Showing posts with label organizations. Show all posts
Showing posts with label organizations. Show all posts

Saturday, December 24, 2016

EFFECTIVE PEOPLE by TV RAO

EFFECTIVE PEOPLE by TV Rao, Random House, India, 2015, p 408

Organizations are facing the challenge of managing people effectively in order to boost organizational performance. In the competitive environment motivation of employees has become key determinant as to whether they are driven from within to work harder and help the organization achieving its goal or the force from beyond. When Philip Kotler visited India and was asked to add one more ‘P’ to McCarthy's well worshiped 4 Ps of marketing, his response was quick and focused, ‘it has to be People’. Dale Carnegie had said that for excelling business results 85% is People Management and remaining 15% is management of all other resources. It is in this context that when I learnt about this title ‘Effective People’ by the father of HRD in India, Professor TV Rao, there was no second thought but to find his take on the ways that help improve effectiveness of people. 

The book is an excellent account of some of the high achievers of India and is based primarily on personal experiences and interactions with the people the author met on his commendable journey as an academic, motivator, researcher, institution builder and author. Apart from people who have been associated with him, he has also picked some who have not directly affected him but have influenced his thinking on the constituents of those determinants which make a person effective. The criterion for selecting an effective person to be included in the volume is his personal definition of effective person which is:
‘Anyone who discovers inner talent, uses it to make a difference in the lives of other people in a way that benefits them can be considered an effective person. We are all born talented and in different settings. However, some master their circumstances and manage them through their inner talent, These people may be teachers, social workers, doctors, nurses, lawyers, entrepreneurs, civil servants, development workers, businessmen, managers, chartered accountants, scientists, actors or self-employed, etc.’
The selection of people has been his personal choice based on the above criterion and further through engagements on social media apart from the literature that he went through reading the works of authors who have written on successful and effective people. I would like to divide the book into three sections (though the author has not done that). First section as the Background (Introduction – Chapter 1), Second as Profiling Effective People (Chapter 2 to 8) and Third as Takeaways or Lessons (Chapter 9 to 16). The book profiles effective people in seven categories viz., Doctors, Film Actors, Civil Servants, Educational Entrepreneurs, Professors, Social Workers, and Other Professions. 

Out of all the doctors that he profiles and brings out their propositions for being effective doctors, Dr MC Modi (Ophthalmologist), Dr Pratap Reddy (Cardiologist), Dr Devi Shetty (known for open heart surgeries), and Dr Naresh Trehan (Cardiovascular & Cardiothoracic surgeon) stand out and their common purpose to save lives along with strong determination to leave behind a rich legacy make them effective. The lives of film actors like Anupam Kher, Kangana Ranaut, Amitabh Bachchan, Aamir Khan, and Shah Rukh Khan have been narrated with their contribution and achievements. Though they play the role as assigned to them, as individuals their work behavior, commitment, style, and discipline make them effective. The roles they have played have left the audiences with some strong messages to carry and practical values to follow in order to remain effective. Managers can really learn lot from their life journeys, their characters, and their personalities. Learning from failures is a very strong message that one draws from the story of Amitabh Bachchan. 

Personal involvement of the author with the civil servants for developing better education system provides insights into the lives of some prominent civil servants who displayed their commitment to the cause of educational well-being of India. The names of Inderjit Khanna and Anil Bordia stand out as effective bureaucrats who played their role in drafting key education policies and spearheaded such initiatives. Apart from them the profiles and journeys of N Vittal (a civil servant known for his concern for transparency), Vinod Rai (CAG who walked extra mile to unearth some infamous scams like 2G, CWG, Coalgate etc), D R Mehta (bureaucrat who had strong concern for social causes), E Sreedharan (bureaucrat turn Metro Man), Kiran Bedi (first lady IPS and social activist), K P C H Gandhi (known for his contribution on forensic sciences and zero pendency), Arvind Kejriwal, Jaiprakash Narayan are narrated with the lessons that a manager or any person who want to be effective can learn. All these people are said to be restless, hard working, having development goal in mind, strongly driven by their value system, innovative and creative. 

The learning from effective people in the category of educational entrepreneurs is that all of them thought differently and had a strong desire to create an institution which caters to the educational needs of society. The knowledge of the task, will power to face the challenge, and the ability to engage with the stakeholders could make them effective as educational leaders. Effectiveness lessons drawn from the experiences of professors are placed succinctly as in-depth knowledge, commitment to the cause, innovativeness in thinking and delivery, strong sense of institution building, and proper succession planning through creating and patronizing next generation professors. 

All the chapters profiling different professions ended with effectiveness lessons and an interesting exercise having Self-Assessment Tool based on profession specific effectiveness requirement which one could assess based on five point Likert scale. This makes the book rich, valuable and practical. Personally I really liked all the tools given as they provide strong variables for judging effectiveness of the profession viz-a-viz., individual. 

The third section which is covered from chapter 9 to 16 deals with eight important takeaways or lessons which could be used by managers or any individual who aspires to achieve the set target. This is where the author’s contribution become most important. These eight lessons are found to be common in all the effective people discussed in the volume and as the author believes if one concentrates on these determinants, one could become effective in whatever he or she does. These eight key points are: 
1. Effective People Think Differently (Chapter 9) - so one has to find out one’s inner talent through experimentation and concentrate on capitalizing on that through thinking differently.
2. Effective People Stretch Their Talent (Chapter 10) – exploring new vistas and opportunities by stretching the limits in different situations.
3. Effective People Consider Values as Core Drivers (Chapter 11) – being firm in matters of principle and maintaining high value standards which are result of bringing up (family and environment) without succumbing to pressures and establishing superordinate goals.
4. Effective People Are Compassionate (Chapter 12) – sense of togetherness and concern for others coming through empathy.
5. Effective People Live With Purpose (Chapter 13) – strong commitment to the purpose as per their vision, mission and goal helping in achieving the goal.
6. Effective People Reach Out to Many (Chapter 14) – looking outward and connecting with the stakeholders through different modes by being perseverant and positive.
7. Effective People Take Initiative and Build Institutions (Chapter 15) – displaying strong sense of initiation and responsibility to build great institutions to contribute for good and sustenance.
8. Effective People Are Integrative Not Divisive (Chapter 16) – inclusiveness and not exclusiveness to be practiced at all levels by imbibing virtues of integrating personality leading towards organization building viz-a-viz nation building. 
These are all virtues for becoming effective. All these chapters also had series of questions at the end guiding the reader for search and resolution within in order to be effective. The examples as narrated by the author are exemplary and are very practical and many of them come from management institutes, Bollywood movies, cricket world, bureaucracy and government system. Almost all the individuals profiled in this volume have created great institutions. I was expecting a detailed profile of TN Sheshan who redefined the role of Chief Election Commissioner in India and ever since the whole process of conduct of elections in India has undergone transformation. The book is autobiographical at many places which makes it very selective yet interesting part of the book is its first person narrative as a style of writing.

