From the failure of managers to identify a bad situation


With the above;


Eight years ago, Sydney Finkelstein Sydney Finkelstein, published the mother of success "(Why the Smart the Executives Fail), a book. Finkelstein Dartmouth College, Tuck School of Business, Stephen Ross, Professor of Management (the Steven Roth, Professor).

Finkelstein once very prosperous enterprise of more than 50 objects, such as Enron, the United States Tyco (Tyco), WorldCom WorldCom, Yue Bo Meigong Secretary (Rubbermaid,) and Shi Wen (Schwinn,) to study the how they complete failure. In the "mother of success" in his book, he shared a part of their research. It turned out that the senior managers of these enterprises have seven habits. Finkelstein called the very failure of the managers of the seven vices.

Some failed enterprises, such as dynamic (Research In Motion), the existence of these characteristics. However, the unrivaled enterprise, such as Apple, Google and Amazon, should be regarded as a warning signal, cautionary tale. Below lists these habits, such as Finkelstein, described in an article in 2004:


Habit 1: They own and control environment


This habit is perhaps the most to cause damage in the dark, because it seems highly desirable. Is a business should strive to lead its business environment, to shape the future market, and set the rhythm of the market within the? Really should be, but there is a problem. Successful leader, the leader never failed to question their own supremacy, can not realize that under the domination of the fact in a changing environment. They greatly overestimated the degree of control events, while greatly underestimated the role of the opportunities and the environment in its success.

Chief Executive Officer to uphold this belief, will produce the illusion of domination: like some film directors, they see themselves as business director. In their view, the existence of other people in the company to execute their business vision. Samsung CEO Lee Kun-hee (Kun-Hee Lee) is very successful in electronic products, and that he felt I could be such a brilliant reproduction in the automotive industry. 5 billion U.S. dollars investment in the already saturated car market. Why? There is no such commercial precedent. Lee just love cars, and the dream of entering the automotive field.

Accustomed to a warning signal: the lack of respect


Habits: they are very consistent with the enterprise, that, there is no clear boundary between their personal interests and the interests of the company.


A habit, this habit is seemingly harmless, even beneficial. We hope that business leaders into the company, in close connection with their own interests and the interests of the company, be consistent. However, more in-depth thinking, you will find that the failure of managers is not consistent with the company too small, but too much the same. The failure of managers and the company as the need to foster enterprise, but as an extension of their own. In this way, a "private kingdom" mentality initiation.

With the idea of ??the CEO, often using his own company to achieve a personal ambition. For managers, the biggest landslide fallacy is that they spent for personal reasons, the tendency of corporate funds. Some of the CEO worked for many years has made an outstanding contribution, and feel that they have done so much for the company, the money spent on himself, even if no degree, compared with its own contribution is also negligible. This twisted logic seems to be a Dennis ? Kezi Pavlovsky, Dennis Kozlowski, one of the causes of behavior The Kezi Pavlovsky, is the former CEO of Tyco. His extravagant pride, the pride of the company and its own between the two seems to be mutually reinforcing. Is, therefore, he can while the use of company funds for personal purposes, while a sincere speech on ethics. Now, in a large-scale enterprises as CEO probably is from one country, the king of step away, and this is a dangerous title.

Habit of warning signals: the role of problem


Habits: they think they know everything.


For decades, we have been taught to worship such managers: a dynamic leader, and within a minute to make a dozen decisions, dealing with many crises, and just a few seconds will be able to see the other people difficult countdown days. The problem with this image is that it is a lie. Always simply and decisively to make the leader, often too fast to solve the problem time to consider the consequences. To make matters worse, these leaders need to feel omniscient state of mind is not open for new knowledge and recommendations.

Yue Bo Meigong Secretary CEO Wolfgang Schmidt, Wolfgang Schmitt, like to show their ability to quickly sort out the problem. Recalls one of his former colleagues in the hands of Schmidt to do things, "joked, 'Wolf knows everything'. On one occasion, we are talking about a particularly complex acquisition in Europe, Wolf did not listen to different points of view, they say, 'Well, we will do'. "Those who think they know everything a leader to the exclusion of all other points of view. If your business or organization by the management of such a person, then you had better pray that his answer is correct. In Lok Baimei Gong Division, Schmidt gives the wrong answer. In 1993, the company by Fortune magazine as America's most admired companies, after a few years, it is the Newell Group acquired.

Habit 3 warning signals: followers of the leader


Habit 4: They ruthlessly eradicate any does not fully support their own people.


