This is a summary of Mr.Rumelt article at McKinsey on Bad Strategy, as well, discussion on the issue and its relation to Jim Collins ‘How the Mighty Fall’
Provocative, insightful and Must-read for every CEO! Read the full article at Strategy & Business. “How CEOs can turn conflict, dissent, and disagreement into a powerful tool for driving performance. Chief executives most often work in a pressure-cooker atmosphere where
Artists usually ask the help of friends, visitors or even strangers for quick views on their paintings and artwork. Graphic designers follow the same practice. They relate it to the need of fresh eye. Our minds become just after 30
Many of today’s manager underestimate the essence and impact of their organizational cultures. The elements that control the work places, the values, the ethics, and the untold rules are sometimes ignored, and business strategies, alone, are assumed to do the job. Drucker’s statement “Culture eats strategy for breakfast” is wholeheartedly presenting the pain people faces in their workplaces. Growth plans and articulated business tactics can not be sustainable without a framework of cultural values and rules. Fix the culture first then define a strategy. If you operate within a culture of deception, ignorance and lack of accountability, no matter how robust or concrete business plan you develop, it will fail its first encounter internally before externally with market. In HBR management tip, the author rightly noted that leaders should “give employees a reason to care about your customers, their colleagues, and about how to do business right in a world that rewards cutting corners and compromising values. During a turnaround, don’t focus exclusively on distinguishing yourself from the competition; find what brings you together as a company. It may be values, a vision, or a set of shared emotions. Articulate this sense of unity well and the business will follow.”
Even in these tumultuous times, strategic planning doesn’t have to be an exercise in anxiety—or futility.
In one of a series of interactive presentations, McKinsey alumnus Kevin Coyne describes the GE–McKinsey nine-box matrix, a framework that offers a systematic approach for the multibusiness corporation to prioritize its investments among its business units.
Welch told the Financial Times the emphasis on shareholder value is “misplaced.” In this Q&A, he puts his comments in context