Download Business at a Crossroads: The Crisis of Corporate Leadership by Tom Lloyd PDF

By Tom Lloyd

Liberal capitalism harbours risky seeds of self-destruction; transforming into inequality and, as fresh occasions have proven, a bent for markets to spiral uncontrolled. This ebook attributes either one of them to primary flaws in capitalism's major monetary agent, the massive, CEO-led, constrained legal responsibility joint inventory corporation. It explains why the failings constructed, describes how they threaten the liberal capitalist consensus and indicates a few steps businesses may possibly take to reform themselves and increase their edition to contemporary environment.

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Sample text

It is partly a reflection of the French culture, in which “pas mal” (“not bad”) is high praise, but there is a little more to it than that. It is also a matter of expectation and interpretation in the particular situation. On one occasion, Brimm watched the chef walk up to an apprentice who had just spent 15 minutes completing a complicated garnish. ’ He looked at me in astonishment. ‘But I do! Didn’t you see those times when chef walked by, tasted and walked on without saying anything. That was great praise.

Staff accept the dictatorial styles of great French chefs, because they respect the chef’s artistry. The chef is a master to a team of apprentices who aspire to be masters. It’s rather like the English pupilage system for young barristers. The skills and insights you acquire working for outstanding professionals seem a fair exchange for your surrender of power, and thus there is no threat to your self-respect. ” They take pride in the achievements of their apprentices and pupils, in the same way that parents take pride in the accomplishments of their children.

You can measure the value added by machine-tool operators objectively, by counting the pieces they make, and you can pay them on piece rate. But the value added by executives who don’t make things is hard to measure objectively. Rewards in hierarchical organizations, therefore, are based, faute de mieux, on “relative” rather than “absolute” worth, and their currency is not pay rises, but promotions. The pay rises come later, as consequences of the promotions. Promotion is a winner-takes-all competition.

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