Leadership KOTTER, J. P.

(2001) WHAT LEADERS REALLY DO HARVARD BUSINESS REVIEW , NOVEMBER Volume 79 / Number 11 / Pages 85-90 In this reprint of the 1990 Harvard Business Review article 'What Leaders Really Do,' by John Kotter, the author asserts that leadership and management are two distinctive and complementary systems of action. Most US corporations today are over-managed and underled. They need to develop their capacity to exercise leadership. Kotter believes management is about coping with complexity, but leadership is about coping with change. Setting the direction of change is fundamental to leadership. Companies manage complexity tint by planning and budgeting. Management develops the capacity to achieve its plan by organizing and staffing, and ensures plan accomplishment by controlling and problem solving. KRAMER, R.M. (2003) THE HARDER THEY FALL HARVARD BUSINESS REVIEW , OCTOBER Volume 81 / Number 10 / Pages 58 - 65 This article illustrates a common characteristic of a leader, who demonstrates the intelligence, resourcefulness and drive to succeed, but later demonstrates uncharacteristic lapses in professional judgment or personal conduct. Aggressive chief executive officers such as Kenneth Lay, Dennis Kozlowski and Bernard Ebbers have fascinated the public with their leadership prowess but failed after scandals have affected their companies. During the popularity of high technology, risk-taking and Leadership Managing Change Globalization Innovation Cost Reduction New Economy and Knowledge

rule-breaking became markers of good leadership. As a result, leaders lacked the prudence, sense of proportion and self-restraint, which are needed to cope with the consequences associated with power. In any professional domain, moving up the ranks can be like competing in a high-stakes tournament. Researchers Robert Frank and Philip Cook have characterized such tournaments as "winner-take-all" markets, in which elite performers expect everything, but often end up with nothing. Lynda Obst, a film producer, believes that nerve, not talent, is the necessary and significant trait to become successful. Risk-taking leaders consider themselves to be exempt from the rules that govern other people's behavior. INSET: Studying Leaders' Recklessness and Folly. WEISS, W. H. (2003) LEADERSHIP SUPERVISION , DECEMBER Volume 64 / Number 11 / Pages 17 - 20 Discusses the importance of leadership skills for managing organizations. Competencies required for an effective and dynamic leadership; Components of effective leadership; Leadership qualities that motivate employees (2003) LEADERSHIP LESSONS OF A ROCK CLIMBER FAST COMPANY , DECEMBER Volume 77 / Pages 104 - 10 The article discusses the similarities between rock climbing and businesses. Rock climbing has been the ultimate classroom with lessons applicable to all aspects of life, including business, management, leadership, and scientific study. It is a sport from which a person do not always get a second chance to learn from his mistakes. The difference between failure and failure is subtle, but it is all the difference in the world. In failure, a person still does not get up the route, but he never let go. In failure a person fails; in failure he let go. In researching great companies, the best executives intuitively understood this idea. As CEO of Kimberly-Clark, Darwin Smith made a failure-versus-failure decision in vaulting his company to greatness. For 100 years, Kimberly-Clark languished in mediocrity, with most of its business in traditional paper mills. Smith realized that the company's best shot at greatness lay in the paper-based consumergoods arena, where it had a side business called Kleenex. In climbing jargon, Smith removed the ability to take, to tell your belayer to pull the rope tight and catch you in a controlled fall. Separating probability from consequence applies not just to climbing but also to work, life, and business (2003) AT THE LEADING EDGE MANAGEMENT TODAY , OCTOBER

