{"id":265,"date":"2025-06-18T21:49:04","date_gmt":"2025-06-18T16:49:04","guid":{"rendered":"https:\/\/sagadenov.com\/?p=265"},"modified":"2025-06-21T12:40:55","modified_gmt":"2025-06-21T07:40:55","slug":"good-strategy-bad-strategy-the-difference-and-why-it-matters-by-richard-rumelt","status":"publish","type":"post","link":"https:\/\/sagadenov.com\/?p=265","title":{"rendered":"Good Strategy Bad Strategy: The Difference and Why It Matters by\u00a0Richard Rumelt"},"content":{"rendered":"\n

What counts as good strategy<\/h2>\n\n\n\n

A good strategy answers three questions: What problem blocks us?<\/strong> Which approach will crack it?<\/strong> Which actions lock in the win?<\/strong> That is the kernel\u2014diagnosis, guiding policy, coherent actions. Everything else is trimmed; resources home in on a single leverage point.<\/p>\n\n\n\n

What counts as bad strategy<\/h2>\n\n\n\n

Bad strategy is easy to spot:<\/p>\n\n\n\n

    \n
  • a flood of words, a trickle of meaning;<\/li>\n\n\n\n
  • goals listed, but the obstacle unnamed;<\/li>\n\n\n\n
  • wish\u2011numbers instead of concrete moves;<\/li>\n\n\n\n
  • metrics vague or unreachable. Result: energy scattered, teams stuck.<\/li>\n<\/ul>\n\n\n\n
    \n\n\n\n
    \n

    \u201cGood strategy works by focusing energy and resources on one, or a very few, pivotal objectives whose accomplishment will lead to a cascade of favorable outcomes.\u201d <\/p>\n\n\n\n

    \u2014 Richard Rumelt<\/p>\n<\/blockquote>\n\n\n\n

    7 takeaways from the book<\/strong><\/p>\n\n\n\n

      \n
    1. Strategy starts with the problem<\/strong>
      Until the core obstacle is named, any \u201cgoal\u201d floats in thin air.
      Example:<\/em> In the 1990s Microsoft zeroed in on the Netscape threat\u2014and Internet Explorer was born.<\/li>\n\n\n\n
    2. The kernel: Diagnosis\u00a0\u2014 Policy\u00a0\u2014 Actions<\/strong>
      Diagnosis sets the attack point; policy gives focus; coherent steps strike the same spot.<\/li>\n\n\n\n
    3. Focus beats diversification<\/strong>
      Spreading resources kills leverage. In 1997 Apple axed 70\u202f% of its lineup, leaving just four flagship products.<\/li>\n\n\n\n
    4. \u201cVerbiage foam\u201d flags weak strategy<\/strong>
      The more slogans about \u201cecosystems and innovation,\u201d the less grasp of reality.<\/li>\n\n\n\n
    5. Leverage: fix the chokepoint, not a thousand nips and tucks<\/strong>
      Southwest trimmed gate\u2011turnaround time and won on ticket price.<\/li>\n\n\n\n
    6. A near\u2011term goal charges motivation<\/strong>
      Break the climb into visible ridges: each summit shows progress, keeps morale alive.<\/li>\n\n\n\n
    7. Saying \u201cno\u201d is a leadership skill<\/strong>
      Strategy is the art of choosing one powerful line and dropping the rest.<\/li>\n<\/ol>\n\n\n\n
      \n

      \u201cA good strategy clarifies and simplifies; a bad one hides the problem beneath a pile of platitudes.\u201d \u2014 Richard\u202fRumelt<\/p>\n<\/blockquote>\n\n\n\n

      \n\n\n\n

      Quick check: are we sliding into bad strategy?<\/h3>\n\n\n\n
        \n
      1. Clear diagnosis?<\/strong>
        If the specific problem is fuzzy, warning lights flash.<\/li>\n\n\n\n
      2. Do we know what we will NOT do?<\/strong>
        No refusals = no focus.<\/li>\n\n\n\n
      3. Fit on one page?<\/strong>
        Extra paragraphs often mask blurry thinking.<\/li>\n\n\n\n
      4. First step starts this afternoon?<\/strong>
        If action can\u2019t begin today, it\u2019s probably a wish plan.<\/li>\n<\/ol>\n\n\n\n
        \n\n\n\n

        How to put it to work<\/h3>\n\n\n\n
          \n
        • State the problem in one plain sentence\u2014no buzzwords.<\/li>\n\n\n\n
        • Pinpoint where effort \u00d75 yields payoff \u00d750.<\/li>\n\n\n\n
        • Write 3\u20115 mutually reinforcing actions.<\/li>\n\n\n\n
        • Before adding a task, ask: \u201cDoes it feed the kernel or distract?\u201d<\/li>\n\n\n\n
        • Re\u2011read the diagnosis each quarter; if the problem shifts, so must the strategy.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"

          What counts as good strategy A good strategy answers three questions: What problem blocks us? Which approach will crack it? Which actions lock in the win? That is the kernel\u2014diagnosis, guiding policy, coherent actions. Everything else is trimmed; resources home in on a single leverage point. What counts as bad strategy Bad strategy is easy […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-265","post","type-post","status-publish","format-standard","hentry","category-about-my-read-books"],"_links":{"self":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts\/265","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=265"}],"version-history":[{"count":3,"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts\/265\/revisions"}],"predecessor-version":[{"id":278,"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts\/265\/revisions\/278"}],"wp:attachment":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=265"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=265"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=265"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}