Lore

Outsourcing Strategy to Consultants as a Political Hedge

Leaders sometimes hire outside consulting firms to produce the organization's strategy, not primarily to get better strategic thinking, but as a political hedge: if the resulting strategy works, the leader takes the credit; if it fails, the blame shifts to the outside firm rather than being owned internally.

This is a failure mode distinct from spreading resources across too many priorities (the 'peanut butter' pattern under Lack of Focus vs. Prioritization Problem (Diagnostic Reframe)) — both avoid the same underlying discomfort of making an explicit, personally attributable tradeoff (see Three Ingredients of Good Strategy: Focus, Transparency, Bet), but outsourcing avoids attribution by delegating authorship, while peanut-buttering avoids it by refusing to choose at all. Outsourcing strategy this way also forecloses building internal strategic capability, since the muscle of making hard tradeoffs is never exercised by the people who will own the consequences.