All the lessons are fully applicable for any manager working in an organization be it profit making or otherwise. And to that end this project of the author is successful in guiding all its readers. The author mentions - My aim is to write a book that can help many more people to become effective (p 13). I am sure it really makes lot of sense and would certainly be a practical guide for all its readers. 

People are important resource for any organization and this book makes an effective effort to teach the nuances of leading and being effective. I strongly recommend this title to all the libraries and to all who aspire to achieve greater heights in their professional career or entrepreneurial venture.

[Published in Nice Journal of Business, vol.... no.... ]

Thursday, January 30, 2014

How the Mighty Fall by Jim Collins

HOW THE MIGHTY FALL and why some companies never give in (2009) by Jim Collins, Random House Business Books, UK, p 232

My interest in the study of organisations, its people, systems, strategies and practices has induced an interest in the writings of Jim Collins, who has written extensively on different aspects of organisations, their journey, survival and the causes what makes them great as well as what makes them fail.  In that series after having gone through Built to Last and Good to Great I picked up this title in order to understand the reasons why do organizations fail.

Jim Collins remarkably develops an argument for the causes of failures of big organizations through the writings, data, interviews profiling performances on different parameters.  The organizations like Bank of America, Zenith, A&P, HP, Motorola, Rubbermaid, Scott paper, Fannie Mae, Merck, Xerox, Circuit City, IBM etc. have been studied and the change led through their leadership and its impact on organizational performance has been narrated through many examples and on the basis of this certain conclusions are drawn as to the common elements in their strategies, policies, practices which resulted in their momentary or long-term failure. 

The research culminates into providing five stages of decline as Stage 1 - Hubris Born of Success, Stage 2 - Undisciplined Pursuit of More, Stage 3 - Denial of Risk and Peril, Stage 4 - Grasping for Salvation, and Stage 5 - Capitulation to Irrelevance or Death.  We grew up studying different life cycles of products and organisations. This life cycle warns the organizations at different level of its long term effect, if they do not change or adapt to new practices at organizational level. These stages are elaborated in different chapters through the organizational behaviour and practices, big companies reflected on.    

The lessons learnt could be related to individuals as well, since it is the individuals who develop systems, structures and strategies in an organizational set up. It is the individuals who form, develop and nurture organizations through developing an orgnaizational value system and compelling cultures which the successors follow. The basic fabric of an organization is woven through the value systems of individuals which is reflected through the policies and procedures followed in organizations. It is in this context this book makes a strong case for bringing out causes which warn organizations so that the learning could be used to never fall trap to those circumstances.

After becoming a giant corporation, its leaders tend to develop a sense of arrogance (stage 1), that it can do anything (stage 2), since it has brand, power, presence and performance to back it up. Initially it does provide some warning signals but the arrogance avoids such signals and develops a kind of belief that it is momentary (stage 3) and it can recover the fall in the long run. Non responsiveness of the leadership to the initial signals of fall, further deteriorates the performance (stage 4) and it enters into a situation where it can never improve (stage 5).  Bad decisions made with good intentions are still bad decisions (p 148). This journey of mighty corporations make them irrelevant and forces them to die their own death.  

The book is divided in 8 chapters of which 5 chapters are devoted to each stage. The last chapter is entitled Well-Founded Hope, which provides the ways how organisations can avoid and respond back through positive attitude and never-say-die approach. The role of leadership is said to be very crucial at this stage and great leaders are always on toes for change. Jim provides a defense for his recovery mechanism through the practices at Xerox, Nucor, IBM, Texas Instruments, Pitney Bowes, Nordstrom, Disney, Boeing, HP, Merck. What do these companies have in common? Every one took at least one tremendous fall at some point in its history and recovered. Sometimes the tumble came early, when they were small and vulnerable, and sometimes the tumble came when they were large, established enterprises. (p 116) The example of Churchill's return is also well cited.  People make organizations and their systems. Their value system, their capability to take risk, their enterprising behaviour, their leading ability, their determination towards fixing and achieving audacious goals affects organisational decision making and practices.  
If we discovered that organizational decline is a function first and foremost of forces out of our control - and if we discovered that those who fall will inevitably keep falling to their doom - we could rightly indulge in despair.  But that is not our conclusion from the analysis, not if you catch decline in Stages 1, 2, or 3. And in some cases, you might even be able to reverse course once in Stage 4, as long as you still have enough resources to get out of the cycle of grasping and rebuild one step at a time. 
If you have not yet fallen, beware the temptation to proclaim a crisis when none exists. ... The right people will drive improvement, whether standing on a burning platform or not, and they never take well to manipulation. (p 117)
Towards the end there are 7 appendices detailing the selection criteria for different companies, their decline and recovery mechanisms.  What caught my eye was Appendix 5 - "What Makes for the 'Right People' in Key Seats?" This is quite apt and fits into organizational set up for putting right people for right job. According to him right people fit with core values of the company, they are passionate about the company and its work, they fulfill their commitments, they don't need to be tightly managed, for them responsibilities are more important than just job, and they display 'window and mirror' maturity.  This work is compared with Level 5 leadership as explained in Good to Great in Appendix 7, looking at different stages of decline and leadership role.

I personally loved two last paras of the book:
Never give in.  Be willing to change tactics, but never give up your core purpose.  Be willing to kill failed business ideas, even to shutter big operations you've been in for a long time, but never give up on the idea of building a great company.  Be willing to evolve into an entirely different portfolio of activities, even to the point of zero overlap with what you do today, but never give up on the principles that define your culture.  Be wiling to embrace the inevitability of creative destruction, but never give up on the discipline to create your own future.  Be willing to embrace loss, to endure pain, to temporarily lose freedoms, but never give up faith in the ability to prevail.  Be willing to form alliances with formal adversaries, to accept necessary compromise, but never - ever - give up on your core value.
The path out of darkness begins with those exasperatingly persistent individuals who are constitutionally incapable of capitulation.  It's one thing to suffer a staggering defeat - as will likely happen to every enduring business and social enterprise at some point in its history - and entirely another to give up on the values and aspirations that make the protracted struggle worthwhile. Failure is not so much a physical state as a state of mind; success is falling down, and getting up one more time, without end.  (p 123)
This is a must read for those who are interested in the study of leadership, organisations and their transformations and I am sure apart from just learning different stages of decline, one would also learn lessons for self-development.

[published in Invertis Journal of Management, Vol 5, No 1 & 2, 2013; pp. 87-88]

Wednesday, September 14, 2011

Good to Great by Jim Collins

GOOD TO GREAT: Why Some Companies Make the Leap and Others Don't, by James C Collins (Jim Collins), 2001, published by Collins (an imprint of HarperCollins Publishers), USA. p 300

Generally as we read about business organizations and their transformations, it becomes obvious to see some of them doing good, some doing better than others and some not reaching to their targeted goals.  There are many factors which play their respective roles to make the organizations as they are and one of the most important factor is the kind of leader it has and the kind of leadership he/she follows in order to direct the efforts of the organization to achieve its established targets and to carry on with the journey of transforming organizations.

