In this episode, we hear from Richard Rumelt. Richard has been called, “A giant in the field of strategy.” He is the Harry and Elsa Kunin Chair Emeritus at the UCLA Anderson School of Management and a founding member and former president of the Strategic Management Society.



He is also the author of Good Strategy/Bad Strategy: The Difference and Why it Matters, and in this episode he’ll explain how to circumvent what he calls, “the contagion of bad strategy.” His reflections are based on his latest book, The Crux: How Leaders Become Strategists.



Richard is joined by our communications director, Sean Brown, and Yuval Atsmon, a senior partner based in our London office. 



Learn more about Richard’s book:
 https://thecruxbook.com/ 



Join our LinkedIn community: 
https://www.linkedin.com/showcase/mckinsey-strategy-&-corporate-finance 



Explore more Inside the Strategy Room podcast episode transcripts:
 https://www.mckinsey.com/itsr 

In this episode, we hear from Richard Rumelt. Richard has been called, “A giant in the field of strategy.” He is the Harry and Elsa Kunin Chair Emeritus at the UCLA Anderson School of Management and a founding member and former president of the Strategic Management Society.

He is also the author of Good Strategy/Bad Strategy: The Difference and Why it Matters, and in this episode he’ll explain how to circumvent what he calls, “the contagion of bad strategy.” His reflections are based on his latest book, The Crux: How Leaders Become Strategists.

Richard is joined by our communications director, Sean Brown, and Yuval Atsmon, a senior partner based in our London office. 

Learn more about Richard’s book: https://thecruxbook.com/ 

Join our LinkedIn community: https://www.linkedin.com/showcase/mckinsey-strategy-&-corporate-finance 

Explore more Inside the Strategy Room podcast episode transcripts: https://www.mckinsey.com/itsr

We talk with McKinsey partners and corporate executives on the challenges they face creating lasting strategies in a fast-changing world. We also examine the different ways these executives approach these challenges and the new and innovative ways they think of creating a vision for their enterprises.

What does it take to survive in a world of constant change? More than ever, enterprises need to create strategies that can meet current needs but also adapt to future demand. A regular series of interviews with McKinsey partners and corporate executives.

Inside the Strategy Room

The world is moving faster, and as upheaval becomes the norm, vast business opportunities will be within the grasp of the extraordinary few.  But it takes bold people and courageous approaches to seize those opportunities and create value.

In each episode of our weekly podcast, we interview the world’s highest-performing CEOs, CFOs, innovators, and McKinsey experts and discuss how they build the courage, clarity, conviction, and cohesion that allow their businesses to win by moving faster than the world around them. 

The world is moving faster, and as upheaval becomes the norm, vast business opportunities will be within the grasp of the extraordinary few. &nbsp;But it takes bold people and courageous approaches to seize those opportunities and create value.
In each episode of our weekly podcast, we interview the world&rsquo;s highest-performing CEOs, CFOs, innovators, and McKinsey experts and discuss how they build the courage, clarity, conviction, and cohesion that allow their businesses to win by moving faster than the world around them.&nbsp;

Good strategy is more than achieving certain results. But why do so many get it wrong?

134. Richard Rumelt on what separates good strategy from bad

Companies that execute transformations with rigor are much more likely to achieve their goals, generate higher total shareholder returns, and enjoy better organizational health. In this episode, Preeya Mody and Dominic Skerritt join host Sean Brown to share insights from their latest research on the role of rigor in driving and sustaining successful transformations. They discuss what defines rigor in a transformation, explore the three elements that rigorous transformations consistently demonstrate, and share practical advice for sustaining momentum without burning out teams.

Related insights

Going all in: Why employee ‘will’ can make or break transformations

The McKinsey Organizational Health Index

Wave by McKinsey

Seven principles for achieving transformational growth

Beyond transformation: What we now know about driving bottom-line performance

The powerful role financial incentives can play in a transformation

McKinsey Insights on Transformation

McKinsey Transformation on LinkedIn

Companies that execute transformations with rigor are much more likely to achieve their goals, generate higher total shareholder returns, and enjoy better organizational health. In this episode, <a href="https://www.linkedin.com/in/preeyamody/">Preeya Mody</a> and <a href="https://www.linkedin.com/in/dominic-skerritt/">Dominic Skerritt</a> join host Sean Brown to share insights from their latest research on the role of rigor in driving and sustaining successful transformations. They discuss what defines rigor in a transformation, explore the three elements that rigorous transformations consistently demonstrate, and share practical advice for sustaining momentum without burning out teams.
Related insights
<a href="https://www.mckinsey.com/capabilities/transformation/our-insights/going-all-in-why-employee-will-can-make-or-break-transformations">Going all in: Why employee &lsquo;will&rsquo; can make or break transformations</a>
<a href="https://www.mckinsey.com/solutions/orgsolutions/overview/organizational-health-index">The McKinsey Organizational Health Index</a>
<a href="https://www.mckinsey.com/capabilities/transformation/how-we-help-clients/wave/overview">Wave by McKinsey</a>
<a href="https://www.mckinsey.com/capabilities/growth-marketing-and-sales/our-insights/seven-principles-for-achieving-transformational-growth">Seven principles for achieving transformational growth</a>
<a href="https://www.mckinsey.com/capabilities/transformation/our-insights/beyond-transformation-what-we-now-know-about-driving-bottom-line-performance">Beyond transformation: What we now know about driving bottom-line performance</a>
<a href="https://www.mckinsey.com/capabilities/transformation/our-insights/the-powerful-role-financial-incentives-can-play-in-a-transformation">The powerful role financial incentives can play in a transformation</a>
<a href="https://www.mckinsey.com/capabilities/transformation/our-insights">McKinsey Insights on Transformation</a>
<a href="https://www.linkedin.com/showcase/mckinsey-transformation/">McKinsey Transformation on LinkedIn</a>

