4x4 technique

The process of developing a strategic development plan for a company is complex in nature. There are some problems that managers face when developing strategic plans, including:

1. The lack of a common language between the heads of different functional units
2. Often, a complex vision of organization problems is lost.
3. The organization has launched too many projects that cannot be completed simultaneously
4. The project portfolio is often unbalanced

To overcome these kinds of problems on the way to effective strategic planning, a “4x4” methodology was created to help managers achieve sustainable, coordinated results of the work of their services and divisions. The process was called “4x4” because it involves strategic planning in two stages of 4 days each.

Stage One

The first stage, which is also divided in turn into 4 one-day components, is aimed at developing common terminology and a common understanding by the top management of the goals, objectives, problems and characteristics of the organization. The first stage of the process is to study the 8 main subsystems of the organization:

1. Operations
2. Finance
3. Design and technological services
4. Procurement
5. Marketing
6. Sales
7. HR management
8. Strategy

Thus, after the first 4 days, functional managers have the opportunity to put together a certain holistic picture of the organization’s problems, based on a detailed study of the above subsystems of a particular organization. At this stage, some theoretical calculations regarding each subsystem are also studied, which can subsequently be used to solve problems.

After that, you can proceed to the second stage of the process, which also lasts 4 days.

Second Stage

It consists precisely in strategic planning itself. The “4x4” process implies a 4-day cycle of developing a strategic plan, with each of the first three days having its own goals and deadlines, and the fourth day serves as a reserve to compensate for time shifts in solving the problems of the previous three days. The work results are documented every day, which allows managers of different functional blocks to receive complete information about the state of affairs in the entire team.

First day of planning

Each functional manager should highlight the main problem in his department that impedes the achievement of goals set by senior management. Moreover, the effect obtained from the elimination of this problem should be evaluated in terms of productivity, investment and operating expenses of the organization.

After which the whole group begins to analyze such major problems in each department in order to identify the common root cause of all these problems, namely, what connects all of them. The solution to this root problem will solve all the problems separately.

Second day of planning

The task of the second day of planning is to put forward additional considerations to overcome all, without exception, identified problems. During this day, each leader works on his problem. Having found ways to overcome the problem, it is presented for general discussion. Thus, the heads of various departments can deeply study the problems of their colleagues. As a result, by the end of the second day, service managers have a set of ideas that are highly likely to ensure the achievement of the organization's goals.

Third Day of Planning

During the third day, all the ideas put forward are reflected in a generalized plan. To do this, they are detailed, determining the sequence of actions, distribution of responsibility and assessment of the duration of each work. The projects to be completed are determined, and those of them that are worth postponing for now. Thus, a certain portfolio of strategic projects is formed, after which projects are prioritized within the portfolio.

Thus, a strategic development plan has been prepared. For its successful implementation, the progress of its implementation is constantly monitored, and also it is subjected to updating and revision.

• Theory of Constraints

1. Kendall, D. I., Rollins, S. K. Modern Methods: Project Portfolio Management and Project Management Office .. - PMSOFT, 2004. ISBN 5-9900281-1-3
2. Project Management Institute. Standard for Portfolio Management, The. - PMI, 2006. - ISBN 978-1-930699-90-8

• Theory of Constraints Project Management (A Brief Introduction to the Basics). Avraham Y. Goldratt Institute, LP. 2009. (English)