Beginning the Transformation - People
Copyright Jack Mixner. 714 449 1040. www.mixnerstrategy.com
Collins on the first step in a transformation: " ... good-to-great leaders began the transformation by first getting the right people on the bus (and the wrong people off the bus) and then figured out where to drive it (Collins, page 63)."
Three supporting steps:
- "When in doubt, don't hire-keep looking.
- When you know you need to make a people change, act.
- Put your best people on your biggest opportunities, not your biggest problems (Collins, page 63)."
Pfizer is in the midst of transformation right now. They just hired a new CEO. They fired twenty per cent of their sales staff. They cancelled their next block-buster drug because of ill-effects in human trials (Murray, page A3). The transformation? Transform the company's focus on block-buster new drugs, to faster developement of a group of new drugs, all at the same time, within budget.
Strategic Implication
Collins makes it pretty clear: people come first. When you have your team on board, make changes. Pfizer isn't likely to change CEOs in mid-stream. They hired their new CEO because he was an outsider able to gauge the current dynamic and make necessary changes - now.
References
Collins, Jim. Good to Great Why Some Companies Make the Leap ... and Others Don't. HarperBusiness. 2001.
Murray, Alan. Drug's Demise Demonstrates Why CEO Is Pushing to 'Transform' Pfizer. Wall Street Journal. 6 December 2006. Page A3.