More on the Right People
In the book, “Good to Great- Why Some Companies Make the Leap and Others Don’t” by Jim Collins (Harper Business), the Collins associates reviewed 2500 publicly traded companies looking for any companies with SUSTAINED economic performance that exceeded not just their industry segment, but the entire MARKET for a period of 15 consecutive years. They found 11. These eleven companies were from differing industries like Grocery, Banks, Durable Goods Manufacturing, Retail, Personal Care etc. So there wasn’t any particular industry that you could point to and say THAT’S the most profitable one.
Anyway, after the research team found this hearty group of sustained peak performers they studied them (a la Maslov) to find out why they were successful and more importantly to determine if there was there anything similar about how these companies operated that they had in common. If so, maybe it could be duplicated. They found 9 similarities.
One of these was the principle that finding the RIGHT people is critical to long term sustained success, and making sure these people are in the right spots is equally important.
Now remember back when I said in the seminars I’ve led, over 20 years, I ask the question: “How important is it to find the right people?” I told you that the common response is “it’s everything,” “it’s extremely important” etc.
So if business executives and managers believe this, why do they also say that employee turnover is too high, or that their people are only giving 50% of their potential effort to their jobs, or only achieving 60% of their potential on the job? (These all came a survey I did over 5 years)
The answer, in part, has to do with this principle, which the Collins team called “First Who, Then What.”
What’s the secret? In the companies in the study, it is patience, mostly. The willingness to NOT hire until the RIGHT person is found.
I could say more here but then you wouldn’t hire me to help you if I did.
If you want a shot at your company becoming like these eleven, let’s talk.
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