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Blink 3 of 8 - The 5 AM Club
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High Output Management summary
Tips from the former chairman and CEO of Intel
17 mins
Brief summary
'High Output Management' by Andrew S. Grove is a management guide, offering practical advice for optimizing team productivity, building effective teams, and making better business decisions.
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High Output Management
Summary of 8 key ideas
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Key idea 1 of 8
Managing a company is like serving breakfast – it requires a sound understanding of production processes.
It might seem an odd idea, but working as a waiter will perfectly prepare you to manage the production processes of a company.
How come?
Well, managing production processes is actually just like serving breakfast. For instance, if your job is to deliver a three-minute boiled egg, toast and coffee, you’re already facing the essential requirements of production. You need to respond to demand by delivering your product according to a given schedule while meeting expectations for quality and keeping down costs.
To succeed at this complicated series of tasks you need to keep the first question of production in mind: which step is the hardest to complete?
When it comes to serving breakfast, it’s definitely boiling the egg as it takes the longest time. All the remaining steps should be planned around the time needed to accomplish this task.
Then, once you’ve identified the priority step in production, it’s your job as a manager to find the most cost-effective way to use the resources at your disposal.
Imagine a waiter has to stand in line every morning to use the toaster while his customer waits for her breakfast. How can he resolve the problem? His options are to ask a coworker for help, prepare toast in advance or buy another toaster.
Essentially, managers are there to identify and solve these kinds of bottlenecks, and their solutions include hiring a larger workforce, increasing inventory or buying more equipment. But remember, all of these choices cost money, and the task of a manager is to balance them in the most cost-effective way.
But that’s not all; managers also need to detect problems. That’s because problems arise all the time in production; to control damage, it’s essential to find and fix them as early as possible.
For example, if the kitchen ends up with a bunch of rotten eggs, it’d be better to find that out when they’re in the fridge and before they’re being boiled or tipped onto a customer’s plate. This means it’s essential for managers to monitor carefully all production processes.
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What is High Output Management about?
High Output Management (1995) is a guide to the most important skill for any entrepreneur: managing a business. These blinks explain how a leader can encourage employees to deliver their best performance.
High Output Management Review
High Output Management (1983) by Andrew S. Grove is a valuable resource for anyone interested in effective management techniques. Here's why this book is worth reading:
- Packed with practical insights and strategies, it equips readers with the tools to optimize productivity and achieve high output.
- By combining real-life examples and Grove's personal experiences, the book provides a comprehensive understanding of managing people, processes, and organizations.
- The book's engaging narratives and clear explanations make it anything but boring, ensuring that readers stay hooked and motivated to put the principles into action.
Best quote from High Output Management
A manager can do his own job, his individual work, and do it well, but that does not constitute his output.
—Andrew S. Grove
Who should read High Output Management?
- Students of business administration with an interest in managing teams
- Managers wanting to better lead their teams
- Anyone who wants to know how to run a company as successful as Intel
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High Output Management FAQs
What is the main message of High Output Management?
The main message of High Output Management is to improve efficiency and effectiveness in managing teams and operations.
How long does it take to read High Output Management?
The reading time for High Output Management varies depending on your reading speed, but it typically takes several hours. The Blinkist summary can be read in just 15 minutes.
Is High Output Management a good book? Is it worth reading?
High Output Management is worth reading as it provides valuable insights and practical strategies for effective management.
Who is the author of High Output Management?
The author of High Output Management is Andrew S. Grove.
What to read after High Output Management?
If you're wondering what to read next after High Output Management, here are some recommendations we suggest:
- Only the Paranoid Survive by Andrew S. Grove
- Measure What Matters by John Doerr
- Crossing the Chasm by Geoffrey A. Moore
- The Hard Thing About Hard Things by Ben Horowitz
- Radical Candor by Kim Scott
- The Innovator’s Dilemma by Clayton Christensen
- Good Strategy, Bad Strategy by Richard Rumelt
- Elon Musk by Ashlee Vance
- Negotiation Made Simple by John Lowry
- No Ego by Cy Wakeman