Sun Tzu's The Art of War provides strategic leadership lessons that can be applied to business. It discusses estimating strengths and weaknesses, the importance of flexibility, gaining intelligence, and balancing control with caring for employees. The text advocates an authoritarian leadership style to maintain strict discipline, while also balancing many delicate factors like a "hundred weight stone." It teaches how to effectively organize and direct resources to overcome competitors without prolonged fighting.

1. SUN TZU’S
ART OF WAR
GROUP PROJECT: ROCK VALLEY COLLEGE, DR. GERUE’S LEADERSHIP CLASS
DEB FRANCIS,
BARBRA MARTINEZ,
& KAREN BUSSER

2. BACKGROUND
In 450-300 BCE, almost constant wars plagued Chinese
states. Eight large states, many small states, and bands
of robbers and mercenaries made life dangerous and
chaotic. Sun Tzu was a Chinese general, military
strategist, and philosopher. The opening line, “War is
a matter of vital importance to the State, the province
of life or death… it is mandatory that it be thoroughly
studied.”

3. PROBLEM IDENTIFICATION
• Many problems arose for seven Chinese states in the Warring States period. A
time of constant war, Sun Tzu wrote the Art of War in a vague, poetic style to the
King of Wu. The King of Wu was intrigued and asked Sun Tzu to test his skills on
180 concubines. Because Sun Tzu’s instructions were purposely vague, the King
had to summon him to interpret his instructions.
• The problems of war were: how to train peasants to fight, organize and direct an
army, supplying, transporting, coordinating with horsemen, chariots, archers and
footmen. How to feed an army, forecast the weather, use mapmakers, engineers,
and other experts. Sometimes even families would travel with the army.

4. BACKGROUND LEADERSHIP
• Sun Tzu was a military scholar seeking a consulting
position with Ho-Lu the King of Wu. Because the area had
constant war, Sun Tzu must have had great expertise in
leading armies in war.
• What leadership style is Sun-Tzu advocating?

5. EASTERN STRATEGY
• Sun Tzu’s goal is to avoid fighting is the ultimate strategy,
to win with as few resources as possible
• Simplicity- The Art of War can be applied to military,
business, personal goals
• Western strategy is to win the big battle with attrition

6. QUESTIONS TO CONSIDER
• What is the proposed relationship between Sun Tzu and
the ruler? How does it differ from the relationship with
the General and his officers?
• What is meant by “A victorious army is a hundred weight
stone balanced against a grain”?
• Is Sun Tzu being degrading when he says that a good
general will regard his men as infants?

7. SUN TZU- HISTORY CHANNEL

8. CHAPTER ONE-
ESTIMATES - APPLIED TO BUSINESS
• Five factors:
1. Moral Influence = mission, fighting spirit, commitment
2. Weather = outside forces, world competition, environmentalism
3. Terrain = marketplace, people, product, promotion, and price
4. Command = leadership
5. Doctrine = guiding principles

9. CHAPTER 1:
COMPARING ATTRIBUTES WITH BUSINESS
COMPETITORS
• Once estimates are in, seven comparisons:
• Which leader has greater influence?
• Which commander is more capable?
• Which side has more favorable outside forces and marketplace?
• Which side are decrees better implemented?
• Which side are superior in arms?
• Which side are the managers and employees better trained?
• More impartial meting out rewards or punishments?

10. CHAPTER 2: WAGING WAR
• Adequate Resources- Need enough resources until the
business profitable, invest in research and development
• Speed wins- move rapidly to create a loyal customer base-
rewards programs
• Everyone must profit from victories- Employee Profit
sharing
• Business leaders must have profound industry knowledge-
example Microsoft’s Bill Gates, Walt Disney’s Michael

11. CHAPTER 3: ATTACK BY STRATEGEM
• Win without fighting - Non-confrontational strategy,
example Walmart entered small towns, with little
competition
• Use an indirect approach - enter a business segment with
little competition- CNN in news, History Channel
• Win without protracted operations - rapid expansion of
Subway, Starbucks

12. CHAPTER 4: DISPOSITION OF MILITARY STRENGTH
• Be invincible- Strong companies built by strong leaders,
McDonald’s, Starbuck’s
• Superior strategy- Example of Kohl’s – cost of a discounter, but the
brands of a department store
• Use information to focus resources, example of Ford Motor
Company, Customer information is used to eliminate products not
in demand

13. CHAPTER 5: ENERGY
• “The control of a large force is the same principle as the control of a
few men”
• Delegate, organization, and control
• Authoritarian Leadership Style
• Discipline

14. CHAPTER 6: WEAKNESS & STRENGHTS
• “Whoever is first in the field and awaits the coming of the enemy, will be fresh for
the fight; whoever is second in the field and has to hasten to battle will arrive
exhausted”
• Tactics
• Attack and weakness
• Take initiative
• Moving target

15. CHAPTER 7: MANEUVER
• Maneuvering
• Knowledge
• Competition
• Deception

16. CHAPTER 8: THE NINE VARIABLES
• The nine variables
• Five key character faults of an ineffective leader
i. Reckless
ii. Cowardly
iii. Quick-Tempered
iv. Delicate Honor
v. Compassionate Nature
• In business

17. CHAPTER 9 & 10
MARCHES & TERRAIN
• Make an estimate of the situation
• Carefully observe the situation and attack only where
real superiority can be obtained
• Know your battlefield
• Through knowledge of the scene of action is an
absolute requirement

18. CHAPTER 11
THE NINE VARIETIES OF GROUND
• Dispersive ground Facile ground
• Contentious ground Open ground
• Ground of intersecting highways Hemmed-in ground
• Desperate ground

19. CHAPTER 12
ATTACK BY FIRE
•Exercise Restraint
• Do not fight battle you cannot win - or win
those that lose the war
• External restraint
• Internal restraint

20. CHAPTER 13
EMPLOYMENT OF SECRET AGENTS
•Invest in intelligence resources
• Information is crucial to winning

21. QUESTIONS TO CONSIDER
• What is the proposed relationship between Sun Tzu and the ruler? Sun Tzu would
direct operations on the battlefield, not the ruler.
• How does it differ from the relationship with the General and his officers? Officers
must follow orders, that is not negotiable.
• What is meant by “A victorious army is a hundred weight stone balanced against a
grain”?
• To build a winning army, it is a delicate balance of hundreds of details working
towards victory.
• Is Sun Tzu being degrading when he says that a good general will regard his men as
infants? No, a requirement of a strong leader is to know and care genuinely about the
employees.

22. LEADERSHIP STYLE
• Authoritarian – Why is this the best style? Requires strict discipline on members. All
of the parts of an army have to be organized to become an optimum fighting force.
Decisions need to be made quickly.
• This leadership style is best used in situations where control is necessary, often where
there is little margin for error. When conditions are dangerous, rigid rules can keep
people out of harm’s way. Many times, the subordinate staff is inexperienced or
unfamiliar with the type of work and heavy oversight is necessary.
• Napoleon- “One bad general is better than two good generals.”

23. IN CONCLUSION
• The Art of War is a complex theory of the use of power in organizations. Applying the 13
lessons can guide companies to beat the competition in a simple effective way.
• Ways that Leaders fail:
• Insufficient vision and poor overview of the situation
• Incorrect amount of resources or methods
• Not decisive or flexible to exploit opportunities
• Not communicating goals clearly
• Utilize the wrong people for the wrong task