The essential advantage, coherence

The essential advantage defines coherence as a resolute, clear minded focus in a company on three critical elements:

1. Its way to play
2. its most distinctive capabilities
3. its lineup of products and services

The better aligned these three elements, the more coherent company.

There are four basic, specific, observable ways in which coherence generates value.

1. Effectiveness
2. Efficiency
3. Focused investment
4. Alignment