Commitment: Dynamic of Strategy

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9780029115756: Commitment: Dynamic of Strategy

The author examines "commitment" - the tendency of business strategies to persist over time - and demonstrates with actual company examples how current decisions are constrained by past decisions and future decisions by current ones. Topics covered include four business conditions facing managers who look to the future: "locked-in" - when a company maintains a strategy as a result of massive investment; "locked-out" - the cost of lost opportunities that can never be pursued again; "lags" - making it imperative to stick with a strategy until certain key results are achieved; "inertia" - the tendency of a company to preserve the "status quo". The text also attempts to explain why one company's performance differs from its competitors.

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Review:

J. Roger Morrison Director, McKinsey & Company Ghemawat provides an invaluable guide and stimulus to all executives -- particularly those involved in industries requiring "big strategic bets" in advertising, product development/launch or capital expenditure. He shows how businessmen can analyze their decisions to improve their chances of achieving a successful outcome. Reading it won't make your next strategic decision easier, but it should make it more likely to be successful.

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