary approach - either or, which is now giving way to a second approach called alternate futures. Third, she said, there is range of futures, and fourth, ambiguous options where you cannot identify the options because you cannot see through the crystal ball like the ones being cracked at MIT media labs.
Given this confusing range of strategy-options, what are corporates doing?
Companies like Kodak and HP are shaping the future. Others like MSN are adapting to the future, while yet others like P&G have reserved the right to play.
Vetteth said Net strategists can be categorised into three types - those who focus on systems, on the future, and on behaviour and culture.
She drew parallels between martial arts like judo and sumo to expplain competitive strategy. The Judo strategy makes sense when you are tackling a big opponent; you use rapid movements and flexibility to floor him. The Sumo strategy - structured on brute force - may not be the best for a newcomer confronted with an opponent with deeper pockets who will eventually win.
Example: Netscape versus Microsoft.
Vetteth's tips:
Put in place a durable product development strategy. "(Old) product development strategies don't help firms deliver innovative products at Net speed. They must adopt a continuous product development (strategy)",> Actively monitor and manage strategy.Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.