Learning from Michael Porter – The Strategy Man

Michael Eugene Porter is an American academic known for his theories on economics, business strategy, and social causes. He is the Bishop William Lawrence University Professor at Harvard Business School, and he was one of the founders of the consulting firm The Monitor Group (now part of Deloitte) and FSG, a social impact consultancy.

Michael Porter gave many useful tools which helps organization to achieve the desired goals and smoothen operations, some of the important tools given by him were:

The blog ahead is trying to
elaborate his thoughts About Strategy & Five
competitive forces

About Strategy

Strategy can be defined as a competitive position for deliberately choosing a different set of activities to deliver a unique mix of value. In other words, you need to understand your competitors and the market you’ve chosen to determine how your business should react.

Strategy positioning attempts to achieve sustainable competitive advantage by preserving what is distinctive about a company. It means performing different activities than rivals or performing similar activities in different ways. Below-mentioned are three principles which can help in strategic positioning.

Importance of Framing Strategy

Having a clear and focused strategy is critically important to the success of your business, it helps your team to be more focused and more productive. Below-mentioned are some of the key reasons why it is important to have strategies:

 – Provides Direction and Action Plans

 – Prioritizes and Aligns Activities

 – Defines Accountabilities

 – Enhances Communication and Commitment

 – Provides a Framework for Ongoing Decision Making

Operational effectiveness VS strategy positioning

Operational effectiveness in an organization is necessary but not sufficient. To have a smooth run in the business, it is necessary to have both operational effectiveness and strategy as they both are essential and serves different goals for the organization. Operational effectiveness means performing same activity as competitors but in a better way, opposite of that, strategy positioning means performing same activities as rival in different ways or performing total different activities. Thus both the parts play different roles in the organization in achieving similar goals.

Five competitive forces that shape strategy

Porter’s Five Forces helps in finding your competitive position in the market. Each of the Five Forces culminates around an industry’s competitive rivalry. To define strategy, analyze your firm in conjunction with each of Porter’s Five Forces.

Take from the Five Forces

Strategic positioning with the five force will help your organization to achieve the desired success. Let us know your comments on our thoughts in the comment section also share your perspective on Five Force.


Heli Shah, an MBA graduate is associated with J.Hirani as a Business Analyst. She is fresh soul with humble and optimistic approach who is working in different industries like Manufacturing, Retail, FMCG and Hospitality etc. Flexibility and greediness in learning new things helps her to conquer the challenges coming on her way.

About J.hirani: J.hirani is a Strategic Transformation team which works as a growth partner for different organisations in various industries by providing services like Agile transformation, Scenario mapping, Strategic alignment, Balance scorecard, Digital transformation, Incubating new ventures, Operation excellence and Aligning human capital.

©J.hirani,Learning from Michael Porter – The Strategy Man, May, 2021. All rights reserved

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