Scaling Up Quotes

“Disminuir en un 80% el tiempo que le lleva al equipo clave dirigir la compañía (actividades operativas).”
― Verne Harnish, Scaling Up (Dominando los Hábitos de Rockefeller 2.0): Cómo es que Algunas Compañías lo Logran…y Por qué las Demás No

“Manejar el Efectivo, ¡No se quede sin él! Esto significa que debe prestar tanta atención al impacto que tiene cada decisión en el flujo de caja, como a los ingresos y las ganancias.”
― Verne Harnish, Scaling Up (Dominando los Hábitos de Rockefeller 2.0): Cómo es que Algunas Compañías lo Logran…y Por qué las Demás No

“reúna Información cuantitativa y cualitativa y revísela semanalmente para guiar las decisiones que se tomarán;”
― Verne Harnish, Scaling Up (Dominando los Hábitos de Rockefeller 2.0): Cómo es que Algunas Compañías lo Logran…y Por qué las Demás No

“#1 weakness of growth firms is marketing, the #2 problem is accounting.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Completing Your Cash Acceleration Strategies (CASh) Tool 1.   Read the Harvard Business Review article by Neil C. Churchill and John W. Mullins titled “How Fast Can Your Company Afford to Grow?” 2. Calculate your existing CCC in days. 3.   Calculate the amount of cash required to fund each additional day of CCC. 4.   Brainstorm ways to improve your CCC and the 7 financial levers highlighted in the last chapter of this “Cash” section using the one-page CASh tool. Be sure to explore ways in all three general categories — shortening cycle times, eliminating mistakes, and changing the business model — for each segment of the CCC. 5.   Choose one cash-improvement initiative every 90 days as one of your quarterly priorities (Rocks).”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Have your CFO give you a cash report every day, like Verne’s does. The CFO should summarize the sources and amounts of cash that came in and out of the business during the last 24 hours, along with anticipated cash flow for the coming month. It keeps cash top-of-mind and allows you to react quickly — within days vs. months — if it’s heading in the wrong direction. Observing the sources of cash flowing in and out on a daily basis also gives real insight into your business’s financial model.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Some areas of opportunity: •   First, stop saying, “Well, this is just the way it is in our industry.” •   Have your available cash reported DAILY, with a short explanation of why it changed in the last 24 hours, and chart it against accounts receivable (AR) and accounts payable (AP) weekly. You’ll learn so much more about your business when you see how the cash is flowing on a daily basis. •   If you want to be paid sooner, ask. Small firms are finding that large companies (and governments!!) will pay considerably faster or even prepay if they simply ask, ask, ask, ask, and ask some more. •   Give value back to customers who pay on time or in advance. •   Get your invoices out more quickly. Hire one more person in accounting to do nothing but make sure invoicing is timely and follow up on payments. •   Send friendly reminders five days before the deadline that payments are due. Many customers are disorganized and will appreciate the reminders, resulting in faster payment. •   If invoices are recurring, obtain recurring credit card authorization from your customers to automate on-time payments. •   Understand why your clients are paying late. They might be unhappy with your product or service. Or perhaps an invoice has recurring mistakes, or it is not structured to flow through the customer’s automated invoicing system. •   Understand each customer’s payment cycles, and time your billings to coincide. •   Pay many of your own expenses with a credit card so you can play the float. Get your own customers to pay by credit card, so they can pay you quickly even if their cash flow is slow. •   Help your customers improve their cash flow so they can pay you on time. Offer them leasing options, for instance. •   Shorten cycles for delivery of your product or service. All of you have some kind of “work in progress.” The faster you complete projects, the faster you get paid. •   Offer a product or service so valuable that you have some leverage with your customers to get them to pay sooner. • Remember, improving margins and profit improves cash.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“How Fast Can Your Company Afford to Grow?” a Harvard Business Review article by Neil C. Churchill and John W. Mullins.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Imagine the power to resolve dozens of issues right on the spot. If a press release needed approval, everyone (including the CFO, the VP of sales, and the software development and marketing chiefs) was there to review and resolve it in minutes. It didn’t float around in emails for days, sucking up hours of management’s time. If Sales was having a problem with the CRM system, the head of IT was there. If Development needed to hire additional programmers, the head of HR and the CFO were there to start the process and sign off on the budget.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Anytime somebody goes two days without reporting a constraint, you can bet there’s a bigger problem lurking. Busy, productive people who are doing anything of consequence get stuck pretty regularly. The only people who don’t get stuck are those who aren’t doing anything or are so stuck that don’t know it!! So, challenge the team member who reports, “Everything is fine!”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Avoid checking up on whether someone did something the previous day. Team members will start feeling like they are being micromanaged. In general, looking forward is great management; looking backward is micromanagement.