For me, Strategy is a deliberate, iterative, and continuous process of aligning values, capabilities, and resources, given a market/context, to create and sustain a chosen growth path toward an aspirational future. Strategy is therefore a function, not a plan or a project. By definition, “function” has several meanings, each of which illustrates what strategy is. As a noun, it denotes the job to be performed and the purpose of something. In mathematics, a function maps inputs to outputs, revealing relationships between resources and results. In computing, a function is a code block that executes a specific task — print, insert, delete, and so on. A function also refers to a gathering or social event. As a verb, to function simply means to perform, to carry out what needs to be done.  Taken together, function implies purpose, continuity, community and internal execution. In contrast, projects are time‑bounded, temporary, and tend to adopt a finite mindset rather than a growth mindset. They usually run parallel to day‑to‑day operations and are often executed individually or by ad hoc teams. For strategy to deliver the growth path it should, it cannot be an ad hoc, time‑bounded plan. It must become part of the company’s day‑to‑day DNA. When asked about the deliverables of a strategic plan, presentations and documents often come to mind; when asked about the deliverables of a strategic function, look instead to changes in daily operations — new mindsets, increased capacity, coherent organizational structures, added features, new products, captured market share, market expansion, and M&A activity, among others. The strategic function incubates initiatives that drive operational change and embeds them into day‑to‑day activities to set the course for the company’s target growth trajectory. Lasting growth arises from internal transformation, not from peripheral efforts that never become part of the organization’s core operations. If strategy is not treated as an ongoing function, it will eventually revert to a finite, low‑value‑creating task. - José Arroyo Sinfonica Founder

For many years, Puerto Rico has had a culture and economy anchored in a “Fixed Income” mentality. The Puerto Rican investor, from the wealthiest to the poorest, has always paid attention to fixed-rate returns (often incentivized by tax programs) more than to returns from capital growth. The financial culture of the country was and possibly still is centered around loans and low risk tolerance. It seems interesting to me to think about how this financial approach has permeated the professional culture of our island, assuming the argument is not the other way around. Today, the private sector in Puerto Rico boasts professionals with extensive technical talent. However, our private companies and society in general appear to lack the necessary competencies that could move us from “Fixed Income” to “Growth.” Our society is short on leadership skills which I associate with the principle of risk. To be a leader, one must step forward before the rest. It requires demonstrating and illuminating uncertain paths while motivating the group with the prospect of future returns. A good leader must delegate while taking the risk that some may not execute as expected, but never subsidizing inefficiency through the relegation of empowerment. Let’s not confuse the leader who is attentive and maintains oversight of important KPIs with a "micro-manager." The "micro-manager" is typically not a leader and, worse yet, does not facilitate growth, does not take risks, and falls into a state of self-importance that even obstructs his or her own development. Much of the of the lack of leadership and consequently lack of growth of our private sector arises from organizational structures anchored in the over-valuation of technical skills, but lacking the development and measurement of "Soft Skills." This culture of little investment and lack of growth mindset aligns with our “Fixed Income” mentality. This does not mean that our private sector is not profitable. On the contrary, our private sector enjoys significant cash flows that generate wealth for its owners. However, that is precisely the problem. The “Fixed Income” mentality, coupled with sufficient recurrent income, stifles the appetite for growth and risk tolerance, hindering investment in talent and leadership development, which might seem like unnecessary “overhead.” Our “Fixed Income” mentality not only affects our private sector. Likewise, we constantly instill in our youth the importance of specific careers, without emphasizing the importance of qualitative skills and the risk/return relationship in everything they do in life. I do not mean to separate one career from another and push riskier paths over others. But there must be a stronger emphasis on educating skills associated with a growth mindset, not just economically, but personally. There is a need to emphasize and teach risk as a key tool for development. In short, I believe that our financial and professional culture, anchored in little risk tolerance and fixated on the concepts of “Fixed Income,” is poison for the development of the leadership skills necessary to drive the growth our island needs. We must break out of that vicious cycle and be the leaders we are not. We need to invest in the development of our people and our children and create a mindset of leadership and growth. Let us take risks to achieve growth and not expect “Fixed Income” to provide it. -José Arroyo Sinfonica Founder