Becoming Great only BEGINS with the Right People
In his book “Good to Great” Why Some Companies Make the Leap… and Others Don’t”, Jim Collins studied 2500 publicly traded companies looking for the ones that were able to achieve and sustain earnings that were 300 % better than the the Stock Market over a 15 year span or more. He and his research team of 21 people identified 11 companies that met the criteria. They then set out to determine if these companies had anything in common that caused their success.
They found amazing similarities. One of which was how much emphasis, call it passion, these companies had for finding the right people. In fact, in the book this aspect of success was entitled “first who- then what”.
The idea being that before you decide what to DO, you should have the RIGHT people.
The book uses the metaphor of the company as a Bus. The point is to have the right people , but in the right seats, on the bus.
Here’s myth that was blown out of the water by the Collins Team. Character was more important than competence when it comes to selecting people. WHO the people were was even decided before the VISION was established. And they found no direct correlation between Executive Compensation and the transformation from being a Good company to becoming a Great one.
And finally, the old idea that “People are the most important asset” is wrong.
The RIGHT people are the most important.