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From
Good to
the Great
for UMKM
Manajemen UMKM
• Strategy did not separate the good-to-great companies from the comparison
companies. Both sets of companies had well-defined strategies, and there is no
evidence that the good-to-great companies spent moretime on long-range strategic
planning than the comparison companies.
• The good-to-great companies did not focus principally on what to do to become
great; they focused equally on what not to do and what to stop doing.
• Technology and technology-driven change has virtually nothing to do with igniting a
transformation from good to great. Technology can accelerate a transformation,
but technology cannot cause a transformation .
What’s inside
the
Black Box
GREAT RESULT
GOOD RESULT
What’s inside
the
Black Box
GREAT RESULT
GOOD RESULT
Implementation
and Action
Disciplined People: Level 5 Leadership …
Level 5 Leadership. Karakter the good-to-great
leader memiliki self effacing, quiet, reserved.
Jelasnya, the good-to-great leader merupakan
perpaduan paradoksal antara personal humility
dan professional will.
“Get the right people on
the bus and in the right
set” Jim Collins.
Humility is the personal honesty that you, as the
leader, do not know everything and do not have all the
answers. Humility enables you to question people’s
flattery, to admit your mistakes and weaknesses, and
to be more open to other’s opinions and challenges to
your viewpoints.
A professional will is a plan for what happens if we
die suddenly or become incapacitated without
warning. It helps those whom we designate to
respond to our clients' needs and to the unfinished
business of our practice.
Humility +
Will = Level
5
Leadership
LEVEL 5 LEVEL 5 EXECUTIVE
Membentuk kehebatan diri secara terus
menerus melalui persenyawaan paradoksikal
antara humility dan professional will.
LEVEL 4 EFFECTIVE LEADER
Komitmen untuk menjadi katalisator untuk
mendorong terwujudnya visi yang jelas dan
menstimulasi standar kinerja yang tinggi.
LEVEL 3 COMPETENT MANAGER
Mengorganisasikan orang dan sumber daya
menuju terwujudnya target secara efektif dan
efisien.
LEVEL 2 CONTRIBUTING TEAM MEMBER
Mendorong kapabilitas individu agar
berprestasi dan bekerja secara efektif dengan
orang lain.
LEVEL 1 HIGHLY CAPABLE INDIVIDUAL
Membuat kontribusi produktid
melalui talenta, knowledge, dan
good work habits.
Personal Humility
• Menunjukkan kesederhanaan,
menarik (charm), menghindari publik
dan sanjungan, tidak pernah
sombong.
• Kaya dengan ketenangan, tekad hati
yang kuat, bergantung terutama
pada standar yang inspiratif,
• Berkarisma, kaya dengan inspirasi
untuk memotivasi.
• Berambisi menjadi ‘jembatan’ bagi
perusahaan, bukan untuk diri, mau
menyiapkan penerus untuk
keberhasilan yang lebih besar bagi
generasi berikutnya.
• Tampak dari luar jendela, bukan dari
cermin, mau berbagi untuk dan demi
keberhasilan perusahaan, orang lain,
faktor eksternal, dan keberuntungan.
Professional Will
• Menciptakan hasil yang luar biasa, menjadi
katalis yang jelas pada masa transisi
yangmuncul dari kerendahan hati, from
good to great.
• Menunjukkan tekad yang tak pernah goyah
untuk melakukan tindakan apa pun yang
harus dilakukan agar mampu meraih
keberhasilan yang terbaik, dan berjangka
panjang, tidak peduli betapa sulitnya.
• Menetapkan standar dalam upaya
membangun perusahaan besar yang berdiri
tegar, selalu menatap masa depan dengan
optimis.
• Lebih tampak di cermin, tidak dapat dilihat
dari luar jendela, mau berbagi
• Siap bertanggung jawab atas hasil yang
buruk, tidak menyalahkan orang lain, faktor
eksternal, atau nasib buruk.
Disciplined People: Fitst Who … Then What?
Ken Kesey, The Electric Kool-
Aid Acid Test
There are going to
be times when we
can't wait for
somebody. Now,
you're either on the
bus or off the bus.
"First who" is a very simple idea to grasp, and a very difficult idea to do.
The good-to-great leaders understood three simple truths.
Disciplined People: First Who … Then What?
• First, if you begin with "who" rather than "what“, you can more easily
adapt to a changing world. If people join the bus primarily because of
where it is going, what happens if you get ten miles down the road and you
need to change direction.
• Second, if you have the right people on the bus, the problem of how to
motivate and manage people largely goes away. The right people don't
need to be tightly managed or fired up; they will be self-motivated by the
inner drive to produce the best results and to be part of creating
something great.
