The 21 Irrefutable Laws of Leadership Workbook

John C. Maxwell

• Publisher: HarperChristian Resources
• Year: 2007
• ISBN:
  9781418574833
• Topic: Theology & Religion
• Subtopic: Christian Church

Required reading for both developing and experienced leaders, this one-of-a-kind workbook companion to a leadership classic outlines the core leadership principles that will make you more effective, more influential, and more successful —wherever you are in your career.

If you've never read The 21 Irrefutable Laws of Leadership, you've been missing out on one of the best-selling leadership books of all time. In this companion workbook, leadership expert John C. Maxwell shares powerful insights gleaned from his forty-plus years of leadership success. Maxwell helps you:

• Take your leadership skills to the next level
• Discover life-changing principles of influence, empowerment, intuition, and legacy
• Observe your own career and evaluate yourself, using an evaluation tool that reveals your leadership strengths and weaknesses
• Learn from stories and observations from the worlds of business, politics, sports, the military, and non-profit organizations so you can transform as a leader

Each of the twenty-one lessons contains the following sections:

• Definition of the Law: Understand the law and how it operates
• Case Studies: Explore three primary cases—some positive, some negative—that reveal and illustrate the law.
• Leadership Insight and Reflection: Draw important personal conclusions about the impact of this law on your life.
• Taking Action: Assess yourself in this law and develop specific action steps to grow or make important changes.
• Group Discussion Questions: Explore the core issues and share your insights through a guided discussion with your group.

This workbook isn't designed to be merely a theoretical exercise. It's meant to help you become a better leader. And while you can easily go through this study on your own, there's nothing more transformational than learning with other like-minded people. So, gather a group of any size and see what happens as you help each other become the kind of leaders that people want to follow.

1

THE LAW OF THE LID

Leadership Ability Determines a Person’s Level of Effectiveness

THE LAW OF THE LID WILL HELP YOU UNDERSTAND THE VALUE OF LEADERship. If you can get a handle on this law, you will see the incredible impact of leadership on every aspect of life.

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In 1930, two young brothers named Dick and Maurice moved from New Hampshire to California in search of the American Dream. They had just gotten out of high school, and they saw few opportunities back home. So they headed straight for Hollywood where they eventually found jobs on a movie studio set.

After a while, their entrepreneurial spirit and interest in the entertainment industry prompted them to open a theater in Glendale, a town about five miles northeast of Hollywood. But despite all their efforts, the brothers just couldn’t make the business profitable. In the four years they ran the theater, they weren’t able to consistently generate enough money to pay the one hundred dollars a month rent that their landlord required.

The brothers’ desire for success was strong, so they kept looking for better business opportunities. In 1937, they finally struck on something that worked. They opened a small drive-in restaurant in Pasadena, located just east of Glendale. People in Southern California had become very dependent on their cars, and the culture was changing to accommodate that, including its businesses.

The drive-in restaurant was a phenomenon that sprang up in the early thirties, and it was becoming very popular. Rather than being invited into a dining room to eat, customers would drive into a parking lot around a small restaurant, place their orders with carhops, and receive their food on trays right in their cars. The food was served on china plates complete with glassware and metal utensils. It was a timely idea in a society that was becoming faster paced and increasingly mobile.

Dick and Maurice’s tiny drive-in restaurant was a great success, and in 1940, they decided to move the operation to San Bernardino, a working-class boomtown fifty miles east of Los Angeles. They built a larger facility and expanded their menu from hot dogs, fries, and shakes to include barbecued beef and pork sandwiches, hamburgers, and other items. Their business exploded. Annual sales reached $200,000, and the brothers found themselves splitting $50,000 in profits every year—a sum that put them in the town’s financial elite.

In 1948, their intuition told them that times were changing, and they made modifications to their restaurant business. They eliminated the carhops and started serving only walk-up customers. And they also streamlined everything. They reduced their menu and focused on selling hamburgers. They eliminated plates, glassware, and metal utensils, switching to paper products instead. They reduced their costs and lowered the prices they charged customers. They also created what they called the Speedy Service System. Their kitchen became like an assembly line, where each employee focused on service with speed. The brothers’ goal was to fill each customer’s order in thirty seconds or less. And they succeeded. By the mid-1950s, annual revenue hit $350,000, and by then, Dick and Maurice split net profits of about $100,000 each year.

Who were these brothers? Back in those days, you could have found out by driving to their small restaurant on the corner of Fourteenth and E Streets in San Bernardino. On the front of the small octagonal building hung a neon sign that said simply MCDONALD’S HAMBURGERS. Dick and Maurice McDonald had hit the great American jackpot, and the rest, as they say, is history, right? Wrong. The McDonalds never went any farther because their weak leadership put a lid on their ability to succeed.

It’s true that the McDonald brothers were financially secure. Theirs was one of the most profitable restaurant enterprises in the country, and they felt that they had a hard time spending all the money they made. Their genius was in customer service and kitchen organization. That talent led to the creation of a new system of food and beverage service. In fact, their talent was so widely known in food service circles that people started writing them and visiting from all over the country to learn more about their methods. At one point, they received as many as three hundred calls and letters every month.

That led them to the idea of marketing the McDonald’s concept. The idea of franchising restaurants wasn’t new. It had been around for several decades. To the McDonald brothers, it looked like a way to make money without having to open another restaurant themselves. In 1952, they got started, but their effort was a dismal failure. The reason was simple. They lacked the leadership necessary to make a larger enterprise effective. Dick and Maurice were good single-restaurant owners. They understood how to run a business, make their systems efficient, cut costs, and increase profits. They were efficient managers. But they were not leaders. Their thinking patterns clamped a lid down on what they could do and become. At the height of their success, Dick and Maurice found themselves smack-dab against the Law of the Lid.

In 1954, the brothers hooked up with a man named Ray Kroc, who was a leader. Kroc had been running a small company he founded, which sold machines for making milk shakes. He knew about McDonald’s. The restaurant was one of his best customers. And as soon as he visited the store, he had a vision for its potential. In his mind he could see the restaurant going nationwide in hundreds of markets. He soon struck a deal with Dick and Maurice, and in 1955, he formed McDonald’s Systems, Inc. (later called the McDonald’s Corporation).

Kroc immediately bought the rights to a franchise so that he could use it as a model and prototype. He would use it to sell other franchises. Then he began to assemble a team and build an organization to make McDonald’s a nationwide entity. He recruited and hired the sharpest people he could find, and as his team grew in size and ability, his people developed additional recruits with leadership skill.

In the early years, Kroc sacrificed a lot. Though he was in his mid-fifties, he worked long hours just as he had when he first got started in business thirty years earlier. He eliminated many frills at home, including his country club membership, which he later said added ten strokes to his golf game. During his first eight years with McDonald’s, he took no salary. Not only t...