I am on a trip for conference.. I shall be back by Sunday.
Then I would write the article on above.
Thanks for Visiting.
Thursday, March 03, 2005
Monday, February 28, 2005
The Key To Turning Around A Troubled Company -- Is People!!
I my research into The Success of Turning Around A Business or A Nation. I always follow:
Lao Tze said
"When you have the Peoples Heart, then you have the World!!"
People is the Power of Everything.
Computers & Communications, Internet .......are just the tools
In the Contacts of a Corporation, People encompass Employees, Clients/ Customers; Suppliers.
Without the 3 Harmony Namely
Timing
People
Strategic Position
Corporation or Nation would not be achieving success!!!
Hong Kong Native Strives For Career Success in the U.S.
By Kevin Voigt From The Wall Street Journal Online
Being passed over for a management job was, in retrospect, one of the best things that ever happened to John Chen. At the time, the Hong Kong native was a young electrical engineer at a California plant of Unisys Corp. The reason for the rejection? Poor speaking skills. Mr. Chen was told that he wasn't "very presentable." Later, Mr. Chen realized "it was not meant to be a degrading comment -- it literally meant that we don't know how to present the story (to non-engineers)." Rather than give up, Mr. Chen took presentation and speaking classes. Not only was he later promoted, but he eventually became manager of the plant where he was first passed over. Mr. Chen went on to work at Pyramid Technology Corp. for six years, becoming CEO in 1995. In 1997 he moved to software maker Sybase Inc., and as chairman, president and CEO he's led the once-ailing tech firm back into the black. Last year he was named to the board of directors of the Walt Disney Company. A popular speaker, Mr. Chen was recently named vice chairman of the Committee of 100, a Chinese-American group that advocates improving Sino-American relations.
John Chen - lives in San Francisco with his wife, Sherry, and has three daughters -- Jackie, 20, Stephanie, 15, Victoria, 11 -- and 7-year-old son, Justin.
What do you feel is the future of American-Chinese relations?
I'm a strong believer in the relationship between (these) superpowers -- one the most powerful and richest nation, the other the most populous and quickly developing. The historical differences lend themselves to a lot of ups and downs and conflict. I believe (we) should focus more on the people...Americans' understanding of China, not just a mystical East that treats people poorly. In the case of the East, they have to view people and understand the American ideologies.
What's the key to turning around a troubled company?
You have to build the confidence. Most people jump in and talk about strategy, talk about products -- those are important aspects. (But) the most important people whose confidence you need to rebuild is the employees. The second is the customers, then the shareholders. It has to be in that order: If you don't have (confident) employees, the customers will not be well treated, which means they will abandon you, and that will make the shareholders unhappy.
What do you wish you'd known 20 years ago?
Not to be overly cocky. Just because you had good grades and a good education, you sometimes feel you know everything. There is so much to learn from others...no one has a monopoly on all the knowledge and know-how. And the other thing, there is never really a right or wrong way of doing business, other than to have integrity. You read a lot of books about how to set up a business, how to organize, how to set marketing strategy, how to do this or that, but I really don't believe there is a cookbook for it. Twenty years ago I wish I would have listened more.
What mistake have you learned the most from?
On the business side I could think of a number of times where I didn't listen to my gut, especially in dealing with people. I'm a big proponent, almost to a fault, of loyalty. Some of these people have been working for me at three or four companies in the past 20 years.
I'm a terrible person in dealing with the Peter Principle (it states that employees are promoted to a level where they are incompetent, and then they stay there) ... I understand the principle behind it...(but) it's hard for me to pull the trigger.
What is missing in your life?
I think I'm pretty stereotypical, with a background in engineering and business...I'm a byproduct of a typical Hong Kong (mentality), told to study math, science, go to grad school. I've been surrounded by books, mathematics, computers and businesses, which has served me great. I'm blessed with a great family.I wish I had developed more outside interests...I play golf but that's about it. I'd like to learn more about art, learn to cook, just something that is different. Read More....
CareerJournal | Corporate Ladder - How to Get Promoted - Get a Job Promotion">
Lao Tze said
"When you have the Peoples Heart, then you have the World!!"
People is the Power of Everything.
Computers & Communications, Internet .......are just the tools
In the Contacts of a Corporation, People encompass Employees, Clients/ Customers; Suppliers.
Without the 3 Harmony Namely
Timing
People
Strategic Position
Corporation or Nation would not be achieving success!!!
Hong Kong Native Strives For Career Success in the U.S.
By Kevin Voigt From The Wall Street Journal Online
Being passed over for a management job was, in retrospect, one of the best things that ever happened to John Chen. At the time, the Hong Kong native was a young electrical engineer at a California plant of Unisys Corp. The reason for the rejection? Poor speaking skills. Mr. Chen was told that he wasn't "very presentable." Later, Mr. Chen realized "it was not meant to be a degrading comment -- it literally meant that we don't know how to present the story (to non-engineers)." Rather than give up, Mr. Chen took presentation and speaking classes. Not only was he later promoted, but he eventually became manager of the plant where he was first passed over. Mr. Chen went on to work at Pyramid Technology Corp. for six years, becoming CEO in 1995. In 1997 he moved to software maker Sybase Inc., and as chairman, president and CEO he's led the once-ailing tech firm back into the black. Last year he was named to the board of directors of the Walt Disney Company. A popular speaker, Mr. Chen was recently named vice chairman of the Committee of 100, a Chinese-American group that advocates improving Sino-American relations.
John Chen - lives in San Francisco with his wife, Sherry, and has three daughters -- Jackie, 20, Stephanie, 15, Victoria, 11 -- and 7-year-old son, Justin.
What do you feel is the future of American-Chinese relations?