• Third, if you have the wrong people, it doesn't matter whether you dis-
cover the right direction; you still won't have a great company. Great vision
without great people is irrelevant.
Disciplined People: First Who … Then What?
Level 5 + Management Team
(Good to Great Companies)
A “Genius with A Thousand
Helper (Comparison Companies)
Level 5 Leader Level 4 Leader
First Who First What
Get the people on the bus.
Build a superior executive
team
Set a vision for where to drive
the bus. Develop a road map
for driving the bus.
Then What
Once you have the right people
in place, figure out the best path
to greatness.
Then Who
Enlist a crew of highly capable
“helpers” to make the vision
happen
• Mendapatkan orang yang
tepat di bus.
• Membangun tim eksekutif
yang unggul.
• Setelah memiliki orang yang
tepat di tempat, mencari
tahu jalan terbaik yang
hebat.
• Menetapkan visi tentang
cara mengemudi bus.
• Mengembangkan peta jalan
untuk mengemudi bus.
• Meminta awak terbaik
sebagai “pembantu" untuk
mewujudkan visi.
Disciplined People: First Who … Then What?
Level 5 + Management Team
(Good to Great Companies)
A “Genius with A Thousand
Helper (Comparison Companies)
Konsep utama yang harus menjadi dasar:
“Kita harus mendapatkan orang yang tepat
untuk duduk di dalam bus, orang yang
tepat di kursi kanan, terus memantau
orang-orang yang salah duduk di dalam
bis. Kita harus terus mencari cara untuk
mengambil tempat yang lebih besar. Jika
perlu, menurunkan orang-orang yang
salah tempat itu dari dalam bus”.
Disciplined People: First Who … Then What?
Model "The Genius with a Thousand Helper“ sangat lazim diperbandingkan
dengan perusahaan unsustained—hidup segan mati tak mau. Model “Management
Team and Good-to-Great” untuk memicu transformasi perusahaan dari good-to-
great BUKAN dengan cara mencari tahu siapa yang akan mendorong dan
melajukan bus, lalu, memasukkan orang yang dibutuhkan. TAPI, mendapatkan
orang yang tepat di dalam bus, sedangkan orang-orang yang salah harus turun dari
bus. Lalu, mereka semua bergerak maju untuk mengendarainya bersama.
Disciplined People: How to Be Rigorous? …
• Practical Discipline #1: When in doubt, don't hire-keep looking. No company
can grow revenues consistently faster than its ability to get enough of the
right people to implement that growth and still become a great company. If
your growth rate in revenues consistently outpaces your growth rate in people,
you simply will not-indeed cannot-build a great company.
• Practical Discipline #2: When you know you need to make a people change,
act. The best people don't need to be managed. Guided, taught, led-yes. But
not tightly managed. The good-to-great leaders would not rush to judgment.
they invested substantial effort in determining whether they had someone in the
wrong seat before concluding that they had the wrong person on the bus
entirely.
• Practical Discipline #3: Put your best people on your biggest opportunities,
not your biggest problems. Each team member must also have the ability to
meld that strength into doing whatever it takes to make the company great. The
people from the good-to-great companies clearly loved what they did, largely
because they loved who they did it with.
What’s inside
the
Black Box
GREAT RESULT
GOOD RESULT
Implementation
and Action
Disciplined Thought: Confront the Brutal Facts …
“There is no worse
mistake in public
leadership than to
hold out false
hopes soon to be
swept away”.
Winston S. Ch urchill
Breakthrough results come about by a series of good decisions,
diligently executed and accumulated one on top of another. The good-
to-great companies did not have a perfect track record, but on the
whole, they made many more good decisions than bad ones, and they
made many more good decisions than the comparison companies.
Disciplined Thought: Facts Are Better Than Dreams
There is nothing wrong with pursuing a
vision for greatness. After all, the good-
to-great companies also set out to
create greatness. But, unlike the
comparison companies, the good-to-
great companies continuoally refined
the “path” to greatness with the
brutal facts of reality.
Disciplined Thought: Facts Are Better Than Dreams
Indeed, for those of you with a strong, charismatic personality, it is
worthwhile to consider the idea that charisma can be as much a liability
as an asset. Your strength of personality can sow the seeds of problems
when people filter the brutal facts from you. You can overcome the
liabilities of having charisma, but it does require conscious attention.
The good-to-great companies
displayed two distinctive forms of
disci- plined thought. The first is
that they infused the entire
process with the brutal facts of
reality. The second is that they
developed a simple, yet deeply
insightful, frame of reference for
all decisions.
