Good Strategy, Bad Strategy by Richard Rumelt

A good strategy defines a critical challenge. What is more, it builds a bridge between that challenge and action, between desire and immediate objectives that lie within grasp. -- from Good Strategy, Bad Strategy by Richard Rumelt

There's so much I didn't understand about strategy before I read this book.

I know my way around a strategic planning worksheet. Mission. Vision. Values. Objectives. Maybe some acronyms: SWOT. ROI. KPI.

It never quite made sense to me. Something always felt like it was missing.

Rumelt explains that a strategy begins with a diagnosis, something that defines the nature of the challenge.

Without a diagnosis, he explains, it is impossible to assess the quality of a potential strategy. There is no clear basis to reject a bad strategy or improve a good one.

Next, a strategy needs a guiding policy for dealing with challenge. A good guiding policy should draw upon specific sources of advantage in addressing the challenge.

Finally, a strategy needs a set of coherent actions for carrying out the policy. The actions must all mutually strengthen each other and align with the guiding policy.

I'm studying this book because I want to think more strategically. Because I believe that strategic thinking--and trusting your approach to thinking--is an important source of power.

Here are some review slides I made for Good Strategy, Bad Strategy.