World Futures, 70: 5–18, 2014 Copyright C  Taylor & Francis Group, LLC ISSN: 0260-4027 print / 1556-1844 online DOI: 10.1080/02604027.2014.875718 TOWARD NARRATIVE STRATEGY J AY OGILVY,IKUJIRO NONAKA, AND NOBORU KONNO Strategic planning exercises often begin with the observation, “We need a better story to tell.” We argue that this is not just a figure of speech but that the narrative form is uniquely appropriate to both the development and the effective communication of good strategies. Drawing on recent literature in the relatively new field of narratology, we argue that the temporal structure of stories allows for a reach into the future that evidence-based, analytic approaches cannot achieve. The case of Nakamura’s turnaround at Matsushita/Panasonic is cited as an example of narrative strategy. KEYWORDS: Leadership, management, memory, narrative, phronesis, religion, risk, story, strategy. Riddle: How are strategies and religions alike? Answer: Our strategies and our religions are the stories we tell ourselves to give meaning and direction to our lives. As we will argue below, it is not an accident that all of the world’s great religions take the form of stories. Likewise, we will argue that strategies will be both better structured and more effectively implemented if they, too, take the form of stories. It is not just a matter of improved communication. Yes, stories are more engaging than dense and abstruse reports. But beyond the communicability of good stories—we all love to hear a good story—their narrative structure partakes of features that can improve the development, not just the communication, of our strategies. Strategic planning often begins with one senior executive saying to another, “We need a better story to tell.” Then the wheels begin to turn, memos get written, resources get mobilized, and next thing you know that relaxed and conversational beginning gets transformed into a highly structured effort to craft a long range strategic plan. There are, of course, several schools of strategic planning, and respective gurus and consulting companies associated with each. In this article, however, we would like to go back to that informal, conversational launch, and make a case for its appropriateness. Yes, “having a better story to tell”—to cus- tomers, to employees, and to investors—is a large part of what strategy is all about. But it is not just a figure of speech to invoke story or narrative. As we are coming to understand how stories work, why they are so ubiquitous, and how they are structured, we can use that knowledge to inform our strategic thinking. Address correspondence to Jay Ogilvy, HC 64, P.O. Box 3008, Castle Valley, UT 84532, USA. E-mail: j.a.ogilvy@gmail.com 5