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Brilliant Mistake! Essays On Incidents of Management Mistakes and Mea Culpa
Brilliant Mistake! Essays On Incidents of Management Mistakes and Mea Culpa
www.emeraldinsight.com/0959-0552.htm
IJRDM
38,4 Brilliant mistake! Essays on
incidents of management
mistakes and mea culpa
234
Mark Palmer
Aston Business School, Aston University, Birmingham, UK
Received January 2009
Revised August 2009 Geoff Simmons
Accepted November 2009
University of Ulster, Newtownabbey, UK, and
Ronan de Kervenoael
Aston Business School, Aston University, Birmingham, UK
Abstract
Purpose – The purpose of this paper is to examine students’ perceptions of managerial mistakes and
why (and why not) managers admit mistakes.
Design/methodology/approach – This paper provides a reflective account of how students’
perceive management mistakes and deal with admitting “mea culpa” – “I am to blame”.
Findings – The findings show a range of attitudes: they highlight the intermingling pressures
associated with the cultural environment and mistakes; they identify media characteristics and its
influences on mistakes and mea culpa; they highlight ceremonial processes and tasks that shape and
influence the declaration of mea culpa; and they identify how the psychology and sociology of mistakes
confronts and affects students. Taken together, the study highlights the varying degrees of wariness
that is carried forward by the students from vicariously learning about management mistakes.
Originality/value – This paper links up with recent discussions on retail failure and retail
pedagogy. It is hoped that this paper will encourage more academics to address, and engage with,
management mistakes creatively in their teaching.
Keywords Managers, Human failure, Business failure, Retailing, Curricula, United Kingdom
Paper type Research paper
Introduction
It is widely acknowledged in retailing theory that success courts failure and vice versa –
as epitomized by the early work of Malcolm McNair and, specifically, the vulnerability
phase in “The wheel of retailing” (Hollander, 1960; Brown, 1987, 2007). Most
notably, studies investigating corporate failure have provided many insights into the
relationship between failures and near-failures (Mellahi, 2005; Mellahi and Wilkinson,
2004, 2005) and into retailing failures more precisely (Mellahi et al., 2002; Burt et al., 2003;
Jackson et al., 2004; Brown, 2007). In a similar way, and although not always exclusively
International Journal of Retail & concerned with failure per se, the internationalization of retailing and the role of
Distribution Management
Vol. 38 No. 4, 2010
pp. 234-257 The authors gratefully acknowledge the reviewers’ comments on an early draft of this paper.
q Emerald Group Publishing Limited
0959-0552
The authors also acknowledge the assistance of a British Academy Grant (SG-52497) on
DOI 10.1108/09590551011032072 corporate resistance and contestedness.
international retail divestment activity in particular, has thrown into prominence the Management
intimacy of investment and divestment as well as success and failure (Alexander and mistakes and
Quinn, 2002; Palmer, 2004; Palmer and Quinn, 2007). What is most pronounced within this
work, in spite of different emphases and theoretical horizons, is a shared sense of the mea culpa
contested nature of processes of change and the various ways that management mistakes
puncture retail success and failure.
One significant outcome of this process can be seen in the industries emerging 235
from the mistake-making phenomenon. In retailing, arguably the growth in factory
outlet retail parks is a result of management mistakes – stemming from excess stock
allocation, cycle product design, or sourcing products that are not delivered and/or sold
on time (Fernie, 1996; Reynolds et al., 2002; Whyatt, 2008). More generally, the consulting
industry, the specialist investment bank industry and the loan-to-own private equity
industry – as part of which people consult on how to avoid, repair and clear up mistakes
have all grown considerably over the last two decades from management mistakes
(Haarmeyer, 2008; Tien et al., 2008).
This research is limited, however, in two important ways. First, as Palmer (2008,
p. 444) observes:
[. . .] the developing and opening of stores, store swaps, partnering, acquisitions or the
sourcing of products in supply chains, or any of the dimensions of [. . .] retailing, cannot be
solely viewed in “passive terms”.
