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  • Good to Great: Why Some Companies Make the Leap...and Others Don't

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Good to Great: Why Some Companies Make the Leap...and Others Don't

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The Challenge
Built to Last, the defining management study of the nineties, showed how great companies triumph over time and how long-term sustained performance can be engineered into the DNA of an enterprise from the very beginning.

But what about the company that is not born with great DNA? How can good companies, mediocre companies, even bad companies achieve enduring greatness?

The Study
For years, this question preyed on the mind of Jim Collins. Are there companies that defy gravity and convert long-term mediocrity or worse into long-term superiority? And if so, what are the universal distinguishing characteristics that cause a company to go from good to great?

The Standards
Using tough benchmarks, Collins and his research team identified a set of elite companies that made the leap to great results and sustained those results for at least fifteen years. How great? After the leap, the good-to-great companies generated cumulative stock returns that beat the general stock market by an average of seven times in fifteen years, better than twice the results delivered by a composite index of the world's greatest companies, including Coca-Cola, Intel, General Electric, and Merck.

The Comparisons
The research team contrasted the good-to-great companies with a carefully selected set of comparison companies that failed to make the leap from good to great. What was different? Why did one set of companies become truly great performers while the other set remained only good?

Over five years, the team analyzed the histories of all twenty-eight companies in the study. After sifting through mountains of data and thousands of pages of interviews, Collins and his crew discovered the key determinants of greatness -- why some companies make the leap and others don't.

The Findings
The findings of the Good to Great study will surprise many readers and shed light on virtually every area of management strategy and practice. The findings include:

  • Level 5 Leaders: The research team was shocked to discover the type of leadership required to achieve greatness.
  • The Hedgehog Concept (Simplicity within the Three Circles): To go from good to great requires transcending the curse of competence.
  • A Culture of Discipline: When you combine a culture of discipline with an ethic of entrepreneurship, you get the magical alchemy of great results. Technology Accelerators: Good-to-great companies think differently about the role of technology.
  • The Flywheel and the Doom Loop: Those who launch radical change programs and wrenching restructurings will almost certainly fail to make the leap.

“Some of the key concepts discerned in the study,” comments Jim Collins, "fly in the face of our modern business culture and will, quite frankly, upset some people.”

Perhaps, but who can afford to ignore these findings?

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Editorial Reviews

Amazon.com Review

Five years ago, Jim Collins asked the question, "Can a good company become a great company and if so, how?" In Good to Great Collins, the author of Built to Last, concludes that it is possible, but finds there are no silver bullets. Collins and his team of researchers began their quest by sorting through a list of 1,435 companies, looking for those that made substantial improvements in their performance over time. They finally settled on 11--including Fannie Mae, Gillette, Walgreens, and Wells Fargo--and discovered common traits that challenged many of the conventional notions of corporate success. Making the transition from good to great doesn't require a high-profile CEO, the latest technology, innovative change management, or even a fine-tuned business strategy. At the heart of those rare and truly great companies was a corporate culture that rigorously found and promoted disciplined people to think and act in a disciplined manner. Peppered with dozens of stories and examples from the great and not so great, the book offers a well-reasoned road map to excellence that any organization would do well to consider. Like Built to Last, Good to Great is one of those books that managers and CEOs will be reading and rereading for years to come. --Harry C. Edwards

From Booklist

Collins is coauthor of Built to Last: Successful Habits of Visionary Companies (1994), the widely heralded book that was the result of a six-year research project conducted by Collins and Jerry Porras. They identified 18 companies that met their rigorous standard for long-term performance. They looked for companies that had outperformed the stock market by a factor of 15 starting from 1926. Then they went about the task of identifying what these companies had in common. Now Collins turns his attention to companies that have made the transition from "good to great." This time the findings are backed by five years of research and data analysis. Starting with every company that ever appeared in the Fortune 500, Collins identifies 11 companies that had 15-year cumulative stock returns at or below the general stock market when, after a transition point, they then demonstrated cumulative returns of at least three times the market over the next 15 years. Collins then looked for similarities among the companies. What he found would both surprise and fascinate anyone involved in management. David Rouse
Copyright © American Library Association. All rights reserved

