Execution: The Discipline of Getting Things Done by Larry Bossidy and Ram Charan. Bossidy served as Chairman and CEO of Honeywell and held executive roles at General Electric for over 30 years. Ram Charam spent 35 years working with executives at GE, Bank of America, DuPont, Novartis, EMC, 3M, and Verizon among others.
Chapter two reveals many strong points about company failures due to a lack of leadership. From Xerox, EDS, and Lucent. So many glaring mistakes top executives.
The lack of key knowledge regarding P&L or supply chain can kill. Yet those promoted into senior roles resulted in quarterly sales slumps. Bossidy shares firings began after two slumping sales quarters.
Looking back one can wonder how did they actually hold a job so valued yet be so inaccurate in leadership. Bossidy and Charan provide the insights needed.
Hiring during a pandemic? Execution can provide valuable insights to efficient execution by Baxter and Duke Energy. Bossidy took personal time to ensure executive and senior management hiring was a success. His spent time calling candidate references.
Execution also reveals HR should be honest in rethinking hiring timelines. This must include support by senior management in order to stay afloat or thrive.
To be fair, Bossidy also rewrote the executive’s rules on promoting long time managers. A company open to honest, critical analysis proved a key indicator when search was moving external.
He recognized when the business landscape would change, and how key competitors where reshaping vertical markets. This led Bossidy to pass on internal candidates due to lack of sufficient experience. This would not serve the business over the coming three to five years.
This chapter reveals examples of CEO failures. They refuse to part with longtime senior managers. Ultimately those CEOs were fired. A few cases reveal weak sales quickly led to acquisition takeovers.
Execution takes a good look at AT&T’s failed strategy. Another chapter worthy of your time. Their struggle stumbling over baby bells provides insights easily applied to businesses outside telecommunications.
David Novak Leadership: Larry Bossidy, retired Chairman and CEO of Honeywell