Growing as

Leaders
Law of the Lid

Leadership Journal
*WHEN THE COUNTRY IS EXPERIENCING HARD TIMES, WHY DOES IT
ELECT A NEW PRESIDENT?
* WHEN A COMPANY IS LOSING MONEY, WHY DOES IT HIRE A NEW CEO?
*WHEN A CHURCH IS FLOUNDERING, WHY DOES IT SEARCH FOR A NEW
SENIOR PASTOR?
*WHEN A SPORTS TEAM KEEPS LOSING, WHY DOES IT LOOK FOR A NEW
HEAD COACH?

Law of the Lid

Leadership ability determines a persons level of effectiveness.
For example, if your leadership rates an 8, then your effectiveness can
never be greater than a 7. If your leadership is only a 4, then your
effectiveness will be no higher than a 3.

Dick & Maurice

pasadena, CA (1937)

Expansion (1940)

Changes(1948)

McDonalds brothers
The rest is history?

Story behind the story

1952 - Franchising

1954 - Ray Kroc

1955- Kroc formed McDonalds System, Inc.
Bought rights as a prototype
1961 - Bought exclusive rights
$2.7 million

The Lesson?
*In the years that Dick and Maurice McDonald had attempted to
franchise their food service system, they managed to sell the concept to
just fifteen buyers, only ten of whom actually opened restaurants
*On the other hand, 1955 and 1959, Kroc succeeded in opening 100
restaurants
*Four years after that, there were 500 McDonalds
*Lack of leadership ability was the lid on the McDonald brothers
effectiveness.

What do you think?

*Did the McDonalds brothers HAVE to be limited by the Law of the Lid
and sell out to Kroc?
*Is there anything they could have done to raise the lid so the
company could expand under their leadership?

Discuss - Law of the Lid

*IDENTIFY LIMITATIONS ON YOUR LEADERSHIP
-Identify an area you feel CAPABLE of leading right now?
-Identify an area or situation that would be TOO MUCH for you to lead in
right now?
-Name 2 or 3 areas you would need to personally grow in order to
effectively LEAD in that situation.