GROWTH SMART
How Growth Smart Is Your Company ?
Certified with Gazelles International Rick has generated results in the millions of dollars for his clients using Four Decisions TM tools like the One Page Strategic Plan , the Rockefeller Habits checklist , the Power of One and many others .
Research has identified that there are twelve components of a company ’ s culture that can be assessed and used to predict how “ growth smart ” a company is . High scores in these twelve areas have been proven to be accurate predictors of growth . However , merely scoring a company doesn ’ t help it become growth smart ; companies need a plan and a methodology to help them achieve that status .
In developing a growth-smart plan , I like to apply Verne Harnish ’ s Four Decisions concept that growth can be achieved by focusing on four initiatives : develop people , improve strategy , drive execution , and maximise cash . These are the four critical tasks that leadership teams must get right in order to grow their business . A growth-smart plan considers all four and creates annual and quarterly priorities to help teams execute them .
Here are the research-proven , top six drivers of fast growth for companies in order of importance , with commentary on how the Gazelles Four Decisions TM program delivers them :
# 1 . FEEDBACK AND ENGAGEMENT : Growth-smart companies have a system in place which opens up communication throughout the company . The Gazelles meeting framework that we help companies establish delivers exactly that . It enables the opinions and suggestions of employees to be heard , considered , and acted upon , and leverages the collective knowledge of the group . People feel they are being listened to . Good ideas and actions are bubbled up from employees , not driven down from above .
# 2 . VISION , MISSION , AND GUIDING PRINCIPLES : In growth-smart companies , guiding principles are clearly communicated , understood , and most importantly , they are consistently modeled by leaders and employees . In the Gazelles world , we prefer the terminology BHAG , core purpose , and core values , but the concepts are the same . They are a key part of the Four Decisions program . Think this “ Vision , Mission stuff ” is a waste of time ? Think again . In studies we ’ ve done , companies who scored at a best-practice level in this category have more than thirty times the profit-per-employee of bottomscoring companies !
# 3 . LEADERSHIP : Growth-smart companies have leadership that is honest , listens to employees , and works to implement a written set of strategies which are clearly communicated and visually displayed throughout the company . More than 20,000 leaders worldwide have used the Gazelles one-page strategic plan as the “ keeper and communicator ” of their strategy . By focusing on strategic thinking and execution planning , leadership earns the trust and confidence of their employees .
# 4 . ACCOUNTABILITY AND TEAMWORK : Growth-smart companies have a culture that encourages people to step up , take responsibility for their results , and work together to achieve company priorities .
Our execution decision focuses our clients on key priorities , metrics , and meeting rhythms . Our meeting framework introduces the peer accountability that keeps everyone on track and moving forward . Non-performers become evident and don ’ t last long on growth-smart teams .
# 5 . CUSTOMER FOCUS : Growth-smart companies meet their commitments to their customers . They solicit customer feedback , communicate it throughout the company , and work relentlessly to improve in their customer ’ s feedback . In the Four Decisions framework , collecting , studying , and taking action on customer feedback is a weekly task our executive teams complete .
# 6 . OWNERSHIP THINKING : In a growth-smart company , employees understand how the business both makes money and keeps money , and there is alignment between earnings incentives and company goals . The tools in our cash decision increase everyone ’ s understanding of the important drivers of cash flow and get everyone to focus on them .
In my line of work , I ’ m always involved in discussions with business leaders about how to grow their businesses . In fact , one of my mantras is to help leaders grow their business in less time , with less risk , and with less stress . I believe all companies need a growth-smart plan that will deliver them growth at a higher rate than the average . Focusing and improving on the above six drivers of growth will help your company achieve that higher-than-average growth rate . u
12 | SPRING 2017