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Preface
Purpose and Focus
ОглавлениеThe overall purpose of this book is to help readers understand what it takes to continue to grow an organization successfully after a new venture or entrepreneurship has been established. Specifically, it provides a lens or framework and related tools to help people understand how to manage organizational growth successfully at different stages from a start-up to a dominant world-class company like a Starbucks.
Unfortunately, too many entrepreneurial companies founder after promising or even brilliant beginnings. Companies such as Boston Market, People Express, Maxicare, and Osborne Computer were all once cited as great entrepreneurial successes, yet all have failed. In the face of these failures and difficulties, some cynical observers have even begun to define an entrepreneur as someone, such as Adam Osborne (who created the first portable computer) or Robert Campeau (a Canadian shopping center developer), who can start and build a company to a given level and then watch it fail.
Similarly, many established companies such as GM, Kodak, Sears, Reuters, and Xerox experience difficulties after decades of success. Some fail and others become no more than corporate zombies, with little life left in them. Xerox was once an icon of corporate success; people would say, “We want to be the next Xerox.” Sadly, no one says that anymore. How did this happen? Can symbols of once-great corporate success be revitalized? How can this process be managed?
Our experience in doing research and consulting with many different types of companies in many different places in the world has led us to write this book to help present and potential entrepreneurs and CEOs of established companies (as well as their employees, advisers, bankers, and venture capitalists) understand the pitfalls typically faced by organizations at different stages of growth and to explain how to become sustainably successful over the long term. It is also intended to help governmental policymakers understand the causes of the premature demise of entrepreneurial companies that are so vital to our economy. Although this book will not solve all the problems faced by companies, our experience (as well as the positive feedback we received about the previous editions) indicates that if the ideas and methods described in this book are applied, organizations will have a significantly improved likelihood of sustainable success.
While earlier editions of this book focused almost exclusively on the transition from what we have termed an “entrepreneurship to an entrepreneurially oriented, professionally managed business” (organizations from start-up to approximately $100 million in annual revenues), this edition focuses on all stages of growth. We have also included new ideas and concepts (which we have developed over the past few years) as well as new examples and cases of companies – not just in the United States, but also in several other countries around the world. Stated differently, the strategic intent is to refresh the book and make it even more relevant to organizations through their entire life cycle from inception to decline and revitalization.