Customer Reviews

Built to Last: Successful Habits of Visionary Companies

5 star:		(13)
4 star:		(6)
3 star:		(1)
2 star:		(1)
1 star:		(0)

 

 

Built To Last was an extremely thought provoking and eye opening read. Built To Last studies some of the most successful (called the leading companies) and the following companies (non-leaders in an industry). The research for this book produced surprising results for the authors (and the reader). The authors found the there were at least twelve commonly held businesses beliefs that their research refuted. In essence these dearly held business beliefs were myths.

Here is a look at each of the twelve myths and a sound byte describing each:

1. It takes a great idea to start a company Few visionary companies started with a great idea. Many companies started without any specific ideas (HP and Sony) and others were outright failures (3M). In fact a great idea may lead to road of not being able to adapt.

2. Visionary companies require great and charismatic visionary leaders A charismatic leader in not required and, in fact, can be detrimental to a company's long-term prospects.

3. The most successful companies exist first and foremost to maximize profits Not true. Profit counts, but is usually not at the top of the list.

4. Visionary companies share a common subset of "correct" core values They all have core values, but each is unique to a company and it's culture.

5. The only constant is change The core values can and often do last more then 100 years.

6. Blue-chip companies play it safe They take significant bet the company risks.

7. Visionary companies are great places to work, for everyone These companies are only great places to work if you fit the vision and culture.

8. Highly successful companies make some of their best moves by brilliant and complex strategic planning. They actually try a bunch of stuff and keep what works.

9. Companies should hire outside CEOs to stimulate fundamental change Most have had their change agents come from within the system.

10. The most successful companies focus primarily on beating the competition. They focus on beating themselves.

11. You can't have your cake and eat it too. Decisions don't have to either or, but can be boths.

12. Companies become visionary primarily through "vision statements". Vision is not a statement it is the way you do business.

I would recommend this book to anyone engaged in developing and running a business at any level. If you want to design, build and run a lasting enterprise this book has some ideas and insights worth exploring.

I don't think a lot of people realize that Built to Last was published in 1994. It is only with the skyrocket popularity of Good to Great (published in 2001, but a bestseller in 2005) that Built to Last has re-graced bookshelves at all. The technical aspects of the writing are wonderful, weaving convincing arguments the way a high school lyricist weaves urban tales for his friends. And with the same result: the study doesn't hold up, especially not with the 11 years of hindsight we have on it. For starters, much of the research is on consistent growth and performance of specific companies against the general stock market, from 1926 to 1990. While the author correctly points out that this era covers a fantastic amount of change, he wrongfully dismisses that point, continuing to build his thesis on the shaky foundation that "what worked through the 1950's and 1960's is bound to work today". "Built to Last" is an interesting business history, but a terrible roadmap for success.

Reading Built to Last will not guarantee that your company becomes a Fortune 500 company, nor will it ensure that you rise to the Executive Board of your company. It will, however, provide you with key insights into the corporate world and why some companies MAY fail or succeed. It is important to realize that Built to Last is a review of past behavior of companies, with an explanation of observed results of the study. Therefore, I do not believe that it is the Business Bible that some proclaim it to be, but it is a very well written book with great insights into the operation of Corporations.

For example, at the end of every chapter, the authors provide a message for CEO's, Managers and Entrepreneurs. This section will summarize the key points of each chapter in a practical manner. Also, there is more than sufficient data and examples to support the main points in the book, which gives the reader confidence in employing the methods in their jobs and companies.

I am unable to rate this book as 5 stars, because I truly believe that luck and other invisible forces play a role in the success or failure of all companies. While the principles that Collins and Porras have outlined are insightful and may explain a large part of why companies succeed over long periods of time, it leaves much unexplained. For example, many companies named in the book went on to fail and eventually went out of business. While it may be convenient to attribute these companies' mishaps to a strategic failure in following the principles laid out in Built to Last, it is impossible to not correlate at least part of their failure to market forces and other conditions outside of anyone's control.

Regardless, Built to Last is a book that is a must own for all people interested in Business or any other organization that they wish to see succeed over extended periods of time.

As a aspiring student for Management, I found this book to be one of the best books. Mr. Collins and Mr.Porras have done a great job in analyzing 18 best companies and also comparing these companies with similar 18 companies....The book which is 2 to 3 years old is still relevant today.

