The 3G Way: Dream People Culture
“To have a big dream requires the same effort as having a small dream.” — Jorge Lemann
Brazilian billionaire Jorge Lemann’s investment company, 3G Capital, has invested in or backed takeovers of Kraft, Heinz, Burger King, and Anheuser Busch. Now, Anheuser Busch InBev, which counts Lemann among its controlling shareholders, has sealed a deal to merge with SABMiller.
The 3G Way: Dream People Culture by Francisco S. Homem de Mello
The book lays out 3G’s history starting with Jorge Paulo Lemann and Garantia in 1972, and it’s metamorphosis into the 3G Capital of today. de Mello lays out the common thread of their philosophy: Developed markets, above average competitive advantages, potential for efficiency gains, high margins, and ‘idiot proof sectors’.
de Mello notes 3G hasn’t done a single relevant deal in Brazil for over ten years.
Part 1 covers ‘The People’ and 3G’s emphasis on a meritocracy. Other aspects are: informality, candor, and growth.
Part 2 covers ‘The Dream’. For 3G, dreaming big is turned into long term goals achievable in three to five years. These goals broken down into yearly plans highlighting the goals and tasks of every employee from the CEO to the janitor.
Part 3 covers ‘The Culture’. Beginning with the ownership mindset. The ownership mentality contributes to, and engenders a deep commitment to the company’s success. Accountability is the cornerstone. Everything throughout the company has an ‘owner’. Someone is clearly responsible for the outcomes of processes, decisions or projects.
Part 4 covers Operations. Cost control and budgeting are paramount. Efficiency is a priority for the goals-based management system, which breaks the big dream down to individual employees goals and routines.
de Mello includes AB InBev’s 10 Principles as well as Garantias 18 Principles, Goldman Sachs Business Principles and The Toyota Way’s 14 Principles.
The book is 188 pages long and overall a worthwhile read for those interested in learning more about how 3G operates.