Jim Collins, who co-authored (with Jerry Porras) a business classic entitled Build to Last concentrating on organizational transformation, brought out this great book (based on US Corporations) with robust data and methodology to convince the readers of its relevance through defending the cause of great leadership as the most important parameter to transform a good corporation into a great one.  The creativity in putting the arguments and deriving basic principles of modern day leadership is the acumen of Jim who along with his dedicated team of researchers could filter out 11 American companies which were selected into good-to-great set.

The book is divided in 9 chapters, appended with research notes.  In fact around one third part of the book is devoted to the research notes and references which makes the book very rich, authenticated and authoritative.  The first chapter starts with its caption Good is the enemy of great and outlines the motivation of this work and further explains the basis of selection of 11 companies.  The performance of the companies through the stock returns is the primary basis of selection though a precondition that the company must have appeared in Fortune 500 companies of 1995 is followed.  The methodology follows 4 cuts to eliminate the companies at different levels.  At Cut 1 level 1435 companies are selected out of Frotune 500 companies, on the basis of their performance between 1965-1995 (30 years), then at Cut 2 level, out of 1435, 126 companies are filtered on the basis of CRSP (Univeristy of Chicago Centrer for Research on Security Prices) data based on 4 tests and then at Cut 3, 19 companies are selected on the basis of cumulative stock returns of each candidate company as per CRSP data set, and then out of this 11 companies were selected which made a transition.  This is what made them Good-to-Great companies.  The selection process is fully described in the Appendix A.  The 11 companies thus selected are compared with another company (known as director comaparison company).  These companies are : Abbott Vs Upjohn (which was taken over by Pfizer in 2002), Circuit City Vs Silo, Fannie Mae Vs Great Western, Gillette Vs Warner-Lambert, Kimberly-Clark Vs Scott Paper, Kroger Vs A&P, Nucor Vs Bethlehem Steel, Philip Morris Vs RJ Reynolds, Phitney Bowes Vs Addressograph, Walgreens Vs Eckerd, and Wells Fargo Vs Bank of America.  The direct comparison companies are selected on the basis of there operation in the same industry with same opportunities and similar resources at the time of transition.  However there are some companies (Burroughs, Chrysler, Harris, Hasbro, Rubbermaid and Teledyne) which made a short term shift from good to great but failed to maintain the trajectory - to address the question of sustainability.   Thus in total 28 companies are studied to find out the commonalites (and What's Different) which make transform a good company into a great company.

In general, in contrast with the general assumptions they found out interesting facts (dogs that did not bark syndrome) as:
  • Larger-than-life, celebrity leders who ride in from the outside are negativley correlated with taking a company from good to great.  Ten of eleven good to great CEOs came from inside the company, whereas the comparison companies tried outside CEOs six tims more often.
  • No systematic patter linking specific forms of executive compensation to the process of goin from good to great.
  • Strategy per se did not separate the good to great companies from the comparison companies.
  • Good-to-Great companies did not focus on what to do to become great, they focused equally on what not to do and what to stop doing.
  • Technology can accelerate a transformation but it cannot cause a transformation.
  • No relation and impact of merger/acquisitions.
  • Good-to-Great companies paid scant attention to managing change, motivating people, or creating alignment.  
  • Good-to-Great companies had no name, tag line, launch event, or program to signify their transformations.
  • Good-to-Great companies were not, by and large, in great industries, and some were in terrible industries.  
The book advocates for Level 5 Leadership driven out of the readings, data, narratives and the contributions of great leaders in the good-to-great companies.  The personal characteristics of the leaders, their competence level, commitment to the cause, integrity and honest intentions are some such common features found in the leaders of great organizations.  The transformations of the organizations during the tenure of their visionary leaders is well placed in the book (George Cain at Abott, Alan Wurtzel at Circuit City,  David Maxwell at Fennie Mae, Darwin Smith at Kimberley-Clark, Colman Mockler at Gillette, Jim Herring at Kroger, Lyle Everingham at Nucor, Joe Cullman at Philip Morris, Fred Allen at Pitney Bowes, Charles Walgreen at Walgreen Pharm, and Carl Reichardt at Wells Fargo). The robust database and collections of articles, press reports etc from different journals, magazines etc are the base for the arguments for Good-to-Great organizations.

Professional Will and Personal Humility are portrayed as two sides of Level 5 Leadership which refers to a five level hierarchy of executive capabilities, level 5 leaders are ambitious, to be sure, but ambitious first and foremost for the company, not themselves, they set up their successors for even greater success in the next generation, display a compelling modesty, are self-effacing and understated, are fanatically driven, infected with an incurable need to produce sustained results, display a workmanlike diligence, look out the window to attribute success to factors other than themselves.  Generally we tend to overstate the role of money or compensation with the performance.  Quite the contrary Good-to-great companies do not support such an argument.  This is even otherwise proved in the context of any individual which is popularly known as Easterlin Paradox in happiness literature. Another general perception that 'people are most important asset' is questioned by Collins and he says 'people are not your most important asset. The right people are'.  In fact there have been a concern raised on this issue by the management academicians.  I remember one of the very prominent paper by Peter Drucker where he argues that People (Employees) are not assets, rather they are Liabilities.  Collins view that right people are real asset for organization is well defended in the book.  While making comparisons with the counterpart companies the differences in the practices are explained and the key is found to be the right kind of people at the right place.  Chapter three ends with a very good sentence - The people we interviewed from the good-to-great companies clearly loved what they did, largely because they loved who they did it with.  This sentence says it all.

The companies in order to succeed must confront with the brutal facts of their current reality. And such confrontation must be with all positivity and honest intentions. The truth must be heard and the corporations must develop a culture of this kind through leading with questions and not answers, through employee engagement, through conducting autopsies without blame and through building such mechanisms which does not allow you to ignore crucial information.  The learning of the adversity and successfully managing it is a strong feature of good-to-great companies and such lessons can be learnt from Stockdale Paradox which is based on a simple thinking that - retain absolute faith that you can and will prevail int eh end, regardless of the difficulties.  Unlike general assumption, Jim experiences that in good-to-great companies, charisma can be as much a liability as an asset, as the strength of your leadership personality can deter people from bringing you the brutal facts.

Three intersecting circles (What you are deeply passionate about, what you can be the best in the world at, what drives your economic engine) of Hedgehog concept are really great convincing factors. Jim says that good-to-great companies are the best in the world at circle of the Hedgehog concept and this he explains through the practical example of all the 11 such companies.  The culture of discipline has to be developed to transform an organization into a great organization.  The freedom or autonomy has to be commissioned to the people within a set framework.  The discipline of working within the system and structure and allowing people to use their freedom in decision making within it makes one a great organization.  It is not just the disciplined action which is important, equally important is to get disciplined people who engage in disciplined thought and who then take disciplined action.  The organizations have to get habituated to stay within three circles which shall allow them to explore further opportunities for growth.  The stop doing list has to be prepared cautiously and such activities needs to be ignored for capitalising on potential growth opportunities.

Good-to-Great companies showed consistent use of technology as accelerator of momentum, not a creator of it. The flywheel model (tremendous power exists in the fact of continued improvement and the delivery of results) as suggested by Jim proved that the great organizations followed it in one or the other way as compared to comparison companies which followed the doom loop.  It also included maintaining proper returns through their performance at the Wall Street.

