Abandon Bad Strategies
We find that some owners and managers stay with a bad strategic decision too long because they are 1) stubborn, 2) arrogant or 3) don't know better. Being stubborn or letting an ego drive decisions are not acceptable reasons for staying too long with a strategic direction. No knowing better speaks to the ability of the owner or manager to run a business or operating unit. When a strategic direction is obviously a bad choice, it is wise to move in a different direction and reallocate the resources previously applied to that strategy. Staying too long with a strategic direction will ultimately impact the bottom line and could make it difficult, if not impossible, to recover in some cases.