400: What the NYPD teaches us about complex corporate strategy (Strategy Skills classics)

In this episode of The Strategy Skills Podcast, Michael addresses listener questions, focusing on the complexities of corporate strategy compared to other strategy types. He highlights three major differences: the objective function is open to question, the need to make bets on future markets, and the flexibility required at the corporate level to adapt to disruptive business models. Using the New York City Police Department as an example, Michael illustrates the difficulty in defining output value and productivity in public sector entities, where the goal isn't solely profit but also serving the greater good. He emphasizes that funding sources often constrain strategic decisions, and optimizing government entities requires a nuanced understanding of multiple measures beyond simple business metrics.