Earlier work of Jim Collins in the shape of Built to Last concentrated on what does it take to start and build an enduring great company from the ground up.  While he took up the project on studying Good-To-Great companies, Built to last was there at the back of the mind of his team.  As mentioned - Looking back on the built to last study, it appears that the enduring great companies did in fact go through a process of buildup to breakthroughs following the good to great framework during their formative years, though the organizations studied were all different, however an overlapping in the approach on looking at them was observed.  Some of the frameworks proposed in this book were seen to have been followed by the organizations which were under study in Built to Last like in the case of role of Sam Walton in the evolution of Walmart, who followed Fly Wheel model.  This chapter 9 (last chapter) of the book compares these two books (Built to last and Good to Great) through suggested models and how they were practiced by them.  As suggested in the Built to Last, preserving core values and purpose is important for enduring corporations and they have to preserve the creative culture of the the organization, however in Good-to-Great, which is primarily focused on developing the base for Level 5 Leadership, the concentration is on the leaders role and his/her sense of personal humility.

As individuals we aspire to be great, we always think (ideally) that we must leave behind such contributions for which we are remembered, this is was drives us to think of something great.  Similarly organizations also need to think of achieving greatness.  And this is where Jim Collins through this work tries to convince the readers of the practices that great business leaders follow to transform their organization into a great organization.  Mind it unquestionably who would not be interested in achieving greatness. Greatness is not a function of circumstance. Greatness, it turns out, is largely a matter of conscious choice.

Monday, November 26, 2007

True Leaders by Price & Ritcheske

TRUE LEADERS - How Exceptional CEOs and Presidents Make a Difference by Building Poeple and Profits by Bette Price & George Ritcheske (2006) Corpus Collosum Learning Pvt Ltd, Mumbai, India. First Indian Edition: 2006 p 223

Can Leaders be made or they are only born? The debate over this issue has been finding place in the management literature in the last century. The genetic science has reasons to believe that it lies in ones genes how he/she is going to reflect on the work behaviour. However, it is also argued number of times that through education, training and pruning one could transform himself/herself into a successful and effective leader. The difference between effective and successful leaders, between effective and ineffective leader is also an issue which is getting importance in the literature as well as in practice.

This book on True Leaders is an eye opener for those who want to learn the secrets of successful and effective leaders. It addresses the issue of ‘born’ or ‘made’ debate in a very convincing manner. As the preface reads -

‘True Leaders is a blueprint for success in an era when a rapidly changing marketplace and an ever changing workforce require integrating human value with economic value to differentiate effective leaders from ineffective leader.
The book is an outcome of the interviews with 27 most successful business leaders in the US, coming from diverse group of industries, some held publicly and some privately, some led by men, some by women and some by minorities. These leaders operate with a background of core values which could be translated into good financial performance. These leaders demonstrate great deal of inherent love and caring for their people, which makes them True Leaders. The book includes the leaders like Garrett Boone, Chairman and Cofounder, The Container Store, Terri Bowersock, Founder, Terri’s Consign and Design Furnishings, John Bruck, Chairman and President, BHE Environmental, Inc, James Copeland, Jr, CEO, Deloitte & Touche, Debbie Gaby & Len Gaby, President & CEO, Sleep America, Ann Hambly, MD, Prudential Asset Resources, Frank Hennessey, CEO, MascoTech, Vicki Henry, CEO, Feedback Plus, Inc, Irv Hockaday, President and CEO, Hallmark Cards, Linda Huett, President and CEO, Weight Watchers International, Inc, Jack Kahl, Founder, Manco, Inc, Jack Lowe, CEO, TD Industries, Bill Matthews, Managing Partner, Plante & Moran, LLP, Mike McCarthy, Chairman, McCarthy Building Companies, Inc, Gary McDaniel, CEO, Chateau Communities, Inc, Gary Nelon, Chairman and CEO, First Texas Bancorp, Inc, James B Nicholson, President and CEO, PVS Chemicals, Inc, David Novak, Chairman and CEO, Tricon Global Restaurants, Inc, Dr Alvin Rohrs, CEO, SIFE, Len Roberts, Chairman and CEO, Radio Shack Corporation, Bruce Simpson, CEO, AppGenesys, Inc, Lou Smith, President and CEO, Ewing Marion Kauffman Foundation, Kip Tindell, President and CEO and Cofounder, The Container Store, David Walker, Comptroller General of the United States, US General Accounting Office, Tim Webster, President and CEO, American Italian Pasta Co, and Dan Woodward, Chairman and CEO, Enherent Corp.

The book contains 12 chapters and 5 Appendixes. The chapters start with Defining true leaders (chapter 1), considering passion as a prerequisite (chapter 2), See what is not yet visible (chapter 3), care enough to connect and convey (chapter 4), treat learning like dirty dishes (chapter 5), do what's right and tell the truth (chapter 6), trust is a must (chapter 7), recognize and build people (chapter 8), trust your intuition (chapter 9), risk to respond and grow (chapter 10), respect the importance of balance (chapter 11), and, so what? predictions for the future (chapter 12). The leaders who find their views expressed and their values conveyed to their people are effective leaders. After every chapter of the book there are certain questions to be explored and discovered which would certainly help the reader for practical purposes.

The book refers to Students In Free Enterprise (SIFE) and draws a lot from their experience. SIFE clarifies its mission as: To provide college students the best opportunity to make a difference and to develop leadership, teamwork, and communication skills through learning, practicing, and teaching the principles of free enterprise. It is a nonprofit collegiate organization in US. Appendix A provides a detailed perspective on the activities of which SIFE carries and their experiences. The book has a leadership evaluation tool as given by Dan Woodward in Appendix B. Appendix C illustrates ‘One-with-One Discussion Card’ used by TD Industries. This card facilitates the discussion between employees and supervisors. This practice is unique in its nature. A concise objective view of the whole book is reflected in Appendix D which consolidates the Attitudes and Values of all the 27 leaders included in the book. This appendix shows ‘the average true leaders attitudes and values graph’. Appendix E provides summarized information with the web addresses of all the companies included in this present work. For readers convenience an index (p 213-219) is provided towards the end of the book and the information about the authors is provided just to wind up the book.

The narratives used in the book make it interesting for the readers and the language used is very simple which is easy to follow and we can relate it with our immediate environment. ‘True leaders genuinely care about people. They feel a responsibility to create a work environment in which people are respected and recognized, and they allocate funds to ensure that their people are adequately trained.’(p 129) ‘It’s very easy to get into a trap of focusing on mistakes instead of looking for positive opportunities. If leaders can shift the emphasis to looking for the things people are doing that are right and for ways to reward doing the right thing by creating opportunities, they serve the organization better and go a long way toward building people.’(p 143) ‘Being committed, accountable, and responsible doesn’t necessarily translate to giving up the joys of personal life. Lou Smith says he loves being at the Ewing Marion Kauffman Foundation, but my life doesn’t end if I’m not here. I, and we as leaders, should not be consumed by the enterprise. We call it balancing life.’(p 169) And to top all this the authors strong belief is "You won't find passion as part of the curriculum at leading business schools, nor will it be listed as an elective. Yet in the real world of true leaders, passion plays an integral role." These are some important pieces I personally like, there are many such pieces which would add lot of value to the reader after going through this book.