Pages 6 -7 It's axiomatic that great companies need great leaders, but where do they come from? How are tomorrow's brightest prospects to be identified and what principles should govern their training? The answers to these is the focus of the article. The corporate scandals at companies Enron Corp., WorldCom Inc. et al., and the failure of so many' leaderless' dot.com businesses during the bursting of the new-economy bubble, have reminded even free-wheeling managers that leadership matters. But now leadership is back on the corporate agenda. Serious thought is needed about the practice and delivery of leadership training before committing to strategic development. There is also the key question of who should be getting the training. As leadership reasserts itself as a priority, there is much talk in businesses and organizations of identifying the talented high potentials or future leaders and singling them out for special attention Managing Change BURNES, B. (2003) MANAGING CHANGE AND CHANGING MANAGERS FROM ABC TO XYZ JOURNAL OF MANAGEMENT DEVELOPMENT, JULY Volume 22 / Number 7 / Pages 627 - 643 In an age where effective leaders are at a premium and where continuous change appears to be the order of the day, this article argues that organizations need to align organizational change and management development strategically and operationally in order to maintain and increase their competitiveness. Illustrated by the experience of two organizations that sought to implement major organizational changes, the article highlights the benefits of seeing managerial development and organizational change as parallel and linked activities and the pitfalls of not doing so. RONDEAU, K. V. and WAGAR, T. H. (2003) DOWNSIZING AND ORGANIZATIONAL RESTRUCTURING: WHAT IS THE IMPACT ON HOSPITAL PERFORMANCE? INTERNATIONAL JOURNAL OF PUBLIC ADMINISTRATION, DECEMBER Volume 26 / Number 14 / Pages 1647 - 1668 In recent years, hospitals have radically restructured their operations while significantly downsizing their workforces. To date, little is known about the combined effect of these change processes on organizational functioning. There have been few large-scale studies investigating how hospitals have performed when both organizational restructuring and downsizing are used concurrently. The research reported here sets out to separate and isolate the independent and combined effect of organizational restructuring and downsizing on hospital

performance. In particular, it aims to address the following question: Do hospitals which undergo significant organizational restructuring while maintaining their workforce complement perform any better than hospitals that institute significant restructuring while heavily downsizing, and any better than hospitals which heavily downsize but undertake little or no organizational restructuring? Categorical regression analysis results from a sample of 285 Canadian acute care hospitals suggest that organizational restructuring and downsizing have differential impacts on organizational performance. Hospitals which undertook significant organizational restructuring while heavily downsizing were perceived to perform better than hospitals that heavily downsized but conducted little or no organizational restructuring, but performed worse than hospitals that undertook significant restructuring while maintaining their workforce complement. However, when the method of conducting the change management process was controlled for, these performance differences were reduced or eliminated Innovation SCHAFFER, R. and PAUL-CHAUDHURY, H. and CATHERINE, M (2002) IMPLEMENTATION: THERE'S MORE TO INNOVATION THAN GREAT IDEAS IVEY BUSINESS JOURNAL , NOVEMBER - DECEMBER Volume 67 / Number 2 / Pages 1 - 6 Focuses on the role of management to make innovation work in their organizations. Barriers to innovation; Case illustration of a specialized product division of a reinsurance company, on how managers can break through their self-imposed constraints and become true innovators; Concept of breakthrough projects; Approaches for building innovation into ongoing business activity; Innovation in management development programs GOUD, A. and SPAAS, G. (2003) TAPPING INTO CREATIVITY TRAINING MAGAZINE , JUNE Pages 9 - 13 Argues the case for embedding innovation into management development programs. Information on creativity; Stimuli which can induce creativity; Cognitive processing preferences of executives. Globalization GHEMAWAT, P. (2003) THE FORGOTTEN STRATEGY HARVARD BUSINESS REVIEW , NOVEMBER Volume 81 / Number 11 / Pages 76 - 83

Most of modern global strategy focuses on minimizing differences between countries. Correctly choosing how much to adapt a model is certainly important for extracting value from international operations. Arbitrage gets little attention as a global strategy. This partly reflects the tendency of companies to equate size with a global presence, which naturally focuses the mind on scale economies rather than on the absolute economies that underline arbitrage. This article considers each type of arbitrage to examine both the traditional and less obvious ways companies can apply arbitrage strategies to exploit differences. Cultural arbitration can be applied to newer products and services. Consider, for example, the extraordinary international dominance of U.S.-based fast-food chains. Legal, institutional, and political differences from country to country open up a host of strategic arbitrage opportunities. Few managers explicitly treat tax or other administrative arbitrages as a strategic tool, despite their potential. Considering all that has been written about the death of distance, it is hardly surprising that few strategy gurus take geographic arbitrage very seriously. The best-known type of economic arbitrage is the exploitation of cheap labor, which is common in labor-intensive, capital-light industries like clothing. INSETS: A Poor Global Showing; Conflicting Challenges; A Brief History of Globalization and Arbitrage FRIESEN, G. B. (2003) GLOBALIZATION IT'S JUST ANOTHER STATE OF MIND CONSULTING TO MANAGEMENT - C2M , JUNE Volume 14 / Number 2 / Pages 19 - 22 Discusses the impact of globalization on business consulting. Benefits provided by globalization to business consulting clients; Challenges presented by globalization to the practitioners of business consulting. LEHMANNOV, Z. (2003) GLOBALISATION AND CULTURE JOURNAL OF INTERNATIONAL RELATIONS AND DEVELOPMENT , SEPTEMBER Volume 6 / Number 3 / Pages 240 - 251 Cultural factors play a very important role in shaping the global world order. The intercultural character of international relations is very often discussed at both academic and practical political levels. Yet, one can hardly regard the existing research as being systematic. Moreover, the existing research seems to be lacking in some fundamental preconditions that could otherwise sustain it. Even culture, the fundamental category of the field, seems poorly substantiated with little, if any, backing based on theoretical and methodological foundations. This article attempts to remedy this situation. The author is aware of the difficulty of this task, not least because the field has a distinct interdisciplinary dimension at which international relations, cultural studies, sociology, political science, linguistics and other disciplines intersect. Hence, the author dwells on just a

