Summary of Good to Great

Summary of Good to Great

Jim Collin's Good to Great examines companies that have not only endured over time, but who managed the transition from being good companies to becoming outstanding performers. The eleven companies found to have taken this leap managed to outperform the stock market 6.9 times over fifteen years. The author set out to understand what distinguished great organizations from a carefully selected group of companies that did not make the grade.
The research team came up with some unexpected outcomes. At the time of the transition from Good to Great all eleven companies were being led by Level 5 Leaders. These people showed a unique combination of humility and professional will. They were prepared to do anything necessary for the benefit of the organization.
Level 5 Leaders started out, not by plotting the direction of the company, but by ensuring that they had all the right people in the right positions. Then they confronted the brutal facts of their organization, and used this knowledge to ensure that they chose the right direction for the firm. Knowing what the organization should be doingand equally importantly what it should not be doingthey stuck stubbornly to the plan even when they were in dire circumstances. The culture of discipline within the organization ensured that the path to excellence would eventually be met. Patience, endurance and discipline, doggedly sticking only to what the company did best, resulted in outstanding results.
This investigation of what distinguished the great from the mediocre is an excellent study of what is needed to build great organizations.

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