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Great growth firms are a lot like great jazz bands. While jazz is improvisational and entrepreneurial-like, the discipline underlying it allows even musicians who have never played together before to perform a rocking jam session.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“The 4Q refers to the four questions that we suggest leaders ask customers in person (not on a survey): 1. How are you doing? 2. What’s going on in your industry/neighborhood? 3. What do you hear about our competitors? 4. How are we doing?”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Core Purpose: the one word/idea/speech driving the business 2.   BHAG®: the one 10- to 25-year goal for the company 3.   Profit per X: the one overarching KPI representing the core economic engine of the enterprise 4.   Brand Promise: the one most important measurable promise (of three) representing the brand 5.   The Critical Number: the one key driver for the year and the quarter”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Jeff Bezos asks his team each week is what competitors have entered their market in the last seven days!”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“SWT Instead For senior leaders, we propose replacing the SWOT with the SWT: an updated approach that identifies inherent Strengths and Weaknesses within their firms while exploring broader external Trends beyond their own industry or geography.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“In “The Accounting” chapter, we’ll discuss why the #2 weakness of growing companies is the lack of sufficient financial data.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“For Gazelles, some earlier Key Thrusts/Capabilities included international expansion outside of the US and Canada; the launch of a software-as-a-service offering to support our methodologies; the creation of a high-end membership organization; a significant global expansion of our coaching organization; and the creation of an online learning platform.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“1. A framework that details your corporate vision. 2.   A common language with which to express that vision. 3.   A well-developed routine for keeping the vision current.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“So how do you figure out an X-Factor? Start by asking: What is the one thing I hate most about my industry? What is driving me nuts? What is the choke point constraining the company? It could be a massive cost factor. It could be a massive time factor. The challenge is that you’re often too close to the situation and as blind as everyone else to the real problems that have been accepted as industry norms.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Here was the deal Sullivan pioneered: New managers would invest $25,000 and commit to staying for five years. Outback would take the first three years to train them to run a restaurant, paying a competitive wage. During the last two years, the new managers would get to run a restaurant on their own. If they hit certain performance milestones by the fifth year, they would get a $100,000 bonus — a 4x return on their investment — which would vest over the next four years. If they signed on to stay at the same restaurant another five years, they would receive the $100,000 in one lump sum, plus $500,000 worth of stock that would vest over the next five years.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Frei and Morriss’ overarching point is that great brands don’t try to please everyone.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“KEY RESOURCE: Frances Frei and Anne Morriss’ book Uncommon Service: How to Win by Putting Customers at the Core of Your Business”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Integrity matters • Think like a customer • Spirited fun •   Be quick, but don’t hurry (borrowed from legendary basketball coach John Wooden) • Employees are critical • Small details are huge • Take care of each other”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“The Vision Summary tool, described in “The One-Page Strategic Plan” chapter, will provide your team with an easy-to-remember summary of your vision.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Most teams, when asked to determine a Purpose, often describe Brand Promises instead. (The Brand Promise concept is covered in the next chapter.) When asking the five whys, a staffing company might conclude, “We help our clients hire the best talent and save them valuable time in the process.” These might be two accurate Brand Promises — Best Talent and Save Time — but the Purpose goes deeper than just describing the attributes of your product or service. For Michigan-based staffing firm EmploymentGroup, for example, the deeper Purpose is “Helping people succeed.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Practice what we preach • Nothing less than ecstatic customers • First class for less • Honor intellectual capitalists • Everyone an entrepreneur • Never, ever, ever give up”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“Harvard Business Review article titled “Building Your Company’s Vision,” by James C. Collins and Jerry I. Porras.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“the term “merger” should be eliminated from the business vocabulary. There is no such thing. There are only acquisitions.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't

“People are not resources that you consume.”
― Verne Harnish, Scaling Up: How a Few Companies Make It...and Why the Rest Don't