Every team should be able to answer the question, “Where do we have relative superiority?”

Retired four-star admiral and former Navy Seal William McRaven, author of Spec Ops: Case Studies in Special Operations Warfare Theory and Practice, explains the concept:

Simply stated, relative superiority is a condition that exists when an attacking force, generally smaller, gains a decisive advantage over a larger or well-defended enemy. The value of the concept of relative superiority lies in its ability to illustrate which positive forces influence the success of a mission and to show how the frictions of war affect the achievement of the goal.

In other words, it’s possible that a smaller force, by defying conventional wisdom, can organize and defeat an imposing, yet scattered opponent.

McRaven continues:

Large forces are more susceptible to the frictions of war. The principles of special operations work because they seek to reduce warfare to its simplest level and thereby limit the negative effects of chance, uncertainty, and the enemy’s will.

Although gaining relative superiority doesn’t guarantee success, it is necessary for success. If we can determine, prior to an operation, the best way to achieve relative superiority, then we can tailor special operations planning and preparation to improve our chances of victory.

Your team and resources may not be as big as your competitors, but your ability to concentrate, move fast, and adapt, is well within your control.

Concentrate your resources: people, attention, priorities, and spending.

It’s difficult to commit. It’s hard to say no to all the possibilities. When teams can’t say no, they under-allocate across too many objectives, ensuring poor execution.

This is not a time for diversification. Diversification has its place, especially in investing. But it doesn’t work everywhere. Don’t diversify as an excuse to avoid committing to one objective.

Everyone in your organization should be able to answer the question, “What is the one thing you are trying to accomplish?” If there are no answers, or different answers, you have a problem.

Frank Slootman, CEO of Snowflake and author of Amp It Up, explains:

Most people have a relatively easy time coming up with their top three priorities. Just ask them. As an exercise I often ask: if you can only do one thing for the rest of the year, and nothing else, what would it be and why? People struggle with this question because it is easy to be wrong, which is exactly the point. If we are wrong, resources are misallocated. That's concerning. But we avoid these pointed dialogs because it is easier to list five or ten priorities. The right ones may not even be buried in there somewhere.

Concentrating your priorities is uncomfortable. It’s easier to hedge your bets than commit.

Slootman continues:

Organizations are often spread too thinly across too many priorities, and too many of them are ill defined. Things tend to get added to the pile over time, and before we know it, we have huge backlogs. We're spread a mile wide and an inch deep. The problems with pace and tempo are, of course, related to having too much going on at the same time. It feels like swimming in glue, moving like molasses.

Entrepreneurs know this lesson well. They may not call it relative superiority, but they know if they try to do everything, they will fail.

It’s one mission. One product. One strategy.

It’s concentrate and have a chance of success.

Or overextend and ensure failure.

It’s the same with investing. Many teams are caught in the middle. They dabble in strategies, but don’t focus their resources to become exceptional. They can’t say no, because in the moment, it feels like you can have your hand in any number of strategies and still succeed. It’s only over time, when you realize poor execution.

Fortunately, investors have an escape. You can index everything you don’t do well. Then focus on your one objective.

The ability to achieve relative superiority is not about IQ and pedigree.

McRaven explains:

The ability to sustain relative superiority frequently requires the intervention of courage, intellect, boldness, and perseverance, or what Clausewitz calls the moral factors.

It’s about having the courage and conviction to take a stand for one thing. And say no to everything else.

Slootman’s final piece of advice: “The moment you have many priorities, you actually have none.”