Tuesday, September 14, 2010

The "Plan with Branches"

(From the competitive playbooks of Genghis Khan and Napoleon)

“The nature of strategy consists of always having, even with a weaker army (company), more forces at the point of attack than the enemy.” -Napoleon Bonaparte
I had an interesting conversation last week with a European CEO of a mid-cap manufacturing company. He had been mentioned in the Wall Street Journal wherein he described a convoluted recovery scheme that the editorial tone suggested was both brash and nouveau. But I thought I recognized it for what it was: brilliant and quite old. Since he reads this column I called and asked him if my hunch was right and he laughed and reported that, indeed, it was. What follows is the military history. It’s not hard to see the application to modern business as a way to provoke your competition into making foolish, exploitable moves. It’s all about control.

The tactic’s first recorded use was by Genghis Khan and his Mongol general Subedei Bahadur in 1241. Like Genghis Kahn, Subedei was a brilliant and innovative strategist. He sent four distinct troop columns into Europe. One headed directly for Poland and Germany which attracted all the European military forces in that direction. This is exactly what Subedei wanted. The other three columns entered Hungary in an indistinct fashion attacking various targets all while focusing on keeping the Austrian forces from combining with the Hungarian. That was the actual agenda—keep the enemy forces apart. When the time was right the three Mongol columns then magically combined into one large force and shattered the unsupported Hungarian forces.

It was brilliant back then. And remains so. The key in all competition (war, business, etc.) is to avoid, or mitigate, your competition’s strengths and exploit their weaknesses.* The Mongol Subedei could quickly combine forces to focus on exploitable weakness in a way a large, unwieldy force couldn’t. War is largely about real estate so this is a great advantage. By having multiple forces the Mongol could control the movements of his enemy by forcing them to spread out to defend multiple targets. This numerically weakened the individual targets’ defenses making it easier (read: less costly) to attack them. Prevent your numerically superior competition from concentrating its forces against you. Then divide and conquer them. I covered this in the piece about Southwest Airlines elsewhere in this collection.

If you are skillful enough you can force your opponent to protect itself so thinly that they abandon their position in order to survive elsewhere. This is war in the best Sun Tzu tradition of winning with little or no fighting. This tactic could, for example, lead to a favorable corporate merger when previously none was possible.

Napoleon advanced the tactic using what has been called the “weighted net.” Napoleon would send out numerous columns where, like a waving net, they would focus on various threats and speedily envelope the useful or dangerous ones. Then move on. This confused his enemies who would try to coalesce for an offensive attack on something that looked weak, but would suddenly find Napoleon’s forces massing more efficiently elsewhere, and then attacking with superior strength, before the enemy could effectively combine. In effect Napoleon would direct his forces to act like an octopus with waving arms. When one arm sensed something of value the other arms would suddenly be brought into play to deal with the opportunity. When finished they would separate to look for new opportunities. Elegant, effective stuff.

So, what’s the point? The point is that even a large, well-financed competitor can’t optimally protect all of its markets, all of the time. By dividing your forces you can confuse your target and cause them to think your approach is coming from a different direction with a different intent, hiding your actual objective. Done correctly this can cause your (hopefully) unenlightened competition to expend resources to protect the incorrect target (think product or service), weakening support for your actual objective. This opens the door for you. Never forget that frontal attacks against hardened targets are seldom successful and always expensive.

Think about it…
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Notes: This is a variation of the feint, which is discussed elsewhere. It’s another method of controlling your enemy/competition through an elaborate form of deception. Never forget that, used intelligently, deception makes war (competition) less costly and reduces risk. All the Great generals have known this.
The phrase “plan with branches” was coined in the late eighteenth century by French strategist Pierre de Bourcet.
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*This is why you have to spend part of every day asking yourself, “Has our competition’s strengths changed and are there any new weaknesses we can now exploit?” Your stakeholders EXPECT you to think this way. You’re paid to do it.