This is a book which is useful for students, practitioners, teachers and a common man. There are many examples and events which occur in our own surroundings very often, this would certainly help the reader to relate and find out the ways in which he/she can deal with the issue.

I recommend this book, written in a very simple manner, easy to follow language, and rich in its academic content, to the students of management and teachers.

[published in Business Analyst. Vol 1, No 2 (New Series) Oct 06-March 07, New Delhi, India. Pp 141-144]

Wednesday, November 14, 2007

The Pyramid Climbers

Packard, Vance. 1962. The Pyramid Climbers, Penguin books. a pelican book. USA


Excerpts
PART 1 – MEN AGAINST THE MODERN PYRAMIDS
CHAPTER 1
The Bitch-Goddess Raises Her Demands

Success – ‘the bitch-goddess, Success’ in William James’s phrase – demands strange sacrifices from those who worship her. – Aldous Huxley (p13)


Despite swings in style of theoretical belief in recent decades, from fascination with ‘scientific management’ through fascination with ‘human relations’ to the most recent interest in ‘participation’, there is in actual practice today a startling amount of inhumanity in management thinking about the proper treatment of managers. Presumably this springs from management’s inherent thing-mindedness, manufacturing-mindedness, and statistics-mindedness … and from its passion for proving somehow that management is a science. At any rate, what has resulted is a proliferation of mechanistic and marketing terms to refer to managers. The good management is often a ‘smoothly running machine’. Individual managers often are reduced in management shorthand to blocks on ‘blueprints’ and become coded units in ‘management inventories’. Their salient characteristics may be punched out on IBM cards. (p 20)

A few years later, in the mid fifties, William H Whyte, Jr, described how large organizations – business, governmental, and educational – were producing a human (or unhuman) type, the ‘organization man’. In the corporations, he contented, the younger, lower-level trainees and managers were joyously embracing togetherness as a way of life. (p 22)

CHAPTER 2
The Pyramids and the Climbers

There is general agreement, however, on the three main levels of ‘management’. First there is top management, which makes policy; next, middle or administrative management, which carries out policy; and then supervisory management which has charge of the working force. (p 30)

In the competition on the pyramids it is still usually possible for two men with completely different personality patterns to be equally effective in moving towards the top – which is cheering. Consider the tow titans of the US airline business, CR Smith, president of American airlines, and WA Patterson, president of United. In the words of Fortune, ‘Smith is tall, blunt, fidgety, and capable of profane wrath; Patterson is small, tactful, relaxed, cheery.’
This possibility of radical differences in the successful personality is supported by Dr Lewis Bookwalter Ward, professor of Business Research at Harvard’s Graduate School for Business Administration. He has found that there are ‘many different ways of treating people … several styles of management’. To illustrate, he cited the cases of two plant superintendents working for a glass company. Both men were turning in top performances but went about their jobs in completely different ways. This was particularly apparent in the degree to which they inserted themselves into the activity (p 35) of their subordinates. At one man’s plant the subordinates, describing their routines, mentioned conferring with their superintendent one fifth of the time; at the other man’s plant the subordinates mentioned conferring with their superintendent on four-fifths of their activity. (p 36)


The personalities, chances, and ambitions of the competitors may differ, but the essential non-variable is the pyramid. It is always there and its climate, for better or worse, is not going to be changed in a hurry. Those climbers who hope to get near a peak are never permitted to forget the inexorable narrowing of the ledges on the ways up. With the conquest of a space on each higher ledge the rigors, tensions, and total demands increase. (p 36)

PART 2 – SCREENING, GROOMING, PRUNING
CHAPTER 3
Some Types That Seldom Survive

In projecting what management will be like in the 1980s, Harold J Leavitt, professor of industrial administration and psychology at Carnegie Tech, notes:
Apprenticeship as a basis for training managers will be used less and less, since movement up thorugh the line will become increasingly unlikely. Top management training will be taken over increasingly by the universities. (Management in the 1980s, HBR, Nov-Dec, 1958) (p 42)

CHAPTER 4
Inspecting the Serious Prospects

Ambitious men at the lower and middle ranks of management seem to be more willing to submit the fate of their careers to a psychologist’s report than are other levels of company personnel. One psychologist told me that when he was interviewing a pilot for an airline job the pilot suddenly realized his interrogator was a psychologist and called his union. The management had to instruct him to stop interviewing. Earlier, another airline almost had a stricke because pilots discovered the company was using a file of ability tests ads s convenient guide in the firing of pilots. (p 56)

Although the use of psychological tests continues to grow every year, th3re is violent disagreement among psychologists, management consultants, and company executives as to the validity and morality of their use. The outspoken Dr McMurry, after testing executives for more than two decades, now uses tests sparingly and refers to many of the testers as ‘burglars’.
Harvards’s Dr Ward concluded, after his survey of testing; ‘If it were not for the fact that so many large companies continue using tests, one would be tempted to speculate that experience in the use of psychological tests leads to their abandonment. As it is, the evidence does suggest there has been a substantial amount of negative experience on the part of some large companies who have tried testing.’ I might said that Dr ward, who helped pioneer psychological testing in the Air Force and has given tests to hundreds of executives now indicates that the feels projective-type testes are of very little use in predicting success.
In June 1961, Reed Hunt, president of Crown Zellerback Corporation, urged that all personality testing be eliminated (p 64). He explained: ‘I say this out of a certain amount of self-interest, since I understand there is not a corporation president in the country who could pass one of them or would be in his job today if he had every taken one.’
Someone should advise Mr hunt that this is scarcely an accurate or up-to-date viewpoint. In some companies today, as we have seen, even presidents (and chairmen) must submit to testing to get and hold their jobs. (p 65)

CHAPTER 5
The Wife: Distraction, Detraction, or Asset?

