Tuesday, April 24, 2012

Organizational Structure

It seems that Tough Mudder encompasses a functional structure, meaning there are specialists and teams of people grouped internally:
  • Events (planning, management)
  • Obstacle construction
  • Site search
  • Marketing
  • Strategy
  • Legal
  • Accounting
  • HR
  • Office Management
People in these teams work together in a rewarding, dynamic, and fun environment. The functional structure provides for a high level of centralization that helps to ensure integration and control over the primary activities in the value chain.  While some companies with a functional structure find differences in values and orientations among functional areas to impede communication and coordination, this doesn't seem to be the case at Tough Mudder; it seems that there are high amounts of interaction across all teams.

Zooming From Zero to $70 Million in 2 Years

www.inc.com/tim-donnelly/tough-mudder-conquering-obstacles-to-build-70-million-business.html

"Inspiration and a $20 Facebook ad grew into a $70 million company in just two years-- and that's without any venture capital to seed the venture." This article discusses the four ways Will Dean and Guy Livingstone conquered obstacles while growing a fast business:
1. Create a disruptive product
2. Develop an offline viral product
3. Partner with national brands
4. Create a sustainable corporate culture

One of my favorite parts of the article is when Livingstone says, "We're not trying to be the Marriott Hotel. We're not trying to be everything to everyone.  I think you either get it or you don't with our brand, and we're very, very proud of that."

Role of Coporate Governance

Since Tough Mudder is not a corporation, a lot of the information in Chapter 9 does not apply.  Instead, I will take this entry to introduce the top management team:
  • Will Dean, CEO and Co-Founder, served five years in the British Special Forces before earning his MBA from Harvard Business School.  Out of frustration with unimaginative and repetitive marathons, triathlons, mud runs, and other adventure runs, he started Tough Mudder.  He found a missing market niche and capitalized on it.
  • Guy Livingstone, COO and Co-Founder, takes care of the company's legal, financial, and event operation divisions.  He has a background in law and has traveled all over the world! *
  • Jesse Bull, CFO
  • Alex Patterson, CMO
 *  Tough Mudder employee bios are a must-read. Click here and check them out for yourself. Working at Tough Mudder is a lifestyle.

The Tough Mudder corporate culture is strong.  They have an excellent system of shared values, qualities and beliefs:
  • High achievers 
  • Intelligent
  • Driven
  • Sense of humor
  • Passionate and enthusiastic about the Tough Mudder mission
  • Committed to continuous growth and learning and challenging one another
  • Work hard and play hard
  • Socially responsible and giving back (Wounded Warrior Project!)
  • Innovative
  • Diverse backgrounds, ideas, and perspectives