The central point advanced here is that the retail firm is contested, as seen from
the interventions of regulatory authorities over planning proposals and counter-appeals
of store development (Alfasi, 2004), shareholder activism in retail firms (Palmer and
Quinn, 2003, 2005a), consumers eschewing stores, formats, concepts, merchandise
(Humphrey, 2007; Palmer and Quinn, 2007; Palmer et al., 2010), or organized employee
strikes and mobilizing government-lobbying practices by groups of indigenous retailers
(Palmer, 2004). However, this contestedness is often downplayed in the teaching of
corporate growth, which largely reports it as a rather smooth, staged and
straightforward process (Hughes et al., 1998; Pfeffer and Fong, 2002; Friga et al., 2003;
Mintzberg, 2004; Acito et al., 2008; Navarro, 2008). In practice, however, management
must wrestle day-to-day with mistakes that are not just of their own making but those of
colleagues, subordinates, or previous management teams. We suggest that mistakes are
particularly identifiable and rich critical incidents of this contestedness. Second,
academics are increasingly critical of the curriculum in not reflecting the extant research
undertaken in this field (Hackley, 2003; Palmer, 2007, 2008). For the most part, success
dominates curricula and teaching in business schools today, which arguably sets
beyond dispute deeply assumed values and beliefs for those studying it (Hackley, 2003;
Jarzabkowski and Wilson, 2006; Brown, 2007). If, as suggested in the literature, most
ventures fail – a particularly pertinent point in the current global economic recession –
should business and management curricula not be designed to prepare students for
coping with the inevitability of mistake making?
This paper argues that it is imperative for students to learn about the contested
nature of growth and, in particular, the role of management mistakes in this process
before graduating and joining the corporate retail world. The current global economic
malaise has accentuated the need for such a contribution. Therefore, the overall purpose
IJRDM of the study is to investigate students’ perceptions of managerial mistakes and why
(and why not) managers admit mistakes. There are three specific objectives:
38,4
(1) to make the case for the importance of channelling students’ thinking through
an understanding of the ever-present nature of management mistakes;
(2) to investigate students’ perceptions on studying management mistakes; and
236 (3) to explore students’ perceptions of why (and why not) management admits
mistakes.
While mistakes are not unusual for any individual, firm or industry, the retailing
setting highlights issues of considerable theoretical importance and relevance for
understanding management mistakes. First, the retailing sector offers an accessible site
for observing the visible foreground practice of retailing (Palmer and Quinn, 2005b).
Therefore, mistakes are particularly identifiable and rich, not least because retailers are
part of the everyday experience for consumers. Second, the retail landscape –
increasingly so in the current global economic downturn – invariably reveals a long list
of failures and near failures, e.g. M&S, The Pier and Envy, Woolworths, Dolcis, The
Works, Select, The Toy Zone, The Sleep Depot, Base, Empirestores and Elvi. The scale
and scope of this activity thus offers the potential for more complex theoretical insights.
Third, the retail sector receives a large degree of media attention and coverage,
particularly where there are accusations of wrong doing, which can provide insight into
how mistakes emerge (Alfasi, 2004; Fritz, 2005; Dawson, 2007). The role of the media in
relaying accounts of management mistakes and mea culpa is therefore theoretically
important (Barry and Elmes, 1997). Finally, a recent study of retailing management by
Palmer et al. (2010) revealed that management’s operational impatience places more
emphasis on the immediate grounding of the retail format. We suggest that this
operational-orientation, in turn, imposes more dynamism, stress and expediency in the
decision-making process, which can lead to management mistakes. The retail sector,
therefore, provides a theoretically rich context for the study. Any concerns about the
specificity of ideas and concepts from the retail sector are addressed by integrating
themes from the broader literature and actual examples of retail practice in the
students’ accounts.
To determine how mistakes are conceptualized in the literature, the following section
begins by providing a definition of a mistake, along with a discussion on the overlaps
and disparities that management mistakes appear to have with constructs in the
literature. Following on, the paper presents a rationale for why studying mistakes is
important. The methodology is then outlined along with a discussion of the findings,
emerging theoretical contributions and conclusions.
Stage one
Exercise I: paper dialogue
Question: Make a list of TEN nouns or phrases or words you would use to describe what you think
about mistakes (e.g. shock)
Stage two
Exercise II: the essay Exercise III: introspective account
Brief: “It is very rare for management to This part is a reflection of your subjective
acknowledge mistakes and still more personal thoughts on the issues raised when
uncommon in management vocabulary to writing the essay – an autobiographical Figure 1.
admit “mea culpa” – I am to blame. Critically account of initial impressions, stresses, The extended essay data
discuss and evaluate this statement.” anxieties, joys etc collection tools
IJRDM In the first part of the essay, students were asked to write down ten words that
38,4 described management mistakes. A paper dialogue approach (Tee and Liang, 2005) was
utilized to stimulate, trigger and prompt thoughts here. In the second stage, students
were asked to write an essay on the title brief. As previously discussed, the retail sector
receives a large degree of media attention and coverage, particularly surrounding
controversies where there are often (counter-) accusations of wrong doing (Alfasi, 2004;
242 Dawson, 2007). Fritz (2005) suggests that accusation-led controversies can provide
critical incidents around which mistakes emerge and mea culpa is challenged. For this
reason, students were guided towards accusations as opening moves in controversies,
where critical incidents of mistake-making function and public discourses emerge and
are more visible.
