Profile Books Good Strategy/Bad Strategy

Informative. For self development

Amazing

Am still in the beginning of reading this book, but until now it's satisfying and not waste of money

Papers are bad quality and you need a d a magnifying glasses to read the contents.

There are two things we often notice when helping a company craft their strategic story: 1) the strategic story process helps executives clarify what they really think the strategy should be; and 2) way too many executives can't actually tell you their company's strategy without reaching for a document. It's only since reading Richard Rumelt's new book, Good Strategy Bad Strategy, that I can see both observations are symptoms of not having a story to tell about the company's strategy.The second point came quickly to us because we know stories are memorable and therefore if your strategy was a story then you have a better chance of remembering it. Ipso facto (I'm not 100% sure of what this means but it felt right to put it here). The first point, however, goes to the heart of Rumelt's thesis: good strategy comprises a kernel made from a diagnosis of what's happening that's causing a challenge; a guiding policy on how the company will overcome this challenge; and a coherent set of actions that will translate the strategy into reality.Most strategies are defined as a set of aspirational goals, which Rumelt argues is a big mistake that has resulted from the template view of strategy creation: create a vision, state a purpose, set some goals, bingo, you now have a strategy. An effective strategy is all about action, about getting something done, it's concrete, plausible and doable. These attributes are much the same for stories.So from a story perspective, the kernel consists of the story of what's happening, the story of what will be done, and then the unfolding stories that emerge from the actions. These stories then help leaders decide how they will adapt to the inherent complexity of business.This is not just Shawn's story-coloured glasses making this connection. Rumelt says himself that, "The diagnosis for the situation should replace the overwhelming complexity of reality with a simpler story, a story that calls attention to its crucial aspects. This simplified model of reality allows one to make sense of the situation and engage in further problem solving." (p. 81)Rumelt's book is divided into three parts. Part 1, Good & Bad Strategy, describes the differences between what makes a good'ne and what makes a stinker. Part 2, Sources of Power, describes a series of approaches the strategist can adopt to improve their strategy. It includes topics such as focus, leverage, advantage and growth. This section finishes with a chapter on putting it all together that examines the graphics chip maker NVIDIA and their strategy, which incorporates many of Rumelt's sources of power. As suggested by Rumelt, I skipped to the NVIDIA chapter before reading each source of power in detail.The last part, Thinking Like a Strategist, has three chapters which explore what is mean to reflect on how you think about strategy.The book is very Gladwellesque in the way Rumelt tells stories. Each chapter is full of personal anecdotes, stories from history and Rumelt does a lovely job of telling stories that include analogies which he links to important strategy concepts. For example he tells the story of meeting a friend in Baja California who was a combat helicopter pilot. In some musing over a beer Richard (I bet he is know to his friends as Dick) says it would be better to be in a helicopter than a plane if the engines died because the rotors would keep turning and act like a parachute. He friend chuckled and said "only if the right actions are done within a second of losing power and, most importantly, without thinking about it." Rumelt uses this analogy to discuss how companies have intuitive capabilities gained from experience which allows them to do things other companies just can't. One type of competitive advantage. GS/BS is full of these interesting analogies.Just a note on book architecture. I love endnotes. I'm always following those suckers to find out the original references and other tidbits hidden behind those superscripted numbers. But here's the thing: if your end notes are arranged by chapter with a new set of endnote numbers then you need to have the chapter number/name on each page of your book otherwise I have to thumb back through the chapter to the chapter title page just to work out where the hell I am. This is not just a criticism of Rumelt's book, this is most business books out there. Publishers and book designers, please note. OK, rant over.This book is a bloody ripper. It has a really practical feel without getting dot pointy. The stories carry the book and keep it interesting and because many of the stories are personal anecdotes you develop a deep admiration for Rumelt's character and experience. Well worth getting yourself a copy.

The book is good, but it could be more concise and some of the examples better analyzed.Especially when given example of good strategies, one has to wonder why was it different for similar companies in the same industry and time.

Quite intensive with actual theory and examples of practice

Ti fa capire bene cosa dia una strategia e cosa invece sia solo parole al vento

Muy buen libro