Good to Great by Jim Collins

4/11/2019

Today’s session was a  discussion based on the book that Good to Great by Jim Collins. I took some notes while reading the book-

The discussion revolved around some of the questions I had regarding the point made by Collin. The first one I asked Furman was, “do you believe in First who and then what idea?” Furman totally believes in this idea and he gave several examples to support this fact. He says that getting right people on the ship is important because that helps drive the future.

During this session, Furman helped me clarify what is different between Self-doubt and Self-confidence. He asked me several questions which led me believe that sometimes  it is just self-doubt because I think that I am under-prepared or may not have answers to the questions asked by others. But he helped me understand that there is nothing wrong in saying that- you don’t know the answer. He helped me see that sometimes over thinking about you for being wrong or not being able to come up with a solution leads to self-doubts.

Three take aways from this meeting were-

• ·       First Who then what works very well if you know ow strength of your people
• ·       It is important to recognize your passion because that’s what drives you forward
• ·       It is Ok to say that I don’t know the answer

• Other notes from the book-

Level 5 Leadership – Collins’ research team found that the first ingredient for greatness was a leader with a “paradoxical blend of personal humility and professional will.” leaders are an unusual blend of ambition and humility,"more like Lincoln and Socrates than Patton or Caesar".Level 5 leaders intentionally keep a low profile, "ordinary people quietly producing extraordinary results".
Such leaders do not seem outwardly ambitious, because they channel their drive and determination into securing the long-term success of their company. ..Reluctant to talk about themselves, instead pointing to other people who have made a contribution. These leaders also share a passion for the products their firm create, however commonplace.

The next important point was First who… Then what – The second step that great companies took was ensuring that the right people were involved… this part of the framework emphasizes having the right people even before deciding where the organization is headed. In a nutshell: “Get the right people on the bus, the wrong people of the bus, and the right people in the right seats – and thenfigure out where to drive it.” if you have the right people from the beginning, they will be able to adapt to any changes in direction or strategy. …You will not have to motivate them because they share the desire to achieve greatness, and therefore are already motivated. Leaders don’t rush to results or be judgemental-invest time in determining what is wrong. Engage with guided questions as opposed to answers

Confront the Brutal facts – This boils down to facing reality in order to truly make good decisions about the direction of the organization. ….great organizations also maintained unwavering faith that they would prevail no matter how harsh the reality proved to be.

The Hedgehog Concept – A core component of the framework, the hedgehog concept requires organizations to base their strategy on three dimensions: 1. What you can be best in the world at, 2. What drives your economic engine, and 3. What you are deeply passionate about.

A Culture of Discipline – Collins believes that bureaucracy and hierarchy are only necessary when the wrong people are on the bus. In a culture of discipline the right systems are in place yet there is sufficient freedom for people to deliver results.Dual discipline- adhere to system but give them freedom

The Flywheel and Doom Loop concept then goes on to explain that companies never make a leap from good-to-great with a magnificent moment or grand program. It comes down to consistently building momentum until there is a breakthrough.

The most important take away for me were-

Collins has a 3-circle model to test for greatness. The first circle is awareness of what you can be the best in the world at. This involves a realistic appreciation of your abilities; it is not about letting your ego run wild. Neither will it involve simply what you are competent at; what you have been doing for years may not be what you can be great at. The second circle is what drives your economic engine i.e. where exactly your profit comes from in the most abundance. The third circle is passion: very simply, doing only what you are deeply passionate about. If you can find something that you really can be best in the world at, that you love doing and that makes you money - you have the beginnings of a great enterprise. If you have two out of three, you are likely to be merely successful, not great.