In the second part of Stage 2, students were asked to reflect on and write up a
personal introspective account of the essay-writing process (see Brown (2005) for an
extended discussion on the personal introspection technique). Taken together, the
research exercises facilitated triangulation and, hence, attempted to unearth a more
complete picture of the students’ perceptions of management mistakes and why (and
why not) management admit mistakes. Rather than impose a prior conceptualization or
framework within which to evaluate the findings, this study adopted Strauss and
Corbin’s (1990) interpretation of grounded theory, which allows for the emergence of
important themes and patterns in the data while assuming some prior knowledge of the
research field. The analysis used Gibbs’ (2002) analysis framework, which divides this
process into three stages: opening coding to identify relevant themes (each author
conducted this individually); axial coding to refine the categories; and selective coding
which links the categories together and enables a story to be told. Themes were
identified based on their persistence across the participants. Two forms of verification
were used in the analysis. First, the convergence on the same interpretation was
achieved through ongoing discussion and debate between the three researchers.
Second, the findings present rich quotations from the actual student essays, which
invite readers to assess the efficacy of the themes based on the evidence.
Furthermore, recent consumer research has also pointed out the unilateral
dominance of polycentrism in research that privileges speech over writing (see Brown
and Reid (1997) for an extended discussion). Verbal conversations, therefore, take on an
autopoietic characteristic. That is, students might suppress emotions, appear rational,
and non-confrontational. However, methods such as the paper dialogue approach and
the extended essay enables sensitive issues to be addressed anonymously, as students
often distrust authority (for example academics) not least because of the perceived
institutional norms and rules of universities. The findings are discussed in the
following section using excerpts from the students’ essays to illuminate and
contextualize each theme. As stage one functioned to prime the students, the findings
section begins by reporting from stage two.
Findings
The findings highlighted many different, but real and understandable, issues and
apprehensions on management mistakes. The students draw upon a variety of retail
cases. Beyond consideration of retailing case studies, the students also supported their
arguments by drawing upon their own placement experiences (all spent one year on
industrial placement). These are now discussed in turn.
Management mistakes and cultures Management
The students’ accounts of management mistakes are closely bound up in the culture of mistakes and
success. According to students, mistakes are “tangled up” in a web of intersecting and
pressurizing cultural practices (home with parents, popular cultures, peer communities mea culpa
and clubs, studies, etc.). This appeared in three ways in the essays. The first pointed to
management mistakes being seen as the last taboo of society, which had created a
modern “cultural averseness”. This is revealed in the following quotations: 243
The fact that making mistakes is such a taboo highlights a deeper issue within society at
large, where success is the ultimate goal [. . .] Because successful people and organizations are
often placed on a pedestal of superiority, seeing them fail is a public reminder of their
fallibility, which then acts as a self-esteem boost to “regular” people. It can be argued that it is
this cultural averseness to failure that affects whether managers acknowledge mistakes and
claim responsibility for them (Essay 3).
The cultural acceptance of failure significantly affects whether an individual managing a
company would admit their mistakes or not, as it could, in some cultures lead to
overwhelming shame and failure (as in the case of Japanese failures and the images of CEOs
apologizing during the 1990s). However, the cultural acceptance of failure – especially in
Western economies – remains concealed and hidden away (Essay 9).
A second success-related theme relates to the cultures of global ambition endemic in
management mistakes. The students point to the globalizing ambition of management
leaders, which overstretched firms and contributed to management mistakes. The
accounts show that students perceive that firms or managers appear to quickly adjust
or bypass local, regional, or even national experience to become an international
operator:
Our environment is full of “iconic global brands” and “iconic global leaders” which has led to
success being taken as an unquestionable fact. This international success has produced a
number of myths or slogans of a totalistic sort – for example, “Time and Place Have
Disappeared”, “Saving Planet Earth”, or “The New World Order” Worst still, it has produced
a long list of restless megalomaniacs – typically male – who are want to turn the world blue,
orange or impose yellow smiley faces on everybody [. . .] (Essay 62).