• Lead with questions, not answers. Leading from good-to-great does not mean
coming up with the answer and the motivating everyone to follow your messianic
vision. It means having the humility to grasp the fact that you do not yet understand
enough to have the answer and then to ask the questions that will lead to the best
possible insights.
• Conduct autopsies, without blame. When you conduct autopsies without blame,
you go a long way toward creating a climate where the truth is heard. If you have
the right people on the bus, you should almost never to assign blame, but need
only to search for understanding and learning.
Disciplined Thought: A Climate Where The Truth Is
Heard
Leadeship is vision. But, leadership is equally about creating a climate where the
truth is heard and the brutal facts confronted. There’s huge difference between the
opportunity to “have your say” and the opportunity to be heard. The good-to-great
leaders understood this distinction, creating a culture where in people had a
tremendous opportunity to be hear and for the truth to be heard.
• Build "red flag" mechanisms. Indeed, we
found no evidence that the good-to-great
companies had more or better
information than the comparison
campanies. None. Both sets of
companies had virtually identical access
to good information. The key is lies not
in better information, but in turning
information into information that
cannot be ignored.
• Engage in dialogue and debate, not coercion. The good-to-great companies had a
penchant for intense dialogue. Phrases like “loud debate, heated discussion, and
healthy conflict” peppered the articles and interview transcripts from all the
companies. They did’nt use discussion as a sham process to let people “have their
say” so that they could “buy in” to a predetermined decision. The process was
more like a heated scientific debate, with people engaged in a search for the
best answers.
The Stockdale Paradox menjadikan optimisme sebagai
sesuatu yang paling penting agar menjadi orang yang tangguh,
saat seseorang dihadapkan pada tantangan atau trauma. Saat
melihat tantangan yang obyektif, lakukanlah penilaian yang
realistis. Di sisi lain, seseorang harus memiliki sikap dan
kepercayaan diri untuk mengatakan “aku pasti menang”.
Disciplined Thought: The Stockdale Paradox
Retain faith that you
will prevail in the end,
regardless of the
difficulties.
Confront the most
brutal facts of you your
current reality, whatever
they might be.
and at
the
same
time
Disciplined Thought: Hedgehog Concept …
Foxes pursue many ends, at the same time, and see the world in all of
complexity. They are "scattered or diffused, moving on many levels,
never integrating their thinking into one overall concept or unifying
vision”.
Hedgehogs, on the other hand, simplify a
complex world into a single organizing
idea, a basic principle or concept that
unifies and guides everything.
Those who built the good-to-great
companies were, to one degree or
another, hedgehogs. They used their
hedgehog nature to drive toward what
we came to call a Hedgehog Concept for
their companies.
HEDGEHOGS
Disciplined Thought: Hedgehog Concept and
The Three Circles
Those who led the comparison companies tended to be foxes, never gaining
the clarifying advantage of a Hedgehog Concept, being instead scattered,
diffused, and inconsistent.
The essensial strategic difference between the good-to-great and
comparison companies lay in two fundamentals distinctions:
• First: the good-to-great companies founded
their strategies on deep understanding along
three key dimensions—three circles.
• Second: the good-to-great companies
translated that understanding into a simple,
crystalline concept that guided all their
efforts—hence the terma Hedgehog
Concept.
Disciplined Thought: Understanding What You Can
(and Can Not) Be The Best At
A Hedgehog Concept is not a goal to be best, a strategy to be the best, an
intention to be the best, a plan to be the best. It is an understanding of what
you can be the best at. The distinction is absolutely crucial.
The Abbot versus Upjohn case highlights the
difference between a “core business” and a
Hedgehog Concept. Just because something is
your core business—just because you’ve been
doing it for years or perhaps even decades,
does not necessary mean that you can be the
best in the world at it. And, if you cannot be the
best in the world at your core business, then
your core business cannot from the basis of
your a Hedgehog Concept.
Disciplined Thought: Understanding What You Can
(and Can Not) Be The Best At
To go from good to great requires transcending the curse of competence. It
requires the discipline to say: “Just because we are good at it—just because
we’re making money and generating growth, doesn’t necessary mean we
can become the best at it”.
The good-to-great companies understood that doing what you are good
at will only make you good; focusing solely on what you can potentially do
better than any other organization is the only path to greatness.
Insight into your economic engine what is your denominator?
The denominator can be quite subtle,
sometimes even unobvious. The key
is to use the question of the
denominator to gain understandng
and insight into your economic model.
Disciplined Thought: Your Economic Engine
Our study clearly shows that a company does not need to be in a
great industry to become a great company. Each good-to-great
company built a fabulous economic engine, regardless of the industry.
