The Power of Strategic Centering

Columbia Business School professor Rita McGrath argues that in a dematerializing economy, CEOs must commit to a single coherent organizing principle—a strategic center—to guide resource allocation, opportunity selection, and organizational identity rather than trying to optimize across too many dimensions. Boards that help management articulate and defend this center reduce internal politics, speed decisions, and provide a stable framework for pressure-testing strategic trade-offs. For SEA founders scaling across markets, the centering concept is a practical antidote to the decision paralysis caused by competing growth opportunities.