Strategy Kernel (Good Strategy/Bad Strategy)

Strategy Kernel (Good Strategy/Bad Strategy)

Strategy Kernel (Good Strategy/Bad Strategy)

Use it when you're stuck with fuzzy objectives and need a clear roadmap to win.

Category

Product Strategy & Vision

Product Strategy & Vision

Originator

Richard Rumelt

Richard Rumelt

Time to implement

1 month or more

1 month or more

Difficulty

Beginner

Beginner

Popular in

Strategy & leadership

Strategy & leadership

Engineering

Engineering

What is it?

The Strategy Kernel, coined by Richard Rumelt in Good Strategy/Bad Strategy, is a brutally honest approach to crafting strategy.

It cuts through buzzword fluff by demanding three core elements: a sharp diagnosis that pinpoints your market's critical challenge, a guiding policy that sets a coherent direction, and a set of coordinated actions that deliver on that policy. Rather than wish-listing goals or tactics, the Kernel forces you to confront the root cause of underperformance and marshal resources against it.

This framework solves the universal problem of strategic ambiguity, common in startups, scale-ups, and legacy firms, by aligning leadership, product, and growth teams around a single set of priorities. Get precise about what's broken, decide how you'll tackle it, and map out the steps that turn intent into impact.

Why it matters?

A clear Strategy Kernel turns scattered efforts into a unified growth engine. By diagnosing the right problem and executing coherent actions, you avoid wasted spend, supercharge resource allocation, and outmaneuver competitors. This focus drives higher ROI on product bets, accelerates market traction, and builds the organizational muscle you need for sustained scale.

How it works

Growth co-pilot turns your toughest product questions into clear, data-backed recommendations you can act on immediately.

1

Diagnose the Core Challenge

Brutally assess your biggest obstacle, market shift, technological gap, or competitor threat. Use data and frontline insights to define the real problem, not the symptoms.

2

Craft a Guiding Policy

Translate your diagnosis into a clear strategic approach. This is your north star, think “win with low-cost efficiency” or “own the premium segment.” It should narrow options and focus resources.

3

Design Coherent Actions

Lay out specific, coordinated initiatives that put your policy into play. Each action must directly address the diagnosis and reinforce your guiding policy.

4

Test for Alignment

Review every project, budget item, and feature request against your guiding policy. Kill or pivot anything that doesn't advance the core strategy.

5

Iterate and Adapt

Strategy is dynamic. Schedule regular checkpoints to revisit your diagnosis, refine the policy, and adjust actions as market conditions evolve.

Frequently asked questions

Growth co-pilot turns your toughest product questions into clear, data-backed recommendations you can act on immediately.

What are the three parts of the Strategy Kernel?

They are Diagnosis (identify the core challenge), Guiding Policy (set the strategic approach), and Coherent Actions (coordinate initiatives that deliver on your policy).

What are the three parts of the Strategy Kernel?

They are Diagnosis (identify the core challenge), Guiding Policy (set the strategic approach), and Coherent Actions (coordinate initiatives that deliver on your policy).

How is the Strategy Kernel different from a traditional business plan?

Traditional plans pile on goals and projections. The Kernel cuts to what's broken, prescribes a focused response, and links every action to that response, no fluff, just results.

How is the Strategy Kernel different from a traditional business plan?

Traditional plans pile on goals and projections. The Kernel cuts to what's broken, prescribes a focused response, and links every action to that response, no fluff, just results.

Can small startups use the Strategy Kernel?

Absolutely. Early-stage teams gain a massive edge by spotting the key obstacle, whether product-market fit or early competition, and aligning limited resources against one defining mission.

Can small startups use the Strategy Kernel?

Absolutely. Early-stage teams gain a massive edge by spotting the key obstacle, whether product-market fit or early competition, and aligning limited resources against one defining mission.

How often should I revisit my Kernel?

Treat strategy as maintenance: check in quarterly or when major market shifts occur. Update your diagnosis, tweak the policy, and realign actions to stay razor-sharp.

How often should I revisit my Kernel?

Treat strategy as maintenance: check in quarterly or when major market shifts occur. Update your diagnosis, tweak the policy, and realign actions to stay razor-sharp.

What if my guiding policy feels too restrictive?

Good. Strategic focus means saying “no” to distractions. A tight policy directs resources where they matter most, anything outside that scope is a waste of energy.

What if my guiding policy feels too restrictive?

Good. Strategic focus means saying “no” to distractions. A tight policy directs resources where they matter most, anything outside that scope is a waste of energy.

You've locked in your diagnosis, guiding policy, and actions, now crush execution. Plug your Strategy Kernel into the CrackGrowth Traction Audit to uncover hidden bottlenecks in your go-to-market and instantly prioritize experiments that drive explosive growth.