During a recent strategic planning workshop I facilitated, a participant raised an interesting question that almost turned the whole process upside down viz “what is the end goal of implementing all these initiatives?” He then proceeded to ask “what if members, regulators and all these external stakeholders do not respond positively to the suggested interventions?”
These questions led to deep reflections about the purpose of the strategic planning process. Though there were several suggestions, we all agreed that any strategy not aimed at influencing the external environment may be worthless. Participants agreed that the main focus of the strategy should be to influence issues such as regulations, client behavior, public perception and competition dynamics amongst other factors that are outside the control of the organization.
An example about Safaricom’s MPESA was used an illustration. Participants agreed that Safaricom’s strategy was not just about managing internal operations to launch a product; it was about influencing the broader ecosystem. By collaborating with regulators, banks, and micro-enterprises, Safaricom redefined financial inclusion in Kenya. It turned a potentially uncontrollable variable — low banking penetration and trust in formal finance — into a strategic advantage. The company influenced user habits, changed how transactions are conducted, and set new regulatory precedents.
The conclusion from the discussion was that strategy, at its core, should not merely be a blueprint of internal actions but a deliberate and dynamic effort to shape, adapt to, and influence the external environment in which an organization operates. While internal capabilities such as human resources, financial strength, and operational efficiency are essential, they do not exist in a vacuum. A truly effective strategy recognizes that an organization’s long-term success hinges on its ability to proactively engage with and influence variables outside its immediate control. The foregoing is important since most organizations face macroeconomic volatility, regulatory changes, shifting consumer behaviors, and technological disruptions which constantly redefine the competitive landscape.
We therefore agreed that for the strategies being developed to be effective, the organization should not just thin about optimizing what it can organization can control – finances, employees, processes etc. It must envision about how it could shape the external environment, influence stakeholders, create new possibilities, and mitigate risks that arise from external forces. We also agreed that in the current fast-changing economic and political landscape, organizations that limit their strategies to internal controls risk stagnation. Those that actively engage and influence the variables outside their immediate control position themselves for resilience, relevance, and growth.
Dr. Weru Mwangi is the CEO & Lead Consultant at Ultimate Management Solutions, a firm specializing in Training and Consulting in Finance, Risk Management, Strategy, Governance and Leadership Development. He can be contacted on werum@umslgroup.com or +254 788 858570, 722 858570.
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