Corporate apocalypse - Management Today - The Diigo Meta page

• 09 Jan 09
  

  Bertrand Duperrin

  The bomb that has blown up the heart of the world's financial system was not primarily financial. It's true that finance provided the high explosive in the shape of the structured vehicles, collateralised debt obligations (CDOs) and derivatives devised by the rocket scientists of Wall Street and the City. But it needed a detonator to set them off: the unfit-for-purpose management model that has governed the way our companies work for the last 40 years.

  downturn management management2.0 garyhamel peterdrucker crisis creativity efficiency trust performance performancemanagement

  • This is the challenge for Management 2.0: reorienting management from
    compliance to creativity, from flogging efficiencies out of existing
    resources to generating new ones, from zero-sum to positive-sum by
    recognising, as Hamel says, the commonsense proposition that in the long
    term the corporation can only prosper if employees, suppliers, the
    community and indeed the planet do too.
  • First, many of the 'grand challenges' put forward in the discussions -
    the need for companies to articulate a purpose beyond making money (a
    conference near-consensus), distributed leadership and strategy- making,
    the fostering of community and citizenship, building trust - are not new
    at all. It's more that they have been driven to the periphery of
    management concerns by the treadmill of Management 1.0.
  • 7 more annotations...
  • • There are
      plenty of others. The granddaddy of Management 2.0 firms is Toyota, the
      exactly reversed image of GM: employing market pull rather than
      marketing push, economies of scope rather than scale, putting workers
      rather than computers in control of the work.
    • What do such companies have in common? First, incorporation of broader
      societal concerns.
    • Second, they have a determination to make their own rules.
    • Third, governance for them is based on strong internal values rather
      than an external rulebook.
    • Fourth is trust - an abused word, but without which no lasting
      relationship is possible.
    • Finally, there's a preference for intrinsic reward - the work itself -
      over extrinsic reward.
    • This list is not exclusive: finding ways to break the dead hand of
      conventional budgeting and performance management is high on the
      Management 2.0 agenda.

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