Strategy begins with direction. It illuminates the rules that govern success in a given business situation. It enables growth because it points toward the peak. By comparison, tactics are the skills and efforts that must be applied to maintain viability by being competitive.

If you read our last post about Joey the excavator, you'll recall that Joey’s business was doing okay after 6 years because he was good with tactics. Growth had been slow, but demand had continued to keep him in business. He became good not only at excavating, but also at marketing, sales, customer service, and reading financial statements to manage his business by the numbers. These tactical skills kept him ahead of the competition for the most part.

Tactics will keep you on the hike. But, Strategy will get you to the peak. Strategy supports and enhances the effectiveness of tactics. Most businesses are good at many tactical activities. That is why they are staying afloat, or even succeeding. But, a few small improvements to strategy will enhance the results of the time, money, and effort they are already spending.