296. The power of rigor in transformation

While artificial intelligence is moving rapidly from experimentation to execution, many companies still struggle to capture real value from the technology. In this episode, we’re joined by Professor Jean-Paul Carvalho and Robin Nuttall to explore how CEOs can more effectively scale AI and to discuss the technology's implications for the future of work and organizations.

Jean-Paul is Professor of Political Economy at the University of Oxford’s Department of Economics and Director of Oxford Elevate. Robin Nuttall is an expert partner in our London office and a leader of our regulatory strategy and environmental, social, and governance work. Robin is also a Business Fellow at the University of Oxford’s Economics Department.

Related insights
How AI is transforming strategy development
The state of AI in 2025: Agents, innovation, and transformation
Building next-horizon AI experiences
Artificial intelligence in strategy

While artificial intelligence is moving rapidly from experimentation to execution, many companies still struggle to capture real value from the technology. In this episode, we&rsquo;re joined by <a href="https://www.economics.ox.ac.uk/people/jean-paul-carvalho">Professor Jean-Paul Carvalho</a> and <a href="https://www.mckinsey.com/our-people/robin-nuttall">Robin Nuttall</a> to explore how CEOs can more effectively scale AI and to discuss the technology's implications for the future of work and organizations. Jean-Paul is Professor of Political Economy at the <a href="https://www.economics.ox.ac.uk/">University of Oxford&rsquo;s Department of Economics</a> and Director of <a href="https://www.economics.ox.ac.uk/oxford-elevate">Oxford Elevate</a>. Robin Nuttall is an expert partner in our London office and a leader of our regulatory strategy and environmental, social, and governance work. Robin is also a <a href="https://www.economics.ox.ac.uk/people/robin-nuttall">Business Fellow</a> at the University of Oxford&rsquo;s Economics Department. Related insights <a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/how-ai-is-transforming-strategy-development">How AI is transforming strategy development</a> <a href="https://www.mckinsey.com/capabilities/quantumblack/our-insights/the-state-of-ai">The state of AI in 2025: Agents, innovation, and transformation</a> <a href="https://www.mckinsey.com/capabilities/tech-and-ai/our-insights/building-next-horizon-ai-experiences">Building next-horizon AI experiences</a> <a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/artificial-intelligence-in-strategy">Artificial intelligence in strategy</a>

295. AI, strategy, and the future of work: What business leaders need to know 

What does today’s wave of AI and economic change really mean for markets, jobs, and leadership?

In this episode, David Solomon, Chairman and CEO of Goldman Sachs, joins our North America Chair and senior partner, Eric Kutcher, to explain why he sees the current moment as more evolutionary than unprecedented. Solomon discusses what’s driving market resilience in 2026, including fiscal policy, AI infrastructure investment, and shifting trade dynamics. He also shares how Goldman is using AI to boost productivity, reengineer core processes, and invest for long-term growth—as well as candid lessons on leadership, resilience, and decision-making at the top. This episode was recorded in December 2025.

Related insights

The strategic realities of a new era

‘Saying “I don’t know” is one of the hardest things a leader can do’: A conversation with Delta CEO Ed Bastian

Retired US Navy Admiral Eric Olson: Leading effectively in uncertain times

Building geopolitical resilience: A conversation with Michèle Flournoy

What does today&rsquo;s wave of AI and economic change really mean for markets, jobs, and leadership?
In this episode, David Solomon, Chairman and CEO of Goldman Sachs, joins our North America Chair and senior partner, Eric Kutcher, to explain why he sees the current moment as more evolutionary than unprecedented. Solomon discusses what&rsquo;s driving market resilience in 2026, including fiscal policy, AI infrastructure investment, and shifting trade dynamics. He also shares how Goldman is using AI to boost productivity, reengineer core processes, and invest for long-term growth&mdash;as well as candid lessons on leadership, resilience, and decision-making at the top. This episode was recorded in December 2025.
Related insights
<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/the-strategic-realities-of-a-new-era">The strategic realities of a new era</a>
<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/saying-i-dont-know-is-one-of-the-hardest-things-a-leader-can-do-a-conversation-with-delta-ceo-ed-bastian">&lsquo;Saying &ldquo;I don&rsquo;t know&rdquo; is one of the hardest things a leader can do&rsquo;: A conversation with Delta CEO Ed Bastian</a>
<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/retired-us-navy-admiral-eric-olson-leading-effectively-in-uncertain-times">Retired US Navy Admiral Eric Olson: Leading effectively in uncertain times</a>
<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/building-geopolitical-resilience-a-conversation-with-michele-flournoy">Building geopolitical resilience: A conversation with Mich&egrave;le Flournoy</a>

134. Richard Rumelt on what separates good strategy from bad

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