Life as business are both long-term races. They require to fully commit to the present while seeing through years ahead in order to define and achieve the best of the future. They require to embrace today while deciding on objectives, understanding the options, creating possible alternative scenarios and situations and determining the direction to be followed. They require strategic thinking.
Defined as the process that determines the manner in which people think about, assess, view, and create the future for themselves and others, strategic thinking is basically the ability to know what you want to achieve and how to achieve it. Developing a strategic approach is not always easy as it is as much a mindset as a set of techniques. However, it does result in the main difference between an average and an exceptional achiever.
Success and achievement can not just be left to hazard. In a study conducted by Harvard Business Review, 97% of the 10,000 senior executives asked chose strategy as the most critical leadership behavior to their organizations’ future success. Strategic thinkers are able to imagine the big picture, identify the possible impact of their decisions and project the way to get there. These are the seven traces that define them all.
Strategic thinkers are able to create and stick to a very clear visioning process. Using both the left (logical) and right (creative) sides of their brain, they defined an ambitious but rigorous vision of what needs to be achieved. A clear, positive and big enough vision is what inspires for action and pulls in ideas, people and other resources. A vision is what enables commitment and moves the needed energy to make it happen. In this way, strategic thinkers are visionary leaders. They see the potential for how the world should exist and take steps to get there.
“The purpose of life is a life of purpose” (Robert Byrne)
Vision should be carefully embedded within a framework. Successful strategic thinkers have the ability to define their objectives and develop an action plan with goals broken down into tasks specifically measured in terms of timeline and resources. They set up deadlines and they commit to them. Self-aware enough, they are conscious of their own biases and factor their own circumstances, perspectives, and points of view within this framework. This helps them to ensure that their own backgrounds are not an impediment but a boost to their goals. Their framework envisions always a plan A, B, and C that drives them all to the same expected result. They factor all possible ways within a reasonable timeline for action.
Strategic thinkers are able to look around and understand the world from all the different perspectives. They listen, hear and read between the lines. They observe before forming a judgment and absorb and make use of the different angles that could be helpful for better guidance. They understand peoples’ intentions, hopes, and desires and play with them in a symbiotic way that could help all to achieve greater. They recognize internal and external clues that may sharp and clear the direction to be taken. They are able to grasp the perfect match and put together all the pieces of the puzzle. They are able to feel the breeze because they know that big achievements are just the collection of all the different angles.
They are good at decision-making. After a comprehensive evaluation, they chose the way to go and walk firmly into it without vacillation. They may doubt but they do not let the doubts to fog the vision. They communicate effectively what they want and need by using clear orders while simultaneously respecting the thoughts and wishes of others. They are able to react appropriately under pressure and reduce anxiety by sticking to their decision and avoiding excessive questioning. Through high levels of confidence and self-esteem, they receive both compliments and critics in a constructive way. They defend their points of view without harming others and manage to convince without force or hostility. They are easily followed.
“Your attitude, not your aptitude, will determine your altitude” (Zig Ziglar)
Strategic thinkers are clearly aware of their weaknesses so they are committed to seeking the advice of others. They are humble enough to be flexible and twist their ideas and framework as to truly achieve the desired vision. They do not confuse flexibility with lack of structure. They accept the rules of the game because they are aware that without rules there is no fair game. Strategic thinkers are flexible thinkers what allows them to shift gears and think about something in more than one way and develop different strategies. Along with working memory and self-control, flexible thinking is one of the three main executive skills allowing to properly manage thoughts, actions, and emotions to get things done.
“Life is a sum of all our choices” (Albert Camus)
- Emotional Balance
Strategic thinkers are able to balance their emotions in a way that always favors the achievement of the ultimate goals. They are aware of their emotions, they are able to name them when they arrive, they do not react to them as an important element of accepting them and just when they are over control of them, they take a decision. Whether they received positive or negative feedback, they are able to deal with it, understand and respond in a way that protects and progresses toward their desired outcome. They are able to control and master the three drivers of any emotional state. They stand tall and breathe fully as part of their physiological reaction. They think positive and look for the opportunity as part of their psychological reaction. They are kind, compassionate and optimistic whenever facing their language response. Strategic thinkers are tremendously creative but they are able to balance this creativity with pragmatism through a sense of realism and honesty about actuality. They are realistic optimists.
Strategic thinkers do not ignore that achievement is a long-term ride. Milestones have all a concrete time and moment. And success is the result of a process of strategically planned work and efforts. Strategic thinkers have the ability to be patient. They do not rush conclusions. They do not bet it all at once. They invest their energies in a way that is sustainable and led by a long-term vision. They have learned to wait.
“The two most powerful warriors are patience and time” (Leo Tolstoy)
A great article from Walt Davis – Written in 1999.
There have been how-to books on lots of different subjects lately and I thought that it might be nice to help those people who get up every morning and wonder “what can I do today to lose money in the ranching business?” There is bound to be a huge demand for this kind of information since regardless of weather or markets, losing money is the main topic of conversation in every coffee shop in the country. The following is a collection of thoughts that should be of use in preventing any accidental out break of profitability.
