Driving Excellence: How The Aggregate System Turned Microchip Technology from a Failing Company to a Market Leader

Praise for DRIVING EXCELLENCE "A well-organized compendium of immense common sense. [The authors'] values-based, walk-the-talk approach recognizes the fast-changing environment we live in. It shows the importance of aggregating and integrating knowledge and experience on a continuing basis. Finally, it demonstrates the significance of creating a culture that reinforces those values and takes pride in thriving on the complexity." —John E. Abele, founder and Director, Boston Scientific Corporation "The Aggregate System is a powerful blend of strategic formula, exceptional culture, and human systems combined into a complete self-perpetuating system to produce exceptional performance. Anyone interested in improving the performance of his or her company should read this book." —Jerry Colangelo, CEO and Chairman, Phoenix Suns "This is not another 'silver bullet' piece of academic advice on how to do a quick fix to some imaginary business. Driving Excellence is a serious and detailed insight into how a real CEO, Steve Sanghi, has transformed a real company, Microchip, into a world-class enterprise. Anyone interested in understanding the realities of implementing and sustaining an enterprise-wide constant improvement plan should read this book." —Dean Kamen, founder and President, DEKA Research & Development Corporation, inventor of the Segway HT, National Inventors Hall of Fame inductee "Driving Excellence is the first book to deal with the integration of all the core elements that are essential to running a business. It should be required reading for all executives and venture firms looking to boost return on invested capital and add some consistency to their growth. High praise is due to Michael Jones and Steve Sanghi for developing a blueprint that works in the real world." —Ed Sperling, Editor in Chief, Electronic News "This book provides a nicely developed framework to understand organizational effectiveness and performance, drawing upon Sanghi's managerial skills, perfected in his significant turnaround performance at Microchip. Importantly, the reader benefits from insight and experience about building an organizational culture productive to performance and competitiveness." —Steven Stralser, PhD, author of MBA in a Day

Table of Contents:
Foreword—L.B. Day. Preface. Acknowledgments. SECTION ONE: The Microchip Story—Applying the Aggregate System. 1. Microchip: Before and After. SECTION TWO: The Aggregate System. 2. The Aggregate System: Driving Excellence and Continuous Improvement. 3. The Ten Key Elements of the Aggregate System. SECTION THREE: The Foundations of a Values-Based, Highly Empowered, Continuous-Improvement-Oriented Culture. 4. How Cultures Evolve. 5. Rules-Based versus Values-Based Cultures. 6. Systems Thinking. 7. The Six Principles of Building a Merit-Based, Variable, Total Compensation System. 8. How Managers Become Barriers. 9. Discovering the Origins of Behavior and Job Performance. 10. The Weakness Principle. 11. The Human Change Process. 12. The Transformation of Charlie Campbell. SECTION FOUR: Building the Aggregate System. 13. Strategic Formula. 14. Selecting Your Core Values. 15. Policies and Procedures: Establishing the Rules. 16. Management Practices. 17. Human Systems: Backbone of the Culture. 18. Performance Appraisals. 19. Employee Practices and Assessing the Culture. Summation. Index. About the Authors.