This Is Strategy: Make Better Plans

Core Takeways & Frameworks

The Nature of Strategy

  1. Strategy is a Philosophy: It is not a rigid to-do list but a consistent philosophy of becoming and change.

  2. Strategy vs. Tactics: Tactics are the specific actions taken to finish a task; strategy is the long-term direction that gives those actions meaning.

  3. Strategic Tension: True strategy requires the discipline to sacrifice short-term tactical gains in favor of long-term goals.

  4. Infinite Games: Strategy is about playing games where the goal is to keep playing, rather than “winning” and ending the game.

  5. Choosing Your Game: Every field has rules and players; strategy involves deciding which game you are actually playing and if it’s worth winning.

  6. Active Choice: Strategy is defined by what you choose not to do just as much as what you choose to do.

  7. The Goal is Change: A strategy that doesn’t aim to change a system or a behavior is merely a list of chores.

Time and Persistence

  1. Planting Seeds: Strategy requires a long-term horizon, often involving planting seeds for a harvest you may not personally see.

  2. Persistent Incrementalism: Significant change rarely happens through “big bang” moments; it is the result of daily, consistent choices.

  3. The Dip: Strategists anticipate the difficult middle period of a project and decide in advance if they have the resources to push through.

  4. Short-termism is a Trap: Focusing on immediate metrics often leads to tactical hacks that undermine long-term strategic health.

  5. Urgency vs. Importance: Tactics often feel urgent, but strategy is always important; successful leaders prioritize the latter.

Systems Thinking

  1. Outcomes are Systemic: You cannot change an outcome without changing the underlying system that produces it.

  2. Feedback Loops: Strategy involves identifying and adjusting the loops that reinforce or inhibit progress within a system.

  3. Zooming Out: To be strategic, one must step back from the immediate problem to see the broader system at play.

  4. Nodes and Links: Systems are made of connections; changing how parts of a system interact is more effective than changing the parts themselves.

  5. Leverage Points: A good strategy identifies the specific place in a system where a small shift can cause a large result.

Empathy and Worldview

  1. The Power of Empathy: Real strategy starts by understanding the worldview of the people you seek to serve.

  2. Don’t Change Minds: It is nearly impossible to change someone’s mind; instead, offer a solution that aligns with their existing beliefs.

  3. Smallest Viable Market: Focus on the smallest group of people who would truly miss you if you were gone to create maximum impact.

  4. Specific Over General: Trying to appeal to everyone makes your strategy invisible; being specific makes it indispensable.

  5. Status and Affiliation: People are motivated by how an action affects their status within a group or their affiliation with others.

  6. Solving “Their” Problem: Strategy is not about solving your problem (sales); it is about solving the customer’s problem in their own language.

Culture and Narrative

  1. Culture as Strategy: Culture is the most powerful system; “People like us do things like this” is the ultimate strategic lever.

  2. The Narrative Shift: Success involves moving a group from an old story (“the way things were”) to a new story (“the way we are now”).

  3. Stories Over Data: While data informs strategy, stories are what move people to adopt new systems and behaviors.

  4. The Existing Story: You must first acknowledge the story your audience currently tells themselves before you can offer a new one.

  5. Enrolling Others: A strategy only works if others choose to join the journey and adopt the new narrative.

Risk and Failure

  1. Strategic Risk: Avoiding all risk is a tactical choice that usually leads to long-term strategic failure.

  2. Knowing When to Quit: Strategic quitting is letting go of a tactic or “dead end” to save resources for a more viable path.

  3. The Cost of “Better”: Simply being “better” is a tactical race; being different in a way that matters is a strategic choice.

  4. Edge Cases: Strategy is often found at the edges of a system where the rules are still being written.

  5. Resilience: A strategic plan must be robust enough to survive tactical failures along the way.

Games and Competition

  1. Race to the Bottom: Competing on price is a tactical game that anyone can play but no one wins long-term.

  2. Race to the Top: The strategic choice is to compete on connection, trust, and remarkable value.

  3. Changing the Rules: If you cannot win the current game, the strategic move is to change the rules of the game itself.

  4. Zero-Sum vs. Positive-Sum: Tactics are often zero-sum (I win, you lose); great strategies are often positive-sum (everyone benefits).

Focus and Execution

  1. The Scarcity of Attention: Because attention is scarce, strategy must be designed to be worth the audience’s time.

  2. Remarkability: Being remarkable is a strategic choice to build something that people want to talk about.

  3. Authority vs. Responsibility: Strategy requires taking responsibility for the outcome, regardless of who has the formal authority.

  4. Simplicity: A strategy that cannot be explained simply is likely just a collection of complex tactics.

  5. Alignment: Every tactic used by an organization must align with and reinforce the overarching strategy.

Long-Term Value

  1. Building Assets: Strategy focuses on building long-term assets like trust, permission, and brand equity.

  2. The Value of Trust: Trust is a strategic asset that takes years to build but allows tactics to work much faster.

  3. Permission Marketing: The strategic goal is to earn the right to talk to people who actually want to hear from you.

  4. First-Mover Disadvantage: Sometimes the strategic move is to let others test the waters and then build a better system once the path is clear.

  5. The Network Effect: Strategies that benefit from more people joining become stronger and more defensible over time.

Strategic Resilience

  1. Strategic Humility: Recognizing that you don’t control the system, but you can influence it through consistent choices.

  2. Action is Information: Sometimes the best way to inform a strategy is to take a tactical action and observe the system’s response.

  3. Strategy is Never Finished: Because systems and cultures are always evolving, the work of strategy is a continuous process.