The document summarizes key findings from Jim Collins' book "Good to Great". It discusses that some companies are able to make the leap from good to great while others do not. It identifies several factors that helped companies transition, including having Level 5 leadership with professional will and personal humility, getting the right people in leadership positions before defining strategies, confronting brutal facts about performance, focusing resources in areas of greatest strength or "hedgehog concept", developing a culture of discipline, and building momentum slowly over time like a flywheel rather than trying to force quick changes.

1. WHY SOME COMPANIES
MAKE THE LEAP . . .
AND OTHERS DON'T

2. INTRODUCTION
 ‘Good to Great’, was originally published in
2001.
 Good to Great is not a book, it is a research
work done by Jim Collins along with his
team of 21 members
 The Research work is about 1435
companies. Examine their performance,
Find the companies that became great.
 The idea behind the book is “Good is never
enough”.

3. 1.GOOD IS THE ENEMY OF GREAT
 Don’t settle for good. Demand Great.
 Focus Equally
 What to do
 What not to do
 What to stop doing
 Merger & Acquisitions play no role in igniting
a transformation from Good to Great
 Technology has nothing to do with a
transformation from Good to Great

4.  Strategy did not separate the Good-to-Great
companies from comparison companies.
 Celebrity leaders not required
 Good-to-Great companies paid attention on
 Motivating people
 Managing change
 Creating alignment (linkage of organizational
goals with employees personal goals)
 The Timeless Physics.

5. 2. LEVEL 5 LEADERSHIP
Level 5 leaders channel their ego needs away
from themselves and into the larger goal of
building a great company.
 Level 5 Leaders are incredibly ambitious, but
the ambition is to
 Build Great company
 Produce Great long term results
 Setting up successors for success
 Ambition first and foremost for the company
rather than one’s own riches

6. HUMILITY + WILL = LEVEL 5
Traits of a Level 5 leader :-
 Modest
 Wilful
 Humble
 Fearless
 Quiet
 Reserved
 Mild Mannered

7. TWO SIDES OF LEVEL 5 LEADERSHIP
Professional Will
 Creates superb results.
 Strong resolve to
produce best long term
results.
 Sets standards for
building an enduring
great company.
 Takes responsibility for
poor results.
 Looks into the mirror,
not out of the window
Personal Humility
 Modest, never boastful.
 Quiet, Calm. Relies on
inspired standards not
inspiring charisma.
 Channels ambition into
company not self.
 Credit of the success to
others, external factors,
good luck.
 Looks out the window,
not in the mirror.

8. 3. FIRST WHO… THEN WHAT
No new vision or strategy instead get right people
on the bus, wrong off the bus and right people in
right seats.
People are your most important asset
Right people are the most important asset
If you begin with the “who,” rather than the “what,”
you can more easily adapt to a changing world.

9.  Good-to-Great companies are rigorous :-
 When in doubt, don’t hire keep looking.
 When you need a change of people, Act.
 Put best people on your biggest opportunities not on
your biggest problem.

10. 4. CONFRONT THE BRUTAL FACT
(NEVER LOSE FAITH)
Good-to-Great companies had discipline, to
confront the most brutal facts of the current reality
 Creating a climate where truth is heard:-
 Lead with questions, not answers.
 Engage in dialogue and debate, not coercion.
 Conduct autopsies, without blame.
 Create Red Flag Mechanism
 A key psychology for leading from Good-to-Great is
the Stockdale Paradox.

11. 5. THE HEDGEHOG CONCEPT
 The Hedgehog concept is not a goal, strategy
or intention.
 Three Key Dimensions
 What are you deeply passionate about
 What you can be the best in the world at
 What drives your economic engine
 The Key is to understand what your organization can
be best at.

12. 6. A CULTURE OF DISCIPLINE
 All companies have cultures
 Some companies have discipline
 But, few companies have culture of discipline
Disciplined people : Hierarchy not required
Disciplined thought : Bureaucracy not required
Disciplined action : Excessive controls not required
 A Culture of discipline involves duality
 Requires people who adhere to a consistent system
 Gives people freedom and responsibility

13. 7. TECHNOLOGY ACCELERATORS
 Great companies have a different approach
towards technological change
 Technology is never used as a primary means of
transportation from good to great
 But, the application of technology is carefully
selected
 Across 84 interviews, 80 percent executives didn't
mention technology as one of the top five factors in
the transformation.

14. 8. THE FLYWHEEL AND THE DOOM LOOP
 The Flywheel effect
 Good-to-Great transformation never happened in
one fell swoop
 There was no single action, no grand program,
no lucky break, no miracle moment.
 Instead they followed a pattern from build-up to
break-trough

15.  The Fly-wheel pattern is
 Like, pushing on a giant, heavy flywheel, it takes a
lot of effort to get the things moving at all, but…
 But, with persistent pushing…
 in a consistent direction…
 Over a long period of time…
 The flywheel builds momentum…
 Eventually hitting a point of breakthrough.

16.  The Doom Loop
 The Comparison companies followed a different
pattern
 They tried to skip the build-up and jump to
breakthrough
 Then, with the disappointing results they failed to
maintain consistent results

17. Book review given
by:-
 03 – Ofer Ashtamkar
 27 – Nikhil Kadam
 64 – Omkar Zagade