Strategic Intent
(Hamel Prahalad)

Reconciling the purpose of a company with its means. Explanation of Strategic Intent of Hamel and Prahalad. ('89)




  

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In 1989, Gary Hamel and C.K. Prahalad created an upheaval with their article entitled "Strategic Intent". It was published in the Harvard Business Review. Hamel and Prahalad argue that in order to achieve success, a company must reconcile its purpose (end) with its means through Strategic Intent.

 

What is Strategic Intent? Description

In their book, Hamel and Prahalad define Strategic Intent as: an ambitious and compelling dream that energizes; which provides the emotional and intellectual energy for the journey to the future. If strategic architecture (a high-level blueprint for the deployment of new functionalities, the acquisition of new competencies or the migration of existing competencies, and the reconfiguring of the interface with customers) is the brain, strategic intent is the heart. It should express a feeling of stretch (challenge) - that current resources and capabilities are not sufficient for the task.
 

Strategic Intent Attributes

Hamel and Prahalad provided the following three attributes of strategic intent: direction, discovery, and destiny.

  1. Sense of Direction. A particular point of view about the long-term market or competitive position that a firm hopes to build over the coming decade or so. It should be a view of the future and it should express a sense of direction which unifies and personalizes.
  2. Sense of Discovery. A strategic intent differentiates; it implies a competitively unique point of view about the future. It holds out to employees the promise of exploring new competitive territory.
  3. Sense of Destiny. Strategic intent has an emotional side; it is a goal that employees perceive as inherently valuable.

Typical three steps Strategic Intent Process

  1. Set the Strategic Intent, having all three characteristics stated above.
  2. Set the Challenges. Find appropriate challenges and communicate them to the entire workforce. These challenges are the means to achieve the Strategic Intent. For example: Suppose the Strategic Intent of Canon is: "Beat Xerox". A strategic challenge could be: Develop a home copier at a target price of $1000.
  3. Empowerment of the Strategic Intent. Key in any Strategic Intent process is: to realize that achieving (getting into) the Strategic Intent is a matter that involves everybody. The task of Top Management here is to "capture the wisdom of the ants hill": change the traditional downward communication style to an upward communication stream of new ideas coming from the entire organization.

The background of this approach for corporate strategy, and strategic thinking in general, was the dramatic post-war ascent of Japanese companies. The Japanese economy increasingly dominated the world markets, by having initial ambitions that in the West would have been considered highly unrealistic. Unrealistic regarding their resources and capabilities. An obsession for winning was created and sustained at all levels of the organization. Thus the basis was created for a 10- to 20-year quest for global market leadership.

 

Book: Hamel & Prahalad - Competing for the future -

 

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Recent User Comments
 - Ireland Strategic Intent - 2 Quotes "I like 2 sentences about S.I. From Competing for the Future:
Page 148: ".. Strategic intent aims to create employee excitement, not just employee satisfaction", and
Page 142 &ff: "direction, discovery and destiny. These are the attributes of strategic intent"."
   0
 - Malaysia Strategic Intent accommodates all sides "It is hard to translate individual strategies of people in a company into corporate strategies. That is why a company has to have strategic intent in order to synergize individual concepts and competencies in running a task. Intent will affect the structure of business strategy in achieving an objective.
In Islam culture is said: "Every activity must be started with intent. You will get what you intent to.""
   5
 - India Strategic Intent Demands "Strategic Intent demands equal commitment from mind, body, and soul. Its an obsession. It is to walk thro the journey with clear-cut agenda to reach the destination of ultimate supremacy, distinct leadership, sustainable competitive advantage, dominant market-share, and best-in-class processes in place. And this is achieved with vision broken into many interim missions with a clear deadline and strategy to meet desired objectives."    2
Eileen - US Shared Obsesssion "The strategic intent concept helps to increase the abilty of an organization to achieve its strategic purpose by creating a strong shared desire or even obsession across the organization to achieve it."    0
WendellCagape - Philippines Intent-Intent Made strategic "Strategic intent provides for the right frame of direction as well as geared towards the achievement of the company's common destiny as opposed to commonly observed motivations of success in most management cases that at some point, their direction is a result of their manipulative and strategically designed interventions. Either way, it ends at the right direction and destiny right? - The big DIFFERENCE is shown at the inability of managers to look at the company's direction with a sense of purpose and with a sense of commitment. Without a sense of purpose, one does not fully discover and without commitment, one does not achieve its destiny."    4
Best User Comments
Michal - Poland Intent vs Vision vs Mission "I just wonder - what is the difference between the strategic intent and the vision or mission of the company? Any ideas?"    9
William Burckson - Ghana Intent vs Strategic Values "Strategic intent must be underpinned by strategic values. The corporate world must understand that an obsession to win or achieve strategic intents notwithstanding, clear and 'sacred' strategic values should not be compromised in achieving these strategic intents. When this is done, very few organizations will go under."    4
William Burckson - Ghana Intent vs Extent "Your Intent determines your Extent."    3
Twaambo Mainde - Zambia Lost without Intent "Without strategic intent you are lost and as good as travelling in the dark without a torch. Strategic intent provides one with the weapon to overcome future hurdles."    2
Mary Okpeseyi - Nigeria Strategic Intent: turn to God "If you have no intent, mission or vision, turn to God from whom inspirations flow."    -3
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Strategic Intent Education & Events


