Fifteen years ago a book that has guided my managerial style, “Good to Great: Why Some Companies Make the Leap…and Others Don’t” by Jim Collins, first hit bookstore shelves. I refer back to it when I’m looking for inspiration as I lead the management team at AltairStrickland. I’m not the only one who finds value in the book. “Good to Great” has sold over 4 million copies worldwide and has since become a staple of management theory.
What I come back to most often is Collins’ assertion “good is the enemy of great.” It’s a valid and compelling point that reminds us to never settle for good because the moment we do we’re no longer striving for greatness. But Collins also draws some really interesting conclusions about leadership, and he draws a distinct line between good leadership and great leadership.
In the book, Collins and his team examined the performance of 1,435 “good” companies over the course of 40 years. With so many leaders to study, Collins was able to pull compelling data that supported his new leadership hierarchy, which looked like this:
- Level 5: Executive. Builds enduring greatness through a paradoxical combination of personal humility plus professional will.
- Level 4: Effective Leader. Catalyzes commitment to and vigorous pursuit of a clear and compelling vision; stimulates the group to high performance standards.
- Level 3: Competent Manager. Organizes people and resources toward the effective and efficient pursuit of predetermined objectives.
- Level 2: Contributing Team Member. Contributes to the achievement of group objectives; works effectively with others in a group setting.
- Level 1: Highly Capable Individual. Makes productive contributions through talent, knowledge, skills and good work habits.
While “Good to Great” focuses primarily on Level 5 leaders, it’s important to remember organizations need each type of leader, from “Highly Capable” to “Executive,” in order to function at their best. But, as many of us have seen, it’s pretty difficult and therefore unusual for leaders to achieve Level 5. Out of the over 1,400 companies Collins’ team studied, a mere 11 had Level 5 leaders.
Why?
Collins’ theory is the characteristics of Level 5 leaders are paradoxical, describing Level 5 leaders “as a study in duality: modest and willful, shy and fearless.”
This insight is counter to our commonly held views about what makes an effective leader. We typically think of leaders as outspoken, type A personalities who can be brash, impulsive and shrewd. Bobby Knight is a good example. He led Indiana University to three National Collegiate Athletic Association championship titles during his time as head coach, but he famously threw a chair across the court, was combative with the media and was ultimately fired because of his behavior. Bobby Knight is someone who personifies that traditional leadership definition.
But, as it turns out, the character traits of guys like Knight are actually quite different from the ones Collins found in his 11 great leaders. Collins discovered Level 5 leaders were actually completely the opposite, quite humble and often soft spoken. Consider Collins’ illustration of personal humility and professional will — the character traits that go into Level 5 leaders.
Collins asserts Level 5 leaders demonstrate modesty, are never boastful, act with quiet determination and never blame others for mistakes. These quiet leaders are also long-term strategic thinkers and demonstrate an unwavering resolve to do whatever needs to be done to ensure the stability and growth of their companies, regardless of difficulty. Simply put, Level 5 leaders set the standard for building an enduring, great company.
Of course, not everyone can be a Level 5 leader, nor should they be. The best companies, the most well-rounded companies, have a balanced team — leaders and employees with different skill sets that are complementary — which enables the companies to handle any job or situation that arises.
At AltairStrickland, we try to ensure our leaders — all levels — not only create superb results but also set the standard for how our company operates both today and tomorrow. Good leadership doesn’t happen by accident. It happens by choice. We should all strive for great, not just good.
For more information, call Jeffrey Webber at (281) 478-6200 or email him at jwebber@altairstrickland.com.
