Growing a business in tough times? Five myths, busted.
Lessons from Jim Collins and Morten Hansen’s book, Great By Choice.
Great By Choice explains how to grow a business and make it saleable. It changes an owner’s mindset about what makes a business great.
Collins and Hansen compared “10X” companies, ones that beat their industry by at least ten times in turbulent conditions, with similar companies that didn’t. What they found busts some entrenched myths.
🎧 Prefer to listen?
Mike House and I talk about thinking, and taking action, under pressure in Series 1, Episode 4 of the Business Ready For Sale podcast: Triaging Pressure.
The myths, and what the research found
Myth #1: Successful leaders in a turbulent world are bold, risk-seeking visionaries.
WRONG!
The best leaders didn’t have a crystal ball. They watched what worked, worked out why, and built on proven foundations.
They weren’t bolder or more creative than their rivals. They were more disciplined, more evidence-based and more wary.
Myth #2: Innovation is what sets successful companies apart.
WRONG!
The winners did innovate, a lot. But they weren’t always more innovative than the comparison companies. Some were less.
What mattered more was the ability to scale innovation: blending creativity with discipline.
Myth #3: A threat-filled world favours the speedy.
WRONG!
Treating every decision as urgent is a good way to come undone. The 10X leaders worked out when to go fast, and when not to.
Myth #4: Radical change on the outside requires radical change on the inside.
WRONG!
The 10X companies changed LESS in response to their changing world than the comparison companies did.
Just because your environment is in turmoil doesn’t mean you should turn your own business upside down.
Myth #5: The most successful businesses have a lot more good luck.
WRONG!
Both groups had similar amounts of luck, good and bad. The difference was what they DID with the luck they got.
This is a recommended “Must Read” book! What do you think of the findings? Leave a comment below.
Don’t grow it alone
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