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Episode 1089/18/2025

What really counts in management, with Hermann Simon

This episode was recorded in German.

Hermann Simon on strategy, leadership and the essence of 50 years in management

Few names are as closely tied to strategy as Hermann Simon. The man who coined the term Hidden Champions, co-founder of Simon-Kucher & Partners and one of the most influential management thinkers of our time, has published a new book: "Simon sagt, was im Management wirklich zählt."

It entered the SPIEGEL bestseller list at number 15 right out of the gate.

On our podcast "Hope Is Not a Strategy," he talks about the essence of 50 years of experience and explains what leadership, time and courage mean for strategy work today.

Leadership takes more than expertise

For Simon, modern leadership has two dimensions:

  • Professional competence: leaders have to understand their business.
  • Motivation and enthusiasm: employees should achieve more than they could without leadership.

Many CEOs deliver on the first dimension but fall short on the second. "Does your boss inspire you?" That question usually gets Simon nothing but muted answers. Good leadership has to do both.

Germany's entrepreneur gap

Simon sees a core problem in what he calls the "entrepreneur gap":

Many managers are good administrators but not entrepreneurs. Entrepreneurs dare to swim against the current and make decisions that aren't designed to win applause. "Personality means independence from the applause of the crowd," Simon says, a quality Germany urgently needs.

Time as the scarcest resource

Another central theme of his book: time.

"Time is our scarcest resource today," Simon says. Whoever acts faster builds lasting advantages. He illustrates this with examples from AI development and points to China, which turns scientific findings into marketable products at breathtaking speed.

Strategy in volatile times

Asked whether we need to rethink strategy, Simon is clear: the fundamental task of strategy stays the same, building a strong market and competitive position. What changes is how far ahead you can plan. Uncertainty from wars, tariffs or technological leaps calls for more flexibility, more experiments and a willingness to keep scenarios open.

Humor as a strategic tool

A surprising perspective: Simon also sees humor as a strategic instrument. Change meets resistance, and humor can soften it and build acceptance. Strategy has to convince rationally and connect emotionally.

Takeaway: what really counts in management

The conversation with Hermann Simon makes one thing clear: strategy is not a planning exercise. It takes leadership, courage, time and personality, and sometimes humor.

His new book is more than a collection of anecdotes. It's the distilled knowledge of five decades of strategic work.

If you want to understand what makes leadership and strategy work in uncertain times, don't miss this episode, and take a look at the book.

SHOW NOTES

Christian Underwood https://www.linkedin.com/in/christianunderwood/

Hermann Simon https://www.linkedin.com/in/simonhermann

Link to the book https://www.murmann-verlag.de/products/hermann-simon-simon-sagt-was-im-management-wirklich-zahlt

All links https://linktr.ee/strategyframe

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