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The Founder’s Mentality: How to Overcome the Predictable Crises of Growth, by Chris Zook, James Allen
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Three Principles for Managing—and Avoiding—the Problems of Growth
Why is profitable growth so hard to achieve and sustain? Most executives manage their companies as if the solution to that problem lies in the external environment: find an attractive market, formulate the right strategy, win new customers.
But when Bain & Company’s Chris Zook and James Allen, authors of the bestselling Profit from the Core, researched this question, they found that when companies fail to achieve their growth targets, 90 percent of the time the root causes are internal, not external—increasing distance from the front lines, loss of accountability, proliferating processes and bureaucracy, to name only a few. What’s more, companies experience a set of predictable internal crises, at predictable stages, as they grow. Even for healthy companies, these crises, if not managed properly, stifle the ability to grow further—and can actively lead to decline.
The key insight from Zook and Allen’s research is that managing these choke points requires a “founder’s mentality”—behaviors typically embodied by a bold, ambitious founder—to restore speed, focus, and connection to customers:
• An insurgent’s clear mission and purpose
• An unambiguous owner mindset
• A relentless obsession with the front line
Based on the authors’ decade-long study of companies in more than forty countries, The Founder’s Mentality demonstrates the strong relationship between these three traits in companies of all kinds—not just start-ups—and their ability to sustain performance. Through rich analysis and inspiring examples, this book shows how any leader—not only a founder—can instill and leverage a founder’s mentality throughout their organization and find lasting, profitable growth.
- Sales Rank: #7532 in Books
- Published on: 2016-06-07
- Released on: 2016-06-07
- Original language: English
- Number of items: 1
- Dimensions: 9.30" h x .90" w x 6.00" l, .80 pounds
- Binding: Hardcover
- 224 pages
Review
“Chris Zook and James Allen have done a fine job of putting this theory into words. Their book, The Founder’s Mentality is the product of a lot of research, and thousands of hours of experience by these two senior Bain partners.” — Management Today, UK
“Fascinating and worth noting.” — Amanda Lang, Bloomberg GO
“If your company isn’t soaring as anticipated, look inside not out. Chances are your problems aren’t due to market forces but rather issues such as a distancing from core principles, becoming deaf to your consumer’s voice and sometimes a founder not empowering his people. These are some of the insights gleaned from The Founder’s Mentality.” — USA Today
“Summer is here, and everyone needs a business book or two to read. I’m recommending The Founder’s Mentality: How to Overcome the Predictable Crises of Growth by two very senior partners and strategy practice heads at Bain & Company—Chris Zook and James Allen. — Forbes.com
“Excellent … Zook and Allen’s book focuses on how to manage the following dilemma: How can we manage growth without destroying what made us great? …The Founder’s Mentality causes us to appreciate the brilliance of an IKEA and to take practical steps to keep the Founder’s Mentality at the forefront of the way we define strategy, the way we hire front line people, and the way we design compensation systems.” — Psychology Today
“Chris Zook and James Allen are known for their books on strategy … Their new book [The Founder’s Mentality] is a departure in the sense that they turn their attention, for the first time, from external strategy to internal, but it continues their now fifteen-year bent of focusing on companies’ roots in the process of helping them in periods of growth. … In that sense, Zook and Allen are staying true to their own core—their core research on how companies grow, which is immense and impressive, and their core purpose of helping leaders through that process. The other consistency across all their books is the great blend of research and storytelling.” — 800-CEO-READ (Editor’s Choice)
“The founder mentality mixes passion with chutzpah for success…The result of this mentality is a bonus for shareholders. When Mr. Allen and Mr. Zook looked at shareholder returns in the S&P 500 over 15 years, they found firms with strong founder influence performed 3.1 times better.” — Financial Times
“This is a very thoughtful and assured exploration of a key challenge that faces all organisations as they scale that will interest founders and those concerned about the long-term health of their organisations.” — The Irish Times
“If you are a business in the early-growth stages or believe that having an “early-growth” mindset will be crucial to helping your business, then The Founder’s Mentality will provide the vision that you need to begin planning. The book ‘s authors conducted extensive research on companies in the U.S. and abroad and use that information to provide basic, down-to-Earth principles that can immediately shift your brain (and that of your employees) into a new way of thinking.” — Small Business Trends (smallbiztrends.com)
“The duo Chris Zook and James Allen have delivered a bull's-eye. With The Founders Mentality they have written a book that is both practical and technically sound, six out of six stars…Buy this book.” — Borsen (Denmark)
“…filled with examples of how large companies like Apple, Haier, Google, IKEA, and Nike have managed to stay in touch with their core values, even as they've grown massive.” — Inc.