small fraction of what seems to be a vast field of research. The importance of cultural analysis is founded on its ability to allow systemic reflection on human reality. Cost Reduction (2003) AFTER CONCORDE ECONOMIST , 18.10.03 Volume 369 / Number 8346 / Pages 59 - 60 This article discusses the state of contemporary international business travel. Since British Airways (BA) and Air France announced Concorde's retirement in April, BA has been catering to supersonic virgins wanting a once-ina-lifetime thrill. Airlines are now struggling to survive and focusing on cost reduction. Firms have slashed travel budgets, even for executives. Investment banking is still slow enough that transatlantic speed matters little. Still, one day, demand for fast long-haul flights could return. In its heyday Concorde typically flew three-quarters full, earning BA about 20m ($33m) in operating profits from 35,000 passengers a year. When it returned to service, paying over 8,000 to fly supersonic had lost its appeal. A study commissioned by BA of the case for a 17m refit of the supersonic aircraft, which came into service in 1976, showed that its viability had ended with the turn of the century stockmarket boom (2003) HOW BOEING OUTSOURCED TRAINING TO REDUCE COSTS AND IMPROVE QUALITY MANAGING TRAINING & DEVELOPMENT, NOVEMBER Volume 3 / Number 11 / Pages 1 - 4 Focuses on the outsourcing considerations in Boeing Co. as part of the training delivery to reduce costs and for quality improvement. Quantification of funding requirements for a period of time; Necessity to increase the number of employees per orientation session; Importance in performing variable analyses New Economy and Knowledge Management REAMY, T. (2003) KM AND ELEARNING A POWERFUL COMBINATION E-CONTENT , OCTOBER Volume 26 / Number 10 / Pages 18 - 23 Considers the convergence of knowledge management (KM) technology and electronic learning. Effect of the convergence on the pharmaceutical industry

according to Paul Sparta of Plateau Systems; Comment from Clark Quinn of Knowledge Anywhere, regarding the intersection of KM and elearning; Differences in the approach of KM and elearning to content and user communities. FARRELL, D. (2003) THE REAL NEW ECONOMY HARVARD BUSINESS REVIEW , OCTOBER Volume 81 / Number 10 / Pages 104 - 112 This article focuses on aggressive innovation and targeted investments in information technology (IT), and its impact on companies and their ability to compete. Research shows that new economy existed in the 1990s. It emerged from increased business competition and a resulting surge in managerial innovation. The role of IT in the business sector is complicated. The late 1990s productivity surge coincided with the increase in budget and attention U.S. companies devoted to IT. In many industries, technology spending increased as businesses integrated computer and communication systems into their operations. Examining the performance of different industries, there is little correlation between productivity and IT investments. In fact, in the U.S., productivity gains were concentrated in six sectors: retailing, securities, brokerage, wholesaling, semiconductors, computer assembly and telecommunications. Intensifying competition led to productivity-boosting innovations in the six key sectors. The crucial role played by competition can be seen in the performance variations that were evident across countries and industries. Some of the IT-based innovations came in the form of new products and services. THE TMTC GYANSAROVAR SERVICE Update is issued every two months to Tata Managers. They may obtain free copies of articles by communicating with: Mrs. Mamta Joshi Librarian Tata Management Training Centre 1, Mangaldas Road Tel.: 6120141, 6125381, 401 1151- 68 Fax: 6122338

Email: mjoshi@tata.com Website: www.tmtctata.comTHE TMTC GYANSAROVAR SERVICE