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

Jane Fraser, Chair and CEO of Citi, talks with McKinsey Senior Partner and North America Managing Partner Eric Kutcher. After becoming CEO in March 2021, Jane launched a multi-year strategy to transform, simplify, and modernize the bank for the digital age – leveraging Citi’s unique global context to reset where and how it competes. Jane speaks about what the last five years have looked like for Citi and the role AI and blockchain technologies are playing, as well as what she’s learned along the way about talent, intent, and resilience. She also shares the global trends she is seeing as one of the world’s most well-travelled CEOs.

Related Insights

‘You’ve got to be willing to “do,” as opposed to getting disrupted by somebody else’: A conversation with IBM CEO Arvind Krishna

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

Jane Fraser, Chair and CEO of Citi, talks with McKinsey Senior Partner and North America Managing Partner Eric Kutcher. After becoming CEO in March 2021, Jane launched a multi-year strategy to transform, simplify, and modernize the bank for the digital age &ndash; leveraging Citi&rsquo;s unique global context to reset where and how it competes. Jane speaks about what the last five years have looked like for Citi and the role AI and blockchain technologies are playing, as well as what she&rsquo;s learned along the way about talent, intent, and resilience. She also shares the global trends she is seeing as one of the world&rsquo;s most well-travelled CEOs.
Related Insights
<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/youve-got-to-be-willing-to-do-as-opposed-to-getting-disrupted-by-somebody-else-a-conversation-with-ibm-ceo-arvind-krishna">&lsquo;You&rsquo;ve got to be willing to &ldquo;do,&rdquo; as opposed to getting disrupted by somebody else&rsquo;: A conversation with IBM CEO Arvind Krishna</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>

291. ‘Having a human bank is very important’: A conversation with Citi CEO Jane Fraser

From its origins as an internal three-ring binder to its status as a global reference text, Valuation has shaped how business leaders think about value creation for more than 30 years.

In this episode, co-author Tim Koller joins the co-leaders of our Strategy and Corporate Finance Practice, Andy West and Dago Diedrich, to reflect on the evolution of Valuation, the principles that have remained timeless, and the lessons learned across market cycles, bubbles, and changing executive expectations. Tim also shares his perspective on long-term orientation, disciplined leadership, and the legacy he hopes the book leaves with the business community.

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Valuation: Measuring and Managing the Value of Companies

From its origins as an internal three-ring binder to its status as a global reference text, Valuation has shaped how business leaders think about value creation for more than 30 years.
In this episode, co-author <a href="https://www.mckinsey.com/our-people/tim-koller">Tim Koller </a>joins the co-leaders of our Strategy and Corporate Finance Practice, <a href="https://www.mckinsey.com/our-people/andy-west">Andy West </a>and <a href="https://www.mckinsey.com/our-people/dago-diedrich">Dago Diedrich,</a> to reflect on the evolution of Valuation, the principles that have remained timeless, and the lessons learned across market cycles, bubbles, and changing executive expectations. Tim also shares his perspective on long-term orientation, disciplined leadership, and the legacy he hopes the book leaves with the business community.
Related Insights
<a href="https://www.mckinsey.com/featured-insights/corporate-finance/valuation-measuring-and-managing-the-value-of-companies">Valuation: Measuring and Managing the Value of Companies</a>

290. Tim Koller reflects on three decades of Valuation at McKinsey 

Levi Strauss & Co. Chief Finance and Growth Officer, Harmit Singh, joins us to share lessons from his 13-year journey transforming the iconic clothing company. Singh explains how Levi’s returned to growth, strengthened profitability, and shifted toward a direct-to-consumer model, while staying true to its purpose-driven heritage. He introduces the “Magic of the And”–his approach to driving both top- and bottom-line performance– and discusses building a performance culture, navigating volatility and tariffs with cross-functional teams, developing finance talent, and approaching AI in finance with practical use cases and discipline. Joining Harmit for this discussion is Steve Begley, a senior partner based in our New York office.

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The State of Fashion 2026: When the rules change

How finance teams are putting AI to work today

How Nestlé’s CFO sharpens focus across a global portfolio

Levi Strauss &amp; Co. Chief Finance and Growth Officer, <a href="https://www.linkedin.com/in/singhharmit/">Harmit Singh</a>, joins us to share lessons from his 13-year journey transforming the iconic clothing company. Singh explains how Levi&rsquo;s returned to growth, strengthened profitability, and shifted toward a direct-to-consumer model, while staying true to its purpose-driven heritage. He introduces the &ldquo;Magic of the And&rdquo;&ndash;his approach to driving both top- and bottom-line performance&ndash; and discusses building a performance culture, navigating volatility and tariffs with cross-functional teams, developing finance talent, and approaching AI in finance with practical use cases and discipline.&nbsp;Joining Harmit for this discussion is <a href="https://www.linkedin.com/in/steven-w-begley-2a20361a/">Steve Begley</a>, a senior partner based in our New York office.
Related Insights
<a href="https://www.mckinsey.com/industries/retail/our-insights/state-of-fashion">The State of Fashion 2026: When the rules change</a>
<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/how-finance-teams-are-putting-ai-to-work-today">How finance teams are putting AI to work today</a>
<a href="https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/how-nestles-cfo-sharpens-focus-across-a-global-portfolio">How Nestl&eacute;&rsquo;s CFO sharpens focus across a global portfolio</a>

134. Richard Rumelt on what separates good strategy from bad

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