You Don’t Need a Bigger Business

You need a better business.

I first heard this Chick-fil-a story from Andy Stanley on one of his Leadership podcasts.

Back in the 90’s there was a company called Boston Chicken that eventually became Boston Market. Back then, Chick-fil-a was a much smaller, but successful chicken based restaurant chain that was growing successfully and finding its place in the world.

Boston Chicken was making a big push for expansion and pushing into Chick-fil-a’s territory. This much larger, hungry, chicken focused competitor was cause for concern for Chick-fil-a. Chick-fil-a’s brightest minds were working diligently, strategizing, trying to come up with the right competitive response to this new competitor.

As is usually the case in corporate strategy discussions, outgrowing the competitor was a seriously considered strategy. The fear being that Boston Chicken would swallow up all of the best locations essentially locking Chick-fil-a out of large portions of the market.

These discussions culminated in a Chick-fil-a board room with all of their VP’s and marketing heads discussing plans on how to outgrow Boston Chicken. Truett Cathy, the founder of Chick-fil-a sat quietly at the end of the table while the growth debate was raging in the room. Those who were in the room described it as if Truett was not interested or engaged in the conversation at all.

Until Truett began banging his fist on the table. As background, Truett was in his 70’s and generally seen as a fairly docile gentleman. As he pounded his fist on the table to get everyone’s attention, he said “Gentlemen, I am sick and tired of hearing you talk about us getting bigger!” He then paused, and said, “What we need to be talking about his getting better!”

“If we get better, then our customers will demand we get bigger!”

Notice the subtle difference that is so often missed in corporate America today. It is assumed that bigger will make you better. More efficiencies, more money for marketing, more purchasing efficiencies – all promises of being bigger. But, bigger is not what comes first.

Better is what has to come first!

Do not ever let your organization fall into the bigger is better trap. You have everything you need to be better today, right now.

Focus on becoming better and bigger will take care of itself.

By 1998, Boston Market (their name changed in 1995) had filed for Chapter 11 bankruptcy. They had grown faster than their capabilities.

Today, Chick-fil-a is valued at about $5.5 billion according to Bloomberg. They are also pretty much debt free. I guess Truett was right.

Funny thing is that better businesses – excellent businesses are easier to run and more fun to operate than average businesses. They are also far more profitable. The climb from mediocre to excellent won’t be easy, but just imagine still being mediocre 10 years from now.

Kinda depressing?

It’s time to start the journey.

If you are ready to get started, contact us now via our website or just give us a call at 229-375-5613.

Thank you for being a part of our values driven community!

Image courtesy of www.chickfila.com.

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