They were able to do this because they attained profound insights into
their economics.
Understanding your passion
The good-to-great companies didn’t say: “Okay, folks, let’s get
passionate about what we do”. Sensibly, they went the other way
entirely: “we should only do those things we can get passionate
about”.
Kimberly-Clark executives made the shift to paper-bases consumer
products in large part because they could get more passionate about
them. As one executive put it, the traditional paper products are
okay, “but they just don’t have the charisma of diaper?”
Disciplined Thought: The Hedgehog Concept
and Iterative Process
One particularly useful mechanism for moving the process along is a device
that we came to call the Council. The Council consists of a group of the
right people who participate in dialogue and debate guided by the three
circles, iteratively and over time, about vital issues and decisions facing the
organization
THE
COUNCIL
ASK QUESTION
guided by the three circles
AUTOPSIES AND ANALYSIS
guided by the three circles
DIALOGUE AND DEBATE
guided by the three circles
EXECUTIVE DECISIONS
guided by the three circles
What’s inside
the
Black Box
GREAT RESULT
GOOD RESULT
Implementation
and Action
Freedom is only
part of the story
and half the truth.
. . .
Kebebasan itu
hanyalah bagian
dari sebua kisah,
dan separuh dari
kebenaran.
Disciplined Action: Culture of Discipline
Viktor E. Frankl
Disciplined Action: Freedom (and Responsibility) Within a
Framework
The Good-to-Great Matrix of Creative Discipline
Hierarchical
organization
Great
organization
Bureaucratic
organization
Start-up
organization
Culture of
Discipline
Ethic of
Entreuprenership
High
Low
High
Low
Disciplined Action: Freedom (and Responsibility) Within a
Framework
• Build a culture around the idea of freedom and responsibility, within a
framework.
• Fill that culture with self-disciplined people who are willing to go to
extreme lengths to fulfill their responsibilities.
• Don't confuse a culture of discipline with a tyrannical disciplinarian.
• Adhere with great consistency to the Hedgehog Concept, exercising
an almost religious focus on the intersection of the three circles.
Equally important, create a "stop doing list" and systematically
unplug anything extraneous.
Build a culture full of people who take disciplined action within the
three circles, fanatically consistent with the Hedgehog Concept. More
precisely, this means the following:
Disciplined Action: Freedom (and Responsibility) Within a
Framework
The good-to-great companies built a consistent system with clear
constraints, but they also gave people freedom and responsibility
within the framework of that system. They hired self-disciplined people
who didn’t need to be managed, and then managed the system, not the
people.
Everyone would like to be the best, but most organizations lack the
discipline to figure out with egoless clarity what they “can” be the best at
and the will to do whatever it takes to turn that potential into reality. They
lack the discipline to rinse their cottage cheese.
Whereas the good-to-great companies had Level 5 Leaders who built an
enduring “culture of discipline”, the unsustained comparisons had Level
4 Leaders who “personally” disciplined the organization through sheer
force.
Disciplined Action: A Culture, Not A Tyrant
A spectacular rise under a tyrannical disciplinarian, followed by an equally
spectacular decline when the disciplinarian stepped away, leaving behind no enduring
culture of discipline, or when the disciplinarian himself became undisciplined and
strayed want only outside the three circles.
Discipline is essential for great results, but disciplined action without
disciplined understanding of the three circles cannot produce
sustained great results.
• Good to great companies give employees
freedom and responsibility
• Disciplined is about getting people to buy into
system by engaging in thought than action
• Do not confuse culture of discipline with a
Tyrant
• Budget only the areas that support the
Hedgehog Concept
• “Stop doing” list is just as important as “to do”
list Jim Collins
Disciplined Action: A Culture, Not A Tyrant
Creating a culture of operational discipline must start at the very top of
the organization. There is for steps for creating a culture of operational
discipline.
Align Leadership on
the Pillars
Create the
Case for
Charge
Internalize
the Pillars
Embed in
Management
System
Processes
• Need for Pillars
• Definition of
Pillars
• Approach for
implementation
• Use case study
• Horizon to make
case for change
• Create a sense
of discomfort
• One-on-one
conversations
between leaders
and employees
using right or
wrong framework
to discuss
behaviors
• Leaders
interactions on
the shoop floor
• New hire
selection
• Orientation by
training
• Incident
investigation
• Performance
management
Disciplined Action: A Culture, Not A Tyrant
Creating a culture of operational discipline must start at the very top of
the organization. There is for steps for creating a culture of operational
discipline. Operational discipline starts with a clear and concise
definition. Operational discipline is composed of three requirements.