Product details

  • ASIN ‏ : ‎ 0066620996
  • Publisher ‏ : ‎ Harper Business
  • Publication date ‏ : ‎ October 16, 2001
  • Language ‏ : ‎ English
  • Print length ‏ : ‎ 320 pages
  • ISBN-10 ‏ : ‎ 9780066620992
  • ISBN-13 ‏ : ‎ 978-0066620992
  • Item Weight ‏ : ‎ 1.1 pounds
  • Dimensions ‏ : ‎ 6.12 x 1.05 x 9.25 inches
  • Book 1 of 6 ‏ : ‎ Good to Great
  • Best Sellers Rank: #2,520 in Books (See Top 100 in Books)
  • Customer Reviews:
    4.5 out of 5 stars (10,036)

About the author

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Jim Collins
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Jim Collins is a student and teacher of exceptional human endeavor and a Socratic advisor to leaders across all sectors of society.

Having invested more than three decades in rigorous research, he has authored or coauthored a series of books that have sold in total more than 11 million copies worldwide, including the #1 bestseller Good to Great, the enduring classic Built to Last, and other highly-influential writings such as Great by Choice, How the Mighty Fall, Beyond Entrepreneurship, Good to Great and the Social Sectors, and Turning the Flywheel.

In recent years, Jim has broadened the scope of his work, extending out from the question of what makes great companies tick to the study of remarkable people and their lives. His newest book (available April 2026) tackles the big question implicit in its title: What to Make of a Life. Grounded in a ten-year research project, it offers transformative lessons on constructing—and reconstructing—a life through the cliff moments and transitions we all will face repeatedly in our lives.

Through his research, Jim seeks to uncover timeless principles on which people can reliably depend. Concepts that emerged from Jim’s earlier work have become part of the leadership lexicon, such as: Level 5 leadership, First Who (the right people on the bus), the Hedgehog Concept, the Flywheel, 20 Mile March, Preserve the Core/Stimulate Progress, and BHAGs (Big Hairy Audacious Goals). His writings and teachings have had a lasting impact and proved integral to the building of many great organizations.

Driven by a relentless curiosity, Jim began his research and teaching career on the faculty at the Stanford Graduate School of Business, where he received the Distinguished Teaching Award in 1992. In 1995, he founded a management laboratory in Boulder, Colorado, where he conducts research and engages with CEOs and senior-leadership teams.

Jim has a passion for learning and teaching in the social sectors, including education, healthcare, government, faith-based organizations, social ventures, and cause-driven nonprofits. In 2012 and 2013, he had the honor to serve a two-year appointment as the Class of 1951 Chair for the Study of Leadership at the United States Military Academy at West Point.

He holds a bachelor's degree in mathematical sciences and an MBA from Stanford University, and honorary doctoral degrees from the University of Colorado and the Peter F. Drucker Graduate School of Management at Claremont Graduate University. In 2017, Forbes selected Jim as one of the 100 Greatest Living Business Minds.

