The 3G Way is an introduction to the management style developed by three Brazilian entrepreneurs who took over some of the main icons of American capitalism: Anheuser Busch, Heinz and Burger King.
What's the secret behind their success: it has to do with having a big dream, building a strong culture and finding great people. Not rocket science right? And it isn't. But just like dieting or sports, things get tougher when it's time for execution.
In this book, you will learn the details of the tools and processes that these three businessmen implement in order to "rock the boat" of long standing and family owned businesses and turn them into high-performance profit machines.
Francisco Souza Homem de Mello was born in Brazil, and is the founder and CEO of Qulture.Rocks, a technology company on a mission to help all companies have cultures that rock, abd that serves startups, middle-market companies, and Fortune 500 corporations (http://qulture.rocks). The company has also been part of Y-Combinator's W18 batch, and now ranks among other YC alumni such as Twitch, Stripe, Heroku and Dropbox.
At Qulture.Rocks, Francisco writes extensively about performance management and leadership, which make up the powerful intersection between performance reviews, ongoing, continuous feedback, goals and OKRs and one-on-one meetings.
The 3G Way, Francisco's most well known book, was the product of many years of intense study and thinking about some of the world's most intense and successful corporate cultures. He studied GE, Walmart, Goldman Sachs, and finally, Anheuser-Busch InBev, a company that is the result of several mergers and acquisitions by Brazil-based Cervejaria Brahma. Brahma was first acquired by partners of Banco Garantia, a Brazilian investment bank where the current owners of AB InBev, Burger King, and Heinz, started out their careers. AB InBev served as the inspiration for The 3G Way, where the author introduces the management style and techniques that evolved from Garantia and took its creators to the forefront of world capitalism. The book is on its second, revised edition, and has sold more than 50 thousand copies worldwide, making Francisco one of the top 200 authors in business and management worldwide.
Francisco is also a triathlete, with multiple Ironman, Ironman 70.3 and olympic-distance finishes. He lives in San Francisco and São Paulo, with his wife, Danielle, and dogs, Eureka and Eugenia.
If you want to dive deeper on the management style of the 3G guys - instead of just hearing random stories about them such as in the Dream Big/Sonho Grande book - The 3G Way should be among your best choices to start, especially in terms of effectiveness (read: content per page). The book is less than 200 pages long, with double spacing between lines, and can be read in an hour and a half.
For various reasons I was already well-acquainted with the theme and can easily say that the author managed to deliver all that was important in a very organized manner. It's not for no reason that Jorge Paulo Lemann himself has been handling copies of this to friends.
The negative side is that, as an amateur project, the book has a lot of avoidable blunders, such as typos, English mistakes (the author is Brazilian), paragraphs that are repeated in subsequent pages, charts that are still in Portuguese, among others I might have forgotten.
Still, this doesn't detract from the nice job the author has done, and you shouldn't leave this unread because of it too.
O livro é muito bom em especial para pessoas em cargos liderança . O autor desde o início se propõe a ser sucinto e direto nos apontamos acerca do grupo 3g.
Como brasileiro é motivador ver como uma empresa brasileira conseguiu chegar tão longe, mas o que se destacou no livro é a visão aprofundada de práticas e frameworks de gestão utilizados pelas empresas do grupo 3g.