Another issue emerging from the accounts is that students are anticipating a staple diet
of excess based on the business curriculum. Precisely because of this several students
suggest that the business curriculum nurtures management mistakes:
It is common to hear in lectures and/or read in textbooks that any ambition must include
internationalization/globalization. Somehow a strategy is underdeveloped unless it involves
some form of participation on the global stage. The mantra is where next? where next? where
next? We are being saturated with these questions in our studies and our lives. Do we really
have carte blanch? Do or should all strategies lead to the “globalizing” one? (Essay 53).
This raises the question about the dominance of the sanguine side of the curriculum. One
of the problems with being lectured on all things global is that we start to form and
(re)produce shared folklore about it. It also begs the question as to what extent the
ambitious-filled curriculum leads students astray. Has stressing the role of marketing
myopia inadvertently fuelled megalomania? Notwithstanding the answers to such
questions, the overall effect of this might be to compound megalomania and
management mistakes.
IJRDM Another – indeed related – manifestation was in the way management mistakes
38,4 came about from the cultures of immediate gratification. It is not surprising then that
several students highlight how the modern environment nurtures their fantasies of
instant success:
TV programmes such as the X-Factor provide a sense of success appearing over night.
Success, it seems, is just around the corner. The ladder to success is shorter. Pilgrimages are
244 no longer prolonged. Mistakes are the unwelcome and uninvited guest in the firm. The thrust
is to succeed and it seems that nobody cares how this is achieved. The end is what counts –
sadly it is what we are judged on. Nobody wants to hear about the difficult process of getting
there [. . .] (Essay 6).
[. . .] today’s society expects and demands us to be instant success. This “instant” trend
appears in a range of activities, for example, instant messaging, instant celebrities, instant
coffee, instant refunds, instant DNA detection, instant replays, instant recipes, instant credit,
instant access accounts, instant news, instant recognition and so on. For us, even university
surveys will judge us on how soon we get a job! It appears there is no waiting in wanting
anymore (Essay 4).
Because of the pressures of immediacy, the probability of making mistakes increases,
not least because of the haste in which action is taken, but also because the emphasis is
placed on the short-term to the detriment of either the medium or long-term.
Discussion
This research aimed to investigate students’ perceptions of managerial mistakes and
why (and why not) managers admit mistakes. The interpretation of management
mistakes and mea culpa by the students can be explained in a number of ways. First, the
students’ interpretations of management resonates with a body of research, which
provides evidence that mistakes are inextricably linked to: success (Sull, 2005); learning
(Hughes et al., 1998); and, as activities that are closely bound up in collective cultures
(Pérez-Arce, 1999). There is, therefore, much to learn from the conditions of mistakes,
including: ambition, global orientation, and instant success. These (re)interpretations –
what Pérez-Arce (1999) termed “interpretive frames” – help explain cultural averseness
to mistakes. An interesting point emerges here: students echo the ideas of
organizational learning theory, which are open to mistakes, whilst simultaneously
viewing society’s mistakes as disdainful and blame-centric. Students, however, appear
to grapple with the polymorphic nature of mistake making (Palmer et al., 2009); that is,
being simultaneously enriched (e.g. the beginnings of new experiences and learning)
and impoverished (e.g. failure, frustration, media), by the experiences of mistake
making.
Second, the findings illustrate how students perceive the media to be instrumental,
yet excessive, in their portrayal of corporate mistakes. This, in part, may relate to the
way mistakes were observed as critical incidents surrounding controversies and also
(counter-) accusations. In such cases, the role of media can be understood in co-creation
terms. This co-creation of media content can be seen from its interaction with the firm,
the professional media outlets, as well as lesser known activists and self-appointed
“retail analysts” and “retail pundits” filtering and sifting content across different
international, national and local spheres of influence. Besides, the traditional places
where mistakes are observable, such as annual report and web sites, mistakes are also
more visible in other micro media outlets appealing to every conceivable interest, belief,
prejudice and opinion. Contradictions therefore emerge and reside, not only between
individuals, but within them as well (Bakhtin, 1981). While this is an ongoing process,
arguably this media (co)creation particularly occurs for retail firms during the
Christmas and New Year trading period, or more generally with the opening –
(a curtain-raising market entry event), or a closing event (a curtain-closing market
withdrawal and even entire collapse), or simply where controversy might lurk. That is,
IJRDM the ones that are most intense, most prominent or most visible. Yet, as Sull (2005)
38,4 explains, many mistakes are mistakes-in-progress, enacted through time, rather than
visible one-off moments in time. Sull (2005) draws attention to the temporality of
management mistakes, arguing that actions during lulls between periods of radical
change determine long-term success. Sull (2005) asserts that major changes, whether
they are “golden opportunities” or “sudden death threats”, are relatively rare events
250 that occur just once or twice a decade, which engage in a strategy of so-called “active
waiting”. This perspective redirects us towards equally important periods of apparent
quiescence of the mistake-making activity – what is sometimes referred to as
inactivity, dormant, or the holding periods – which is overlooked in the existing
research into management mistakes and strategy more generally, and to a large degree
is omitted from student accounts.
