𝗛𝗼𝘄 𝗝𝗮𝗰𝗸 𝗪𝗲𝗹𝗰𝗵 𝘁𝗿𝗮𝗻𝘀𝗳𝗼𝗿𝗺𝗲𝗱 𝗚𝗘 𝘁𝗼 𝗮 𝟭𝟯𝗕 𝗰𝗼𝗺𝗽𝗮𝗻𝘆 𝘁𝗼 𝗮 𝗵𝘂𝗻𝗱𝗿𝗲𝗱 𝗯𝗶𝗹𝗹𝗶𝗼𝗻 𝗰𝗼𝗺𝗽𝗮𝗻𝘆
When we studied how visionary ventures such as GE remained enduring and ahead throughout its decades of existence, and why their secondary counterparts in their eras died at the book Built to Last–we saw an interesting trend.
Visionary ventures have so-called ‘universities’ that institutionalize the company’s DNA, core values, culture, and competencies.
This is evident in how Jack Welch transformed GE from a $13B company to a several hundred billion companies, which made him known as the manager of the century.
During Jack Welch’s tenure, he built GE Crotonville. Crotonville is the learning facility of GE which installs the company’s DNA, core values, culture, and key competencies to its leaders. This way, they were able to keep their DNA vibrant and pulsating, and all next leaders who replaced the former leaders have the same DNA of “building great people who build great products and services.”
The key to building a visionary company is not just being able to pivot to market trends. In fact, building a visionary venture is driven more by the company’s ability to keep its purpose intact despite differences in generations. This allows the company to perform consistently as its focal point is not a strategy–rather, culture.
Strategy as the focus of business development makes the company’s growth brittle and inconsistent. There are strategies that can hit, and there are strategies that won’t. Although it is true that it is natural for strategies to be hit-and-miss, executing strategies and strategies alone stir the company’s purpose dynamics. Specifically, there may be strategies and campaigns that a company will execute that are just… not them. It’s not in their DNA or purpose to do such strategies, and that they may not know that they’re already violating their core values.
This is why culture always eats strategy for breakfast. Because culture is a vastly more dependable “solution.” Because when we start with culture–once we have installed an undying, uncompromising, and unforgiving DNA–strategy (that is aligned with the why of the company) follows.
Companies start dying when they lose track of their purpose and core values, and they speed up the dying process the moment they mindlessly execute disconnected strategies to try to remain afloat in the market.
#Education #Business #Startup #CompanyDNA #Culture #Strategy #VentureDevelopment