Operational Discipline
Do the right thing
The right way
Every time
Disciplined Action: Definition of Operational Discipline
Disciplined Action: The Pillars of Operational Discipline
The pillars of operational discipline are self-reinforcing and interdependent—
remember, operational discipline (OD) cannot be achieved by adhering only one or
some or some of the fundamental.

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For Good to the Great for UMKM

  • 1. From Good to the Great for UMKM Manajemen UMKM
  • 2. • Strategy did not separate the good-to-great companies from the comparison companies. Both sets of companies had well-defined strategies, and there is no evidence that the good-to-great companies spent moretime on long-range strategic planning than the comparison companies. • The good-to-great companies did not focus principally on what to do to become great; they focused equally on what not to do and what to stop doing. • Technology and technology-driven change has virtually nothing to do with igniting a transformation from good to great. Technology can accelerate a transformation, but technology cannot cause a transformation . What’s inside the Black Box GREAT RESULT GOOD RESULT
  • 3. What’s inside the Black Box GREAT RESULT GOOD RESULT Implementation and Action
  • 4. Disciplined People: Level 5 Leadership … Level 5 Leadership. Karakter the good-to-great leader memiliki self effacing, quiet, reserved. Jelasnya, the good-to-great leader merupakan perpaduan paradoksal antara personal humility dan professional will. “Get the right people on the bus and in the right set” Jim Collins. Humility is the personal honesty that you, as the leader, do not know everything and do not have all the answers. Humility enables you to question people’s flattery, to admit your mistakes and weaknesses, and to be more open to other’s opinions and challenges to your viewpoints. A professional will is a plan for what happens if we die suddenly or become incapacitated without warning. It helps those whom we designate to respond to our clients' needs and to the unfinished business of our practice.
  • 5. Humility + Will = Level 5 Leadership LEVEL 5 LEVEL 5 EXECUTIVE Membentuk kehebatan diri secara terus menerus melalui persenyawaan paradoksikal antara humility dan professional will. LEVEL 4 EFFECTIVE LEADER Komitmen untuk menjadi katalisator untuk mendorong terwujudnya visi yang jelas dan menstimulasi standar kinerja yang tinggi. LEVEL 3 COMPETENT MANAGER Mengorganisasikan orang dan sumber daya menuju terwujudnya target secara efektif dan efisien. LEVEL 2 CONTRIBUTING TEAM MEMBER Mendorong kapabilitas individu agar berprestasi dan bekerja secara efektif dengan orang lain. LEVEL 1 HIGHLY CAPABLE INDIVIDUAL Membuat kontribusi produktid melalui talenta, knowledge, dan good work habits.
  • 6. Personal Humility • Menunjukkan kesederhanaan, menarik (charm), menghindari publik dan sanjungan, tidak pernah sombong. • Kaya dengan ketenangan, tekad hati yang kuat, bergantung terutama pada standar yang inspiratif, • Berkarisma, kaya dengan inspirasi untuk memotivasi. • Berambisi menjadi ‘jembatan’ bagi perusahaan, bukan untuk diri, mau menyiapkan penerus untuk keberhasilan yang lebih besar bagi generasi berikutnya. • Tampak dari luar jendela, bukan dari cermin, mau berbagi untuk dan demi keberhasilan perusahaan, orang lain, faktor eksternal, dan keberuntungan. Professional Will • Menciptakan hasil yang luar biasa, menjadi katalis yang jelas pada masa transisi yangmuncul dari kerendahan hati, from good to great. • Menunjukkan tekad yang tak pernah goyah untuk melakukan tindakan apa pun yang harus dilakukan agar mampu meraih keberhasilan yang terbaik, dan berjangka panjang, tidak peduli betapa sulitnya. • Menetapkan standar dalam upaya membangun perusahaan besar yang berdiri tegar, selalu menatap masa depan dengan optimis. • Lebih tampak di cermin, tidak dapat dilihat dari luar jendela, mau berbagi • Siap bertanggung jawab atas hasil yang buruk, tidak menyalahkan orang lain, faktor eksternal, atau nasib buruk.
  • 7. Disciplined People: Fitst Who … Then What? Ken Kesey, The Electric Kool- Aid Acid Test There are going to be times when we can't wait for somebody. Now, you're either on the bus or off the bus.
