It may seem odd to talk about something as soft and fuzzy as "passion" as an integral part of a strategic framework. But throughout the good-to-great companies, passion became a key part of the Hedgehog Concept.

Recruit entrepreneurial leaders and give them freedom to determine the best path to achieving their objectives. On the other hand, individuals must commit fully to the system you use and be held rigorously accountable for their objectives. You give them freedom, but freedom within a framework.

Those who build and perpetuate mediocrity...are motivated more by the fear of being left behind.

Level 5 leaders are differentiated from other levels of leaders in that they have a wonderful blend of personal humility combined with extraordinary professional will. Understand that they are very ambitious; but their ambition, first and foremost, is for the company's success. They realize that the most important step they must make to become a Level 5 leader is to subjugate their ego to the company's performance. When asked for interviews, these leaders will agree only if it's about the company and not about them.

In determing "the right people," the good-to-great companies placed greater weight on character attributes than on specific educational background, practical skills, specialized knowledge, or work experience.

That good is the enemy of great is not just a business problem. It is a human problem.

By definition, it is not possible to everyone to be above the average.