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Good to Great AND THE Downtown Development Association of Lincolnton Why Business Thinking is Not the Answer
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The Good to Great Matched Pair Research Method
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Good is the Enemy of Great How do you make the Leap from Good to Great? Collins Thesis: To go from good to great you have to overcome the curse of competence
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STAGE 1: DISCIPLINED PEOPLE Level Five Leadership Getting things Done within a Diffuse Power Structure Level 5 leaders are ambitious first and foremost for the cause, the organization, the worknot themselvesLevel 5 leaders are ambitious first and foremost for the cause, the organization, the worknot themselves Have a fierce resolve to do whatever it takes to make good on that ambition.Have a fierce resolve to do whatever it takes to make good on that ambition. Display a paradoxical blend of personal humility and professional will.Display a paradoxical blend of personal humility and professional will.
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Level 5 Leadership Hierarchy
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STAGE 1: DISCIPLINED PEOPLE First Who … Then What Getting the Right People on the Bus within Social Sector Constraints Those who build great organizations make sure they have the right people on the busThose who build great organizations make sure they have the right people on the bus the wrong people off the busthe wrong people off the bus and the right people in the key seats before they figure out where to drive the bus.and the right people in the key seats before they figure out where to drive the bus. Always think first about who and then about what.Always think first about who and then about what.
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STAGE 2: DISCIPLINED THOUGHT Confront the Brutal Factsthe Stockdale Paradox. Retain unwavering faith that you can and will prevail in the end, regardless of the difficulties,Retain unwavering faith that you can and will prevail in the end, regardless of the difficulties, AND AT THE SAME TIME have the discipline to confront the most brutal facts of your current reality, whatever they might be.AND AT THE SAME TIME have the discipline to confront the most brutal facts of your current reality, whatever they might be.
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STAGE 2: DISCIPLINED THOUGHT The Hedgehog Concept Rethinking the Economic Engine Without a Profit Motive Greatness comes about by a series of good decisions consistent with a simple, coherent concepta Hedgehog Concept.Greatness comes about by a series of good decisions consistent with a simple, coherent concepta Hedgehog Concept. The Hedgehog Concept is an operating model that reflects understanding of three intersecting circles:The Hedgehog Concept is an operating model that reflects understanding of three intersecting circles: 1. what you can be the best in the world at, 1. what you can be the best in the world at, 2. what you are deeply passionate about, and 2. what you are deeply passionate about, and 3. what best drives your resource engine 3. what best drives your resource engine
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Hedgehog Concept
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Resource Engine in the Social Sectors American Cancer Society Special Olympics II Local Church Local Church Nature Conservancy Teach for America III Mega Church Girl Scouts Girl Scouts NYC Opera NYC Opera Share Our Strength Harvard College Private Schools Boys and Girls Clubs Boys and Girls Clubs I Charter Schools Charter Schools K-12 Schools K-12 Schools NASANYPD EPA LOWIV Mayo Clinic Red Cross Goodwill Carolina Medical Center Depend on Business Revenue Depend Upon Charitable Donations and Private Grants HIGH LOW HIGH
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STAGE 3: DISCIPLINED ACTION Culture of Discipline. Disciplined people who engage in disciplined thought and who take disciplined actionDisciplined people who engage in disciplined thought and who take disciplined action operating with freedom within a framework of responsibilitiesoperating with freedom within a framework of responsibilities are the cornerstone of a culture that creates greatness.are the cornerstone of a culture that creates greatness. In a culture of discipline, people do not have jobs; they have responsibilities.In a culture of discipline, people do not have jobs; they have responsibilities.
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STAGE 3: DISCLIPINED ACTION The Flywheel In building greatness, there is no single defining action, no grand program, no one killer innovation, no solitary lucky break, no miracle moment.In building greatness, there is no single defining action, no grand program, no one killer innovation, no solitary lucky break, no miracle moment. Rather, the process resembles relentlessly pushing a giant heavy flywheel in one direction, turn upon turn, building momentum until a point of breakthrough, and beyond.Rather, the process resembles relentlessly pushing a giant heavy flywheel in one direction, turn upon turn, building momentum until a point of breakthrough, and beyond.
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The Flywheel In the Social Sectors Attract Believers Time Money Build Strength First Who Clock Building Demonstrate Results -Mission Success -Trend Lines Build Brand -Emotion -Reputation
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STAGE 4: BUILDING GREATNESS TO LAST Clock Building, Not Time Telling Build an organization that can adapt through multiple generations of leadersBuild an organization that can adapt through multiple generations of leaders the exact opposite of being built around a single great leader, great idea or specific program.the exact opposite of being built around a single great leader, great idea or specific program. Leaders in great organizations build catalytic mechanisms to stimulate progress,Leaders in great organizations build catalytic mechanisms to stimulate progress, They do not depend on having a charismatic personality to get things done; indeed many had a charisma bypassThey do not depend on having a charismatic personality to get things done; indeed many had a charisma bypass
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STAGE 4: BUILDING GREATNESS TO LAST Preserve the Core and Stimulate Progress. Enduring great organizations are characterized by a fundamental duality:Enduring great organizations are characterized by a fundamental duality: –They have a set of core values and a core reason for being that remains constant –They have a relentless drive for change and progress Great organizations keep clear the difference between their core values (which never change) and operating strategies and cultural practices (which endlessly adapt to a changing world)Great organizations keep clear the difference between their core values (which never change) and operating strategies and cultural practices (which endlessly adapt to a changing world)
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Final Thought The single most important point in Good to Great is that Greatness is not a function of circumstance. Greatness, it turns out, is largely a matter of conscious choice, and discipline.The single most important point in Good to Great is that Greatness is not a function of circumstance. Greatness, it turns out, is largely a matter of conscious choice, and discipline. Even when you face the brutal facts of your current reality. You can build a pocket of greatness.Even when you face the brutal facts of your current reality. You can build a pocket of greatness.
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Collins Quotation Collins Quotation The confusion between inputs and outputs stems from one of the primary differences between business and the social sectors. In business money is both an input (a resource for achieving greatness) and an output (a measure of greatness) In the social sectors money is only an input and not a measure of greatness The confusion between inputs and outputs stems from one of the primary differences between business and the social sectors. In business money is both an input (a resource for achieving greatness) and an output (a measure of greatness) In the social sectors money is only an input and not a measure of greatness
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Collins Quotation Social Sector leaders are not less decisive than business leaders as a general rule; they only appear that way to those who fail to grasp the complex governance and diffuse power structures common to social sectors Social Sector leaders are not less decisive than business leaders as a general rule; they only appear that way to those who fail to grasp the complex governance and diffuse power structures common to social sectors
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