  • 8. "First who" is a very simple idea to grasp, and a very difficult idea to do. The good-to-great leaders understood three simple truths. Disciplined People: First Who … Then What? • First, if you begin with "who" rather than "what“, you can more easily adapt to a changing world. If people join the bus primarily because of where it is going, what happens if you get ten miles down the road and you need to change direction. • Second, if you have the right people on the bus, the problem of how to motivate and manage people largely goes away. The right people don't need to be tightly managed or fired up; they will be self-motivated by the inner drive to produce the best results and to be part of creating something great. • Third, if you have the wrong people, it doesn't matter whether you dis- cover the right direction; you still won't have a great company. Great vision without great people is irrelevant.
  • 9. Disciplined People: First Who … Then What? Level 5 + Management Team (Good to Great Companies) A “Genius with A Thousand Helper (Comparison Companies) Level 5 Leader Level 4 Leader First Who First What Get the people on the bus. Build a superior executive team Set a vision for where to drive the bus. Develop a road map for driving the bus. Then What Once you have the right people in place, figure out the best path to greatness. Then Who Enlist a crew of highly capable “helpers” to make the vision happen
  • 10. • Mendapatkan orang yang tepat di bus. • Membangun tim eksekutif yang unggul. • Setelah memiliki orang yang tepat di tempat, mencari tahu jalan terbaik yang hebat. • Menetapkan visi tentang cara mengemudi bus. • Mengembangkan peta jalan untuk mengemudi bus. • Meminta awak terbaik sebagai “pembantu" untuk mewujudkan visi. Disciplined People: First Who … Then What? Level 5 + Management Team (Good to Great Companies) A “Genius with A Thousand Helper (Comparison Companies)
  • 11. Konsep utama yang harus menjadi dasar: “Kita harus mendapatkan orang yang tepat untuk duduk di dalam bus, orang yang tepat di kursi kanan, terus memantau orang-orang yang salah duduk di dalam bis. Kita harus terus mencari cara untuk mengambil tempat yang lebih besar. Jika perlu, menurunkan orang-orang yang salah tempat itu dari dalam bus”. Disciplined People: First Who … Then What? Model "The Genius with a Thousand Helper“ sangat lazim diperbandingkan dengan perusahaan unsustained—hidup segan mati tak mau. Model “Management Team and Good-to-Great” untuk memicu transformasi perusahaan dari good-to- great BUKAN dengan cara mencari tahu siapa yang akan mendorong dan melajukan bus, lalu, memasukkan orang yang dibutuhkan. TAPI, mendapatkan orang yang tepat di dalam bus, sedangkan orang-orang yang salah harus turun dari bus. Lalu, mereka semua bergerak maju untuk mengendarainya bersama.
  • 12. Disciplined People: How to Be Rigorous? … • Practical Discipline #1: When in doubt, don't hire-keep looking. No company can grow revenues consistently faster than its ability to get enough of the right people to implement that growth and still become a great company. If your growth rate in revenues consistently outpaces your growth rate in people, you simply will not-indeed cannot-build a great company. • Practical Discipline #2: When you know you need to make a people change, act. The best people don't need to be managed. Guided, taught, led-yes. But not tightly managed. The good-to-great leaders would not rush to judgment. they invested substantial effort in determining whether they had someone in the wrong seat before concluding that they had the wrong person on the bus entirely. • Practical Discipline #3: Put your best people on your biggest opportunities, not your biggest problems. Each team member must also have the ability to meld that strength into doing whatever it takes to make the company great. The people from the good-to-great companies clearly loved what they did, largely because they loved who they did it with.
  • 13. What’s inside the Black Box GREAT RESULT GOOD RESULT Implementation and Action
  • 14. Disciplined Thought: Confront the Brutal Facts … “There is no worse mistake in public leadership than to hold out false hopes soon to be swept away”. Winston S. Ch urchill
  • 15. Breakthrough results come about by a series of good decisions, diligently executed and accumulated one on top of another. The good- to-great companies did not have a perfect track record, but on the whole, they made many more good decisions than bad ones, and they made many more good decisions than the comparison companies. Disciplined Thought: Facts Are Better Than Dreams There is nothing wrong with pursuing a vision for greatness. After all, the good- to-great companies also set out to create greatness. But, unlike the comparison companies, the good-to- great companies continuoally refined the “path” to greatness with the brutal facts of reality.
  • 16. Disciplined Thought: Facts Are Better Than Dreams Indeed, for those of you with a strong, charismatic personality, it is worthwhile to consider the idea that charisma can be as much a liability as an asset. Your strength of personality can sow the seeds of problems when people filter the brutal facts from you. You can overcome the liabilities of having charisma, but it does require conscious attention. The good-to-great companies displayed two distinctive forms of disci- plined thought. The first is that they infused the entire process with the brutal facts of reality. The second is that they developed a simple, yet deeply insightful, frame of reference for all decisions.
