Strategic scaling
Masterful scaling: the 10 Rockefeller Habits
Key takeaways
- The Rockefeller Habits are ten practical principles to make growth structured and manageable, described by Verne Harnish in Scaling Up.
- The leadership team functions as one whole, with shared information and rhythm.
- Everyone knows the most important quarterly priority: focus on the rocks.
- There is a fixed rhythm in communication via short daily stand-ups and monthly updates.
- Roles and responsibilities are crystal clear.
- The leadership team actively gathers feedback from the team.
- Clients give regular feedback through, for example, an NPS system.
- Core values and mission are visible and lived.
- Everyone understands the bigger picture through a clear BHAG.
- Success is made measurable with KPIs and shared transparently.
When I grew Glasnost from five to fifteen colleagues, I thought scaling was mostly a matter of working harder. More pitches, more people, more revenue. Until I hit that inevitable wall: the company still revolved around me. If I was away for a week, everything stalled.
Then I came across the Rockefeller Habits, a list of ten checks that Verne Harnish distilled from how John D. Rockefeller ran his empire. No flashy method, no revolutionary framework. Just ten things that make sure your business can keep running without you.
I implemented them retroactively at Glasnost and used them from day one at Fitzgerald. They work. And the most important lesson sits in a quote I still use in every growth session:
“You don't build the company, you build the team that builds the company for you.”
Here are the ten habits, in order of priority.
1. The leadership team is in sync
I have seen so many leadership teams that are only a team on paper. Everyone has different information, decisions get reversed in the hallway by founders, and there is no fixed rhythm. That is not a team; that is an accidental collection of people with the same title.
A leadership team is the parents of the organisation. If they are not aligned, your colleagues feel it down to the roots. Most important mindset shift: the leadership team works for the business, not the other way around. Especially if you want to keep Gen Z and millennials engaged. By the way, do not call them employees — no one likes that.
2. The whole team is aligned on this quarter's priority
Work falls into three categories: sand, stones and rocks. Sand is your inbox. Stones are deliverables that have to ship — evaluations, reports, weekly output. Rocks are the things that actually move your business forward.
The problem? Sand feels urgent. Rocks feel optional. So everyone goes back to email. A good quarterly priority makes sure the whole team knows which rock will be moved these three months, and that everyone knows their role in it.
3. There is rhythm in internal communication
When you grow and it gets busy, internal communication always slips. Logical, you are plugging holes. But that is precisely when you need the rhythm.
At our place this became the basis: a daily team kick-off of fifteen minutes where everyone visibly checks in. And a monthly update where the leadership team strategically takes the team through where the business stands. That monthly is sacred. It always happens. Bonus when other colleagues also get space to share what they are building.
4. Roles and responsibilities are crystal clear
Founders are jacks of all trades and love making decisions. Which is exactly why other people stop doing it. You suck the sense of responsibility out of your organisation without noticing.
Step one: sharpen on paper where responsibilities begin and end. Step two, and this is where it really starts to chafe: define your core processes. How does order to cash run? How does sales run? Who sits at the table in which phase? When you map this, you are often shocked at who is unnecessarily involved.
5. The leadership team gathers feedback themselves
Power creates distance. No matter how hard you try as founder or leadership team member, you do not hear the real challenges on the floor by trying to catch them ad hoc in passing. People tell you what they think you want to hear.
My approach: a weekly walk with someone from the team, every time someone different. An hour, no agenda, in a private setting where they can prepare the conversation. The findings you then discuss in the leadership team. Two birds with one stone: people feel heard, and you tackle issues before they become problems.
6. Clients give structural feedback
Client feedback is a goldmine most companies leave untouched. Not because they do not want to, but because it never gets done. So build a structure, like an NPS, a customer satisfaction survey or a fixed moment per quarter. And actually do something with it.
Sometimes you discover a client is on the verge of leaving. And sometimes you discover it is time for you to part ways yourself.
