The Kernal of Good Strategy

Crafting good strategies is based on an underlying structure:

There are dramatic differences between good and bad strategy. Crafting good strategies is based on an underlying structure:


1. A diagnosis: an explanation of the nature of the challenge. A good diagnosis simplifies the often overwhelming complexity of reality by identifying certain aspects of the situation as being the critical ones.

2. A guiding policy: an overall approach chosen to cope with or overcome the obstacles identified in the diagnosis.

3. Coherent actions: steps that are coordinated with one another to support the accomplishment of the guiding policy.

ACTION POINT: Base strategy on the underlying structure of diagnosing the challenge, guiding through policy and following through with coherent actions.