good to great
DESCRIPTION
Book review for ICFAI Business School programTRANSCRIPT
Level 5 Leadership First Who, Then What Confront the Brutal FactsThe Hedgehog Concept A Culture of Discipline Technology AcceleratorsThe Flywheel and the Doom Loop
Good to greatPresented by thirumeninathan
Disciplined people
Disciplined thought
Disciplined Action
Level 5 Leadership
…so what is great?
Leaders who employ a paradoxical mix of personal humility and professional will
Set up successors for even greater success
Compelling modesty, self-effacing, understated
Leaders who employ a paradoxical mix of personal humility and professional will
Set up successors for even greater success
Compelling modesty, self-effacing, understated
5–Level 5 Executive
4–Effective Leader
3–Competent Manager
2–Contributing Team Member
1–Highly Capable Individual
Fanatically driven to produce sustainable results
More plow horse than show horse
Fanatically driven to produce sustainable results
More plow horse than show horse
5–Level 5 Executive
4–Effective Leader
3–Competent Manager
2–Contributing Team Member
1–Highly Capable Individual
Take full responsibility for poor decisions
Many people have the potential to evolve into Level 5
Extra-ordinary resultswith no attribution orClaimant – a hidden Level 5leader at work
Take full responsibility for poor decisions
Many people have the potential to evolve into Level 5
Extra-ordinary resultswith no attribution orClaimant – a hidden Level 5leader at work
Attribute success to other than themselves
Attribute success to other than themselves
First Who, Then What
Leaders began the transformation by first getting the right people on the bus (and the wrong people off the bus).
Leaders began the transformation by first getting the right people on the bus (and the wrong people off the bus).
“Who” questions came before “what” decisions - before vision, strategy, organization structure, and tactics.
“Who” questions came before “what” decisions - before vision, strategy, organization structure, and tactics.
Three practical disciplines for being rigorous:When in doubt, don’t hireWhen you know you need to make a
people decision, act
Three practical disciplines for being rigorous:When in doubt, don’t hireWhen you know you need to make a
people decision, actPut your best people on your best opportunities, not biggest problems
Put your best people on your best opportunities, not biggest problems
Leaders were rigorous, not ruthless in people decisions.
Leaders were rigorous, not ruthless in people decisions.
Management teams debate vigorously to find best answers, yet unify behind decisions.
Management teams debate vigorously to find best answers, yet unify behind decisions.“Right” person has more to do with character traits and innate capabilities than with knowledge, background, or skills.
“Right” person has more to do with character traits and innate capabilities than with knowledge, background, or skills.
“Breakthrough results come about by a series of good decisions, diligently executed and accumulated one on top of another”
Confront the Brutal Facts
Must create a culture wherein people have a tremendous opportunity to be heard and, ultimately, for the truth to be heard.
Must create a culture wherein people have a tremendous opportunity to be heard and, ultimately, for the truth to be heard.
Setting off on the path to greatness requires confronting the brutal facts of current reality.
Setting off on the path to greatness requires confronting the brutal facts of current reality.
Lead with questions, not answers
Engage in dialogue and debate, not coercion
Conduct autopsies, without blame
Build red flag mechanisms where information cannot be ignored
Lead with questions, not answers
Engage in dialogue and debate, not coercion
Conduct autopsies, without blame
Build red flag mechanisms where information cannot be ignored
Four basic practices:
Four basic practices:
Stockdale Paradox:Retain absolute faith that you can and will prevail in the end
AND
at the same time confront the most brutal facts of your current reality, whatever they might be.
Stockdale Paradox:Retain absolute faith that you can and will prevail in the end
AND
at the same time confront the most brutal facts of your current reality, whatever they might be.
Fox or the hedgehog
Hedgehogs simplify a complex world into a single organizing idea, a basic principle or concept that unifies and guides everything.
Hedgehogs see what is essential, and ignore the rest.
Hedgehogs simplify a complex world into a single organizing idea, a basic principle or concept that unifies and guides everything.
Hedgehogs see what is essential, and ignore the rest.
What you are deeplypassionate about
What you can be the best in
the world at
What drives your
economicengine
Simplicitywithinthe three circles
Getting the Hedgehog Concept takes an average of four years.