  • 17. • Lead with questions, not answers. Leading from good-to-great does not mean coming up with the answer and the motivating everyone to follow your messianic vision. It means having the humility to grasp the fact that you do not yet understand enough to have the answer and then to ask the questions that will lead to the best possible insights. • Conduct autopsies, without blame. When you conduct autopsies without blame, you go a long way toward creating a climate where the truth is heard. If you have the right people on the bus, you should almost never to assign blame, but need only to search for understanding and learning. Disciplined Thought: A Climate Where The Truth Is Heard Leadeship is vision. But, leadership is equally about creating a climate where the truth is heard and the brutal facts confronted. There’s huge difference between the opportunity to “have your say” and the opportunity to be heard. The good-to-great leaders understood this distinction, creating a culture where in people had a tremendous opportunity to be hear and for the truth to be heard.
  • 18. • Build "red flag" mechanisms. Indeed, we found no evidence that the good-to-great companies had more or better information than the comparison campanies. None. Both sets of companies had virtually identical access to good information. The key is lies not in better information, but in turning information into information that cannot be ignored. • Engage in dialogue and debate, not coercion. The good-to-great companies had a penchant for intense dialogue. Phrases like “loud debate, heated discussion, and healthy conflict” peppered the articles and interview transcripts from all the companies. They did’nt use discussion as a sham process to let people “have their say” so that they could “buy in” to a predetermined decision. The process was more like a heated scientific debate, with people engaged in a search for the best answers.
  • 19. The Stockdale Paradox menjadikan optimisme sebagai sesuatu yang paling penting agar menjadi orang yang tangguh, saat seseorang dihadapkan pada tantangan atau trauma. Saat melihat tantangan yang obyektif, lakukanlah penilaian yang realistis. Di sisi lain, seseorang harus memiliki sikap dan kepercayaan diri untuk mengatakan “aku pasti menang”. Disciplined Thought: The Stockdale Paradox Retain faith that you will prevail in the end, regardless of the difficulties. Confront the most brutal facts of you your current reality, whatever they might be. and at the same time
  • 20. Disciplined Thought: Hedgehog Concept … Foxes pursue many ends, at the same time, and see the world in all of complexity. They are "scattered or diffused, moving on many levels, never integrating their thinking into one overall concept or unifying vision”. Hedgehogs, on the other hand, simplify a complex world into a single organizing idea, a basic principle or concept that unifies and guides everything. Those who built the good-to-great companies were, to one degree or another, hedgehogs. They used their hedgehog nature to drive toward what we came to call a Hedgehog Concept for their companies. HEDGEHOGS
  • 21. Disciplined Thought: Hedgehog Concept and The Three Circles Those who led the comparison companies tended to be foxes, never gaining the clarifying advantage of a Hedgehog Concept, being instead scattered, diffused, and inconsistent. The essensial strategic difference between the good-to-great and comparison companies lay in two fundamentals distinctions: • First: the good-to-great companies founded their strategies on deep understanding along three key dimensions—three circles. • Second: the good-to-great companies translated that understanding into a simple, crystalline concept that guided all their efforts—hence the terma Hedgehog Concept.
  • 22. Disciplined Thought: Understanding What You Can (and Can Not) Be The Best At A Hedgehog Concept is not a goal to be best, a strategy to be the best, an intention to be the best, a plan to be the best. It is an understanding of what you can be the best at. The distinction is absolutely crucial. The Abbot versus Upjohn case highlights the difference between a “core business” and a Hedgehog Concept. Just because something is your core business—just because you’ve been doing it for years or perhaps even decades, does not necessary mean that you can be the best in the world at it. And, if you cannot be the best in the world at your core business, then your core business cannot from the basis of your a Hedgehog Concept.
  • 23. Disciplined Thought: Understanding What You Can (and Can Not) Be The Best At To go from good to great requires transcending the curse of competence. It requires the discipline to say: “Just because we are good at it—just because we’re making money and generating growth, doesn’t necessary mean we can become the best at it”. The good-to-great companies understood that doing what you are good at will only make you good; focusing solely on what you can potentially do better than any other organization is the only path to greatness. Insight into your economic engine what is your denominator? The denominator can be quite subtle, sometimes even unobvious. The key is to use the question of the denominator to gain understandng and insight into your economic model.