The marketing journal Printers’ Ink issued a special report in August 1962 which concluded: ‘Although most companies don’t publicize the extremes to which they sometimes carry wife analysis, few will consider a man for an important position without first appraising the woman behind him. At one large company, roughly 20 percent of its otherwise promotable men are passed by just because of their wives.’ (p 67)

In general, the smaller the city in which the executive works the more intensively will the wife be scrutinized. Ward Howell suggests that the candidate’s wife is likely to be an important factor in just about every US city except New York, Los Angeles, Chicago, Philadelphia, and Miami. He pointed out that the wife of a Procter & (p 68) Gamble executive in Cincinnati or a Corning Glass executive in Corning ‘has to be just about perfect.’
It is literally true – cliché or not – that in smaller cities one’s wife simply does not wear mink coat if the president’s wife does not. She does not stand up at a bar to drink, even in a sumptuous cocktail lounge. And even in the larger cities the wife still has to go to this annual party where she should prove herself to be socially gracious and well-spoken, hold her liquor, and show that she is a knowledgeable member of the team, adept at relating to her husband’s inferiors and superiors in the proper fashion. (p 69)

Four ways that a wife can be sufficiently distracting or detracting to worry the company investigators considering her husband are:
1. Will she have a negative attitude towards the commitments he must make in order to progress with the company? (p70)
2. Can the wife behave herself in a way that will not be conspicuous or jarring while in the presence of her husband’s colleagues or customers or peope in the community important to the company? (p 71)
3. Will she be a source of distracting harassment to the executive because of the kind of home life she maintains for him? (p 72)
4. Is it likely that she would fall to keep up with her husband if he begins moving ahead in the company? (p73)

All this, however, should not be taken to mean that the corporation necessarily favours the sublimely happy marriage for its men. Actually many companies appear wary of hiring a man who seems to attach too great importance to his marriage. They wonder if he is too contented to make a good competitor. And they wonder if in the clinch he would put marriage above job.
The retired head of one very large company told me that the man who goes to the top has got to be slightly dissatisfied with his marriage. The successful climber should not take the defects in his marriage so seriously that it will get in the way of his success, but he should be able to put his marriage ‘in neutral’ when his job becomes unusually demanding.
Some months ago S Vincent Wilking, vice-president of the management-consulting firm of Barrington & company, prepared a checklist for young men hoping to become top level executives. The first question was: ‘If you are under twenty-five, are you married or do you have definite plans for marriage within a year? (a) Yes, (b) No, (c) May get married, (d) I am not sure.’
The best of the first three answers would be NO. Mr Wilking explained why in these terms: ‘Early marriage suggests that family life is quite important to you; and the really successful (p 74) executive has distressingly little time for his family. If you want a full home life, you’d better be content with a lesser job.’
A senior vice-president of George Fry & associates drew up a paper entitles ‘Mr Executive – A Profile for the Sixties’ after his staff had conducted a study of case histories of executives. Here is how he sums up the marital profile of ‘Mr Executive’:
‘he enjoys a family life which is conducive to the maximum utilization of his abilities. His wife and children accept, understand, and have made good adjustment to the demands of his management responsibilities.’ (p 75)

CHAPTER 6
The Searchers and Snatchers

General Electric is one company that has recently shown a good deal of generosity in helping GE executives make connexions elsewhere, and quite possible the reasons given enhance the company’s desire to be kindly.
In many companies, however, the managements are deeply resentful when they learn that a recruiter has been trying to lure one of their good men. Howell is one of several recruiters who declared that they had been personally upbraided by company presidents enraged by their roles in luring away good men. (p 84)
The feeling is that hiring from competitors can result only in a retaliatory pirating, or in demands for higher pay from the executives who might be solicited, or in a possible loss of company know-how. Mr Howell observes: ‘When we talk to a company at the start, we ask whether we many look n the logical places for the man needed.’ (p 85)

CHAPTER 7
The Earmarking Process

Two personnel officials of General Electric detailed in the journal Personnel in 1959 how they went about conducting a manpower audit at a Cincinnati plant. They showed how they listed each man’s assets and liabilities. Under assets, for example, they listed ‘loyal to company’ and under liabilities (p 90) they mentioned ‘does not always appear to be aggressive’. The most portentous of the points to be checked, surely, was the one that invited the rater to be an oracle and predict for the man: ‘Probable higher levels to be reached’ in General Electric.
In some instances the generalized virtues used on corporate appraisal forms to assess managers seem to be copied from the report cards used to rate children at schools. The New York Times Magazine carried a repot on methods of appraisal in the late fifties which presented readers an interesting challenge. (Dale, Earnest & Alice Smith (1957) ‘Now Report Cards for Bosses’. The New York times Magazine, March 31. USA) The analysis offered portions of two report cards to the reader. One was for four-year-olds at a nursery school and the other was used by ‘one of the largest corporations in the country for grading its executives.’ The reader was challenged to guess which was which, Here they are:
REPORT CARD A
Very Satisfactory Satisfactory Unsatisfactory
Dependability
Stability
Imagination
Originality
Self-expression
Health & Vitality
Ability to plan and control
Cooperation

REPORT CARD B
Satisfactory Improving Needs Improvements
Can be depended upon
Contributes to the good work of others
Accepts and uses criticism
Thinks critically
Shows initiative
Plans work well
Physical resistance
Self-expression
Creative ability
(p 91)

The report card for executives, incidentally, was Card A. Report Card B was for the four-year-olds. (p 92)

PART 3 – THE WELL-PACKAGED EXECUTIVE

CHAPTER 8
The Executive Look

Three characteristics of top executive are: slow speech, impressive appearance, and a complete lack of sense of humour. – Johnson O’Connor, founder of the Human Engineering laboratory and the Johnson O’Connor Research Foundaton.

The impression one creates by one’s physical presence obviously is more crucial to success in some occupations than in others. It is more important to an actor, doctor, or bond sales-man than to a forest ranger, nuclear scientist, or meter-reader. The bald-headed fat man will predictably have more difficulty getting a job in a ladies’ shoe store than a men’s shoe store. (p 105)

Dr Foley : ‘In industrial psychology we have recognized for eyars thea when there is a stereotype, however fallacious, yo had better consider it if it influences success on the job.’ (p 107)

Among the facts about an executive which Hergenrather Associates believes important enough to file on the man’s IBM classification sheet are evaluations of his ‘personal appearance: face, dress, eyes’ and of his ‘poise, bearing, tact.’ Here are some of the kinds of thing that could bring a low rating:
Eyes. Are they bloodshot? Do his eyes close or roll too much when he speaks? Does he avoid looking you in the eye? Bearing. Does he flop in a chair or hand a leg over an arm of the chair? Face. Does he have lots of pimples or physical ugliness? There are managements that just won’t hire anyone who is not physically attractive, it seems, even though the person is otherwise fully qualified.. (110)

Five different informants used the work wholesome to describe the desirable executive candidate. This nice, modest, wholesome man with the fellow-next-door fact of course does not adorn that fact with a moustache, which might suggest slickness. Only 4 percent of the hundred-odd American businessmen at a Harvard course in advanced management had moustaches; none had a beard. This appropriate-looking man doesn’t smoke a pipe (which might in the mythology suggest that he was inherently lazy or too egg-heady to be a decision-0maker). He doesn’t have red hair (because everybody knows that people with red hair temperamental). (p 111)

IBM used to be notorious for its requirements about dress, especially its insistence that managers wear starched collars. Since Thomas J Watson, Jr, took over the helm from this father the situation has loosened up, but some interesting unwritten rules still apply. These were spelled out to me by to lean IBM men. Sales must wear hats (and (p 115) mechanics must wear ties). It is also still an unwritten rule that you wear a white shirt and a dark business suit (at least at headquarters).
Recently an IBM, vice-president called in a man to talk with him about the fact that he had worn a yellow shirt on the premises. Another manager got a pointed up-and-down look from the same vice-president when he came to work in a polo coat. Goatees, moustaches, and beards are not considered acceptable on an IBM man. Further, one informant remembered, ‘no one in management has overly long hair. This has to be watched.’ (p 116)

