Untrustworthy companies should focus on putting their own house in order before considering their wider role in society. Trust in business has apparently plummeted, with high executive pay and allegations of tax evasion among the more egregious causes, according to a Financial Times | IE Business School Corporate Learning Alliance panel discussion about trust in business. Trust in institutions often seems like a fuzzy concept. But without it, the complex system of co-operation that underpins growth and prosperity collapses. Untrustworthy banks deter savings and investment. When officials are suspected of feathering their nests, citizens stop paying their taxes. If the finance ministry prints too much money (itself a measure of trust) the currency is devalued. It takes decades or […]
The new CEO of a global consulting firm wanted to connect with his people, share his vision and communicate a desired culture. With the best of intentions, he sent out a monthly newsletter. After a while, he discovered 90 percent of people never opened it. In the age of information, words, which leaders so often rely upon to lead, lack impact. Large organizations are struggling to grow, racing to disrupt before being disrupted and eagerly seeking new ideas, yet, they are often rudderless when it comes to communicating direction and empowering people. This is lending to the erosion of trust — exactly what’s needed to encourage the risk-taking required for innovation. LACK OF LOYALTY A […]
The company has a new chief, with 100 days to show the stock market some quick wins. Not the usual wins: transformation is the game. Hurry up and reinvent the whole company. But where to begin? That’s easy: at the “top”. Where else when there’s such pressure. Besides, any chief who has been to a business school or reads the business press knows that it’s all about leadership: the boss who does the thinking that drives everyone else. Louis XIV said “L’état, c’est moi!” Today’s corporate CEO says “The enterprise, that’s me!” John Kotter has written the widespread word on transformation, at the Harvard Business School, where so many of the cases are about the chief. Here is […]
Charles Handy made his name as the champion of what he calls the modern “portfolio career”: no more jobs for life. He started his working life as a business person: an oil company executive. In the 1960s he began the second stage of his portfolio career, helping to set up the London Business School. His third big job has been as an author of books about business, management and life in general. Combining striking metaphor and profound common sense, they include The Empty Raincoat, The Gods of Management, The Age of Unreason and The Second Curve. In this podcast Charles Handy reviews his own portfolio, regrets the replacement of the company by the corporation, and […]
In the 1930s, a group of Hollywood executives tried to entice Samuel Goldwyn to join them in a project. Upon reflection, Goldwyn declined, saying, “Include me out.” Today, too many people are saying the same thing when it comes to solving the world’s problems. While some level of progress around the world is undeniable, the challenges facing the world today are unparalleled. If you can, set aside momentarily the flagrant terrorism and threats of war. Focus for a second on the daily upheaval that is only sure to grow as today’s workplace (built on a 19th century manufacturing model) is supplanted by a workplace built on 21st century digital platforms, more automated and robotic than […]
Thomas Wedell-Wedellsborg is an expert on innovation and a critic of how many companies try to do it the wrong way; he is co-author of the book Innovation as Usual: How to Help Your People to Bring Great Ideas to Life. Originally from Denmark, he now lives in New York where he is working on a new project trying to improve the way that the world goes about tackling its problems. Thomas W-W talks about his ideas to Peter Day, and explains what he learnt about business problem-solving from a shelter for abandoned dogs in Los Angeles.
While the world has experienced an unprecedented period of economic growth for the past fifty years (positive annual GDP growth in 54 of 55 years since 1961), the global economic growth rate in terms of GDP and measured in decades is 31% lower today than it was in the 60’s. Also, it is important to note that the world GDP per capita has also declined 37% since the highs of 1960s. The challenge for business leaders in today’s slower/slowing growth period is to find ways to reverse the trend and to shift and propel their organization into growth mode. The growth engine can be stimulated and energized, not with real capital, but with a greater […]
In this second podcast, Professor Carlota Perez lists some of the things that need to be tackled in order to turn the huge uncertainties of the current technology revolution into a golden era of inclusive prosperity.