The best part of the book is the concept of Core Ideology. This is different from Core Competency as explained in "In search of excellence". This is the best concept I think and will people to build great organizations.

I recommend this book to all those aspiring Management students, Management Students and Managers.

Big hairy audacious goals! BHAG has finally become a buzz-word in business today. Slywotsky, Gates and other all use it now. Built to last is one of those business books founded on solid research. I'm particularly impressed with their research methodology and choices of control groups. Insights are hard to apply though in the real world. Still, great reading for managers. The other comparable book I have read is The PIMS Principle.

This book does a splendid job of detailing how the world's most successful, long-established companies have flourished. The use of comparison companies was especially informative because many of the intangible aspects of good management have no absolute scale against which to measure. The authors have done a masterful job of organizing a tremendous amount of information into a cohesive and readable arrangement - and it makes sense! When the visionary companies take an action that contradicts the typical characteristics discovered and explained by the authors, they come right out and say, "It doesn't make sense to us." Also well done is their end-of-chapter guidelines for those readers who might put the book to use. Their writing is fresh, brave, and again, very useful! An exciting book to read!

The greatest thing about the audio book is the tantalizing study of the engine of great companies that has can have impact for any business or life. Sum it up in one word: vision is what's needed. But there's more to say than just that. I found the book extremely useful and learned simple but exciting truths from it! (The only thing I didn't like about the audio book is that it is an abridgement and some of the detailed company comparisons were left out.)

I hate many management books. I have hated them for years. Many are too facile, too evangelistic, too unfulfilling, and too easy.

I compare some writers of management books to revival preachers. "If you'll only accept--if you'll only walk the aisle, then everything will work out and you will receive showers of blessings. You'll have everything you ever wanted. It's so easy. Heaven is just around the corner if you only accept."

Porras and Collins have converted me. I have walked the aisle and I believe.

I did not even remember where I read the review that initiated my search for the book. I checked the book out from the library--riskless from a cynic's point of view.

But, oh, what a great book. What superlatives can I use to describe it? Let's just say if I, like Mikey, like it, it's good.

It's good because it does not propound easy answers. It propounds fundamentals such as enunciating your core values and living them. It's about innovation. It's about taking care of your customers first. It's about building your organization as a clockmaker would a watch. It's about risks, those big harry audacious goals--those dreams-- that some companies turn into reality. Most of all it's about real companies, real people and real hard work. Take it from me, it's one of the best business books of the decade

Before being promoted to direct any influential company, people should be required to answer a mastermind quiz on the learning organisation realities discovered in this book. The authors have combed through decades of corporate information to reveal that internal marketing culture and aligned vision are the fundamental drivers of sustainable corporate growth. If you can convince directors to take at least a three year perspective - instead of accounting's quarterly ones - in everything they measure and opinion lead, then their companies are candidates for real wealth creation. This book's living testimony to the true spirit of marketing leadership is that "visionary" companies grow eight times more wealth in a generation than average companies. Think of the difference in future prospects of a nation (Japan?) which invests mainly in visionary (knowledge-creating) companies and one (UK?) which invests mainly in average (short-termist or poor learning) companies. And you start to see why every leader - from CEO to national politician - should be screened for marketing and cultural competence. If you would like to join an interactive book club for readers to discuss these or other thought-provoking issues, please contact me... Chris Macrae, editor of Brand Chartering Handbook & MELNET www.brad.ac.uk/branding/ E-mail me at wcbn007@easynet.co.uk

I listened to the audio version on my way to work. The bonus author interview at the end was the best part. It included a pitch for one of his other books "Good to Great". Jim Collins also has a web site, of the same name, that has an additional 10 non business books that he recommends. These additional resources have provided two of the next books I plan on reading.
As far as Built to Last goes, the following are some of his key concepts from this book.
1. Be a "Clock builder" instead of a "teller of time"
2. BHAGS (def in the book)
3. The "and" instead of the "or"
4. Preserve the core
5. Cult like corporate cultures
6. Stimulating progress
7. Alignment
8. All leaders die
Two other tid bits that caught my attention: The fact about how at the 18 visionary companies only 4 CEO's have ever been selected to the top spot in these organizations from outside the company. And finally the 3M example of how to effectively facilitate interaction between internal departments, by inventing a Technology Sharing Award and Technical Honor Society.
If you are a business type climbing the corporate ladder, it is worth a read. 3.5 to 4 stars