Official skill · Strategy

Hedgehog Concept check

Tests a company's focus against Good to Great's three circles (passion, best in the world, economic engine), picks one economic denominator, and writes a stop-doing list and flywheel. Use it when the team does many things moderately well.

AI skill

Have your AI find what your company should focus on, and what to stop

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Works in Claude, ChatGPT, and coding agents. On Team and Business, the official skill in your pod updates itself when we improve it.

When to use it

What you give it

What you get

A three-circles table, one economic denominator, the overlap in one sentence, a stop-doing list, right-people gaps, and a flywheel with the first push.

How it works

  1. List the activities
  2. Fill the best-in-the-world circle
  3. Fill the economic engine circle
  4. Fill the passion circle
  5. Write the overlap
  6. Draft the stop-doing list
  7. Check the people
  8. Sketch the flywheel

Example

What you give it

We're a 22-person bike shop group with 3 stores in Lyon. Revenue last year: new bikes 58%, repairs and servicing 27%, rental for tourists 15%. Gross margin: new bikes 24%, servicing 61%, rental 38%. We win servicing customers from the big chains: our Google rating for servicing is 4.8 against their 3.9, and 40% of new bike buyers first came to us for a repair. Rentals are seasonal and two staff hate running them. Our mechanics run a free Saturday repair class that's full every week, nobody asked them to. On new bikes, Decathlon beats us on price.

What you get back (the start of it)

Hedgehog Concept check: Lyon bike shop group

Date: [date] · Owner: [check: owner]

Activities in the three circles

ActivityShare of revenue / effortBest in the world at? (field, evidence)Drives the engine?Passion?In all three?
Servicing and repairs27% / [check: effort]Yes, in Lyon: rating 4.8 vs the chains' 3.9Yes: 61% margin, and 40% of bike buyers start hereYes: the mechanics run a full free class unaskedYes
New bikes58% / [check]No: Decathlon wins on pricePartly: 24% margin; sales follow servicing[check]No
Tourist rental15% / [check]No evidence38% margin, seasonalNo: two staff dislike itNo

Economic denominator

Chosen: gross profit per serviced customer per year — servicing has the best margin and leads to 40% of bike sales, so raising it lifts both lines [check: repeat-visit data]. Rejected: profit per store — it hides which line earns the money.

The rest of this output, the full steps and the checks the AI runs before it answers are in your pod once you add the skill.

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Changelog

Sources

  1. Jim Collins: The Hedgehog Concept (read 2026-11-04)
  2. Jim Collins: First Who, Then What (read 2026-11-04)
  3. Jim Collins: The Flywheel Effect (read 2026-11-04)
  4. Wikipedia: Good to Great (read 2026-11-04)
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