Why great strategy is not built by simply improving today
Most leadership teams say they are being strategic.
But many are not doing strategy at all.
They are taking today’s business, today’s competitors, today’s customers, today’s constraints and today’s assumptions—and trying to improve from there.
That is Present-Forward Planning.
- It is common.
- It is practical.
- It is also limited.
Because when you plan only from the present, you usually stay trapped in the present.
What is Present-Forward Planning?
Present-Forward planning starts with current reality and asks:
- How do we improve next year?
- What are competitors doing now?
- What can we achieve with the resources we currently have?
- How do we grow without disrupting the current model?
This approach is useful for:
- annual planning
- budgeting
- operational improvement
- short-term priorities
- execution discipline
So let’s be fair to it. It has a role. But it is not enough to build a business that stays relevant in a changing market.
Why? Because it usually leads to incremental thinking. You end up with:
- slightly better numbers
- slightly better processes
- slightly better coordination
- slightly better versions of the same business
That may help you run the company better.
It may not help you reposition it for the future.
What is the Future-Back Approach?
The Future-Back Approach starts with a different question:
What will our market, customers and competitive environment likely look like in 3 to 5 years—and what must we start doing now to win in that future?
That is a very different beast. It forces leadership teams to lift their eyes from current noise and think about what is coming next:
- What will customers expect in the future?
- What will they value more?
- What will they reject?
- What current industry assumptions are likely to break?
- What capabilities will matter most?
- What investments, policies and people decisions will best position us for that future world?
This is not fantasy. It is not corporate horoscope nonsense. It is disciplined strategic thinking. The aim is not to predict the future perfectly. That would be wizard behavior, and most executives are not wizards.
The aim is to make better decisions now about:
- where to invest
- what to build
- who to hire
- what to stop doing
- how to position the business ahead of change
Why Present-Forward planning is dangerous on its own
The problem is not that Present-Forward planning is wrong. The problem is that many businesses use it as their only approach.
When that happens, a few things usually follow.
1. They optimize the current model instead of challenging it
They get better at running a business model that may already be losing relevance.
2. They mistake budgeting for strategy
A spreadsheet gets dressed up as a strategic plan. Polite applause follows. Nothing really changes.
3. They underinvest in future capability
They delay building leadership depth, digital capability, customer insight, retention systems, innovation capacityand scalable processes because the payoff is not immediate.
4. They become followers
They wait for competitors to prove what matters, then copy. That is not strategy. That is delayed imitationwearing a tie.
5. They get surprised by obvious change
What looks like disruption is often just ignored evidence arriving on schedule.
What Future-Back strategy forces leaders to do
A proper Future-Back conversation should lead to sharper questions:
- What will our customers need 3 to 5 years from now that we are not yet ready to provide?
- What parts of our current model will become weaker or less valued?
- What capabilities will separate winners from followers?
- What should we start investing in now, before the need becomes obvious?
- What people, leadership capacity and operating model will the future business require?
These are not soft questions. They drive hard choices.
They shape:
- strategic priorities
- capital allocation
- hiring decisions
- systems investment
- innovation efforts
- customer experience design
That is where real strategy lives.
The smartest businesses use both-This is the key point.
Future-Back does not replace execution.
Present-Forward does not replace strategy.
You need both.
Use Future-Back for:
- long-term direction
- market positioning
- capability building
- strategic investment choices
Use Present-Forward for:
- annual plans
- execution rhythms
- budgets
- operational delivery
One defines where the business needs to go. The other helps it move. Without Future-Back thinking, the company risks becoming more efficient at running yesterday’s model. Without Present-Forward discipline, the strategy stays trapped in PowerPoint and dies of dehydration.
Final thought
The companies that win overtime are rarely the ones that simply improve today the hardest.
They are the ones that:
- see earlier
- choose earlier
- build earlier
Present-Forward planning helps a business run. Future-Back strategy helps a business become what it needs to become next. That is the difference between reacting late and leading early. And in strategy, early matters.
TED BONEL, SCALING UP PRACTITIONER – STRATEGY & EXECUTION BUSINESS ADVISORS
Are you looking to scale your business and execute strategy with clarity and impact? I help CEOs and founders turn big ideas into real-world results, guiding small to mid-market companies through tailored strategic insights that drive growth.
My expertise lies in simplifying complexity – bridging high-level strategic frameworks with the practical realities of running a business. Unlike many consultants who focus solely on theory or execution, I specialise in both—translating strategy into actionable, transformative steps that deliver lasting results.
Contact me at tedb@strategyandexecution.com.au to schedule a free 30-minute discovery meeting.
ABOUT STRATEGY & EXECUTION
For over 20 years, Strategy & Execution has supported leaders and organisations in developing and executing winning strategies. We provide expert facilitation, executive education, and hands-on consulting to help businesses refine their strategic direction and implement it effectively.
Using proven methodologies like Scaling Up, E-Myth Mastery, Outthinker, and more, we challenge conventional thinking and equip organisations with the tools to accelerate growth. Our approach is dynamic—combining deep business experience with practical execution. We don’t just advise; we roll up our sleeves and work alongside you to make strategy happen.
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