On funding announcements, Magnolia, and the rules of success in figure skating

Why do some companies grow?

A thousand business schools agree…

…that it’s possible to see the patterns?that materialize inside and around companies that seriously?

GROW

But can you explain in simple terms why some companies find momentum?

I know of one way.

To say how come some companies GROW…in real simple terms!

Here it is (insert fanfare):

The companies with the best total systems win.

This is contrary to what’s most often communicated when a company takes a leap. Like what Magnolia has just taken (see here wink-wink).

The usual stories, told by tech CEOs or my fellow CMOs, are usually about the “one thing” that made all the difference. Most times, however, it’s not quite the truth. There are so many factors in play. It’s always the total system, never that one elusive thing. Strategic focus is incredibly important, for sure, but if you're communicating that the success of your business was because of one approach, one thing, one metric, one whatever... you're not telling the truth.

This is why I’m amped by this news about Magnolia. This isn’t your typical Series B press release. This is the story of an entirely sustainable, healthy, fast-growing company—free from bloat and superficial buzz. With real customers doing hard stuff—and about a company on a mission to take full advantage of being miles ahead when it comes to pioneering the composable digital experience platform.

If that sounds like me serving you marketing-BS, go check our 2014 video about composability on YouTube , featuring co-founder Boris Kraft . We've been doing this for a very long time. With that comes a host of customers with deep knowledge and years of experience in real-life composability.

The concrete news here is that GENUI acquires a majority stake in Magnolia with a serious investment in the future growth of the company. That is an important milestone for Magnolia as it adds so much to the structure a company needs. –In order to have the best total system.

So what’s up with that “best total systems”?! And you mentioned figure skating in the headline? What's up with that?

Indulge me for a moment, and let me tell you about figure skating. I usually hate sports analogies in business, but I like this particular one as it is uniquely relevant to me.

Figure skating is a sport I know well because one of our 5 kids is an elite figure skater.

It’s a sport whose talents rely completely on systems, probably even more than it hinges on the inherent skills of athletes.

In some sports, you can still make it as an outsider by "just" having enough talent, skill, and tenacity. No way that's ever possible in figure skating. Not for a single skater. You’re only successful if the total system around you works to perfection—from day one. From the sharpness of the ice skate, the training schedule, the people transporting you to competitions, the treatment of the ice, the choice of coaches, the budget of the club, and so forth.?

Same for a business. It’s never that one simple thing. It’s the total system that makes it work so well. Firing on all cylinders

Reality is a mix of good, bad, hazy, fantastic, nebulous, and astonishing. If you like company events that are simple, then just craft a simple story. However, that story will always be far from the full picture.

We like to do the hard stuff at Magnolia. Which is a fantastic place to be in a world and time that is as challenging as 2022.

This announcement is intentionally the opposite of your typical funding announcement. Where how many millions you get to spend (or waste) is shouted from the rooftops. Without many really knowing what's up and down with all them millions of $.

This is about real hardcore growth through a well-run, complete system.?

I like figure skating. And businesses that grow. Magnolia is such.