Being one of the finest business reads, In Search Of Excellence is a must-read.

1. SHIVANI SETHI
CMBA5/1513

2. About the Authors :
Thomas J. Peters
 Thomas J. ‘Tom’ Peters is an American writer on Business
Management Practices.
 He’s an MBA and Ph.D. from Stanford Business School- received an
honorary doctorate from State University of Management in
Moscow.
 Worked as a management consultant at McKinsey and Company.
 Was referred to in British Department of Trade and Industry (DTI) as
one of the world’s Quality Gurus.
 Known as ‘Father of the Post-Modern Corporation’.
 Chairman of Tom Peters Company.

3. About the Authors :
Robert H. Waterman, Jr.
 Robert H. Waterman, Jr. is a non-fiction writer and an expert in business
management practices.
 Earned his MBA from Stanford University and the Degree in Geophysics from
the Colorado School of Mines.
 Serves as the Chairperson of RLS Foundation; also serves on the boards of the
World Wildlife Fund, Scleroderma Research Foundation, ASK Group, Boise
Cascade and McKesson.
 Currently directs his own company, The Waterman Group, Inc.

4. About the book -
 In Search Of Excellence is an international best-selling book written by
Thomas J Peters and Robert H Waterman, Jr.
 Published in the year 1982.
 Biggest selling and most widely read business book, ever- selling 3 million
copies in its first four years
 Most widely held business book in the United States from 1989 to 2006.
 Book explores the art and science of management used by leading
1980’s companies with records of long term profitability and continuing
innovation.
 Focusses on 8 common themes responsible for the success of selected
companies.

5. McKinsey 7-S Model Elements
 Structure
 Strategy
 Systems
 Style of Management
 Skills- corporate strengths
 Staff
 Shared Values

6. The Core Principles- The 8
Important Lessons
 A Bias for Action.
 Staying close to the customer.
 Autonomy and Entrepreneurship.
 Productivity through people.
 Hands-on, Value driven.
 Stick to the knitting.
 Simple form-lean staff.
 Simultaneous loose-tight properties.

7. Lesson One : A Bias for Action
This is about getting things done. There must be a free flow of information
and open communication. The open and informal communication is more
flexible and is able to take quicker action to institute changes needed to
keep up in today’s business world.

8.  “Management needs to get out of the office and out and about to
communicate with the people of the organization. Small groups, or
action oriented task forces can tackle projects or problems quickly
and not get bogged down in bureaucracy.”
 “Don’t be afraid to experiment. Successful companies who want to
get things done are not afraid to try things , to experiment. Again,
the flexible and informal organization is the context in which ‘trying
something new’ will work.”

9. Lesson Two : Staying Close To The
Customer
It’s obvious that business needs customers, but many forget about their
customers. Successful companies have an obsession about the
customers, usually pertaining to quality, reliability or service. Excellent
quality and reliability will make a satisfied customer. Great service will
keep the customer coming back.

10. Lesson Three : Autonomy and
Entrepreneurship
Sometimes it takes a champion to take an idea or process and keep at
it through numerous failures until success is reached. The organization
that is flexible and supportive of the creative process will be successful
in the long run. The excellent company must foster in-house
competition, with intense communication and be able to tolerate the
failures.

11. Lesson Four : Productivity Through
People
People need to be treated as adults. If workers are treated as Partners,
with dignity and respect, this will create the primary source of
productivity and gains.

12. “ Companies that develop a philosophy and lives the philosophy that
involves everyone within the organization with the overall success of
the company will become better for it.”
“Management by wandering around and an apparent lack of rigid
command chains will foster better communication and exchange of
ideas. This will eventually increase productivity.”

13. Lesson Five : Hands On, Value
Driven
Excellent companies make a serious issue to shape values. The right
values clearly expressed will help define the organization. It is difficult to
teach values through written policy statements. Stories, myths and
legends will go a way to transmit the organization’s value system. The
values of an organization compare to the vision of today’s modern
companies.

14. Lesson Six : Stick to the Knitting
Do not champion mindlessly holding on to yesterday, diversification is a
good thing. But organizations that branch out remaining somewhat
close to their primary skills will be more successful.
“Many acquisitions take up the important time of top executives as
they try to learn and control the new company and the synergy that
was thought to exist does not pan out. Excellent companies acquire in
an experimental way, buying small or starting new, willing to get out if it
fails.”

15. Lesson Seven : Simple Form, Lean
Staff
The size of a company can make it complex, but you need to work at
making things for the Tens, Hundreds or Thousands who are the people
who are making things happen, few administrative layers and few people
at the upper level.
“Excellent companies are flexible when dealing with fast changing
conditions. A company needs to be efficient in the basics, innovate on a
regular basis and is responsive to threats.”

16. Lesson Eight : Simultaneous loose-
tight properties
This is the coexistence of the firm’s central direction and individual
autonomy. Companies that are loose-tight may be rigidly controlled,
but they still foster entrepreneurship and innovation with the ranks. The
climate will foster dedication to the core values of the company, while
tolerating and empowering those same employees.

17. Conclusion
So far, In Search Of Excellence has been considered as one of those
business-reads, and has been one of the best selling books of those
times, It helps the Business grow.
Thank You! 