Chapter 6 – Cult-like Cultures
Porras and Collins discuss visionary companies as not a great place to work for everyone. All employees within a visionary company must adapt and embrace the core values assigned to them in order for the organization to make strides. According to the authors, visionary companies are demanding of its employees to seek accomplishment and to follow the core ideology. The authors outline four common characteristics of cults that apply to the visionary organizational philosophy – fervently held ideology, indoctrination, tightness of fit, and elitism.
Fervently held ideology – All employees believe strongly in the company ideology.
Indoctrination – Management is responsible for introducing and encouraging the proper work culture to employees.
Tightness of fit – Employees who do not believe in the same ideology should switch positions or be fired altogether.
Elitism – Recognizing the sense of responsibility that comes from being a member of a visionary company.
The beginning of Chapter 6 uses Nordstrom as an example of a visionary company where an interviewer tells an interviewee what is expected of him, in accordance with the company philosophy of excellent customer service and starting from the bottom to work your way to the top.
Chapter 8 – Home Grown Management
Porras and Collins describe a characteristic of visionary companies as likely to hire inside employees to high positions as opposed to other organizations that “hire from the outside.” This allowed for consistent excellence in leadership
from within the ranks, from employees who have adhered to the company’s core ideology. In the overall picture, this is a way for companies to preserve the core while stimulating progress – a mantra discussed in Chapter 4.
To support their claims, both authors cite comparison companies are six times more likely than visionary companies to hire their CEO from a pool of outside applications. At visionary companies, only 4% of CEOs came from the outside.
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