80-20 rule for business growth

Growth of the organization largely depends on the new executive team members you have in the organization. Tier - 1 & Tier - 2 executives are very important for company's growth to set direction and execute the plans for growth. If you have too many of your executives who are more than 5+ years in the organization the possibility is that your growth will be shunted. Level of incompetency sets in with the individuals after few years in a company. If executives work with in the comfort zone the company will not make progress. Most of the 5+ year execs are boxed with in their mind set and will not be able to think out of the box. It is good to hire or replace 20% of your top executives once in 2 years. 20% should relate to the one that really matter for example sales or marketing or product development roles. If the industry growth rate is x such companies will have a growth rate of x/y where y is the number of 5+ year executives you carry.

Note: 5 years is a random number I picked to illustrate the point. It could be any number depending on the company and sector you are in.