Summary: How the Mighty Fall E-Book

BusinessNews Publishing

• Herausgeber: Business Book Summaries
• Kategorie: Fachliteratur
• Sprache: Englisch

Seitenzahl: 32

Veröffentlichungsjahr: 2013

Beschreibung

The must-read summary of Jim Collins' book: "How the Mighty Fall: and Why Some Companies Never Give In"

This complete summary of the ideas from "How The Mighty Fall" shows that no successful business is immune from failure, regardless of previous performance. Providing you with a clear overview of the five stages of failure, as well as with a checklist for each stage, this useful summary gives you the tools needed to identify the warning signs of failure in your own company and enables you to act in time to save it. 

Added-value of this summary: 
• Save time 
• Understand key concepts 
• Increase your business knowledge

To learn more, read "How the Mighty Fall" and prevent failure in your business. 

Leseprobe

Book Presentation:How The Mighty Fall by Jim Collins

Summary of How The Mighty Fall (Jim Collins)

Book Presentation:How The Mighty Fall by Jim Collins

Book Abstract

MAIN IDEA

Why is it that sometimes, previously successful companies stumble and fail? Recent events in the financial markets have shown that no matter how great your organization is at the present time or has been in the past, it’s not inevitable that you will automatically remain strong forever. Anyone can fall – and most eventually do. To stave off that decline, you need to be picking up on the early warning signals and reverse your course while you still have time and resources to act.

In particular, corporate and institutional decline tends to follow a well mapped five stage process like this:

If you are aware of the five stages of corporate decline which companies always tend to move through in sequence and pick up on the subtle clues which may be arising in your organization at the present time, you can get to work applying the brakes early and reverse course. Above all, you can avoid self-inflicted decline.

“Whether you prevail or fail, endure or die, depends more on what you do to yourself than on what the world does to you.”

– Jim Collins

About the Author

JIM COLLINS has researched companies over the past decade. He studies how companies grow, how they achieve superior performance and how good companies make the transition to greatness. His research findings have been documented in four books he has authored or co-authored including Builtto Last and Good to Great. He is the founder of a business management laboratory. Dr. Collins is a graduate of Stanford University in addition to holding honorary doctorates from the University of Colorado and Claremont Graduate University.

Mr. Collins’s Web site is at www.JimCollins.com.

Important Note About This Ebook

This is a summary and not a critique or a review of the book. It does not offer judgment or opinion on the content of the book. This summary may not be organized chapter-wise but is an overview of the main ideas, viewpoints and arguments from the book as a whole. This means that the organization of this summary is not a representation of the book.

Summary of How The Mighty Fall (Jim Collins)

Stage 1 – Hubris of Success

When companies are in rapid growth mode, they can sometimes get insulated by success. After a while, leaders start believing their own PR and then lose touch with customers. Arrogance kicks in when companies lose sight of what factors generated success in the first place, especially luck.

Successful companies just can’t help but become arrogant, even when success is the result of an amazing amount of luck. Whenever that happens, a cycle starts which goes something like this:

You build a product which is an enormous success and generates impressive revenuesYou get bored with your product and start looking at other more glamorous business opportunitiesYou divert creative energy to your new product rather than improving your existing productYour new ventures fail outright or take longer than expected to ramp upYour turn back to your original product to find it under attack from competitors who are intense

It’s noteworthy your original product most likely succeeded because it met some fundamental human or business need. Those needs rarely if ever become obsolete. You probably excelled because you became the best in the world at doing what you do, but while you were off dabbling in other things, you left room for new competitors to come in with a tight focus on serving that basic need. In practice, it’s always hard to keep paying attention to improving and evolving your existing core business. The irony is your best opportunities to grow probably lie in your core business anyway.