Customer reviews

4.5 out of 5 stars
10,036 global ratings

Customers say

Customers find this business book engaging and easy to read, with well-explained and thought-out concepts that provide valuable lessons and great insights. Moreover, the book offers real-world examples of success in Corporate America and helps readers understand what makes companies great, while being written in a way that anyone can appreciate.
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512 customers mention readability, 477 positive, 35 negative
Customers find the book highly readable, describing it as a novel-like narrative that is both enjoyable and easy to follow.
Great read in my Leadership class, some of the content was outdated but concepts were still valid. Would definitely recommend.Read more
...A must read for any individual in middle and upper management that is striving to become a leader in either small, medium or big business.Read more
This is a must read for my team. I picked this up in an airport years ago and it has become my all time favorite.Read more
Good read. Enjoyed the examples of real life companies analyzed and compared. Hedge hodge concept is very useful in real life business practices.Read more
456 customers mention content, 409 positive, 47 negative
Customers praise the book's content, describing it as life-changing and filled with wisdom, with valuable lessons learned and great advice throughout.
...Good to Great, in my judgment, is motivational and inspiring to the extent that it provides the reader (and listener to audio) new ideas to apply....Read more
Very informative and motivational. Any leader of any group, organization, church or business will benefit greatly from the content of this book.Read more
...a young church and this book was fantastically challenging and thought provoking....Read more
Outstanding book, even life changing....Read more
399 customers mention informative, 380 positive, 19 negative
Customers find the book informative, praising its great research and insightful analysis, with one customer noting its use of real case studies.
The book is informative for those looking for some insights into becoming a better leader within an organization....Read more
I have read this twice now and recommend it to friends. It has very informative and interesting case studies. Surprisingly could not put it down.Read more
...I have found the book to be very insightful and a springboard for further study of companies, their leaders, and their strategic policies.Read more
Practical, well written, to the point, great read for any manager striving for improvement - great addition to any professionals libraryRead more
105 customers mention comprehensive, 80 positive, 25 negative
Customers find the book comprehensive, with well-explained and thought-out concepts that are detailed and easy to understand.
...Well written and well documented. A book on strategy that cannot be ignored.Read more
Content clearly developed, even toned writing throughout made for an easy read. Compelling ideas and relatively contemporary examples. Book well done.Read more
...The chapters are short, concise and straight to the point. They reveal concepts that are so glaringly obvious but so easy to disregard....Read more
I couldn't get past the fact that he didn't describe great in the beginning. It was ok.Read more
100 customers mention concepts, 91 positive, 9 negative
Customers appreciate the book's concepts, finding them interesting and thought-provoking, with one customer noting that they can be applied to both business and personal life.
Great concepts. More than enough examples to illustrate the authors points. I would have also enjoyed cliff notes, because the points are salient....Read more
Interesting concepts and applicable ideas... my only problem, the author considered few "GREAT" companies (over 10 year ago) that were bankrupt...Read more
...Boring read, but some good ideas.Read more
Great book with excellent concepts....Read more
99 customers mention engaging, 81 positive, 18 negative
Customers find the book engaging, describing it as a profound and inspiring read that they enjoyed every page of.
Read the book as part of a managerial leadership class and found it interesting, engaging and full of key takeaways.Read more
...It was engaging and kept my attention throughout the book....Read more
An interesting read, but I'm not sure his conclusions are sound--info is fairly anecdotal and correlational, not causal.Read more
One of the most influential books I have ever read. Working in a large corporation, this book will help me to impact change in the culture.Read more
93 customers mention business-friendly, 88 positive, 5 negative
Customers find the book business-friendly, providing insights into what makes companies great through common sense approaches and real-world examples of success in Corporate America.
Literally changed my view of how I run my business. I can't stop quoting this book and will say it's a MUST READ for any self-starter....Read more
A must for anyone in business! Makes one think about one's own career path and role in any organization. Truly an inspirational read.Read more
Awesome book and not just for companies. The principles in this book can be applied to other areas of your life!Read more
very good account of different businesses that made it through hard times and how to got through a most read to be inspired if great ideasRead more
73 customers mention writing quality, 66 positive, 7 negative
Customers praise the writing quality of the book, noting that it is well written and accessible to anyone, while being based on empirical knowledge and keeping readers engaged.
I got this book for a business class. It has great examples and is well written. It is concise and has a great flow.Read more
Well-written, factual, principles that can be applied to every aspect of life....Read more
...The book is very well written and full of great common sense approaches to leading a business. One of the keys is the "hedgehog" concept....Read more
Content clearly developed, even toned writing throughout made for an easy read. Compelling ideas and relatively contemporary examples. Book well done.Read more
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