Some chief executives believe that their job is to instill the belief in its vision, and want everyone to participate. Those who do not support the leader in the cause, at the expense of its vision. Hesitant managers can choose to: participate in the plan or get out.

The problem with this habit is both unnecessary and destructive. CEOs to successfully achieve their vision does not necessarily require all unanimously endorsed it. In fact, if the elimination of all differences, or when the problem sprouted destructive leader is alienate way out, lost the best opportunity to detect and correct these problems. Sometimes, the CEO is only to suppress dissent, not allowing them to open. If this happens, the entire organization comes to an end. Mattel (Mattel), Jill Ballard (Jill Barad) that a senior deputy harbor serious reservations about her business, she will eradicate them. Schmidt Yue Bo Meigong Secretary to create a very dangerous atmosphere, often unnecessary dismissal. The new management is aware of his lack of CEO support, many people just assumed office, is gone. In the end, all employees of these CEO's full support for themselves. However, they will be heading for disaster, this time, no one can provide them alert.

Habits of the four warning signal: executive turnover


Habits: they are the perfect spokesperson corporate obsession with the corporate image.


We all know that some CEO: a high-profile, often appear in public view. The problem is that, in the face of media hype and honor, these leaders as managers become superficial and ineffective. They are often satisfied with the completion of the surface, not to actually complete the transaction.

Behind these media darlings, the managers a simple fact of life: if they do not strive to participate in public relations, corporate CEO's will not get media attention. When CEOs indulge in the company's image, they do not have much time to consider the business details. Tektronix, Inc. Dennis Kezi Pavlovsky, sometimes interfere with a very small problem, but let most of the day-to-day operations of the company is in the lack of supervision of the state.

A negative impact of this habit is the CEO of the company's image as a first priority, they will take risks, the use of financial reporting means to enhance their image. Financial Accounting as a public relations tool, rather than control tool. Creative accounting used by Enron's Jeffrey Skilling (Jeffrey Skilling,) and Tyco Kezi Pavlovsky, apparently in order to enhance the company image, to deceive the public: in their eyes, everything is public relations.

Habits of the five warning signal: a high-profile seeking attention


Habits: they underestimated the obstacles


CEO of the charm of this position one is giving people the opportunity to support some kind of vision. However, when they over-obsessed with their own vision, it is often overlooked or underestimated the difficulties to achieve our vision. And when they found that these yourself with casually ignore the obstacles actually than the more expected trouble, These CEOs but increasingly as originally planned bent into the endless abyss. For example, Webvan 'core business of the company suffered huge losses, CEO George Shaheen, George Shaheen, was busy high-speed expansion of these businesses.

In this case, why are these CEO not to re-evaluate their own actions or, at least temporarily on hold until they clear whether these policies useful? Some leaders in dire need to show their own important decisions are correct, because if they admit that they made a mistake, then the CEO job could be at risk. Once the CEO to admit that he made the wrong choice, people would say that they qualify for the job. Unrealistic expectations, the CEO is extremely difficult to brake in any chosen course of action, not surprisingly, will lead to more efforts to implement the original plan. Is, therefore, even if the land-based mobile phone is significantly better, Iridium (the Iridium) and Motorola have also been investment in to the Iridium plans to spend billions of dollars to launch a satellite.

6 warning signal of the habits: greatly exaggerated
Habit 7: They stubbornly rely on practical experience of the past.


Many chief executives embarked on a failure of no return, and used to think of effective ways to accelerate the decline of the company. They want to maximize the use of the company's core strengths, but still adhere to a fixed business model. They insist on providing the market with the demise of the products, in addition to the field of the past, the company's success, they see less than other areas of innovation. They do not consider the choice that can adapt to the new situation, and to his career as the only reference point, do Zeng their success. For example, Jill Ballard was the successful promotion for Barbie, and later, her company in the United States and Thailand when trying to sell educational software is still using this technique, software and Barbie distribution and purchase of different ways.

Under normal circumstances, cultivate this habit, CEO of their career success should be attributed to the "decisive moment", a key decision-making or policy choices, give them the greatest success. The "decisive moment" is usually the best known stories, and later all the work is followed by. The problem is that, with the people of this decisive moment, if you become a CEO of large companies, they will make their decisive moment to determine the enterprise, no matter how unrealistic.

Habits of the seven warning signal: the frequent reference to the well-established program

Summary: If you have some of these habits, then it is time to get rid of them. If your boss or senior management of the performance of these characteristics, then it is time to start looking for a new job.