I am currently reading the book “Scaling Up” by Verne Harnish’ and it’s just fantastic.
I’ve just completed reading the 30 – 40 % of the book and I am already overwhelmed by the number of notes I’ve made for myself. Here are few notes:
1) Working with Team: The key is an effective daily, weekly, monthly, quarterly and annual meeting
After reading this book, I have tried that I review the work of everyone in my team so that there is no communication gap & work gets delivered as discussed with the client
Before reading this, I was not a big fan of daily meetings.
2) I learned 7 Ways to Increase the Cashflow.
Price, Volume (Ship more, quantity, reduce the cost of raw materials, reduce operating expenses, collect money from debtors, reduce the inventory, and slow down the payment to creditors)
3) There are three barriers to Scaling Up
- Increasing number of Capable Leaders in the Company
- Infrastructure
- Effective Marketing Function
4) There are 28 Million Firms in the US, of Which ONLY 4% ever reaches the mark of >$1 Million in Revenue. And only 0.4% of those reach to >$10 Million in revenue
> This stat is fantastic. I am using it to benchmark my company and see where we have reached.
5) Effective Leaders passes these two Test:
- They don’t need to be managed
- They regularly Wow the team with their insight and output
6) Attracting and Hiring A players, at all levels of the organizations, is as critical as landing the right customers
7) The cost of a bad Hire is 15X his or annual salary
8) Every company needs a team of absolute specialist.
[People who are extremely talented at one particular thing and possibly quite bad at others]. Teams need to be well rounded but their individual members don’t have to be.