While working for ZAGG Inc., I made several suggestions to management concerning ways to solve problems in the company or to improve processes. I found thick resistance against many of my ideas, even though they were based upon free market ideals and economic incentives. Overtime I became discouraged and confused because of the cognitive dissonance I was experiencing between what I was told by management and what I was taught about economics. I even began to believe that maybe some of the concepts within economics could not be applied to real management situations.
I was greatly relieved to have discovered many of my suggestions being successfully practiced within Koch Industries. Charles Koch as created a management style that harnesses the power of the free market within a business (genius). This book brilliantly utilizes basic concepts of economics and successfully applies it to management.
Particular aspects of the book that I found especially helpful included how to price products (36,27), how to set priorities (69), the solution to creative destruction in an organization (78), principled entrepreneurship (79), hiring advice (86), partnership advice (92,93), the value of measuring (103), and page after page of management advice (35,36,39,80,133,135).
This book also introduced me to concepts I have never thought of before including the negative drawbacks to going public, the effects of budget caps, and having an exit mechanism for partnerships. I am so thankful to learn this advice through reading rather than experience.
I am honestly going to apply the concepts taught in this book for every business I start in the future. This book has changed my life. Thank you Mr. Koch.