Thorndike 2012, hardcover at the best online prices at ebay. The best ceos are not managers, but capital allocators. While ceos are traditionally celebrated for their operational excellence and charisma with investors and the media, these ceos realized the importance of deciding how to use the money their companies created to beget more money. The outsiders is a book about eight ceos whose companies drastically outperformed the market, primarily through a focus on capital allocation. The outsiders may not be a huge best seller, but it is the book that appears to be influencing ceos and big hedge fund and private equitytype investors. They spent one year studying each ceo in detail the author with the help of harvard business school students. You are right not because others agree with you, but because your facts and reasoning are sound. The correct measure of ceo success should be the increase in a companys per share value, especially as compared to peers in the market. One chapter is on director tom murphy, who buffett says is overall the best business manager ive ever met. When reading the book, i quickly came to realize that the eight outsiders had similar philosophies regarding the use of these tools. Every ceo in the book made an acquisition worth at least 20% of their companys enterprise value. To get an initial understanding of the quality of this book, it.
How the outsiders became one of the most important. Warren buffett ceoberkshire hathaway in his 2012 shareholder letter, buffett praises the outsiders as an outstanding book about ceos who excelled at capital allocation. In recent years, established corporations such as siemens, hershey, 3m and wrigley recruited new ceos from outside the company for the first time in more than a century. His east side neighborhood is patrolled by bullying socials, rich kids from the west side of. I recommend it for anyone who owns or runs a business. Chief outsiders marketing resources including free ebooks, guides, reports and webinars. He discusses how an emphasis on sound capital allocation a key skill that bbh seeks in the management teams of the businesses it invests in helped the ceos profiled achieve success.
The truly outstanding ceos usually excel at the latter. Both general motors and hewlettpackard have had more than one ceo who was brought in. Others might point to the qualities of todays socalled celebrity ceoscharisma, virtuoso communication skills, and a confident management style. Eight unconventional ceos with shortform book summaries. Youve undoubtedly heard of jack welch, the celebrity ceo of the century who generated. Fractional cmos for recovering growth chief outsiders. Tom murphys strategy for success with capital cities is one of eight winning ceo strategies detailed in the book the outsiders, written by william thorndike, a harvard graduate and managing director at the bostonbased private equity firm housatonic partners. The problem with outsider ceos the washington post. A book that details the extraordinary success of ceos who took a radically different approach to corporate. Its a book about ceos who take a different path to success, achieving it via. It has received high praise in the industry, from hedge fund manager bill ackman, peyto ceo darren gee, and perhaps unsurprisingly warren buffett himself.
Most ceos and the management books they write or read focus on managing operations, which is undeniably important. Eight unconventional ceos and their radically rational blueprint for success by. It is impossible to produce superior performance unless you do some. The outsiders is a great book that looks at eight ceo s who produced above average returns for shareholders over the long term. How the outsiders became one of the most important business. Everyday low prices and free delivery on eligible orders. You can think of the different options as the ceos tool kit. At chief outsiders, we build engines for growth that help you achieve better operating rhythm in revenue generation.
The growth companys guide to gathering customer feedback. Hinton was 15 when she started writing the novel but did most of the work when she was 16 and a junior in high school. I would say one of the most important investment books i have ever read. The outsiders is a great book that looks at eight ceos who produced above average returns for shareholders over the long term. The press focuses too much on a companys growth in revenue and profits. Next time youre analyzing a potential investment, see if the ceo. An inside look at finding outsider ceos the motley fool. Buy books, tools, case studies, and articles on leadership, strategy, innovation, and other business and management topics. Michael dell, chairman of the board of directors and chief executive officer of dell. Eight unconventional ceos and their radically rational blueprint for success, written by william n. The outsiders, written by william thorndike, is a fantastic book which examines eight unconventional ceos and their radically rational blueprint for. When a ceo generates significantly better returns than both his peers and the market, he deserves to be called great.
Eight unconventional ceos and their radically rational blueprint for success, has been making the rounds at burgundy. The outsiders is a collection of eight ceos who eschewed the prevailing wisdom, forging their own path to great returns if not great renown. Ponyboy and his greaser gang fight rival gang the socs short for socials, the wealthier, more preppie kids and try to make a place for themselves in the world. This book looks at a group of ceos that performed extraordinarily well over long periods of time. The first deviant decision made by the outsiders was to embrace capital allocation as the main role of ceo. Great management can transform a good company into a great company, and this book delineates what to look for in superb leaders. The outsiders eight unconventional ceos and their radically rational blueprint for success. An outstanding book about ceos who excelled at capital allocation. What this book, the outsiders, does, is it looks to find the most successful ceos of all time, not by their social popularity, not by their fame, or not by public opinion, but by their return on capital over the tenure of their role as ceo. In most cases these ceos were not attention junkies and were not only great capital allocators but also time allocators. Thorndikes book describes certain attributesmethods of top performing ceos. The outsiders is the book that made me want to be a writer, greene continues.
He has also written two books of management advice with typically combative titles like straight from the gut. The outsiders by chris stephens, burgundy blog william thorndike, jr. This is an out of the box book, in the era of teslas and netflixes, companies that burn a lot of cash but a worth more than companies with a sound track record of profitability and billions of profits and cash flow. Eight unconventional ceos and their radically rational blueprint for success by william n. I recently finished william thorndikes book the outsiders eight unconventional ceos and their radically rational blueprint for success, and think it is a great read. The outsiders is a wonderful book that should be read by any serious investor.
This book is just about that ceos of companies that passed out of the limelight but produced astonishing returns. Mason hawkins, chairman and ceo, southeastern asset management the outsiders is a mustread for leadersand aspiring leadersstriving to become exceptional ceos, and for investors interested in partnering with exceptional stewards of corporate. I really liked this book because capital allocation rarely gets talked about at the csuite level from my experience. As stated in the preface to the book all eight ceos believed, amongst other things that. There are many ways to raise and to deploy capital. One semester was devoted to researching financial details of the companies and peers including financial reports, books, magazine articles and videos and the other was spent interviewing. In most cases these ceo s were not attention junkies and were not only great capital allocators but also time allocators.
We first meet our narrator, fourteenyearold ponyboy, as hes walking home from the moviesalone, which is something we know hes not supposed to be doing. Weve worked with over 800 businesses of all varieties. Hinton tells the story of 14yearold ponyboy curtis and his struggle with right and wrong in a society in which he is. The outsiders has been one of the most popular book among teens and preteens since it came out in 1967. An inside look at finding outsider ceos the outsiders shows the power of replacing conventional thinking with radical rationality and both history and happy shareholders can attest to the. Over 29 years tom murphy of capital cities produced a 19.
The outsiders is about 8 ceos who have enjoyed far better returns on company stock than their peers or the market due to their ability to allocate both financial and human capital. Eight unconventional ceos and their radically rational blueprint for success. Bringing in an outsider even an outsider who goes on to succeed is evidence that the board, the ceo and the chief of human resources didnt perform the first responsibility of their jobs. The outsider ceos were master delegators, running highly decentralized organizations and pushing operating decisions down to the lowest, most local levels in.