How Do the Lessons from “Good to Great” Apply to Small and Mid-Market Businesses?

“But Ted, these lessons are from billion-dollar companies. How do they apply to a business like ours?”

It’s a fair question — and one I hear all the time in my strategy sessions.

Books like Good to Great by Jim Collins are often studied through the lens of corporate giants — global organisations with deep pockets, vast teams, and complex structures. But here’s the truth: the same principles that turned Fortune 500 companies into icons can transform small and mid-sized businesses — when applied the right way.

Let’s explore how the timeless lessons from Good to Great, supported by insights from Keith McFarland’s The Breakthrough Company, can help your business move from ambitious to extraordinary.

1. Level 5 Leadership — The Power of Humility and Grit

Collins discovered that great companies are led by Level 5 Leaders — humble yet fiercely determined individuals who focus on the organisation’s success above their own.

For small and mid-market leaders, this means:

• Building a leadership culture that prioritises the team over ego.
• Developing others instead of trying to do it all yourself.
• Combining humility with unwavering commitment to results.

Action: Identify one leadership behaviour this week that balances humility with determination.

2. The Hedgehog Concept — Find Your Sweet Spot

The Hedgehog Concept sits at the intersection of:

• What you can be the best at
• What drives your economic engine
• What you are deeply passionate about

For smaller businesses, clarity here creates focus and competitive advantage.

Action: Define the one thing your business could be the absolute best at — and align your strategy around it.

Takeaway: Simplicity is power. When everyone understands the “one thing,” execution becomes unstoppable.

3. Discipline Drives Growth

In Good to Great, Collins emphasises disciplined people, disciplined thought, and disciplined action.

In a mid-market context, that means:

• Hiring and developing self-motivated, accountable people.
• Establishing clear priorities and sticking to them.
• Embedding rhythms and metrics that drive accountability.

Takeaway: Freedom thrives within a framework of discipline.

4. The Flywheel Effect — Build Momentum Through Consistency

There’s no single defining moment of transformation — greatness builds gradually, like a flywheel gaining momentum with each consistent turn.

For smaller companies, it’s about repeating the right behaviours until they compound into breakthrough results. 

Action: Identify three small actions your team can do consistently to build momentum.
Example: Daily huddles, weekly customer wins review, monthly process improvement meetings.

Takeaway: Greatness is not one big leap — it’s a thousand small turns in the same direction.

5. Confront the Brutal Facts — Lead with Truth

Collins wrote: “You absolutely cannot make a series of good decisions without first confronting the brutal facts.”

For smaller companies, that means facing reality early — whether it’s declining profitability, talent gaps, or process inefficiencies.

Action: Identify one uncomfortable truth in your business today — and your first step to address it.

Takeaway: Progress begins when honesty replaces optimism.

6. The Breakthrough Company — Lessons for Mid-Market Leaders

Keith McFarland’s The Breakthrough Company picks up where Collins leaves off — studying fast-growing, mid-sized firms that achieved market leadership.

Key lessons include:

• Collaborative Leadership: Empower teams to lead, not just follow.
• Organisational Focus: Stop chasing every opportunity — double down on your core strengths.
• Adaptive Strategy: Build agility into your business model so you can pivot when markets shift.
• Culture as a Competitive Edge: Use purpose and values to drive engagement and performance.

Takeaway: Growth comes from focus, culture, and the courage to adapt.

7. The Common Thread — Discipline + Culture + Consistency

When we overlay Good to Great and The Breakthrough Company, one pattern emerges:

Greatness isn’t a matter of size. It’s a matter of discipline and intent.

• Big or small, leaders must confront the brutal facts.
• Culture and clarity are the ultimate competitive advantages.
• Momentum builds when you stay consistent — not when you chase trends.

Final Thought — From Ambition to Execution

Small and mid-sized businesses have one unique advantage: they can apply big-company discipline with small-company speed.

By focusing on disciplined leadership, culture, and execution, you can move from good to great — and ultimately, from great to breakthrough.

Ready to bring “Good to Great” principles to life in your organisation?
At Strategy & Execution Advisors, we help businesses like yours bridge the gap between ambition and execution — turning insights into measurable outcomes.

Contact tedb@strategyandexecution.com.au for a free 30-minute discovery session.

Because greatness doesn’t depend on size — it depends on focus, discipline, and execution.

TED BONEL, SCALING UP PRACTITIONER – STRATEGY & EXECUTION BUSINESS ADVISORS

Are you looking to scale your business and execute strategy with clarity and impact? I help CEOs and founders turn big ideas into real-world results, guiding small to mid-market companies through tailored strategic insights that drive growth.

My expertise lies in simplifying complexity – bridging high-level strategic frameworks with the practical realities of running a business. Unlike many consultants who focus solely on theory or execution, I specialise in both—translating strategy into actionable, transformative steps that deliver lasting results.

Ready to bring “Good to Great” principles to life in your organisation?

Contact me at tedb@strategyandexecution.com.au to schedule a free 30-minute discovery meeting.

ABOUT STRATEGY & EXECUTION

For over 20 years, Strategy & Execution has supported leaders and organisations in developing and executing winning strategies. We provide expert facilitation, executive education, and hands-on consulting to help businesses refine their strategic direction and implement it effectively.

Using proven methodologies like Scaling Up, E-Myth Mastery, Outthinker, and more, we challenge conventional thinking and equip organisations with the tools to accelerate growth. Our approach is dynamic—combining deep business experience with practical execution. We don’t just advise; we roll up our sleeves and work alongside you to make strategy happen.

If you’re preparing for a strategy development or execution challenge and are committed to creating real value, we’d love to hear from you. Learn more about our work or upcoming workshops