Good to Great: Why Some Companies Make the Leap and Others Don't

For years, this question preyed on the mind of Jim Collins. Are there companies that defy gravity and convert long-term mediocrity or worse into long-term superiority? And if so, what are the universal distinguishing characteristics that cause a company to go from good to great?

To find a definitive answer, Collins and his research team spent over five years exhaustively analyzing the corporate histories of twenty-eight companies. The goal was to isolate the universal, distinguishing characteristics that drove the leap from "good to great."

The result is Good to Great, a book based on mountains of data and rigorous analysis. It lays out the definitive, actionable principles that determine what makes a company fly in the modern business world.

Jim Collins’ Research: Using tough benchmarks, Collins and his research team identified a set of elite companies that made the leap to great results and sustained those results for at least fifteen years. How great? After the leap, the good-to-great companies generated cumulative stock returns that beat the general stock market by an average of seven times in fifteen years, better than twice the results delivered by a composite index of the world's greatest companies, including Coca-Cola, Intel, General Electric, and Merck.

The research team contrasted the good-to-great companies with a carefully selected set of comparison companies that failed to make the leap from good to great. What was different? Why did one set of companies become truly great performers while the other set remained only good?

Over five years, the team analyzed the histories of all twenty-eight companies in the study. After sifting through mountains of data and thousands of pages of interviews, Collins and his crew discovered the key determinants of greatness - why some companies make the leap and others don't.

Jim Collins’ Findings: The findings of the Good to Great study will surprise many readers and shed light on virtually every area of management strategy and practice. The findings include:

• Level 5 Leaders: The research team was shocked to discover the type of leadership required to achieve greatness.

• The Hedgehog Concept (Simplicity within the Three Circles): To go from good to great requires transcending the curse of competence.

• A Culture of Discipline: When you combine a culture of discipline with an ethic of entrepreneurship, you get the magical alchemy of great results. Technology Accelerators: Good-to-great companies think differently about the role of technology.

• The Flywheel and the Doom Loop: Those who launch radical change programs and wrenching restructurings will almost certainly fail to make the leap.

“Some of the key concepts discerned in the study,” comments Jim Collins, "fly in the face of our modern business culture and will, quite frankly, upset some people.”

Perhaps, but who can afford to ignore these findings?

FIND JIM’S BOOK HERE: https://amzn.to/4qNrJVk 

About the Author: 

Jim Collins is a student and teacher of exceptional human endeavor and a Socratic advisor to leaders across all sectors of society.

Having invested more than three decades in rigorous research, he has authored or coauthored a series of books that have sold in total more than 11 million copies worldwide, including the #1 bestseller Good to Great, the enduring classic Built to Last, and other highly-influential writings such as Great by Choice, How the Mighty Fall, Beyond Entrepreneurship, Good to Great and the Social Sectors, and Turning the Flywheel.

In recent years, Jim has broadened the scope of his work, extending out from the question of what makes great companies tick to the study of remarkable people and their lives. His newest book (available April 2026) tackles the big question implicit in its title: What to Make of a Life. Grounded in a ten-year research project, it offers transformative lessons on constructing—and reconstructing—a life through the cliff moments and transitions we all will face repeatedly in our lives.

Through his research, Jim seeks to uncover timeless principles on which people can reliably depend. Concepts that emerged from Jim’s earlier work have become part of the leadership lexicon, such as: Level 5 leadership, First Who (the right people on the bus), the Hedgehog Concept, the Flywheel, 20 Mile March, Preserve the Core/Stimulate Progress, and BHAGs (Big Hairy Audacious Goals). His writings and teachings have had a lasting impact and proved integral to the building of many great organizations.

Driven by a relentless curiosity, Jim began his research and teaching career on the faculty at the Stanford Graduate School of Business, where he received the Distinguished Teaching Award in 1992. In 1995, he founded a management laboratory in Boulder, Colorado, where he conducts research and engages with CEOs and senior leadership teams.

Jim has a passion for learning and teaching in the social sectors, including education, healthcare, government, faith-based organizations, social ventures, and cause-driven nonprofits. In 2012 and 2013, he had the honor to serve a two-year appointment as the Class of 1951 Chair for the Study of Leadership at the United States Military Academy at West Point.

He holds a bachelor's degree in mathematical sciences and an MBA from Stanford University, and honorary doctoral degrees from the University of Colorado and the Peter F. Drucker Graduate School of Management at Claremont Graduate University. In 2017, Forbes selected Jim as one of the 100 Greatest Living Business Minds.