Leadership teams tend to view strategy as their domain. After all, they’re the ones with the big-picture perspective, the data, the responsibility. It’s their job to come up with the plan, to devise the strategy that will drive the business forward. And, more often than not, once that strategy is hashed out behind closed doors, they gather the troops, present the plan, and expect everyone to get on board. Job done. But what if there’s a better way?

When leaders take this top-down approach, they often end up facing a quiet wall of resistance. People smile politely, nod along in the meeting, and then return to their desks with only a vague understanding of what they’re supposed to do and why. The buy-in isn’t there.

What if, instead of presenting a fully-formed strategy, leaders invited the wider company into the process? What if the strategy wasn’t just something to be executed, but something that the whole company could help shape?

The power of participation: enter the IKEA effect

Let’s start with something called the IKEA effect. It’s a psychological phenomenon where people place a higher value on things they’ve had a hand in creating. Think about it – when you buy a flat-pack piece of furniture from IKEA and spend hours putting it together (with a few choice words thrown in along the way), you feel a strange sense of pride. It’s not just a chair anymore; it’s your chair. You built it.

There’s a similar effect with home baking kits, where people often feel more satisfaction and pride because they’ve put in the effort to assemble and bake the product themselves, even if the kit provides pre-measured ingredients and a step-by-step guide. This partial involvement in the process—where users contribute their time and effort—makes the final product feel more personal and rewarding, similar to the sense of ownership and accomplishment people feel when assembling IKEA furniture.

In both cases, the effort invested leads to a stronger emotional attachment and perceived value in the end product, even if the process is simplified for convenience.

The same thing happens with ideas. When people contribute to something – even if it’s just a small tweak or suggestion – they feel more ownership over the final result. They’re more invested, more connected, and more likely to see it through to the end. By inviting the wider company to participate in the strategy creation process, you tap into this same principle. When people feel like they’ve had a say, they’re more likely to commit to the strategy, not just because they have to, but because they want to.

Why the top-down approach falls flat

Leaders often fall into the trap of thinking that strategy creation is too complex for the wider company to get involved in. They assume that only those with access to the highest-level information can contribute meaningfully. But in reality, this top-down approach often leads to confusion and disengagement.

The typical scenario goes something like this: the leadership team spends weeks – sometimes months – crafting the perfect strategy. They pore over data, conduct market analysis, and spend endless hours in meetings. Then, when the strategy is finalised, they present it to the rest of the company in a grand unveiling. But because the wider team had no involvement in its creation, they struggle to connect with it. They might not fully understand the reasoning behind certain decisions or see how it applies to their day-to-day work.

This is where things often fall apart. Without that sense of connection, execution becomes patchy. People do what they’re told, but they’re not passionate about it. They don’t see the bigger picture because they weren’t part of the process that created it.

Inviting participation: a different way to do strategy

Now, I’m not suggesting that the entire company should be in the room when the leadership team is discussing strategic direction. But there’s a way to open up the process that doesn’t compromise on structure or leadership.

The key is to add an extra step between strategy creation and execution – one where the wider company gets to react, ask questions, suggest improvements, or even offer new ideas. Here’s how that might work in practice:

1. Create the broad framework: The leadership team still takes the lead in crafting the overarching strategy. They set the vision, identify the core objectives, and establish the broad direction. This is their role as leaders – to provide the initial framework that will guide the company.
2. Share it early: Once the broad framework is in place, share it with the wider company before it’s fully finalised. This could be done in a company-wide meeting, or through smaller team discussions. The key is to present it as a draft – something that’s open to feedback and refinement.
3. Invite feedback and ideas: Encourage people to ask questions, challenge assumptions, and offer suggestions. Make it clear that this isn’t just a rubber-stamping exercise – you genuinely want their input. This could be done through structured feedback sessions, anonymous surveys, or informal discussions. The important thing is that people feel like their voices are being heard.
4. Incorporate the feedback: Here’s the crucial part: actually take the feedback on board. You don’t have to accept every suggestion, but by incorporating some of the ideas and addressing concerns, you show that this isn’t just lip service. It’s a genuine process of co-creation.
5. Finalise and communicate: Once the feedback has been reviewed and incorporated, the leadership team finalises the strategy and communicates the updated version to the wider company. Because people have been involved in shaping it, they’re far more likely to feel ownership over it – and more motivated to see it succeed.

The benefits: buy-in, alignment, and better ideas

There are several key benefits to this approach. First and foremost, you get better buy-in. When people feel like they’ve had a say in the strategy, they’re more likely to commit to it. They understand the reasoning behind it, they see how their input has shaped it, and they feel a sense of ownership over the outcome.

Secondly, you get better alignment. By involving the wider company in the process, you ensure that everyone is on the same page from the start. There’s less room for misinterpretation or confusion because people have had the chance to ask questions and clarify any points they didn’t understand.

And finally, you often get better ideas. Leadership teams don’t have a monopoly on good ideas. The people on the front lines – whether in sales, customer service, or product development – often have valuable insights that can improve the strategy. By opening up the process, you tap into the collective intelligence of the entire company, leading to a stronger, more robust strategy.

From execution to co-creation

Inviting the wider company into the strategy creation process might feel like an extra effort, but it’s one that pays off in the long run. The IKEA effect shows us that people are more invested in things they’ve had a hand in creating – and that applies to ideas as much as it does to furniture.

By shifting from a top-down approach to one of co-creation, you not only improve the quality of the strategy itself but also build a sense of ownership and commitment that makes execution far smoother.

When people feel like they’ve contributed, they’re no longer just carrying out someone else’s plan – they’re helping to build something they believe in.