A candidate for high office in a larger organization today, however, is widely assumed to be helped if in his personal style he conveys these four impressions:
1. The impression of aplomb (p 116)
2. The impression of dignity (p 117)
3. The impression of naturalness (p 117)
4. The impression of good breeding (p 118)


CHAPTER 9
Four Rules of Behaviour for Survival

In sifting through the many ground rules –written and unwritten – that pyramid climbers frequently encounter, I find these four seem most prevalent and compelling:
RULE ONE – Be Dedicated (dead-icated?) (p 120)
RULE TWO – Be Loyal (p 122)
Loyalty is one facet of a general state of mind that is often loosely and disparagingly referred to as conformity. I don’t intend to re-argue here the whole issue of conformity in business organizations, which received a thorough airing in the fifties. However, since a number of business journals have recently proclaimed that in the sixties there is a strong swing away from conformity in corporations, we should at lest caution the ambitious young man to treat such a proclamation with extreme wariness.
Consider as evidence an October 1961 report in Nation’s Business, which is published by the Chamber of Commerce (p 122) of the United States. It described a survey made at Michigan State University. The article was titled, ‘How to Satisfy the Boss’. The MSU study explored the attitudes of sixty-four business leaders in eighteen industries on the qualities they most esteemed in subordinates.
The editors graphically summed up the findings by printing a drawing of aladder with five sturdy rungs. Each rund was labeled with one of the five qualities found in the survey to be most valued in subordinates. Here are the labels and the headline the editors printed over the ladder:
YOU’LL IMPROVE YOUR CHANCE
OF EXECUTIVE SUCCESS IF YOU:
Rescue the boss
From his own mistakes
Maintain the authoriryt
He has granted you
Be satisfied with your
Role as subordinate
Project the image of
The boss he desires
Be properly predictable
In your behaviour.

RULE THREE – Be Adaptable (p 124)
While loyalty suggests commitment, adaptability suggests adjustment. James Worthy, former vice-president at Sears, roebuck and now a management consultant, has commented: ‘Organized activity requires as a high degree of consensus, and evidence of lack of consensus is disturbing to those in positions of responsibility.’
Industrialists frequently talk wistfully about the need for men who are tigers. What they really want are cooperative tigers, tigers who come quickly to heel and can get along nicely with other tigers. They want tigers who fit in. (p 125).

RULE FOUR – Be Quietly Deferential (p 127)

Of the four rules for behaviour cited – Be Dedicated, Be Loyal, Be Adaptable, Be Quietly Deferential – the first is perhaps reasonable. At least it is relatively harmless to individual integrity. The second is valid so long as in being loyal to the company the executive can also be loyal to himself. (Assuming that he still has a self.) The last two, as commonly implements, appear to the anachronisms in a modern, enlightened society struggling to learn to live with its giant organizations. The amelioration of these rules seems to represent a substantial challenge for the future. (p 128)

CHAPTER 10
The Hazard of Mismating Man and Company

Each company has its personality, and its executive requirements vary on a number of environmental dimensions just as an industry’s does. Here are four examples of contrasting company environments:
Conscientious Vs relatively ruthless companies. (p 133)
Volume-minded Vs quality-minded companies (p 134)
Union Vs non-union companies: the vice-president of a half-billion-dollar company explained to me that if a company is non-union it needs executives who skilled at pr9moting the idea that the company is one big happy family. (p 134)
Young Vs mature companies (p 134)

Within a company, different departments may offer congenial or hostile-environment to a man – technical skills aside shows quite clearly in the study by Dr Lewis B Ward of Harvard on traits executives said they favoured in their own subordinates. (Ward, lweis B. 1961. ‘do You Want a Weak Subordinate?’ Harvard business Review. (Sept-Oct)). The executives were invited to check from a variety of clusters of four somewhat related adjectives – covering 112 qualities – those that they would favor in their subordinates. Here, side by side, are the traits favored by marketing and finance executives:
Marketing – assured, attractive, civilized, energetic, enterprising, entertaining jolly, pleasant, polished, popular, sociable, sympathetic.
Finance – accurate, ambitious, careful, cautious, deliberate, dignified, discreet, precise, systematic. (p 135)

Dr Jerome C. Beam, in his book entitled The Organization approach to decision and action (to be published by Prentice-Hall) points out six kinds of complementary matchings which improve the probability that two top-level executives will work harmoniously and effectively with each other:
1. If one man is strong, it helps if the other is supportive. (p 137)
2. If one executive is a man of action, it helps if the other is a man of thought. (p 138)
3. If one man is skilled in dealing with operations, it helps if the other is skilled in dealing with people. (p 138)
4. If one man is an excellent idea man, it helps f the other is a practical realist. (p 138)
5. If one man is a risk-taker, it helps if the other is cautious. (p 139)
6. If one man is a nice guy, it helps if the other is a tough guy. (p 139)

Dr Douglas McGregor of the Massachusetts Institute of Technology believes the difference in worlds is greater than many assume. He says: ‘The requirements for successful political leadership are different from those for industrial management or military or education leadership. Failure is as frequent as success in transfers of leaders from one type of social institution to another.’ (The Human Side of Enterprise. 1960. McGraw Hill, New York, p. 181). What it boilsdown to, evidently, is that though many of the skills required are becoming increasingly transferable, one has to work with different value systems. Furthermore, as the president of Midwestern college pointed out to me, ex34cutives in colleges and government, which are not profit-making institutions, cannot issue orders in quite the flat fashion business managers can. They must depend more upon voluntary help and the marshalling of public support. (p141)

CHAPTER 11
The Dilemma of Shifting Personality Requirements

Full Chapter p142 to p 149)



CHAPTER 15
Dead Ends and Favoured Routes

The value attached to different functions is reflected, perhaps, in surveys made of the income of college graduates a decade or so after graduation. An income survey of graduates of the Harvard Graduate School of Business Administration showed this ranking of income by fields, in descending order:
1. Finance
2. Marketing
3. Production and operations
4. Research and development and other technical functions
5. General administration
6. Accounting
7. Personnel and labour relations
(p 202)

CHAPTER 17
The Problem of Being the Right Age

Most of the serious candidates for corporate presidencies in the US today are in their early fifties. They will, on the average, be tapped by the age of fifty-five. In Great Britain they are tapped somewhat earlier.
US corporate leaders may conceivably be influenced to name more younger men as presidents by the example of a man in his early forties taking over the presidency of the US, although some corporate elders view the ensuing developments in Washington as good reason for their wariness of upstarts in high office. (p 222)

A good example of a movable man was Cramer W la Pierre, who grew up a General Electric and at the age of forty-three found himself in a spot where the layers directly above him were filled by men from his own age group. He was then reportedly making between $10,000 and $15,000. So he decided to accept a vice-presidency at the much smaller American machine & Foundry (at more than double his GE salary) where he filled the position with distinction. Three years later the GE management, looking over its outstanding alumni for a possible vice-president, hired him back. In 1961 he was given a newly created job of executive vice-president at a total compensation that may well exceed $150,000. Recruiter John Handy feels that quite probably he would not have got past all those layers if he had not got out and made the end run. (p 223)

