The Real Job of Strategy Has Changed

CARTER REPORTS

Greetings - It’s David here.

Yes - this is a new format for my newsletter. I know you're busy. So my new format is a One Must-Read newsletter. Every week I will send you one story and explain why it's worth your time. My choices include key issues for growing companies; different points of view, and hidden gems. These are the stories I know will give you a competitive edge.

This week’s article is about the changing demands of your strategy - The real job of strategy isn't to predict but to prepare for multiple futures. Here are three shifts every entrepreneur and business leader needs to make.

Reminder: I'd love to hear what you're dealing with. Hit reply and let me know if you have suggested topics for future newsletters.

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One Must-Read Article

The Real Job of Strategy Has Changed

If you’re leading a growing business today, here’s what you already know: stability isn’t coming back. The predictable world where you could plan in January and execute through December? That’s over.

Your strategy can’t be a roadmap anymore. It needs to be a compass.

The Tools We’re Using Are Obsolete

For two decades—roughly 1979 to 1999—business felt manageable. Inflation stayed low. Supply chains hummed along. The future felt knowable.

Strategy tools built during that calm: Porter’s Five Forces, annual budgets, SWOT analyses. They all assume the world behaves rationally and that disruption is the exception, not the rule.

But today? New tariffs may or may not happen. Prices spike overnight. Supply chains break because of weather, war, or regulation. Customer behavior shifts with a single viral moment. Volatility isn’t a crisis—it’s the new ambient condition of business.

So why are we still planning like it’s 1995?

The Real Job of Strategy Has Changed: From Prediction to Preparation

Small businesses are often built for consistency, not change. You have systems, processes, routines—and those work beautifully when things go as planned. But when they don’t? That same structure becomes a straightjacket.

Your business can’t just be a well-oiled machine. It has to be a living organism—able to flex, shift, and evolve in response to what’s happening now.

The real job of strategy isn’t to predict the future. It’s to prepare for multiple futures.

Learn from People Who Never Had Stability

The best strategies for uncertainty come from people who’ve never had the luxury of predictability.

Take remote island communities. Shipping delays and price volatility are just Tuesday. So, what do they do? They stockpile. They share resources. They plan not for efficiency.

In regions where economic shocks are normal, people make decisions quickly—not because they’re panicking, but because they’ve learned to anticipate instability.

As business owners, we can learn from this. These aren’t “developing world problems”—they’re previews of our reality.

We are all Caribbean grocers now.

How the Big Players Are Already Adapting

Smart companies aren’t waiting for the next crisis. They’re building for it:

Maersk didn’t wait for pandemic shipping disruptions. They restructured inland logistics and diversified container routes before others saw it coming.

Nestlé built decentralized sourcing hubs so procurement continues even if entire regions go offline.

Tesla designs final-stage assembly on multiple continents so tariffs and policy swings don’t kill production.

These aren’t predictions—they’re preparations. They’re not investing in forecasts. They’re investing in flexibility.

Three Shifts Every Entrepreneur Needs to Make

Whether you’re running a $2M business or scaling past $15M, here are the mindset shifts that will determine who thrives in the next decade:

1. Supersede the “Annual Plan”—Reposition Often

The world doesn’t operate on a January-to-December cycle. Why should your business?

Build quarterly checkpoints that don’t just review progress—they challenge assumptions. Ask:

  • Are we still solving the right problem?

  • Are our offers still relevant?

  • Has the competitive landscape shifted?

Strategy isn’t an event you do once a year. It’s a muscle you exercise constantly.

2. Build Slack into Your System

Lean thinking has its place, but in a volatile world, lean can mean fragile.

Resilience demands slack:

  • Hold more cash reserves

  • Create flexible staffing options

  • Use multiple vendors and fulfillment partners

  • Keep backup offers ready to launch

Slack isn’t waste. It’s insurance against the unknown.

3. Track Options, Not Just Outcomes

We obsess over quarterly growth and revenue targets. But in a changing world, the most valuable metric might be: “How many viable options do we have if the world changes tomorrow?”

Can you shift your offer? Reposition your team? Launch something new without starting from scratch?

Measure how fast you can pivot, not just how well you performed last quarter.

From Fragile to Flexible

What separates companies that thrive in uncertainty from those that struggle isn’t intelligence. It’s design.

Great companies aren’t built to withstand change. They’re built to move through it.

You don’t need to predict the next crisis—you need to become the kind of company that can handle turbulence. Better yet, one that gets stronger because of it.

Here’s My Take

You can't make the fog lift. But you can build a business with the instincts, tools, and structure to keep moving even when the road ahead disappears.

In the world we're entering—where supply chains break, customer moods swing, and rules get rewritten overnight—the companies that win won't be the ones with the clearest vision.

They'll be the ones with the greatest range of motion.

The shift from trying to perfect the forecast to building resilience into your foundation isn't just smart strategy. It's survival.

And for entrepreneurs willing to embrace this new reality? It's the greatest competitive advantage you'll ever have.

That’s A Wrap

Successful companies aren't necessarily the smartest or the most well-funded—they're the ones who've learned to work with uncertainty instead of against it. It's not about having all the answers—it's about staying nimble enough to find them as you go.

Reminder: I'd love to hear what you're dealing with. Hit reply and let me know if you have suggested topics for future newsletters

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All the best-

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© 2025 David Paul Carter. Photo Credit: HowLettery | iStock 
Acknowledgements: I came across Kaihan Krippendorff’s piece “Designing for Uncertainty” on Outthinker.com recently, and it really got me thinking about how this applies specifically to the entrepreneurs and small business owners I work with every. And thanks to Claude Sonnet4 for helping me streamline and sharpen the ideas in this piece.

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