Lessons From Century Club Companies: Managing for Long-Term Success

There is, however, one common practice the old companies share: a conservative approach to managing finances. These firms are very reluctant to go into debt as a way of funding their business.

Factor 1: Strong corporate mission and culture

Factor 2: Unique core strengths and change management

Factor 3: Close relationships with business partners

This is the profit paradox of Century Club companies: though they don’t define the purpose or mission of their company as making money, they are very profitable.

The connection between employee training investments and long-term employment is well documented

Frugality in running the business enables the company to set aside money in prosperous times to help weather the lean years. This approach to financial management also means money is available to internally fund new opportunities when they arise, thus avoiding external sources of financing, or having to convince others of the value of an initiative

Every privately-owned Century Club company interviewed said staying private was key to their longevity.

understanding what their best and most innovative customers are doing.”