ADVANCE PRAISE for The Founder’s Mentality:
Carlos Brito, CEO, Anheuser-Busch InBev—
“The concept of the ‘founder’s mentality,’ and in particular our ‘ownership’ culture, has been central to our evolution and growth as a company. Remembering how we became successful in the first place has helped us act boldly and quickly with an insurgent mindset. This book offers great insights for business owners and leaders.”
Michael Dell, founder and CEO, Dell Inc.—
“As a founder I resonate strongly with the themes of The Founder’s Mentality, especially with regard to the overwhelming importance of speed, singular focus, and the ability to invest for the long term.”
Adrian Gore, founder and CEO, Discovery Group—
“Zook and Allen share invaluable insight as to how to preserve a company’s founding purpose, perspective, and energy, while preventing institutionalization from diluting it. Their work has been instrumental in the way my leadership team and I think about our culture, our structure, and our business model.”
Linda Rottenberg, cofounder and CEO, Endeavor Global—
“In this heavily researched and compelling book, Zook and Allen provide a road map for winning growth. Companies that build and maintain healthy cultures scale with speed and sidestep avoidable stall-out. Whether you are a start-up entrepreneur, an investor, or a Fortune 500 manager, you need The Founder’s Mentality!”
Les Wexner, founder and CEO, L Brands—
“As companies grow, scale and complexity can become a real threat to momentum. Zook and Allen’s The Founder’s Mentality offers useful insights to help leaders maintain agility in order to sustain their success.”
About the Author
Chris Zook is a partner at Bain & Company and has been co-head of the firm’s Global Strategy practice for twenty years. He is based in Boston and Amsterdam and specializes in helping companies find new sources of profitable growth.
James Allen is a partner in Bain’s London office. Co-head of the firm’s Global Strategy practice, he is founder of the Bain Founder’s Mentality 100, a global network of high-growth companies.
Zook and Allen are the authors of five bestselling books on strategy, including Profit from the Core.
Most helpful customer reviews
0 of 0 people found the following review helpful.
A must-read for people (at any level) who want to grow with their company
By Hilary
The “The Founder’s Mentality” can be a helpful resource for people at all levels within an organization—associates (particularly today’s Millennials) to CEOs—as it highlights the need for employees to comprehensively adopt an “owner’s mindset”, including boldly sharing ideas, taking ownership of and pride in one’s responsibilities, and (perhaps most importantly) being accountable for one’s work. That way, all employees feel closely connected to their company, and the leaders can more nimbly pivot to keep the company competitive and focused.
All concepts, trends, and examples are backed by 30 yrs of robust Bain & Company data. As such, you’ll find in The Founder’s Mentality that Zook and Allen not only sharply identify the problem areas of growth, but they also clearly delineate concrete strategies and actionable tactics leaders can apply to overcome Overload, Stall-out, and Free Fall. After all, leaders must be the “guardians of speed and agility” in order to combat these three diseases that almost always plague growing companies.
“The Founder’s Mentality” is written clearly and concisely with illustrative, interesting case studies. My key takeaways from the book are to continue to actively listen, challenge myself to speak-up with ideas (even if they seem completely against the grain of the company), and never become too distanced from the front-line experience.
0 of 0 people found the following review helpful.
I think that this is their best work to date for several reasons
By Amazon Customer
Once again Chris Zook and James Allen have hit the nail on the head. I think that this is their best work to date for several reasons. They have distilled what makes (and can re-make) corporate entities strong-act like owners, push responsibility and accountability down, get back to the founding principles of the entity and fight bureaucracy. Of particular help were the check lists at the end of each chapter as a method to continually analyze your own company's adherence to the disciplines.It was also enlightening to see that even in the most dramatic of circumstances (free fall) that there were tangible examples of successful recovery. For any sized entities, this is a very instructive book.
Greg Williams
Venture investor and Public Board member
Richmond, VA
0 of 0 people found the following review helpful.
This is a great book. Every manager of a company can benefit ...
By SBuck
This is a great book. Every manager of a company can benefit from the insights that it supplies. Don't be turned off by the title if your founder was not a great leader or manager. It cover a wide range of topic from growth to decline of companies and what you need to do if your company is stalling or declining.
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