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Organisational Performance
and
Strategic Conversation.

There is a definite relationship between them

In a test of 380 participants from a variety of manufacturing, service, educational, government organisations, the relationship between the measured attributes of Strategic Conversation and the measure of Organisational Performance was .47 (r = .4716, p < .001).  Using stratistical regression analysis, it was shown that Strategic Conversation could predict organisational performance (B = .586, p < .05).

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This is a strong relationship for any single aspect of organisational functioning to be able to predict performance.  It means either that the organisations with better strategic conversation had better performance, or the organisations with better performance had better strategic conversation. 

Both interpretations are probably correct, although a separate study of the impact of learning and applying Strategic Conversation, showed that the conversation caused the performance, and conversation change caused performance change.

Almost no FAD or other popular organisational development program records this kind of strong connection.  While it is early days for Strategic Conversation yet, it is intuitively sensible.  There’s nothing tricky - or expensive - about it.

We already know that an organisation is where-ever it is because of all the conversations and decisions of the past, so it is logical that if the strategic quality and frequency of those conversations and decisions had been better, so would its current position.  Further, if today’s conversation quality improves, then the future for the organisation is even brighter.

There is now strong empirical research support for Strategic Conversation.

A parallel study of 70 organisations that started learning strategic conversation, gave similar relationship results to the above when their organisational performance lifted along with Strategic Conversation skills.