This Is Why You’re Stuck and Your Strategy Is Broken
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Are you feeling stuck in your business? Struggling to see the results you want, no matter how much effort you put in? I’ve got news for you—it might not be as complicated as you think.
The key to breaking free from this frustration boils down to one thing: focus. Sounds simple, right? But let me explain.
The Number One Problem: Ignoring the Constraint
Every business has a constraint, or what I like to call a strategic problem. This is the main thing that’s holding you back. Your company will only grow up to the point where this constraint allows it, and if you don’t solve it, you’ll stay stuck.
Here’s where most leaders go wrong—they either fail to recognize the constraint, or they get distracted by smaller, less impactful issues. Instead of tackling the real problem, they focus on surface-level tasks that don’t move the needle.
When I work with CEOs and leadership teams, we dive deep into both their strategy and financials. Every time we start turning a business around, the first thing we do is identify the constraint. That’s the game-changer. Once we solve that, growth follows.
Step One: Focus on Your Biggest Constraint
So how do you start? Identify the constraint. Ask yourself: What’s the one thing stopping us from growing? It could be a broken process, a bottleneck in operations, or a lack of resources. Once you find it, make it your mission to solve it.
But here’s the kicker—even after identifying the constraint, you have to constantly reassess it. Things change. New challenges pop up. And if you're not paying attention, you could get stuck again.
Step Two: Prioritize Initiatives That Matter
Once you’ve nailed down the constraint, the next step is to make sure your initiatives are aligned with solving that problem. I use a simple framework at Coltivar called IAR: Initiatives, Actions, and Results.
Your initiatives should directly address your strategic problem. If they don’t, get rid of them or modify them. You don’t need 10 initiatives—honestly, that’s way too much. Focus on just three to five, max. Fewer initiatives with a clear direction will always outperform a laundry list of projects.
Step Three: Align Your Actions with Your Initiatives
Here’s where a lot of companies drop the ball. They’ve identified their strategic problem and set up initiatives, but their actions don’t align. They’re off doing things that, while nice to have, don’t address the main issue.
For example, say your biggest constraint is lead generation, and one of your initiatives is to ramp up your marketing efforts. Great, but then you look at your actions and see your team working on a new bonus structure, updating the website, or conducting customer surveys. None of these solve your lead problem.
As a leader, it’s your job to make sure your team’s actions are laser-focused on solving the constraint. If they aren’t, cut them. Focus your time, money, and resources on actions that directly tackle the core issue.
The Power of Focus
Here’s the secret to business success: focus on one constraint at a time, solve it, and then move on to the next. Keep doing this, and your business will grow.
This approach works—trust me. I've seen it over and over again with the businesses I work with. The companies that succeed are the ones that stay focused on their most important challenges and allocate resources to solving them.
Uncover new opportunities and unlock hidden value with Coltivar: Your strategic partner for financial guidance.
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