People: *Hiring and retaining the best *Meritocracy (results, team work & cultural fit); up or out; compensate top performers disproportionately (bonus pool = x%EVA where EVA = NOPAT - IC*WACC) *Informality; non-hierarchical flat organization; open plan office; casual dress code (Silicon Valley); simplicity *Growth & training
Culture: *Ownership mindset *Employee stock ownership plan w/ skin in the game not just stock options *Accountability *Benchmarking *Focus: underspend on non-strategic costs in order to over-spend on strategic ones *Efficiency, TQM, 6 sigma, lean manufacturing, zero-based budgeting
Garantia's 18 commandments: 1. A big and challenging dream makes everyone row in the same direction ("Dream Big") 2. A company's biggest asset is good people working as a team, growing in proportion to their talent, and being recognised for that. Employee compensation has to be aligned with shareholders' interest. 3. Profits are what attracts investors, people, and opportunities, and keep the wheels spinning. 4. Focus is of the essence. It's impossible to be excellent in everything, so concentrate on the few things that really matter. 5. Everything has to have an owner with authority and accountability. Debate is good, but in the end, someone has to decide. 6. Common sense is as good as fancy concepts. Simple is better than complicated. 7. Transparency and information flow ease decision making and minimise conflicts. 8. Hiring people who are better than yourself, training them, challenging them, and retaining them is the main attribution of a manager. 9. Leading through example is vital, in both heroic gestures and the simple actions of the company's day-to-day. 10. Luck is always a function of sweat. Work hard, but with joy. 11. Things happen in the business' operations and in the market. You have to pound the pavement. 12.Being paranoid about costs and expenses - the only variables under our control - helps ensure long-term survival. 13. Constant discontent, a sense of urgency, and zero complacency help ensure a sustainable competitive advantage. 14. Innovations that add value are useful, but copying practices that already work is usually easier. 15. Corporate and personal discretion are helpful. Showing off is only allowed when done with concrete objectives. 16. Constant training and improvement have to be ongoing efforts and should permeate our routine. 17. Name, reputation, and brands are precious assets that take decades to build and days to destroy. 18. Trickery and cheating can rot a company from the inside. Ethics pay off in the long run.
If you need a simple and fast way to understand the most important traits of 3G culture and management style, read this book. Good to complement with "Dream Big", the book that tells the history of the three partners of 3G.
i have personally worked in 3G culture and hence wanted to understand whether this book states and shares similar insides however found it very different from reality.
Undoubtedly there are many great business management idead and methodologies, which again are not alien to 3G world however the culture that crops post cost cutting and not actually paying high performers as per commitment can be seen as very normal in such setups. I have personally felt that such culture of internal competition leads to blame games and not sp good working atmosphere when all teams are not realising that they are one , aiming to reach at same goal differently. Hence this books is only thworetical good however challenges are not highlighted and addressed in right manner.
I nave read the book with interest and it serves as a good introduction to the 3G management method.
However, I found the book to be poorly researched and very superficial. The author's introduction to the book seems aptly apologetic in this regard as he unashamedly admit to have aimed for completion rather than perfection (and he definitely aimed his aim).
Quick, easy read that gives an overview of business concepts that could be easily implemented in my/many businesses. I liked the large type and examples. Could be better edited to reduce some of the redundancy and spelling/grammatical errors.
Amazing read. Francisco summarized the 3G management philosophy in plain, simple terms, as it should be. Don’t listen to the haters: it takes amazing effort to write short and sweet as this is.
As soon as the author expressed disdain for fluffy business books, I knew I was going to like this. It’s super succinct and can be read in a sitting - almost like a manual.
An easy light read. Hard to disagree with the lessons, principles, and strategies written in this book. I don’t know about touting Burger King as a positive though, that fast food chain has declined so much over the years. I don’t know if 3G contributed to its decline but they definitely did not make it better. One of the principles towards the end of the book is the customer is the boss and looking at the numerous Burger King locations that closed in my area over the last few years, I could not agree more.
Strongly recommend for any business person. Great essence of principles and commandments of brazilian entrepreneurs (known as "Trio" - founders of 3G Capital) who led their $60m private equity investments in Brahma (Rio de Janeiro brewery) in 1989 to become after multiple successfull acquisitions the world's largest brewery (known as AB InBev with brands like Budwiser, BudLigh, Corona). Short and easy read. I'm even more convinced to read "Dream Big" about the Trio.
Quick and simple read on how the 3G guys built a culture to acquire talent, fine tune ops, unlock values in companies. Michael Porter frameeork analysis of Anheuser Busch and Heinz is neat.