After Good to Great, I had high expectations from this book, but it fell short. The research is good, but for some reason seemed outdated e.g. comparing the greatest companies of our generation and did not have a reference to Google / Apple / Microsoft which seemed odd – no fault of the book though as it was written in 1994 when Google did not even exist.
All in all, an ok read. Here are some notes from the book that in my view and not just true for companies but also individuals:
- Anybody can live off of luck for 5-10 years, but it’s very hard to live off luck for 5-10 decades.
- Resiliency i.e. the ability to pivot and bounce back is the quality of great companies not perfection.
- To be built to last, companies must be built to change.
- Create tangible mechanisms aligned to progress and stimulate the core values. Separate clock building from clock ticking and focus on the former.
- Get rid of ‘We have arrived’ syndrome i.e. complacent lethargy that everything that could have been achieved has been achieved.
- You can reach your goals even when you are stumbling, because when you are stumbling it means you’re moving.
- When things will go right, there will be 1000s of opportunities to invest resources and time. But as a leader, you should focus on the what not to pursue instead of what to pursue and have it completely aligned with the core values.
- For great visionary companies, it’s not the quality of great leadership but the continuity of great leadership that matters the most.
- Comfort is not the objective in a visionary company. Nobody ever said building a visionary company will be easy.
My favorite part of the book:
The story is of a martial artist who has completed his tasks for a black belt and is kneeling before his master. The student had trained rigorously for countless years and had finally reached the peak of his potential. The fable begins as the master converses with the student before conferring the black belt.
“Before granting the belt, you must pass one more test,” says the sensei. “I am ready,” responds the student, expecting perhaps one final round of sparring.
“You must answer the essential question: What is the true meaning of the black belt?”
“The end of my journey,” replies the student. “A well-deserved reward for all my hard work.”
The sensei waits for more. Clearly, he is not satisfied. Finally, the sensei speaks. “You are not yet ready for the black belt. Return in one year.”
A year later, the student kneels again in front of the sensei. “What is the true meaning of the black belt? ” asks the sensei.
“A symbol of distinction and the highest achievement in our art,” says the student. The sensei says nothing for many minutes, waiting. Clearly, he is not satisfied. Finally, he speaks. “You are still not ready for the black belt. Return in one year.”
A year later, the student kneels once again in front of the sensei. And again the sensei asks: “What is the true meaning of the black belt?”
“The black belt represents the beginning – the start of a never-ending journey of discipline, work, and the pursuit of an ever-higher standard,” says the student.
“Yes. You are now ready to receive the black belt and begin your work.”