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Operating Leverage

    Operating Leverage

    Operating leverage should the the strategic target.

    “It’s not enough to be the best at what you do. You must be perceived as the only one who does what you do.”
    – Jerry Garcia

    Strategy is in service of the vision.

    More specifically, strategy defines the operating leverage of the vision.

    That includes growth and profitability, as well as the economic moat.

    But the target is creating a monopoly.

    A self-made, one-of-a-kind ability to execute in a way nobody else can.

    Creating a result that nobody else can achieve.

    In other words, operating leverage.

    Typically, this is viewed from the innovation – or build – portion of strategy: Deep technical knowledge, or intellectual property, or systems of intelligence.

    But could also be viewed from the market – or acquisition – portion of strategy: World-class service, or ingenius distribution channeling, or community leadership.


    1. Strategy is the means to fulfill your vision through growth and profitability.
    2. Strategy should create a long-term economic moat.
    3. Strategy should target operating leverage.

    Your turn.

    Now go spark that revolution.