{"id":362784,"date":"2025-04-08T11:21:26","date_gmt":"2025-04-08T15:21:26","guid":{"rendered":"https:\/\/chiefexecutive.net\/?p=362784"},"modified":"2025-04-08T11:28:43","modified_gmt":"2025-04-08T15:28:43","slug":"job-one-protect-the-soul-of-the-business","status":"publish","type":"post","link":"https:\/\/chiefexecutive.net\/job-one-protect-the-soul-of-the-business\/","title":{"rendered":"Job One: Protect The Soul Of The Business"},"content":{"rendered":"\n<p><strong><em>Editor\u2019s Note: For more than 40 years, Verne Harnish and\u00a0<\/em>Chief Executive<em>\u00a0magazine have helped CEOs and their companies identify growth opportunities and implement proven strategies. Now, we\u2019re teaming up to deliver Scaling Up Live\u2014an event designed to give you practical tools to lead your business and create lasting impact. <\/em><a href=\"https:\/\/chiefexecutive.net\/scaling-up\/\"><em>Learn More<\/em>><\/a><\/strong><\/p>\n\n\n\n<p>The founder of a $600 million construction company recently called me, frustrated with the younger leaders he was bringing up in the business to take over for him. \u201cOkay, so what is the soul of your business?\u201d I asked.<\/p>\n\n\n\n<p>\u201cI don\u2019t know,\u201d he told me.<\/p>\n\n\n\n<p>\u201cWhat\u2019s been the key to getting from startup to $600 million?\u201d I asked. He knew the answer immediately. \u201cWe do very complex projects,\u201d he said. \u201cThrough it all\u2014the Great Recession, supply-chain challenges, the pandemic\u2014we never missed a deadline. In a way, the promise that we deliver on time, is the essence of our strategy. Now, we\u2019ve missed four deadlines in the last 36 months.\u201d<\/p>\n\n\n\n<p>It was clear: He needed to return to Founder Mode. \u201cDave,\u201d I told him. \u201cI give you permission to go back in and maniacally micromanage that piece of the company until you find the person who can do it as well or better than you.\u201d<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Outsource Practically Everything&nbsp;<\/h4>\n\n\n\n<p>When Airbnb founder Brian Chesky shared at a Y Combinator event how running his company like a corporate manager led him astray, he touched off a firestorm. Y Combinator founder Paul Graham wrote a viral \u201cFounder Mode\u201d essay on the difference between corporate Manager Mode and Founder Mode.&nbsp;<\/p>\n\n\n\n<p>Most of those chiming in missed something crucial: Founder Mode isn\u2019t about micromanaging for its own sake. It is about remaining focused on the business\u2019 soul. As Tom Peters famously said, you can outsource everything but a company\u2019s soul. I would argue you can delegate everything but the soul.<\/p>\n\n\n\n<p>It\u2019s the founder\u2019s job to be hands-on with the soul of the business. You are allowed to be a maniacal micromanager\u2014and even be an a-hole if needed\u2014because you cannot let the soul slip away.&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Protecting the Soul &nbsp;<\/h4>\n\n\n\n<p>To protect the company\u2019s soul, you need to identify what drove its success and remain dedicated to it until someone equally committed can take over.&nbsp;<\/p>\n\n\n\n<p>Steve Jobs understood this. He fixated on design at Apple because that was the company\u2019s soul, lunching daily with former design chief Jony Ive to keep this front and center. Ive maintained that focus after Jobs passed away, but after Ive left in 2021, innovation stagnated.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">Living the Soul<\/h4>\n\n\n\n<p>Randy Amon, founder of ABL Electronics (later sold to APC), emphasized his focus on the customer experience (the company\u2019s soul) by handing out business cards reading \u201cHead of Customer Service\u201d with \u201cOwner\u201d underneath it. His obsession with getting that aspect of his business right led to an innovation he personally spearheaded\u2014a transformative time-saving technology for his industry. Randy went on to be SVP of customer care for $40 billion Schneider Electric when it purchased APC, injecting his obsession into this behemoth organization.&nbsp;<\/p>\n\n\n\n<p>A key to keeping the soul alive is having team members experience it firsthand. Aflac requires every employee to file a claim to better understand that customer experience. Ritz-Carlton\u2019s Horst Schulze had his \u201cladies and gentlemen\u201d (his label for employees) stay at five-star resorts to see what the customer experience should be for the other \u201cladies and gentlemen\u201d (customers) they served.&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">When the Soul Dies<\/h4>\n\n\n\n<p>Acquirers purchasing valuable firms often inadvertently strip away a company\u2019s soul in the push for efficiency, ultimately destroying value along the way. One founder who perfected the integration of acquisitions through an intense focus on the employee experience saw his process ruined by the strategic firm that acquired him. That firm later sold the division for a fraction of what they paid.<\/p>\n\n\n\n<p>The bottom line is that the soul matters\u2014design, the customer experience, the algorithm, on-time delivery, etc.\u2014and the founder\u2019s job is to keep it alive. Too much is at stake to let a company lose its soul.&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>You can delegate everything but this, especially in turbulent 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