
Richard P. Rumelt
A practical guide distinguishing effective strategies from common strategic mistakes, emphasizing diagnosis, focused policy, and coherent action.
Richard Rumelt coined the term 'bad strategy' to describe common strategic pitfalls.
Section 1
9 Sections
In the vast landscape of business and conflict, the most powerful strategies often come disguised in simplicity. Imagine a company on the brink of collapse, its product lines sprawling uncontrollably, inventory piling up, and customers confused by endless choices. This was the reality faced by a major technology firm in the late 1990s. The turnaround came not from grandiose visions or aggressive expansion, but from a focused, coherent strategy that cut through the noise. By reducing its desktop models from fifteen to one and cutting out peripheral products, the company simplified its offering to a core that could survive and thrive.
Such focus is the essence of good strategy. It demands identifying the critical pivot points—the few challenges that, if addressed effectively, can unlock disproportionate success. This contrasts sharply with the common tendency to pursue multiple conflicting objectives, which dilute effort and confuse execution. The lesson here is clear: strategy is not about ambition alone, but about coherent, concentrated action.
Consider the battlefield, where a commander faces overwhelming odds. Success comes not from attacking every point simultaneously but from identifying the enemy’s weak flank and striking decisively. This principle applies equally in business and life. A well-crafted strategy channels resources and energy toward those pivotal objectives that move the needle.
Yet, why is such focused strategy so rare? Because it requires painful choices—saying no to many good ideas to say yes to the few that matter most. It demands clarity of diagnosis and courage to act decisively. The payoff, however, is immense: a strategy that surprises competitors and mobilizes an organization toward achievable goals.
As we journey deeper into the art of strategy, we will explore how discovering hidden power within situations and reframing challenges can elevate ordinary efforts into extraordinary achievements. The next section will illuminate this transformative insight.
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Discover the hidden pitfalls of bad strategy and learn the powerful framework that separates winners from losers in business and beyond.
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