 

Compare with Strategic Intent:  Ashridge Mission Model  |  Value Based Management  |  Core Competence  |  Bottom of the Pyramid  |  Moral Purpose  |  Clarkson Principles  |  Intrinsic Stakeholder Commitment  |  Strategic Stakeholder Management  |  Seven Surprises  |  Stakeholder Value Perspective  |  Shareholder Value Perspective  |  Spiral Dynamics  |  Co-Creation

 

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Copyright 2009 12manage - The Executive Fast Track. V10.4 - Last updated: 11/21/2009. All names tm by their owners.


  ● Kaw (USA) Strategic Intent Accomodates All Sides "I don't believe that "individual strategies" of all people must be translated into Corporate Strategy; however, I do believe the Company must clearly communicate the Strategic Intent across the organization to provide vision & direction to each function, resulting in modified goals and activities, so the entire company is driving toward the same future state. Leaders must encourage open communication from all levels of the organziation regarding any perceived misalignment to the strategic intent of the company."
  ●  (Saudi Arabia) Strategic Intent "It always starts with an "Intent" The Strategic Vision and Mission must start with an Intent. If the Intent of the Corporation is not clearly stated, then the Corporation will end up with a result....any result"

  ● Shirley Chen (Trinidad and Tobago) Strategic Intent - A New Definition "Of a vision unbroken and driven by the direction of destiny"



  ● Stephen Ryan (England) Intent, Vision and Mission "Strategic intent is the intuitive spirit that positions and re-positions. Vision is the image of the desired result. Mission is the journey that moulds strategic intent with vision."
  ● Editor (Netherlands) Intent, Mission, Vision "See also the Dictionary (menu: Find a Term A-Z) for an explanation of all of these terms."
  ●  (India) Intent vs Vision Mission "To realize your vision you need to inherit or display strategic intent which is reflected in missions achieved on course."
  ● K (NL) Strategic Intent vs Mission "As far as I understand Strategic Intent is more internally focused on the desire what to achieve.
Strategic Mission is more outward focused on what the company wants to communicate to its public.. I guess they should very much be aligned to make them credible."
  ● Adriana (Romania) Strategic Intent vs Vision vs Mission "Strategic Intent means more or less the same as Vision. They both answer the question - Where do we want to go? and have the same characteristics (energize, inspire, set a dream with a deadline etc).
The Mission answer the question - Why does our organization exist? This does not change over time. It's more philosophical then the vision and/or strategic intent."
  ● Dr. B.P.Gupta (India) Strategic Intent "Yes, Strategic Intent does not differ from Vision. It is how we build up our organisation through the years by giving a sense of purpose to our employees and building a culture to achieve our vision."




  ● Farooq Ali (England) Re: Turn To God "'Allah my Lord, You are my intention, I intend nothing but you, You are my Vision, My mission, My Goal! Fromt his relationship i have chosen my leader, my corporate strategist is none but you!'"
  ●  (Pakistan) Allah does not forbids worldly success. "Mr. Farooq Ali, Allah has not forbidden us from successfulness of this world. Islam does not say to go in caves and just worship Allah there leaving all worldly affairs. Islam boosts up the muslims to succeed in all aspect of life. Moreover, material aspect of human life can not be ignored. Balance your spiritual and material needs and hold the sholder with successful nations. Make strategies in this regards. Leaving everything on Allah just seems an excuse for not working hard and face the worldly facts. In fact we can make strategies to in accordance with relious philosophy to success individually and collectivey as muslims in this world in life hereafter."