Tag Archives: Jim Collins

Fall of Great Companies - Jim Collins

Jim Collins explains in five stages how top performing firms fall. This is a well known and quite obvious process, almost an archetype from Greek epics, but it is very easy to forget this process on the field. I think it is a good framework to serve as a guidepost when considering whether to act on signs of problems with a business or keep ignoring them.

Stages:
1. hubris of success
2. undisciplined pursuit for more
3. denial of risk and peril: gathering wind, coming storm
4. grasping for salvation: a process of denial takes hold and the fall happens
5. capitulation: most fall but not all, and you might even be able to come back

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June 19, 2013 · 9:23 am

Serendipity in innovation – Morten Hansen

In this short interview, Morten Hansen talks about his 2011 book co-authored with Jim Collins, Great by Choice.

The book is an account of their research that attempts to explain how companies that outperform their industry peers achieved this superior level (companies such as Amgen, Microsoft, Southwest Airlines, Biomet, Intel, etc.)

Their findings suggest that these companies are not necessarily more innovative, but they navigate uncertain environments with persistence and great ability to prepare for utilizing luck when it comes along. Hence, the key is “serendipity”.

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June 18, 2013 · 1:31 pm