In Search Of Excellence: Review

In Search of Excellence is a book dealing with many different

principles of economics and what makes big business' excellent. The

first idea that Peters discusses is his chart of the McKinsey 7-S

Framework. The graph is very simple but the ideas are fairly complex. In

their research, they found that their philosophies were too hard to

explain and easily forgettable. They made this Framework to deal with

strategy, structure, style, systems, staff (people), skills, and shared

values (culture). This has 7 S's (easy to remember) and a graphical

representation to visualize. This shows the businessman that the

intractable, irrational, intuitive, and informal organization can be

managed. For example, anyone assuming that a new manager of a Taco Bell

will perform exactly as the old manager did is ridiculous. The

organization of workers must adjust and adapt to the new manager's way

of business.

Another more main topic of the novel is the Eight Basic Principles.

Their research had shown that the excellent companies had been based on

the basics. The companies had to try to keep things simple. Sometimes,

to a big business, it might seem logical that business should be run

more complex the larger it is. From their research, this is usually not

true. The first pricnciple is a bias for action. This is basically

saying "Stop talking and do something about it." When Taco Bell has a

rush of customers and their supplies for making food are low, they

(usually) don't say "You know what, I have no more cheese" or "Could

someone get me some more cheese?" They take action and get the cheese,

make it if necessary, and get the problem solved as quickly as possible.

The second Principle they deal with is to be close to the customer.

This means good service and listening to what the customer has to say.

If the producer, Taco Bell, is not in touch with what the customer wants

to eat, then the business will most likely fail. Although it also refers

to customer satisfaction; quality food made right and curteous service:

"Have a nice day and enjoy your meal!"

The third principle is autonomy and entrepreneurship. This is the

innovation principle. 3M is known for innovation and they welcome the

changing and rearranging of old and new products. For example, my dad

took 3M's basic arthroscopy pump and redesigned it into an in flow-out

flow cannula. This innovation on his part temporarilly set 3M back on

its feet in that product line.

The fourth basic principle is productivity through people. This deals

with the indivdual as the best means for efficiency improvement rather