  • 24. Disciplined Thought: Your Economic Engine Our study clearly shows that a company does not need to be in a great industry to become a great company. Each good-to-great company built a fabulous economic engine, regardless of the industry. They were able to do this because they attained profound insights into their economics. Understanding your passion The good-to-great companies didn’t say: “Okay, folks, let’s get passionate about what we do”. Sensibly, they went the other way entirely: “we should only do those things we can get passionate about”. Kimberly-Clark executives made the shift to paper-bases consumer products in large part because they could get more passionate about them. As one executive put it, the traditional paper products are okay, “but they just don’t have the charisma of diaper?”
  • 25. Disciplined Thought: The Hedgehog Concept and Iterative Process One particularly useful mechanism for moving the process along is a device that we came to call the Council. The Council consists of a group of the right people who participate in dialogue and debate guided by the three circles, iteratively and over time, about vital issues and decisions facing the organization THE COUNCIL ASK QUESTION guided by the three circles AUTOPSIES AND ANALYSIS guided by the three circles DIALOGUE AND DEBATE guided by the three circles EXECUTIVE DECISIONS guided by the three circles
  • 26. What’s inside the Black Box GREAT RESULT GOOD RESULT Implementation and Action
  • 27. Freedom is only part of the story and half the truth. . . . Kebebasan itu hanyalah bagian dari sebua kisah, dan separuh dari kebenaran. Disciplined Action: Culture of Discipline Viktor E. Frankl
  • 28. Disciplined Action: Freedom (and Responsibility) Within a Framework The Good-to-Great Matrix of Creative Discipline Hierarchical organization Great organization Bureaucratic organization Start-up organization Culture of Discipline Ethic of Entreuprenership High Low High Low
  • 29. Disciplined Action: Freedom (and Responsibility) Within a Framework • Build a culture around the idea of freedom and responsibility, within a framework. • Fill that culture with self-disciplined people who are willing to go to extreme lengths to fulfill their responsibilities. • Don't confuse a culture of discipline with a tyrannical disciplinarian. • Adhere with great consistency to the Hedgehog Concept, exercising an almost religious focus on the intersection of the three circles. Equally important, create a "stop doing list" and systematically unplug anything extraneous. Build a culture full of people who take disciplined action within the three circles, fanatically consistent with the Hedgehog Concept. More precisely, this means the following:
  • 30. Disciplined Action: Freedom (and Responsibility) Within a Framework The good-to-great companies built a consistent system with clear constraints, but they also gave people freedom and responsibility within the framework of that system. They hired self-disciplined people who didn’t need to be managed, and then managed the system, not the people. Everyone would like to be the best, but most organizations lack the discipline to figure out with egoless clarity what they “can” be the best at and the will to do whatever it takes to turn that potential into reality. They lack the discipline to rinse their cottage cheese. Whereas the good-to-great companies had Level 5 Leaders who built an enduring “culture of discipline”, the unsustained comparisons had Level 4 Leaders who “personally” disciplined the organization through sheer force.
  • 31. Disciplined Action: A Culture, Not A Tyrant A spectacular rise under a tyrannical disciplinarian, followed by an equally spectacular decline when the disciplinarian stepped away, leaving behind no enduring culture of discipline, or when the disciplinarian himself became undisciplined and strayed want only outside the three circles. Discipline is essential for great results, but disciplined action without disciplined understanding of the three circles cannot produce sustained great results. • Good to great companies give employees freedom and responsibility • Disciplined is about getting people to buy into system by engaging in thought than action • Do not confuse culture of discipline with a Tyrant • Budget only the areas that support the Hedgehog Concept • “Stop doing” list is just as important as “to do” list Jim Collins
  • 32. Disciplined Action: A Culture, Not A Tyrant Creating a culture of operational discipline must start at the very top of the organization. There is for steps for creating a culture of operational discipline. Align Leadership on the Pillars Create the Case for Charge Internalize the Pillars Embed in Management System Processes • Need for Pillars • Definition of Pillars • Approach for implementation • Use case study • Horizon to make case for change • Create a sense of discomfort • One-on-one conversations between leaders and employees using right or wrong framework to discuss behaviors • Leaders interactions on the shoop floor • New hire selection • Orientation by training • Incident investigation • Performance management
  • 33. Disciplined Action: A Culture, Not A Tyrant Creating a culture of operational discipline must start at the very top of the organization. There is for steps for creating a culture of operational discipline. Operational discipline starts with a clear and concise definition. Operational discipline is composed of three requirements. Operational Discipline Do the right thing The right way Every time
  • 34. Disciplined Action: Definition of Operational Discipline
  • 35. Disciplined Action: The Pillars of Operational Discipline The pillars of operational discipline are self-reinforcing and interdependent— remember, operational discipline (OD) cannot be achieved by adhering only one or some or some of the fundamental.