3 Must-Know Fundamentals for Smarter Business Strategies

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Running a business in today’s complex world is no easy feat. Even with a mission, vision, and values firmly in place, many companies struggle to find their footing because they miss one critical step: clearly defining the strategic problem they need to solve. Without this clarity, even the most ambitious organizations risk scattering their efforts and failing to move the needle.

This is where business strategy comes in. At Coltivar, we help companies create profitable, iconic businesses by applying proven principles gained from scaling and turning around million- and billion-dollar companies. Strategy is more than a buzzword or a one-time event—it’s an ongoing process. And if you’re ready to get it right, here are three fundamental lessons to transform your business and maximize its value.

1. Strategy Is Never Done

Too often, businesses approach strategy as a box to check. They gather their teams for a day-long retreat, conduct a SWOT analysis, generate a list of tasks, and call it their strategic plan. But this approach is flawed.

A plan, no matter how well-intentioned, is not the same as a strategy.

True strategy is a system—a dynamic process for making interconnected decisions that guide where to focus attention and resources. It’s never “done.” Instead, the best companies treat strategy as a continuous effort to identify and solve constraints that hinder growth.

When I work with CEOs, I emphasize this mindset shift. They often ask, “How long until we’re done with strategy?” My answer is always the same: “We’re never done.”

The good news? By building a system, you can stay laser-focused on what matters most and continually drive value.

2. Strategy + Finance: The Ultimate Power Couple

To maximize value, strategy and finance must work hand-in-hand. Unfortunately, too many organizations treat them as separate entities.

• On one side, you have strategy experts crafting lofty visions and ambitious growth plans that often lack financial grounding.

• On the other side, finance teams churn out models and projections detached from the company’s strategic goals.

Neither approach works on its own.

For example, during my time as CFO of a large solar company, we faced a massive revenue hit when U.S. tariffs on solar panels disrupted the market. Faced with this challenge, we didn’t just brainstorm solutions—we evaluated our strategic options through a financial lens.

We modeled different scenarios: joint ventures, vertical integration, and international expansion. For each, we analyzed cash requirements and potential returns. Ultimately, we chose to expand into Australia, securing over $300 million in work within our first year.

This is the essence of strategic financial leadership—connecting your strategic goals with financial reality to ensure decisions are both ambitious and feasible.

3. Strategy Is About Solving the Right Problem

If I could go back and tell my younger self one thing about strategy, it would be this: strategy is all about focus.

In today’s fast-paced world, there are countless opportunities and distractions. The companies that thrive aren’t those chasing every possibility—they’re the ones that identify their biggest constraint and channel all their resources into solving it.

At Coltivar, we call this the strategic problem. It’s the primary obstacle preventing your company from growing or achieving its purpose.

Here’s why this matters:

• Without defining your strategic problem, you’ll waste time, energy, and resources solving issues that don’t move the needle.

• Once you identify the constraint, align your initiatives, actions, and results (I call this the IAR framework) to address it.

By solving your biggest constraint, you can unlock significant value for your business. And when the next constraint emerges, you’ll already have a system in place to focus on what matters most.

Execution Is Everything

Getting strategy right is challenging, but it’s also transformative.

By treating strategy as a continuous process, bridging it with finance, and focusing on solving the right problem, you can unlock tremendous value in your organization. Avoid the temptation to tackle everything at once—concentrate on the strategic problem, and let that focus guide your actions.

Remember, strategy is not a one-time effort; it’s a way of thinking. Build the system, focus your resources, and watch your company achieve new heights.