Good Strategy discovers critical challenges then designs a coordinated plan of focused actions to resolve.
In 2 Minutes
A good strategy is not about vision or goals. It is a carefully researched and well designed action plan designed to meet a challenge. However, leaders often substitute targets, exhortations and slogans for strategy. Bad strategy, a form of magical thinking, contains fluff, dodges problems, mistakes goals for strategy and sets unrealistic goals.
- Good strategy focuses on critical issues and decides how to address them.
- It requires research and analysis, hard choices, decisive planning, and action.
- Identifying and leveraging your competitive advantages are the first steps in strategizing.
A diagnosis a guiding policy” and a set of coherent actions” form the kernel” of a good strategy. Master strategists” design their own novel approaches to solving a problem; they don’t choose from standard options. Strategic objectives should always be practical and feasible. Good strategy represents a hypothesis, an educated guess, about how to increase your business in the most productive way.
Good Strategy Bad Strategy Summary
Our Strategy? To Be the Best!
A graphics firm asked author and strategic management consultant Richard Rumelt for his help in defining its strategy.