As a person who typically works for large organizations, I am skeptical that books directed to entrepreneurs and medium sized companies can be helpful for us, corporate dwellers. This book, however, has an excellent advice that can be useful for “scaling up” a team, a department, or just understand better whet can be improved here and now.
The book has a wealth of additional resources with tempting titles and the company site provides quite a few useful materials.
The book has four parts – people, strategy, execution, and cash. Though all of them intertwined, they are excellent component for a business unit of any size (reminder of understanding of financial state of the business is always useful for any organization).
A few interesting notes:
Company as a whole can become weak in the strength area of its leader. This is clear in the small-medium companies, but can be probably true for a department of a large organization. The leader can be either too involved in the area of his/her expertise and when other demands take priority, the company suffers. Or, the leader hires more junior people than needed, considering that his/her own expertise will compensate for the gap.
Growth companies typically under-invest in marketing 🙂
Hiring mistakes can cost the company up to 15 times of annual pay of the employee.
It is important to match employees personal values with the values of the company. The retention will increase and the employee satisfaction will also increase.
It is better to hire less people but to pay them more. In this situation the company will have a choice of candidates needed to make better hiring decisions. It is particularly important for the front-line staff. Companies that pay more to heir front-line employees and provide more training to them are more successful.
Creative approaches to hiring right people: one of garbage collection company in Ireland targeted young unemployed men interested in fitness. The company promoted the job in fitness centers as an activity where strong men are betting paid for their daily workout.
Meetings: the authors are in favor of a very short daily meeting. Average employee will have one short daily meeting and average manager two (with the team and as a member of the management team). The objectives of the meeting to solve problems – now.
I also think my understanding of cash flow increased… and my future reading list quadrupled 🙂