The role of the media in mistakes and mea culpa can also be understood as a
ceremonial ritual event – variously referred to by the students as witch hunting,
tarring and feathering and tall poppy syndrome. Foucault (1980) states that “the
confession is a ritual of discourse in which the speaking subject is also the subject of
the statement; it is also a ritual that unfolds within a power relationship, for one does
not confess without the presence (or virtual presence) of a partner who is not simply the
interlocutor but the authority who requires the confession, prescribes and appreciates
it, and intervenes in order to judge, punish, forgive, console and reconcile”. Mea culpa
is in effect a ritual process, which stands out all the more starkly when the media take
up this authority, particularly with humour. The undermining and bemusement ritual
of mistakes from various media sources is also a reminder of Balkhtin’s (1965, p. 11)
opposition idea between “[. . .] a boundless world of humorous forms [. . .] [and] the
official and serious tone of medieval and ecclesiastical and feudal culture”. That is to
say, even the most light-hearted humour can be official and deadly serious – a version
of playing fool to catch wise. While this ritualisation may subvert the serious tone of
the mistake, it does not subvert the mistake, the actor(s), the firm or the industry more
generally.
Third, the students’ essays suggest that neither management mistakes nor the
attribution of blame is a straightforward task. In other words, mistakes and the
attribution process can be mistaken – misdiagnosed with further mistakable
repercussions. Furthermore, the students’ accounts draw attention to the increasingly
contradictory and contested commentary on management mistakes. As discussed in
the review of the literature, management mistakes are often conflated with wholesale
corporate failure. Indeed, most of the students’ accounts associate mistakes with failure,
yet both are not always synonymous. This is evident in the role of ex ante bankruptcy
arrangements for retail firms, such as Whittard of Chelsea, Zavvi, USC, and The
Officers Club where administration is a de facto way to jettison strategic mistakes
across store networks, and restructure capital structure debt-levels. This framing and
reframing of mistakes and strategizing, the reinterpretation and shifting of ownership
back to the original owners, introduces significant complexities and obfuscation in
understanding and reporting on management mistakes. The use of “mea culpa” as a
strategic and crisis decision tool as described by some students, the various ways it is
adopted and adapted, is arguably little understood in the literature.
The final significant point drawn from the students’ accounts of management mistakes
is the way that narcissism figures (Levinson, 1994; Stiles, 2004; Ma and Karri, 2005).
It figures in understanding the reasons (motives) why the “lived experience” of Management
management practice is insufficiently represented in the “storied experience” – which mistakes and
management tell themselves and others (and researchers) about their work and the stories
told through training courses, books, journals and so on. As White and Epston (1990, mea culpa
pp. 11-12) explain:
[. . .] the structuring of a narrative requires recourse to a selective process in which we prune
from our experience, those events that do not fit with the dominant evolving stories that we 251
and others have about us. Thus, over time and of necessity, much of our stock of lived
experience goes unstoried and is never “told” or expressed.
It is precisely this selective practice and denial (Maccoby, 2004), which is emphasized
by the students’ accounts – specifically in relation to narcissistic authority and
relations of power through which cultures of blame emerge and are promoted in the
workplace. This clearly has implications for teaching narcissistic students – sometimes
referred to as the “me generation” – and the various pedagogic initiatives used to
dampen student narcissism (e.g. more frequent feedback, assessment, grading, focus on
evaluation in assessment, less group work to prevent grade inflation and shaping
inaccurate self-perceptions of knowledge and skills, and more lecturer-student
interaction).
Further reading
Turner, I. (2005), “Corporate failure”, Henley Manager Update, Vol. 17 No. 2, pp. 33-42.