Strategic Direction and Organizational Vitality: Lessons from Huawei
In a VUCA era, this essay argues that companies must pursue a roughly correct strategic direction while ensuring the organization remains vibrant, illustrating the concept with Huawei’s historical successes and failures, and discussing the role of decision‑making, emergent strategy, and rapid execution.
We are living in a VUCA era where companies must ask how to view and promote strategic implementation amid complexity.
Huawei’s senior leader emphasized that a roughly correct direction combined with an energetic organization is essential for success.
1. No absolute correct direction, only roughly correct direction
Examples such as Wang An, Kodak, Nokia, and Microsoft show that failing to perceive the broad industry shift leads to decline, while recognizing the approximate direction can keep a company alive.
2. The greatest enemy of success is not lack of opportunity but lack of immediate action
Strategic decisions involve fear and uncertainty; leaders must act decisively, allocate resources, and maintain momentum, as highlighted by Peter Drucker, Henry Mintzberg’s emergent strategy, and Roger Martin’s insights.
3. "Taking the high ground" means roughly correct direction
Huawei’s transition from fixed‑line to wireless, and later to smartphones, succeeded because the overall direction stayed roughly correct and the team remained passionate and resilient.
4. What does an energetic organization look like?
Organizational vitality means that after setting a roughly correct direction, the entire team—especially the decision‑making group—acts with openness, effort, and self‑criticism to adapt to an uncertain future.
5. What is a decision‑making organization?
It is not merely a review committee but the body that drives final victory, actively participates in projects, allocates resources, encourages bold moves, and continuously revises strategy when conditions change.
In summary, “the direction must be roughly correct, and the organization must be full of vitality” provides practical guidance for navigating an increasingly unpredictable future.
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