Everybody Wins Chapter
Summaries:
Chapter 1: The Radical Reward-Sharing Idea That Overturned An
Industry
As a young salesman in the early 1970s, Dave Liniger saw the tremendous
potential of the real estate industry as well as its fatal flaws. Most real
estate firms operated under a 50% commission model which frustrated agents
and hampered a firm's growth potential. Liniger believed that if he took a
different approach he could build the biggest real estate company in the
world.
Accordingly, he turned the traditional model on its head by offering
RE/MAX agents 100% of their commissions along with all the advertising,
branding, lead generation, administrative, and distance learning support
they needed to be number one in the field. In the process, he created a
growth-generating formula in which everybody wins.
Chapter 2: Anybody Who Said Yes
How did Dave Liniger draw so many committed, driven people to his dream?
Not by picking carefully but by being picked. Most leaders who are involved
actively in recruitment focus on converting talented people to their cause.
Liniger presented a compelling vision of the world through his everybody
wins principle and let those who believed in it fight passionately to
execute on the plan. These "Passionate Champions" ¾ still with RE/MAX 30
years later ¾ signed on for Liniger's dream because they knew that it had
the potential to change the world and they wanted desperately to be part of
the ride.
Chapter 3: What Business Are We In?
During times of great change, many companies don't recognize what
business they are really in. In the late 1800s, for example, powerful rail
companies thought they were in the railroad car business, and failed to
understand the innovations transforming the transportation industry. RE/MAX's
everybody wins principle led Liniger to a similarly critical realization:
RE/MAX's customers were not just the home buyers in the marketplace but also
the real estate agents who represented the RE/MAX brand. This meant that
RE/MAX was actually in the real estate agent development business. Its
training, branding and innovation strategies fell into place accordingly,
creating a distinct competitive advantage.
Chapter 4: One Log Makes A Lousy Fire
RE/MAX's phenomenal growth did not happen by accident. Liniger realized
early on that growing the dream would require outstanding implementation of
core processes. He knew he needed a team of senior implementers with 1)
incredible attention to detail; 2) unwavering resolve for flawless
execution; and 3) obsession with on-time delivery on promises. Getting this
in place allowed Liniger to focus his time and energy on the innovations
that would grow the business. Many leaders try to manage both sides of the
equation and suffer the failure of doing too much.
Chapter 5: Shackleton Leadership
Most companies give up, give in, or sell out too soon. Companies who stay
the course can be market makers and market movers. Consider the founders of
Google who could have cashed in at any point over recent years, but chose to
stay true to the dream instead. In this chapter, we look at the many
setbacks and surprises that RE/MAX encountered on its journey to amazing
growth. Despite the worst, the agents and leaders never left. In fact, they
kept signing on. That under-siege / outsider mentality is still part of the
culture today. The leadership knows what it takes to survive and thrive in
all conditions ¾ and the employees believe in that ability.
Chapter 6: Walking Onto the Stage
All great companies have stories about their hard times which are
remembered as lessons for years to follow. During severe adversity, it is
the courage to bear down and focus on what people need which carries a
company forward. After Gail Liniger's plane crash, Dave Liniger was at her
bedside for months . Other leaders in the company rallied around the dream
and kept it going. Life and death put all other problems in perspective, and
giving up was never an option. Finally, the turn-around of the company
began. At the annual convention, Gail Liniger walked onto the stage. The
inspiration was heart soaring, and everyone knew that the company itself was
going to make it.
Chapter 7: The Life Success Company
People work for more than a pay check. They want to have fun; they want
to devote their best efforts to something bigger than themselves; and they
want to grow as human beings. RE/MAX brokers and franchise owners recruit
new agents by selling them on the RE/MAX dream; in particular, they focus on
what the coaching, training and development efforts critical to the dream
will do for their lives.
Chapter 8: Jumping Out In Front
Too many leaders hesitate to jump out in front on critical projects
because they fear being over-bearing. Liniger, like Bill Gates now heading
product development at Microsoft, takes the lead on projects which are key
to exponential growth. When Liniger gets out in front, he brings
considerable attention and energy to the idea, drawing others in his wake,
accelerating the pace of development like a lead duck in a migrating flock
or a Tour de France cyclist at the head of the peleton. Once he has built
sufficient momentum for the idea, he falls back and lets others take the
lead. It's a formula which allows the company to make lightning fast leaps
into new opportunities without losing focus on core processes.
Chapter 9: Soaring Above The Crowd
The spectacular growth of the company began in the late 1980s after
twenty years of steady but unremarkable progress. No other company in the
real estate industry matched its pace through the boom of the 1990s and,
more significantly, the downturn that followed. The swelling of momentum had
been tidal in nature, almost unseen below the surface. But sustained growth
does not happen by accident. It is the result of a leadership focus on
flawless execution, constant improvement, radical innovation and unwavering
commitment to the dream. The lesson for other companies is simple: To create
a dream worth pursuing across generations, that dream needs to be one in
which everybody wins.
Chapter 10: Lessons In Growing A Great Company
In concluding this book, we review the lessons we have discovered
regarding what it really takes to create, share, and grow a dream, and
compare RE/MAX to our study of five other exceptionally growth-driven
companies, examining the unfolding field research into how explosive growth
is achieved.
About the Authors
Phil Harkins is President and CEO of Linkage, Inc., a
global organizational and leadership development consulting company. In his
own consulting and executive coaching work, Harkins focuses on working with
senior leaders and teams at Fortune 500 companies worldwide. Widely
recognized as an authority on leadership, communication, and growth, Harkins
has delivered hundreds of speeches at public and in-house conferences,
seminars, and programs around the globe. He is also the author of Powerful
Conversations (McGraw-Hill, 1999) as well as the co-editor of The Art and
Practice of Leadership Coaching (Wiley, January 2005).
Keith Hollihan has co-authored several business and
leadership books. He has also written dozens of articles for a wide range of
leadership experts including such notable figures as C.K. Prahalad, David
Gergen, Ken Blanchard, Noel Tichy, Marshall Goldsmith Michael Hammer and
Sally Helgesen. Hollihan is also the co-editor of Enlightened Power: How
Women Are Transforming the Path to Leadership (Jossey-Bass/Wiley, May 2005).
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