Set your breeding season so that calves, lambs, kids, etc. are born well before the onset of new growth. This ensures that the young animals will be big enough to utilize the forage when it arrives and thus will wean off heavy. You will hear some nay-sayers blather about; the expense of maintaining lactating females without green forage, trouble getting females re-bred, disease and death loss in the young and even predictions that losses to predators will be worse since there are no young rats or rabbits around at this time of year. Some of this may be so but “we have got to have heavy weaning weights, right?”
Always stock your country with just a few more head than you think you can handle. If you get lucky and have a good year, you will have more to sell and you can’t carry that grass over to next year, can you? Besides the Fat Cow Feed Company has a new feed guaranteed to make stock do good on broom weeds and tree bark. No need to worry about how much grass you have, just book your feed early and read the trade magazines so you can keep up with the latest feed supplements and mineral programs. You may hear tales about people claiming to winter with no supplemental feed but you know darn well it can’t be done “here”. When you feed hay or other supplements, be sure to always feed in the same place so that you don’t stomp out all your pasture. By feeding in the same place, you can get rid of the wasted hay and built up manure in the spring by setting it on fire. You won’t have to worry about the fire getting away, there will not be any thing growing anywhere close to the feed ground. Just up hill from your stock pond is a good place for the feed ground so that the bare ground will cause more of the rain to run off and keep the pond full. Sure a little manure, urine and dirt gets in the water but the stock will still drink it.
Make all of your breeding decisions based upon “what the trade demands” rather on silly criteria such as the type cattle that performs well under your conditions or animals with traits that allow you to reduce inputs. After all who knows more about what is good for the industry, you or ConAgri? Along the same line, be sure to buy great-big, good old’ bulls that throw really heavy weaning calves. You may have to pull some calves and maybe even lose some cows and after a few years your cows may get pretty big and expensive to winter but even if they made four times as much money do you really want to have to tell people that your calves only weaned at 450 pounds?
Don’t get talked into this management intensive grazing stuff. Some people claim to be able to run more stock with better performance at less cost while improving their country but you don’t have time to do all that and besides “it won’t work here”. Stay away from these schools and seminars that claim to be able to teach you how to reduce your costs, increase production and improve both your country and your quality of life. Even if what they teach works, you have to spend so much time thinking that you won’t have time to rope more that twice a week.
Don’t get caught up in low stress livestock handling like Bud Williams teaches. So what if it will reduce sickness and death loss, improve animal performance, cut labor costs and lower your vet bills, you have to maintain an image don’t you? Do you really want your neighbors to see you walking behind a bunch of cattle? How are you going to have good horses and good dogs if they don’t get lots of work? How can you teach a young horse cow sense with a bunch of cattle that never break a walk and all stay together? Just why are you in the cattle business anyway?
Be sure and have the latest and best in hay equipment so that you can get your hay put up in a hurry. What is a few extra thousand dollars a year in interest compared to the satisfaction you get from all that shiny new iron? Plow up those old native hay meadows and plant one of the new “improved” varieties of annual hay plants. Sure this means that you will have to till and fertilize and plant every year so that costs go up and your country will erode some but you will get bigger yields. Above all don’t let one of these nuts talk you into making hay out of surplus pasture or even into getting out of the hay business by rationing out standing hay with sub divisions or even worse, temporary electric fence. This would mean that you would have to be thinking and planning all during the growing season about what forage you can expect and what your forage demand will be all during the year. If ranchers didn’t make hay all summer and feed it all winter where would they get their caps?
For sure don’t listen to listen to the “low cost production advocates”. So what if the price of beef and other commodities does tend to settle at the break-even price of the average producer so that only the low-cost producer can be profitable every year. What’s the point in being a rancher if you can’t drive a new four wheel drive, four door, dually pickup, ride really high powered horses and be known for having the most expensive and fattest purebred cattle in the county? Get to know all of the fertilizer, feed, vet supply, equipment and supplement salesmen so you can keep up with the latest technology. Steer clear of taking advice from the old timers in the business. Just because somebody has made a living ranching for forty years doesn’t mean they know the business. Most of those people don’t even use embryo transfers or GPS precision fertilizer systems.
Get those calves to market before they get too big. A 300-pound calf will bring a lot more per pound then a 500 pounder. If you want to be able to brag about “topping the market”, you better ship them early. There is a lot of talk now days about retained ownership instead of just shipping calves at weaning. Some people claim to dry winter their calf crop with just enough supplement to keep them healthy and growing normally and then make big and cheap gains on the spring flush. Even if they make three times as much net profit per calf, it is a lot of trouble to wean those calves and worry with them all winter. Don’t believe the stories about people weaning calves in the pasture with no stress, weight loss or sickness. You know darn well that won’t work. Have a real market plan. Bankers don’t like to loan money to buy when the market is down so pay attention to the market and be ready to buy when they get high. Bankers will always loan more money when the market is high, after all they are the financial experts.
Most important, know why you are in the business and what you want to accomplish. There are some soft headed nuts out there talking about how ranchers are not in the livestock business but in the business of harvesting free solar energy by converting it first to biological energy (green plants) and then into wealth in the form of meat, milk, wool, wildlife or what ever. You know what is really important and there will never be a (pick one- Angus, white face, goat, sheep, other) on this place while you are running things. Your grand daddy was a ______ breeder, your daddy was a ______ breeder and you are a ______ breeder or at least you were until the bank sold you out.
Walt Davis 1999