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Booz & Company
Getting Organic Growth Right
Getting Organic Growth Right

Organic growth is the lifeblood of every company. While acquisitions are a path to growth, Booz & Company research shows that few acquisitions can be justified on cost synergies alone; buyers must be able to grow organically what they acquire. Yet most companies struggle with organic growth, especially when their business models and markets have matured. There are many reasons for this. For example, short-term pressures to produce profits can stunt investment, and typecasting some businesses as cash cows and others as growth engines can become self-defeating. One very common problem is chasing rainbows that will never be caught, while the best opportunities are hiding in plain sight. In an economy still facing massive headwinds, the ability to grow organically is more crucial than ever; companies can no longer see organic growth as an everyday task best left to the operating units.

 

downloadCreating an Organic Growth Machine
by Ken Favaro, David Meer, and Samrat Sharma
Organic growth is far too important for companies to leave it to operating units, yet many do just that. This article in the May 2012 issue of the Harvard Business Review explains why they are making a big mistake and, more important, how even the most mature companies can kick-start their organic growth engine by following four straightforward rules. More often than not, companies that follow these rules uncover opportunities that can double their underlying growth rate. The article includes a quick organic growth assessment that will help executives understand how ready their company is for organic growth and where it can improve.download (614kb, PDF) >

 

read moreHow Ready Are You for Organic Growth?
This 5-minute profiler survey will uncover how well positioned your company is for organic growth and will let us offer suggestions on how you can improve. read more >

 

view the WebinarBooz & Company's Perspective on Organic Growth: A Webinar
by Ken Favaro and David Meer
An edited recording of the authors’ recent webinar, in which they explain why companies struggle with organic growth and how they can build a robust organic growth capability even when their business models and markets have seemingly matured. View the Webinar >

 

listen to the podcastGrowth Isn’t Rocket Science
by Ken Favaro
Booz & Company Partner Ken Favaro, co-author of "Creating an Organic Growth Machine," in conversation with Sarah Green from Harvard Business Review: How can companies build an organic growth capability. listen to the podcast >

 

Additional resources:

The Coherence Premium
by Paul Leinwand and Cesare Mainardi
Sustainable, superior returns accrue to companies that coherently link capabilities, marketplace opportunities, and the right set of offerings.read more >
read more

Capabilities-Driven Strategy
A company's right to win in any market depends not just on external market positioning, and not just on internal capabilities — but on a coherent strategy that aligns them at every level.read more >
read more

The Grass Isn’t Greener
by Evan Hirsh and Kasturi Rangan
Executives looking for growth opportunities for their companies often conclude that they need to find a "better" industry. Our analysis of shareholder returns of more than 6,000 companies globally, however, shows that the idea that some industries are superior does not hold true. read more >
download

Organic Growth Is the Underestimated Opportunity
by Ken Favaro
Why companies systematically underestimate opportunities for organic growth that are hiding in plain sight.read more at hbr.org >
read more

Getting Back to Growth
by Ken Favaro
Companies can’t rely on macroeconomic trends to boost growth. Here are four ideas they can rely on. read more at hbr.org >
read more

Organic Growth Is a Boardroom Imperative
by Ken Favaro
Why organic growth must be on boards' agendas and the questions board members should be asking about it. read more at Corporate Board Member >
read more
 
download  
Download a complimentary copy
of the Harvard Business Review article "Creating an Organic Growth Machine"
     

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