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Good To Great : Why Some Companies Make The Leap and Others Don't, by Jim Collins
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Destined to be the business publishing event of the year, or even the decade, this is the long awaited new book by the co-author of Built To Last. In it, Jim Collins shares his latest long-term research - and shows how even mediocre companies can become long-term world beaters.
Jim Collins has become a best-selling classic business author, with 590,000 copies sold to date, and has been translated into 17 languages.
- Sales Rank: #177882 in Books
- Brand: Random House Business Books
- Published on: 2001-10-17
- Original language: English
- Number of items: 1
- Dimensions: 9.45" h x 1.18" w x 6.30" l,
- Binding: Hardcover
- 324 pages
- Random House Business Books
Amazon.com Review
Five years ago, Jim Collins asked the question, "Can a good company become a great company and if so, how?" In Good to Great Collins, the author of Built to Last, concludes that it is possible, but finds there are no silver bullets. Collins and his team of researchers began their quest by sorting through a list of 1,435 companies, looking for those that made substantial improvements in their performance over time. They finally settled on 11--including Fannie Mae, Gillette, Walgreens, and Wells Fargo--and discovered common traits that challenged many of the conventional notions of corporate success. Making the transition from good to great doesn't require a high-profile CEO, the latest technology, innovative change management, or even a fine-tuned business strategy. At the heart of those rare and truly great companies was a corporate culture that rigorously found and promoted disciplined people to think and act in a disciplined manner. Peppered with dozens of stories and examples from the great and not so great, the book offers a well-reasoned road map to excellence that any organization would do well to consider. Like Built to Last, Good to Great is one of those books that managers and CEOs will be reading and rereading for years to come. --Harry C. Edwards
From Publishers Weekly
In what Collins terms a prequel to the bestseller Built to Last he wrote with Jerry Porras, this worthwhile effort explores the way good organizations can be turned into ones that produce great, sustained results. To find the keys to greatness, Collins's 21-person research team (at his management research firm) read and coded 6,000 articles, generated more than 2,000 pages of interview transcripts and created 384 megabytes of computer data in a five-year project. That Collins is able to distill the findings into a cogent, well-argued and instructive guide is a testament to his writing skills. After establishing a definition of a good-to-great transition that involves a 10-year fallow period followed by 15 years of increased profits, Collins's crew combed through every company that has made the Fortune 500 (approximately 1,400) and found 11 that met their criteria, including Walgreens, Kimberly Clark and Circuit City. At the heart of the findings about these companies' stellar successes is what Collins calls the Hedgehog Concept, a product or service that leads a company to outshine all worldwide competitors, that drives a company's economic engine and that a company is passionate about. While the companies that achieved greatness were all in different industries, each engaged in versions of Collins's strategies. While some of the overall findings are counterintuitive (e.g., the most effective leaders are humble and strong-willed rather than outgoing), many of Collins's perspectives on running a business are amazingly simple and commonsense. This is not to suggest, however, that executives at all levels wouldn't benefit from reading this book; after all, only 11 companies managed to figure out how to change their B grade to an A on their own.
Copyright 2001 Cahners Business Information, Inc.
From Booklist
Collins is coauthor of Built to Last: Successful Habits of Visionary Companies (1994), the widely heralded book that was the result of a six-year research project conducted by Collins and Jerry Porras. They identified 18 companies that met their rigorous standard for long-term performance. They looked for companies that had outperformed the stock market by a factor of 15 starting from 1926. Then they went about the task of identifying what these companies had in common. Now Collins turns his attention to companies that have made the transition from "good to great." This time the findings are backed by five years of research and data analysis. Starting with every company that ever appeared in the Fortune 500, Collins identifies 11 companies that had 15-year cumulative stock returns at or below the general stock market when, after a transition point, they then demonstrated cumulative returns of at least three times the market over the next 15 years. Collins then looked for similarities among the companies. What he found would both surprise and fascinate anyone involved in management. David Rouse
Copyright © American Library Association. All rights reserved
Most helpful customer reviews
7 of 7 people found the following review helpful.
... into these companies and see what really makes them great. With that said
By J. Torres
Jim Collins uses a systematic approach to look in depth into these companies and see what really makes them great. With that said, there are a couple companies that should either be reevaluated or may have not “keep up with the times”. Case in point, Circuit City & Fannie Mae. Though business is volatile and anything can happen but with as much analysis as his team should have done, there should have been some sort of “take away” from this. The book has many one liners that make remembering key points easier. Using his criteria for the “good to great selection process” makes his data and analysis much more substantial then someone just spouting what they “feel” makes a great company.
This is still, form my point of view, a great book to read as there are many things that are very useful. Jim references the UCLA bruins winning a NCAA championship and remarking that even though their coach John Wooden was a legend he had coached the team for 15 years before their first championship. Greatness takes time to mold and create and doesn’t happen over night. What I took as some of the best advice, “…every good-to-great transformation followed the same basic pattern – accumulating momentum, turn by turn of the flywheel – until buildup transformed into breakthrough.” The book is filled with many motivational and good forms of advice to follow which can in fact help drive a good company to greatness.
0 of 0 people found the following review helpful.
they compared each company to a direct comparison to figure out what the great companies did to make the "leap" that the good ..
By justin
Jim Collins starts out with this book by explaining how he conducted his extensive research with his team to find companies who've sustained at least 3 times the market of cumulative returns over the course of 15 or more years. After they found 11, they compared each company to a direct comparison to figure out what the great companies did to make the "leap" that the good direct companies didn't.
The book was broken down into 6 main points where the first 3 were to build up and set the foundation of the company through Level 5 Leadership, choosing the right people, and Confronting the Brutal Facts while accepting them and never giving up. The next 3 explained the breakthroughs of the companies by using the Hedgehog Concept, Culture of Discipline, and Technology Accelerators.
Collins does a great job relating to the readers by using examples to explain his concepts. For example, he named a chapter "The Hedgehog Concept" and explained how great companies focused all challenges and dilemmas into simple ideas, instead of branching out into different, complex principles. He also makes use of graphs and diagrams to help his readers understand and visualize points he is trying to make.
Overall, Jim Collins writes an enjoyable book that even students can comprehend, yet CEOs can use to benefit their company.
1 of 1 people found the following review helpful.
Intersting Read Not Just For Those In Management
By Chris J.
Jim Collins presents many interesting business concepts throughout Good to Great. The research conducted for this book is complicated however Collins simplifies the process to more clearly explain why some things were included or omitted. Through the research, many concepts are presented and then emphasized using comparisons between two similar companies. At times the transformation of a specific company solely based on use of the concepts seems hard to believe. However Collins does give enough evidence to support the importance of the concepts to be used as tools to help the company transition from good to great. The concept being the most important in my opinion was having upper management to be brutally honest. Many companies fail to face the facts and it's easy to see in this book the consequences. The book was published about 15 years ago and since then one of the “great” companies has gone out of business (Circuit City) and another one is currently in trouble (Wells Fargo). So it is interesting to analyze what concepts the companies stopped implementing that made them so successful years ago. Overall this book was an interesting and easy to understand read that appeals to not just those in upper management, but also to those who want to know what can make a company great.
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