Bigger Isn't Always Better: The New Mindset for Real Business Growth

272 Pages·2006·3.6 MB·English

by  Robert M. Tomasko

BIGGER
Isn’t
Better
Always
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BIGGER
Isn’t
Better
Always
The New Mindset for
Real Business Growth
ROBERT M. TOMASKO
AmericanManagementAssociation
NewYork•Atlanta•Brussels•Chicago•MexicoCity•SanFrancisco
Shanghai•Tokyo•Toronto•Washington,D.C.
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LibraryofCongressCataloging-in-PublicationData
Tomasko,RobertM.
Biggerisn’talwaysbetter:thenewmindsetforrealbusinessgrowth/
RobertM.Tomasko.
p. cm.
Includesbibliographicalreferencesandindex.
ISBN0-8144-0866-4
1.Corporations—Growth. 2. Sustainabledevelopment. 3. Creativeability
inbusiness. I. Title.
HD2746.T66 2005
658.4(cid:2)06—dc22
2005024600
(cid:2)2006RobertM.Tomasko
Allrightsreserved.
PrintedintheUnitedStatesofAmerica.
Thispublicationmaynotbereproduced,
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• • • • • • • • • • • •
C O N T E N T S
• • • • • • • • • • • •
Acknowledgments vii
Introduction 1
PART 1
WhatGrowthIsandIsn’t 9
1. IsBiggerBetter? 11
2. ABiggerStockPriceIsNotAlwaysaGoodThing 28
3. GrowthIsAboutMovingForward 48
4. AreYouaFixeroraGrower? 75
PART 2
WhatGrowersDo 97
5. KnowWheretoLook 99
6. KnowWhatTheyWant 124
7. TelltheTruth 139
8. CreateTensiontoGenerateForwardMovement 166
9. WinHeartsandMinds 184
10. MasterMomentumandBounce 214
11. KnowWhentoLetGo—andHowtoSharetheWealth 231
12. Epilogue 237
Notes 239
Index 253
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• • • • • • • • • • • •
A C K N O W L E D G M E N T S
• • • • • • • • • • • •
Thisbookisasynthesisofideasfrommanybusinessobservers,growers,
and management scholars. Consider the notes at the end of the book as
a partial accounting for some of my intellectual debts. These notes also
makeforgoodstartingpointsifyouwouldliketoreadfurtheraboutany
of the topics covered here.
I want to express appreciation for the time, thoughts, and general
stimulation that a number of important individuals have provided over
the many years I have been mulling over growth and what it really
means: Bruce Aylward, Bill Bishop, Andrew Blank, Donald Calvin,
Roger Conner, Matthew Davis, Jean Phillipe Deschamps, Joe Eldridge,
JJ Finkelstein, Richard Goodale, Marvin Goodman, Kenichi Hattori,
Don Heavy, Andre Hermann, Hisato Iguchi, G. K. Jayaram, Charlie
Keifer, David Lange, Robert Lee, Robert Levering, Frank Louchheim,
Michael Maccoby, Tim Mendham, Larry Miller, Alan Mottur, Maria
Otero, Harrison Owen, Amram Shapiro, Bryan Smith, Herman Stein,
Dena Stoner, Leon Sullivan, Shige Tabata, Toshiro Takeda, Greg Thiel-
mann, Carl Tinstman, Martin Van der Mandele, Jan Wall, and Reid
Weedon.
Several organizations also deserve special thanks for providing me
with an opportunity to learn from them, as well as test out many of my
ideas about growth: Air Products & Chemicals, Bain & Co., Center for
Creative Leadership, Confederation of Indian Industry, Daimler-Benz,
EconVerlag,GroceryManufacturersofAmerica,HartfordSteamBoiler,
Hy-Vee, IMD, Infosys, Innovation Associates, Institute for Management
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viii ACKNOWLEDGMENTS
Studies,LiptonInternational,ArthurD. Little, Inc.,MentalHealthCor-
porations of America, Mitsubishi, National Rural Electric Cooperative
Association,NewspaperAssociationofAmerica,NYKLines,O¨sterreich
Volkspartei, Portugal Telecom, Rittal Werk, Sun Microsystems, Tetley,
Toyota, and Yamaha.
I am blessed with a most supportive family; an encouraging agent,
John Willig; and a great editor, Adrienne Hickey. Adrienne leads a su-
perb editorial team at AMACOM, the best I’ve ever worked with. Any
errors of fact or style herein are my own doing, of course, but there are
far fewer of them than there might have been if not for the careful vigi-
lance of Jim Bessent and proofreader Christina Orem.
Thisbookisdedicatedtomyson,William.Youcanlearnalotabout
growthfrombusinessschoolclassesandworkinginandformajorcorpo-
rations, but I am convinced you never really understand what it is about
until you become a parent.
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Isn’t
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Always
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