Getting the Hedgehog Concept takes an average of four years.
The right peopleEngaged in vigorous
dialogue and debate Infused with the brutal
factsGuided by questions
formed by the three circles
The right peopleEngaged in vigorous
dialogue and debate Infused with the brutal
factsGuided by questions
formed by the three circles
It is an iterative process by The Council:
It is an iterative process by The Council:
TheCouncil
All Guided by the Three Circles
Ask Questions
Dialogue &Debate
Autopsies& Analysis
ExecutiveDecisions
An IterativeProcess
Culture of Discipline
Discipline
People who “rinse their cottage cheese”
Not about a tyrant who disciplines
People who “rinse their cottage cheese”
Not about a tyrant who disciplines
Getting disciplined people who engage in disciplined thought and who then take disciplined action, fanatically consistent with three circles
Getting disciplined people who engage in disciplined thought and who then take disciplined action, fanatically consistent with three circles
Requires people who adhere to a consistent system.
Gives people freedom and responsibility within framework of that system.
Requires people who adhere to a consistent system.
Gives people freedom and responsibility within framework of that system.
Involves a duality – Freedom and discipline.
Involves a duality – Freedom and discipline.
Budgeting is to decide which arenas fit Hedgehog Concept and should be fully funded and which should not be funded at all.
Budgeting is to decide which arenas fit Hedgehog Concept and should be fully funded and which should not be funded at all.
“Stop doing” lists are more important than “to do” lists.
“Anything that does not fit with our Hedgehog Concept, we will not do.”
“Stop doing” lists are more important than “to do” lists.
“Anything that does not fit with our Hedgehog Concept, we will not do.”
Includes willingness to shun opportunities that fall outside the three circles.
Includes willingness to shun opportunities that fall outside the three circles.
Technology can be an accelerator of momentum, but not a creator of it
Technology
“Good to Great companies are pioneers in the application of carefully selected technologies”
Yet they often become pioneers in the application of carefully selected technologies.
Yet they often become pioneers in the application of carefully selected technologies.
They keep asking - Does it fit directly with your Hedgehog Concept?
Good-to-greats used technology as an accelerator of momentum, not a creator of it.
They keep asking - Does it fit directly with your Hedgehog Concept?
Good-to-greats used technology as an accelerator of momentum, not a creator of it.
Good-to-greats avoid technology fads and bandwagons.
Good-to-greats avoid technology fads and bandwagons.
Technology by itself is never a root cause of either greatness or decline.
Technology by itself is never a root cause of either greatness or decline.
“Crawl, walk, run” can be a very effective approach, even during times of rapid and radical technological change.
“Crawl, walk, run” can be a very effective approach, even during times of rapid and radical technological change.
Flywheel or doom loop
Good-to-great transformations never happened in one fell swoop.
Good-to-great transformations never happened in one fell swoop.
There was no single defining action, no grand program, no one killer innovation, no solitary lucky break, no miracle moment.
Instead they followed a predictable pattern of buildup and breakthrough.
Like pushing on a giant, heavy flywheel, it takes a lot of effort to get the thing moving at all, but . . .
There was no single defining action, no grand program, no one killer innovation, no solitary lucky break, no miracle moment.
Instead they followed a predictable pattern of buildup and breakthrough.
Like pushing on a giant, heavy flywheel, it takes a lot of effort to get the thing moving at all, but . . .
With persistent pushing . . . In a consistent direction . . . Over a long period of time . . .
With persistent pushing . . . In a consistent direction . . . Over a long period of time . . .
In good-to-great companies problems of commitment, alignment, motivation, and change largely take care of themselves.
Alignment follows from results and momentum, not the other way around.
In good-to-great companies problems of commitment, alignment, motivation, and change largely take care of themselves.
Alignment follows from results and momentum, not the other way around.
The flywheel builds momentum . .
Eventually hitting a point of breakthrough.
The flywheel builds momentum . .
Eventually hitting a point of breakthrough.
The doom loop
Disappointing resultsReaction without understandingThe tyranny of the newNo build up ... no momentum ... no breakthrough
Thank you!