A good deal of thought has been given to assessing what Mr handy calls the ‘Age-Position Relationship’ as one variable factor in establishing a man’s potential. Where should the man be on the success scale at each age level and what should he be doing about his career? (p 226)


CHAPTER 19
The Worst Kind of Places

A number of the GE executives indicated that it was painfully plain to them that if they wanted to get ahead in the company they would have to cooperate in the price fixing. It was called ‘a way of life’. The marketing manager of the switchgear division, a man named Walter F Rauber, was replaced after he refused to violate the 20.5 directive he had signed. (p 248)

CHAPTER 20
Private Strains: The Executive as Lover, Father, Neighbour

Perhaps the first thing to be noted about the rising executive’s private life is that he is a man in motion. His motion upwards in the company’s hierarchy usually causes him- whether he likes it or not – to leave old houses, old neighbourhoods, and old friends behind. (p 249)

A manager who is rising in the company hierarchy is often expected to break clean all his socializing contacts with families he has left behind. The most explicit statement f this expectation – at least for lower-level managers – appeared in an article entitled ‘the Office Caste System’ which was first printed in Modern Office Procedures and was reprinted in the American management Association’s Manage (p 258) ment Review (July 1960). One question centred on what a supervisor should do about his old friendships when promoted to a level above his old friends. Thjs article reports: ‘His question gets a brief, sharp answer form the personnel director of a large company: “Cut’em off. If a man cherishes his old friendship, he’d better not take the promotion.” Most companies agree it’s best to amputate.’
At a later point the article conceded that such amputation was harde3r on the wife than ton the supervisor. It quoted one supervisor who confessed he had had a fight with his wife because he suggested she had better drop out of her bridge club with seven wives of men from her husband’s former level in the hierarchy. The article commented: ‘Unfortunately, companies don’t agree with her. One executive speaks for many companies when he says, “The wife has no choice. She can be downright dangerous if she insists on keeping close friendships with the wives of her husband’s subordinates”.’ The article indicated that children also are affected by an unstated need to avoid children of people their father has surpassed. (p 259).

All his years of conferring with executives and their wives have led him to this irreverent conclusion: ‘Executives may be at the top of the ladder vocationally but they are at the foot when it comes to making love.’ (p 263)


CHAPTER 21
When Stress Becomes Distress

Some interesting patterns in a9ilmens afflicting executives emerge. A Chicago executive health clinic found, after making what the American Medical Association called ‘one of the most exhaustive surveys of executive health ever completed’, that men and women in high-level jobs suffer less from (p 264) deficiency diseases than American generally, but tend to suffer much more from metabolic disorders. These include high cholesterol and low rate of thyroid secretion. (p 265)
Dr Robert Felix, director of the National Institute of Mental Health, has suggested that there are three ways in which businessmen react unhealthily to stress: by disorders of bodily functions, by disorders of thought, and by disorders of behaviour. (‘How to live with Job Pressure’, nation’s Business, Sept 1956) (p 267).

CHAPTER 23
Some Large Questions About Executive Assessment Techniques

Among companies, General Electric is one of the several major institutions whose current managements are having grave second thoughts about the value of the assembly-line approach to ‘developing’ executives through rotating, teaching, periodic checking of personality traits, and similar routines. When GE invited outside interviewers to ask 300 top managers what had been most important to their development, 90% said: ‘It was working for So-and-so at such-and-such a place’ – some inspiring mentor in an exciting environment. GE’s Moorhead Wright has decided that ‘rating sheets based on personality traits generally fail in actual application. Time and again men who rate poorly turn out to be good managers, and vice versa. Even such a faithful standby as education is a poor measurement.’
Another popular concept that GE has rejected is the practice of singling out the promising men early and giving them an exclusive change to travel the road to the top. Out of curiosity its officials checked up on 143 men who had been singled out for special grooming then years earlier, Only a little more than a third of them were fulfilling their early promise. (p 283)

Dr Likert feels strongly that if a company is to get the best performance out of a man, his superior must play a supportive role, which contributes for the subordinate’s sense of personal worth and importance. (p 285)

CHAPTER 25
Experiments in Rediscovering the Individual

Some observers have called for an all-out fight against the organization as the only hope of salvaging the individual. Others argue that, realistically, the greater hope lies in trying to increase the potential for individual growth within a framework of cooperative effort in the organization. Douglas McGregor, Chris Argyris, and Hary Levinson are three who have come to this viewpoint. In fact, Professor McGregor contends that a really effective managerial group ‘provides the best possible environment for individual development.’ And Dr Argyris believes that the conflict between the individual and the formal organization, though it usually leads to decay in the individual, can in fact be a source for growth.
What can be done to increase the individual human’s potential for growth and personal fulfillment in large organizations? Dr Levinson suggests that, as a very minimum to assure sound mental health, and jobholder anywhere should be able to find in his work:
A sense of shaping his own life activities.
A sense of participation with dignity in both the task and the decisions which affect him relating to it.
A sense of status, worthwhileness, recognition.
A sense of creative contribution – of giving something of himself for the betterment of his fellows.

If the human potential is to be optimized in large business organizations it is obvious that their managements must build in mechanisms for the expression of dissent and criticism. Free society at large has such means for an honest voicing of dissent without fear of penalty, but most of the billion-dollar private bureaucracies do not. Individuals within these organizations must usually be content to hear critical thoughts about corporate practices only in the washrooms and read them in such journals as Fortune and the Harvard Business Review. Some of the recent excesses in trait-rating, (p 303) for example, surely would have been avoided if managers had had an honestly open forum.
Cornell economist Ernest Dale contends that ‘the greatest single bane of management today is its growing absolutism, its refusal to discuss or listen to different opinions, Management must encourage free discussion’ in its own ranks. Dr Argyris suggests that the manager needs to have opportunities to question the very “guts” of the company’s makeup.’ (p 304)

Dr Argyris feels that the power pyramid is inefficient from management’s standpoint because it can’t solve problems in such a way that they stay solved. On the pyramid, feelings tend to get suppressed so that there is a loss of openness and authentic relationships. No one is willing to upset the top authorities by giving them unpleasant facts. There is the constant tendency to keep one’s head down a reluctance to experiment, take risks. After observing executives in action on hundreds of occasions Argyris has concluded that such factors lead to less effective decision-making, deeper organization ‘increasing inputs of human energy to achieve its objective, maintain itself internally, and adapt to its external environment.’ (Chris Argyris, Interpersonal Competence and Organizational Effectiveness, Tavistock Publications, 1962, p 131) (p 308)

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this is a great book on organising, academic content with practical aspects.....

AATMANIRBHAR: by Ashwani Mahajan (editor)

AATMANIRBHAR: a swadeshi paradigm (2023) by ASHWANI MAHAJAN (editor), Rupa Publications, New Delhi, p 226 The prerequisite for visioning Ind...