updated 5h ago
Good Strategy/Bad Strategy: The difference and why it matters
A good strategy draws power from focusing minds, energy, and action. That focus, channeled at the right moment onto a pivotal objective, can produce a cascade of favorable outcomes. I call this source of power leverage.*
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Johann Van Tonder added 6mo ago
In general, strategic leverage arises from a mixture of anticipation, insight into what is most pivotal or critical in a situation, and making a concentrated application of effort.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Johann Van Tonder added 6mo ago
fundamental sources of power used in good strategies: leverage, proximate objectives, chain-link systems, design, focus, growth, advantage, dynamics, inertia, and entropy.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Johann Van Tonder added 6mo ago
To concentrate on an objective—to make it a priority—necessarily assumes that many other important things will be taken care of.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Johann Van Tonder added 6mo ago
If the organization has few resources, the challenge can be met only by clever, tight integration. On the other hand, if more resources are available, then less tight integration may be needed.7 Put differently, the greater the challenge, the greater the need for a good, coherent, design-type strategy.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Johann Van Tonder added 6mo ago
For Stewart Resnick, and now for me, a competitive advantage is interesting when one has insights into ways to increase its value. That means there must be things you can do, on your own, to increase its value.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Johann Van Tonder added 6mo ago
The first guidepost demarks an industry transition induced by escalating fixed costs. The second calls out a transition created by deregulation. The third highlights predictable biases in forecasting. A fourth marks the need to properly assess incumbent response to change. And the fifth guidepost is the concept of an attractor state.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Johann Van Tonder added 6mo ago
A good strategy does more than urge us forward toward a goal or vision. A good strategy honestly acknowledges the challenges being faced and provides an approach to overcoming them.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Abhishek Sivaraman added 4mo ago
Like a quarterback whose only advice to teammates is “Let’s win,” bad strategy covers up its failure to guide by embracing the language of broad goals, ambition, vision, and values.
from Good Strategy/Bad Strategy: The difference and why it matters by Richard Rumelt
Abhishek Sivaraman added 4mo ago