Organizational health ‘requires alignment’ around a clear strategy


The key to organizational health is the ability to align around a clear strategy, execute it with flair and have the flexibility to renew focus over time.

According to McKinsey & Company, organizational health is defined as a company’s skill at delivering superior financial and operating performance over a sustained period of time.

The consultancy claims ‘healthy’ businesses secure total returns to shareholders three times higher than poorly performing rivals. But what can companies do to achieve these gains and move their operations towards bigger, better outcomes?

“Once a company has identified the most appropriate organizational recipe for the chosen strategy, it should align the organization as far as possible with that mix of practices,” McKinsey stated earlier this month.

“If its most important day-to-day practices do not support its strategy, or are not consistent with the direction communicated by its leadership, the misalignment can often undermine both overall performance and health.”

Clearly, proper alignment and an accurate communication of vision are vital elements in achieving strategic planning aims.

This is where StrategyBlocks can help. As a cloud-based business strategy software, it offers a compact and highly visual platform for more effective strategic management. Using simple, yet sophisticated strategy mapping, software can bring your corporate vision to life and communicate it to employees.

Not only this, StrategyBlocks is a dynamic system that ensures your strategy can adapt to changing market conditions and internal restructuring. Monitoring and measuring tools also help to track performance and make adjustments where necessary.

These features can all help a business to improve its organizational health – a factor McKinsey & Company described as imperative in a rapidly evolving economic landscape.

“Building organizational health can be a powerful lever for improving the long-term performance of companies,” the firm stated.

“Successful companies match their organizations to their aspirations.”