7. Core values and mission really live in the organisation
In the beginning you hire on gut. Then you fire on gut too. That works, until you can no longer do all the hiring conversations yourself.
At that moment core values have to take over. Not as a poster on the wall, but as a daily yardstick: how we make decisions, how we give feedback, who we keep and who we let go. That is what truly creates a culture.
8. Everyone knows the bigger picture
Your BHAG, or Big Hairy Audacious Goal, is not a marketing quote. It is a long-term goal that is ambitious, inspiring and slightly intimidating. At Tesla that was: help the world transition to sustainable energy. When they had not yet sold a car.
Hang the BHAG up. Literally. With sub-goals beneath it like a kind of totem pole. And come back to it in every meeting. In addition, everyone should know who the ideal client is, what makes you distinctive and how to explain the business in one sentence. That is not marketing work; that is fundamental work.
9. Everyone can say whether they had a good week
In Dutch companies there is often still a taboo on KPIs. Being held accountable feels scary. It takes nerve and time to implement this well. But once it is in place, everyone suddenly has insight into their own performance and into what is needed to improve.
A colleague who does not know whether their week was good or bad is a colleague who cannot grow.
10. Plans and progress are visible to everyone
The first time I suggested putting revenue and profit on a screen in the office, everyone was sceptical. What if clients see that? As if healthy company management is something dirty.
Clients responded enthusiastically. A company that communicates openly and transparently is appreciated; we won pitches on it. And colleagues started to think along much more actively about the numbers, because they suddenly became part of the story.
To close
Ten habits sounds like a lot. And it is not a weekend project either. At Glasnost it took several quarters to get them all properly in place. But the effect is fundamental: you go from working in the business to working on the business. And that is ultimately what scaling is about.
Frequently asked questions
Frequently asked questions about the Rockefeller Habits
What exactly are the Rockefeller Habits?
The Rockefeller Habits are ten management principles developed by Verne Harnish to help companies grow with structure, rhythm and focus. They are based on John D. Rockefeller's leadership style and used worldwide by scale-ups.Why are they important for scale-ups?
During growth, the dynamics of an organisation change. The Rockefeller Habits help leaders keep focus, build communication and decision rhythm, and strengthen team accountability.How do you apply them in practice?
Start small: pick one or two habits and implement them step by step. Begin with a fixed meeting and communication rhythm, make the most important quarterly priority visible, and use feedback to keep improving.Which of the ten usually delivers the fastest result?
From practical experience, habit 3 (rhythm in internal communication) and habit 2 (clear quarterly priority) have the most direct effect.What is the difference between the Rockefeller Habits and Scaling Up?
Scaling Up is the book and framework by Verne Harnish that further developed the Rockefeller Habits. Where the Habits offer ten concrete checks, Scaling Up also contains tools for strategy, cash flow, team structure and execution.
Definitions
- BHAG
- Big Hairy Audacious Goal: a long-term goal that is ambitious, inspiring and slightly intimidating. Serves as a directional compass for the entire business.
- KPI
- Key Performance Indicator: measurable variable that shows how well a person, team or organisation is performing.
- MT
- Management team: the group of leaders responsible for daily and strategic direction.
- NPS
- Net Promoter Score: method to measure customer loyalty by asking how likely customers are to recommend the company.
- Rocks, Stones and Sand
- Metaphor for priorities. Rocks are strategic projects driving growth; Stones are important daily deliverables; Sand are small tasks that fill time but make little impact.
- Scale-up
- Company that has outgrown the start-up phase and focuses on rapid growth and professionalisation.
How we sourced this article
The insights in this post are based on the method of Verne Harnish, described in his book Scaling Up: How a Few Companies Make It… and Why the Rest Don't. In addition, the ten principles have been tested across multiple Dutch scale-ups Go Delphi works with, and compared with best practices from international programmes by the Entrepreneurs' Organization (EO) and the MIT Entrepreneurial Masters Program.
