I teach Strategic Management to 190+ students every semester. We read 10+ cases, watch CNBC videos, read the Wall Street Journal, use Finviz, research with S&P industry surveys, grok the DuPont formula, question the validity of RBV, try to Cross the Chasm, move between red and blue oceans, evaluate trade-offs, and ultimately, look for economic moats to sustain competitive advantage. We play to win by constantly asking What is Strategy?
A client recently told me this quote, which I think is both thoughtful and very fitting for us consultants:
“I would not give a fig for the simplicity this side of complexity, but I would give my life for the simplicity on the other side of complexity.” – Sir Oliver Wendell Holmes Jr
Frameworks help. They help to organize your thoughts. Put messy data into buckets. Simplify, simplify. simplify. Take a look at some of the key concepts that we cover in this strategy class. What else are we missing?
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this is a cool. I have had to explain “frameworks” a lot. Can I have permission to use this graphic – how should I cite it ?
Also is there a separate post on “what is strategy” I tried searching – but couldn’t find it within here.
Hello Ramesh, Just cite Consultantsmind and backlink is fine. The best way to get to WHAT is STRATEGY by Michael Porter (1996). This is the gold standard on that question.
Good video link here, Michael Porter talking on this topic here.
Makes you wonder why Monitor Group, M. Porter’s consultancy, went down a hole.
Yes, Monitor had a great run, but yes, acquired by Deloitte. Shows you that every business is just a few bad decisions and bad years away from ruin. Separate thought, but looking at Finviz, looks like only 2700 out of 7100 US publicly traded companies are profitable. Scary.
Now I remember. I was offered a job as spokesman for the Libyan embassy just before Khadafy threatened to blow up the Suez Canal…my strategy kept me from taking the job!!
Making the connections, I would say 1) Thinking about the end-goal and working backwards, 2) using a balanced scorecard (namely, it’s more than just financials) 3) being different (in a good and positive way)
What about the good old SWOT? Probably the best understood and widely utilized framework.
Totally fair point. It’s interesting that over the last 3 semesters, I have not taught SWOT or the BCG growth matrix. Smart add.