Tahap bagaimana How-the-Mighty-fall.pptx

How-the-Mighty-fall

1. How the Mighty fall

2. How the mighty fall, there are 5 stages … Jim Collins is an American business consultant, and popular lecturer and author. According to Collins, there are five stages of how a company falls. Stage 1: Arrogance and regarding success virtually as an entitlement are signs of Stage 1, “Hubris born of success”. In this stage people lose sight of what made them succeed in the first place and start to consider that they can succeed in anything. Stage 1: Hubris born of success The cultural tipping point when hard work and focus to earn the business turns into a sense of entitlement to future success. Source: Adapted from Jim Collins, “How the Mighty Fall and Why Some Companies Never Give In” and Eli Zelkha

3. How the mighty fall Stage 2: It’s a short way from Stage 1 to Stage 2, “Undisciplined pursuit of more”, in which companies pursue more growth with undisciplined moves that do not fit into their core business. Either it’s the area the company leaps into or the fast pace of the growth that hinders the company to excel, or even both. Stage 1: Hubris born of success The cultural tipping point when hard work and focus to earn the business turns into a sense of entitlement to future success. Stage 2: Undisciplined pursuit of more Building from stage one is people chasing goals that take them away from their core, their competitive advantage all in the name of growth, or the grand strategy. Source: Adapted from Jim Collins, “How the Mighty Fall and Why Some Companies Never Give In” and Eli Zelkha

4. How the mighty fall Stage 3: In Stage 3, “Denial of risk and peril”, the things look good on the outside, but internal signs of decline are appearing. Companies tend to amplify positive data and discount, or explain away, negative data. Stage 1: Hubris born of success The cultural tipping point when hard work and focus to earn the business turns into a sense of entitlement to future success. Stage 2: Undisciplined pursuit of more Building from stage one is people chasing goals that take them away from their core, their competitive advantage all in the name of growth, or the grand strategy. Stage 3: Denial of risk and peril Chasing things that are not part of your core, fail to see the problems. Source: Adapted from Jim Collins, “How the Mighty Fall and Why Some Companies Never Give In” and Eli Zelkha

5. How the mighty fall Stage 4: Denial may lead to Stage 4, “Grasping for salvation”, in which the decline becomes visible to all. It’s instinctive to do everything the leaders can think of to reverse decline in this stage. But the key is not to do everything at a frantic pace but think what not to do with a focused approach. Stage 1: Hubris born of success The cultural tipping point when hard work and focus to earn the business turns into a sense of entitlement to future success. Stage 2: Undisciplined pursuit of more Building from stage one is people chasing goals that take them away from their core, their competitive advantage all in the name of growth, or the grand strategy. Stage 3: Denial of risk Chasing things that are not part of your core, fail to see the problems. Stage 4: Grasping for salvation The silver bullet, abandoning the flywheel and chase things outside the core. Source: Adapted from Jim Collins, “How the Mighty Fall and Why Some Companies Never Give In” and Eli Zelkha

6. How the mighty fall Stage 5: Stage five is “Capitulation to irrelevance or death”. In this stage all the repeated unsuccessful attempts have drained both the company’s finances and leaders. There’s no turning back from this stage. Stage 1: Hubris born of success The cultural tipping point when hard work and focus to earn the business turns into a sense of entitlement to future success. Stage 2: Undisciplined pursuit of more Building from stage one is people chasing goals that take them away from their core, their competitive advantage all in the name of growth, or the grand strategy. Stage 3: Denial of risk Chasing things that are not part of your core, fail to see the problems. Stage 4: Grasping for salvation The silver bullet, abandoning the flywheel and chase things outside the core. Stage 5: Capitulation to Irrelevance or Death Accumulated setbacks, eroded financial strength, abandon hope Source: Adapted from Jim Collins, “How the Mighty Fall and Why Some Companies Never Give In” and Eli Zelkha

7. How the mighty fall It is possible to come back from stage four - but you would rather avoid the stages, particularly the latter ones. The knowledge of the five stages serves as a diagnostic toolkit. You just might recognize your company is in an early stage and be able to fix the problem before you get to stage four. Stage 1: Hubris born of success The cultural tipping point when hard work and focus to earn the business turns into a sense of entitlement to future success. Stage 2: Undisciplined pursuit of more Building from stage one is people chasing goals that take them away from their core, their competitive advantage all in the name of growth, or the grand strategy. Stage 3: Denial of risk Chasing things that are not part of your core, fail to see the problems. Stage 4: Grasping for salvation The silver bullet, abandoning the flywheel and chase things outside the core. Stage 5: Recovery and renewal Source: Adapted from Jim Collins, “How the Mighty Fall and Why Some Companies Never Give In” and Eli Zelkha