Peter Drucker

Whenever an institution malfunctions as consistently as boards of directors have in nearly every major fiasco of the last forty or fifty years it is futile to blame men. It is the institution that malfunctions.

EBF history lesson: Where scientific management went awry

Taylorism laid the foundations for science-based management more than 100 years ago. But early implementations led to worker resistance and distortions that have never quite gone away.

How to institutionalise dissatisfaction

Companies in trouble tend to embrace change, but companies that are doing well often resist. Ironically, when your company is thriving it is probably the best time to shake things up. You may want to start by making dissatisfaction part of your company culture.

A long perspective on marketing

Marketing is as old as business, but the discipline of marketing only emerged in the last century. Today, marketing differs less than the perspectives academics take on it. It is also context dependent: the product, be it goods, services or service, may have only a small impact on the fundamental logic of marketing. Choice and complexity are influencing practice, as is the pressure for accountability, … [ Read more ]

The face of true leadership

This article explores the extent to which competency-based approaches to leadership fail to match the requirements of organisations by comparing an analysis of competency frameworks with the key concerns and issues of leadership today and tomorrow as identified by leaders themselves. The authors find that to a great extent, the two simply do not match: what leaders identify as important and the language they use … [ Read more ]

Richard Bolden

While competency frameworks, used considerately, can have an important role to play, they are no more than a map that can be used to explore and navigate the concepts of leadership and management. Like all maps, however, they only represent a fragment of the complexity of the terrain and over-dependency will fail to engage with the real problems of leading in complex and changing environments. … [ Read more ]

Managing the key cultural dimensions of control and risk

Understanding international differences in perceptions of management control is important to the management of risk within multinational companies (MNCs). The effectiveness of the control of risks is a matter of opinion – at least until control has been shown to have failed. Different perceptions of what constitutes risk, and of how risks can be managed, lead to differences of opinion about the effectiveness of control. … [ Read more ]

How going global compromised Parmalat

The Italian giant Parmalat imploded during a financial crisis, resulting in a police investigation, a suicide, a series of arrests and shockwaves throughout the international financial community. The role of corporate governance, auditors and the regulators all came under scrutiny. This is an excerpt from a full case study on the company available from the European Case Clearing House.

Smarter ways to do business with the competition

Companies that enter into strategic alliances thus encounter many dilemmas. This article summarises the key issues into six categories of 10 dilemmas and discusses how Star Alliance, the world’s largest airline alliance, has dealt with these 10 dilemmas.

The globalisation of business schools

International business school students share many common values, but those values are not always reflected in the cultures of the institutions where they study.

What do strategists actually do?

Geopolitical uncertainty, rapid globalisation and faster business cycles mean that companies must be more flexible and responsive to changing conditions.
* But what does this mean for strategy?
* How should strategy be defined and, importantly, who should define it?
* What is the role of the CEO?
* How can leaders bridge the gulf between strategic thinking and implementation?
* How do operations influence … [ Read more ]

Joseph Lampel

Business schools are invaluable for laying the foundations for the practice of management. This is especially true for marketing, finance, or human resources, but far less so for strategy. The problem with the current system is that it forces strategy into the direct and narrow approach to teaching. If the shortest distance between two points in geometry is a straight line, then the shortest distance … [ Read more ]

Why US deficits get worse

The way out of the US trade deficit may be a stronger dollar, not a weaker one, because of the way the world economy now works. Policymakers need to fight economic insanity and forget those old remedies that no longer work.

The role of the subsidiary in harnessing global knowledge

New research indicates that large international companies are moving beyond centralisation to tap the creativity and brainpower of their foreign subsidiaries. The impact is proving positive for both the centre and the periphery.

The secret codes of the ‘silent language’

Beyond words, much of our communication takes place in ways we are scarcely aware of. It all happens in the limbic system of the brain that predates human speech. Understanding these non-verbal clues can be crucial to international dealings.

Is China going the way of Brazil?

Ever since the Mao jacket went the way of the ozone layer, China has been the world’s darling economy. ‘Bigness’ and very high rates of growth have persuaded otherwise canny investors to overlook some rather significant risks.

How bosses reveal their attitudes towards employees

Can you tell if your boss really has faith in your ability to solve problems and manage your operation? If you think you can, chances are that the people reporting to you can also read your behaviour. Your low expectations may have more impact on them than you think.

What We Owe to Chinese Classical Economics

Where did modern economics originate? History shows that concepts of inflation, regulation and the free market can all be traced to ancient China, whose ideas were later refined by the Enlightenment thinkers