Harness the Infamous Strategy House Used by McKinsey, Bain, and BCG (Free Template)

Introduction

In the competitive world of strategy consulting, clarity and alignment are the foundation of success.

Tools that effectively communicate strategic priorities, initiatives, and enablers have become essential for businesses aiming to achieve long-term goals.

One such framework is the Strategy House, a visual structure popularized by top consulting firms like McKinsey, Bain, and BCG.

This blog post will unpack the Strategy House concept, explain its components, and guide you through its use in your organization.

Plus, we’ll provide a free PowerPoint template at the end to jumpstart your strategic discussions.

What is a Strategy House?

The Strategy House is a strategic framework that organizes a company’s overarching purpose & vision, key priorities, initiatives, and foundational enablers into a simple, visual structure resembling a house.

The "roof" represents the organization's vision and purpose, while the pillars and foundation beneath illustrate the key battles, initiatives, and enablers required to achieve that vision.

Leading consultants and strategy teams worldwide use the Strategy House as a versatile tool that facilitates clarity, alignment, and communication.

Why Use the Strategy House?

The Strategy House is more than just a visual aid; it’s a tool that helps organizations:

1. Align teams around a common purpose: Everyone understands the big picture and how their work contributes to it.
2. Prioritize critical objectives: The House forces clarity on "must-win battles" and strategic initiatives that are vital for success.
3. Communicate strategy effectively: Its simple structure resonates with stakeholders, from executive boards to frontline employees.
4. Track progress systematically: The clear layout makes aligning initiatives with desired outcomes easier.

Breaking Down the Strategy House

The Strategy House consists of five key components, each with a distinct purpose:

1. Purpose and Vision (Roof)

The roof of the Strategy House defines the organization's overarching vision and purpose. This is the guiding north star for all activities and initiatives. It answers questions like:

• Why does the organization exist?
• What long-term goal are we striving to achieve?

2. Must-Win Battles (Pillars)

The "pillars" represent the must-win battles—critical strategic priorities or objectives the organization must focus on to achieve its vision. These are broad areas of focus, often tied to market opportunities, competitive positioning, or transformational goals.

Examples of must-win battles include:

• Expanding into new markets.
• Achieving operational excellence.
• Driving digital transformation.

3. Strategic Initiatives (Sub-Blocks)

Under each must-win battle, you’ll find specific strategic initiatives. These are actionable, measurable projects or efforts directly contributing to the must-win battles.

For instance:

• If the must-win battle is "Expand into new markets," strategic initiatives could include launching new products, establishing regional offices, or forging strategic partnerships.

4. Enablers (Beams)

The enablers are the supportive structures that underpin strategic initiatives. They provide the resources, technology, and systems required to execute initiatives effectively.

Typical enablers include:

• Digital and technology infrastructure.
• Financial investments.
• Cross-functional collaboration.

5. Foundation

At the base of the Strategy House is the organizational foundation—culture, people, structure, and processes. Without a strong foundation, even the best strategies risk collapse. This layer emphasizes:

• Building a strong and adaptive culture.
• Developing talent and leadership.
• Designing efficient structures and processes.

How to Use the Strategy House Framework

Here’s a step-by-step guide to implementing the Strategy House in your organization:

Step 1: Define Your Vision and Purpose

Start by articulating a clear and compelling vision that resonates with your organization. Ensure it aligns with your company’s values and long-term aspirations.

Step 2: Identify Must-Win Battles

Brainstorm and prioritize the critical areas where your organization must succeed. To maintain clarity and impact, limit these to three to five focus areas.

Step 3: Develop Strategic Initiatives

For each must-win battle, identify the specific initiatives that will drive success. Ensure these initiatives are actionable, measurable, and aligned with your vision.

Step 4: Determine Key Enablers

Assess what resources, technologies, or systems are necessary to execute your initiatives. Address potential gaps early to mitigate risks.

Step 5: Strengthen the Foundation

Evaluate your organizational culture, talent, and processes and ensure they are equipped to support the execution of your strategy.

Step 6: Visualize and Share

Communicate your strategy to stakeholders using a clear and visually appealing format (like the Strategy House template). Encourage feedback and foster alignment across teams.

Pro Tips for a Successful Strategy House

• Be concise: Avoid overloading the framework with excessive details. Focus on what’s essential.
• Ensure alignment: Involve critical stakeholders during the development process to secure buy-in.
• Adapt as needed: Your Strategy House should be a living document that evolves with your organization’s needs and market dynamics.
• Communicate regularly: Use the framework to facilitate ongoing discussions about progress and adjustments.

Final Thoughts

The Strategy House is a simple yet powerful tool for structuring and communicating your organization's strategy. Clearly aligning purpose, priorities, initiatives, and enablers fosters alignment and accelerates execution. Whether you’re leading a team, department, or entire organization, this framework can help you drive impact and achieve your strategic goals.

Start building your Strategy House today and unlock new levels of clarity and success for your organization. And don’t forget to download the free PowerPoint template to make your strategy conversations more effective!

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To help you get started, we’re providing a free Strategy House PowerPoint template.

This customizable template allows you to plug in your vision, must-win battles, initiatives, enablers, and foundation to create a strategy that resonates with your organization.

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