For many smaller companies (those employing more than 5 staff and up to, maybe, a couple of hundred), growth can feel like a constant balancing act—pursuing new opportunities while managing day-to-day operations, all while trying to stay profitable. But what if the key to sustainable, profitable growth lies not in simply doing more, but in doing the right things with the right people, consistently and with discipline?.
Jim Collins, in his hugely popular book ‘Good to Great’ (after which we named our company in 2007), presents a blueprint for success that revolves around three core principles:
- Disciplined people
- Disciplined thought
- Disciplined action
- Then back this up with effective leadership
I was discussing this recently with a group of around fifty owners and I asked members of the group to put their hands up if they had too much money and then to keep their hands up if they had too much time. Guess what, surprise surprise, not a single hand was raised and instead, I was rewarded with embarrassed laughter….
While his research is pretty dry and almost exclusively focused on large companies, the lessons from the book are still highly applicable to owners. The key difference facing owners is resources scarcity (time and money) which makes growth often feel like a vague hope and efficient and consistent execution unattainable.
So, to assist you to get your head around this, I’ve put some thoughts together about how you can use these three core principles in the coming months and years to transform the fortunes of your business.
1. Disciplined People: Building the Right Team
It’s tempting for owners to believe that business success depends on a brilliant idea or superior products or services. Whilst those matter, the reality is that the people behind the company are more often the decisive factor in its growth and sustainability. We need to have “the right people on the bus” as a fundamental goal to achieving success.
This may sound simple, and in principle it is, but what is often underestimated is how hard it is to get right. In fact, being perfect in this area is probably unattainable, so the first message is to ‘cut yourself a little slack’ and instead, focus on being ‘really good’. What will then make you great is if you can be ‘really good’ consistently over a sustained period… Try and focus on these three areas:
- Hire with Purpose
The success of your business depends on the quality of your team. Focus on hiring people who align with your company’s values and growth objectives, rather than just filling positions. Look for individuals who show initiative, adaptability, and a commitment to continuous improvement.
A great example of this is the story of the janitor at NASA who met JF Kennedy on a visit to mark the start of the US Space Programme. JFK asked, “What do you do here?” and the janitor replied, “I’m helping to put a man on the moon Mr President!”.
The lesson from this is straightforward, don’t ask someone to come on board to be a sales representative, ask them to come and join the sales team and help grow the business to it’s goal of £5m….
- Right People in the Right Roles
Assess whether your current team members are playing to their strengths. An employee excelling in one area might struggle in another, and restructuring or providing additional training could unleash untapped potential. Also, just because someone is great at their job, doesn’t mean they will be great in a management or leadership role. The best salespeople seldom make the best sales managers.
Think about your team as a chess board where you move one piece at a time rather than making wholesale changes and causing chaos by moving every piece at the same time… This will allow you to spend time considering individuals, skills and capabilities properly. Remember though, these changes must be aligned to the goals of the business first and the person’s skills and capabilities second. In other words ask yourself, who’s best to be in this role… then look at the team… If at any stage you find that someone just doesn’t have a role, be courageous and allow them to step off the bus and find another mode of transport to continue their journey.
- Empower Leadership at Every Level
In owner-managed businesses, everyone has to wear multiple hats. But that doesn’t mean the owner should make every decision. Empower your team to take ownership of key tasks and drive results. Delegating with clarity and trust builds a culture of responsibility, allowing you to focus on strategy rather than micromanagement.
Clive Woodward, former England Rugby coach, got this right with his world cup winning team where he empowers everyone to be a leader. He stated clearly, “If you’ve got the ball, you’re in charge. Trust that the team will support you and you will make good decisions…”.
2. Disciplined Thought: Embracing Focus and Clarity
One of the hallmarks of great companies, Collins found, is that they have a laser-like focus on what they can be the best at. This requires rigorous thought and a deep understanding of where your company should focus its efforts. For owner-managed, whose resources may be stretched thin, this focus is even more critical.
- The Hedgehog Concept
Collins introduces the idea of the “Hedgehog Concept,” which is the intersection of three questions:
For an owner-managed business, this means not chasing every shiny opportunity that comes your way, but instead focusing on areas where your company can truly excel and provide unique value.
- Make Data-Driven Decisions
Great companies ground their strategy in evidence, not assumptions. For business owners, this means continually reviewing performance data—whether it’s financial metrics, customer feedback, or employee productivity—and using it to guide decisions. Avoid making knee-jerk reactions to short-term trends; instead, focus on long-term data that reflects your core strengths and areas of improvement.
- Confront the Brutal Facts
Growth doesn’t come from ignoring challenges. You should be brutally honest about the business’s weaknesses, whether that’s in marketing, customer retention, or operational inefficiencies. By addressing these head-on, you position your company to thrive.
3. Disciplined Action: Relentless Execution
Even with the best team and clearest strategy, nothing matters without effective execution. According to Collins, disciplined action is the ability to stay focused on what matters most and ensure consistent follow-through.
- Create a Culture of Accountability
Everyone in your company must understand how their role contributes to the company’s broader goals. Regular performance reviews, clear KPIs, and open communication foster accountability and ensure that all team members are aligned with the business’s growth trajectory.
- Develop Processes for Scale
One common issue for SMEs is that their processes are informal and rely too much on the owner. As your business grows, so should your processes. Systemise your operations, whether that’s through automated tools, documented workflows, or staff training. Scalability is key to sustainable growth, allowing your business to handle increased demand without overwhelming your team.
- Keep Innovating, But with Purpose
Disciplined action doesn’t mean sticking rigidly to a single path. Instead, it requires constant iteration and improvement. However, innovation should be purposeful and aligned with your company’s core focus, not just a reaction to market trends. Test new ideas but ensure they don’t distract from your core mission.
4. Leadership: From the Top Down and the Bottom Up
Finally, sustainable growth requires leadership at all levels of the business. For business owners, that means leading by example—showing discipline in decision-making, clarity in thought, and commitment to execution. But it also means nurturing leaders within your team. Create an environment where people feel empowered to make decisions, experiment, and take calculated risks. When leadership is shared, the responsibility for growth becomes collective, and that’s where real momentum builds.
Conclusion: Building Greatness Step by Step
Achieving sustainable, profitable growth isn’t about radical transformation overnight—it’s about a steady, disciplined march toward your long-term goals. By focusing on disciplined people, disciplined thought, and disciplined action, business owners can build companies that not only grow but thrive over the long term.
Remember, greatness is not a matter of luck or external circumstances. It’s a choice. One that is made every day through the deliberate cultivation of the right team, the right strategy, and the relentless execution of what matters most. Now is the time to choose greatness for your company—one disciplined step at a time.