I'm a strong believer in the relationship between (these) superpowers -- one the most powerful and richest nation, the other the most populous and quickly developing. The historical differences lend themselves to a lot of ups and downs and conflict. I believe (we) should focus more on the people...Americans' understanding of China, not just a mystical East that treats people poorly. In the case of the East, they have to view people and understand the American ideologies.
What's the key to turning around a troubled company?
You have to build the confidence. Most people jump in and talk about strategy, talk about products -- those are important aspects. (But) the most important people whose confidence you need to rebuild is the employees. The second is the customers, then the shareholders. It has to be in that order: If you don't have (confident) employees, the customers will not be well treated, which means they will abandon you, and that will make the shareholders unhappy.
What do you wish you'd known 20 years ago?
Not to be overly cocky. Just because you had good grades and a good education, you sometimes feel you know everything. There is so much to learn from others...no one has a monopoly on all the knowledge and know-how. And the other thing, there is never really a right or wrong way of doing business, other than to have integrity. You read a lot of books about how to set up a business, how to organize, how to set marketing strategy, how to do this or that, but I really don't believe there is a cookbook for it. Twenty years ago I wish I would have listened more.
What mistake have you learned the most from?
On the business side I could think of a number of times where I didn't listen to my gut, especially in dealing with people. I'm a big proponent, almost to a fault, of loyalty. Some of these people have been working for me at three or four companies in the past 20 years.
I'm a terrible person in dealing with the Peter Principle (it states that employees are promoted to a level where they are incompetent, and then they stay there) ... I understand the principle behind it...(but) it's hard for me to pull the trigger.
What is missing in your life?
I think I'm pretty stereotypical, with a background in engineering and business...I'm a byproduct of a typical Hong Kong (mentality), told to study math, science, go to grad school. I've been surrounded by books, mathematics, computers and businesses, which has served me great. I'm blessed with a great family.I wish I had developed more outside interests...I play golf but that's about it. I'd like to learn more about art, learn to cook, just something that is different. Read More....
CareerJournal | Corporate Ladder - How to Get Promoted - Get a Job Promotion">
Sunday, February 27, 2005
Wal-Mart loses $7.5 million discrimination suit -- Who Shall Be Responsible??
It is unbelievable that from a Pharmacy Associate become a trash picking man. & the man is transfer at his will??
I have experience & withness many discriminations in my Corporate careers. & for a gaint corporation like Walmart with over 1Millions employees worldwide. That certainly is causig a big concern. I also witness that all those "An Equal Opportunity Corporation".. all these seem to be the joke of Corporate America.
As Sun Tze said managing a small Arm Force is exactly the same as running the big Arm Force.
Also, Sun Tze said, if the soldiers have been ill treated, then the General in comand shall be resposible.
So the General in command shall be responsible for what have been happening.
You see the cse of HP Ex-CEO Carly Fiorina incident of firing 3 VP's for the failing result is another solid example of the so call "Point Down" finger management.
All the Guru of Management Excellent do they have MBA & Doctoriate??
Look at Confusuis!!
look at Lao Tze??
Look at Sun Tze
Even look at Christ...
Abraham...
Gandi.. ..
Mao
...they are all long dead!!!
The days of Best Business School produce the Best & Brightest Executives are over!!
Where is the Integrity, Virtue, Moral Values of Leadership in Management??
Executives Headhunter's should re-asses the methodologies in their selections & recommendation to their client's for the candidate for the best fit!!
Wal-Mart loses $7.5 million discrimination suit
NEW YORK (Reuters) — A New York jury awarded a former Wal-Mart Stores (WMT) employee who suffers from cerebral palsy $7.5 million in a discrimination lawsuit, the worker's lawyer said Thursday.
The former worker, Patrick Brady, claimed that Wal-Mart transferred him from his job as pharmacy associate to a position picking up garbage and collecting trash in the parking lot after only one day of work, said lawyer Douglas H. Widgor. The case was heard in U.S. District Court for the Eastern District of New York.
Wal-Mart said that the store did not discriminate against Brady and that he was transferred at his request.
"Although the jury has reached a decision, we do not expect the court to enter a final judgment until we have the opportunity to establish how the jury was wrong," the company said in a statement. "We are optimistic that the award will be substantially reduced or eliminated altogether."
Bentonville, Ark.-based Wal-Mart is in the midst of a national advertising campaign to burnish an image tarnished by claims of worker discrimination. The company is facing complaints throughout the world as it seeks to expand.
Public resistance to Wal-Mart's expansion has been particularly strong in California, where the retailer's campaign to improve its image began in 2004. The company's push for its first store in New York City was reported to have hit a snag this week after a real estate developer scrapped plans to include a Wal-Mart store in a Queens shopping center.
USATODAY.com - Wal-Mart loses $7.5 million discrimination suit
I have experience & withness many discriminations in my Corporate careers. & for a gaint corporation like Walmart with over 1Millions employees worldwide. That certainly is causig a big concern. I also witness that all those "An Equal Opportunity Corporation".. all these seem to be the joke of Corporate America.
As Sun Tze said managing a small Arm Force is exactly the same as running the big Arm Force.
Also, Sun Tze said, if the soldiers have been ill treated, then the General in comand shall be resposible.
So the General in command shall be responsible for what have been happening.
You see the cse of HP Ex-CEO Carly Fiorina incident of firing 3 VP's for the failing result is another solid example of the so call "Point Down" finger management.
All the Guru of Management Excellent do they have MBA & Doctoriate??
Look at Confusuis!!
look at Lao Tze??
Look at Sun Tze
Even look at Christ...
Abraham...
Gandi.. ..
Mao
...they are all long dead!!!
The days of Best Business School produce the Best & Brightest Executives are over!!
Where is the Integrity, Virtue, Moral Values of Leadership in Management??
Executives Headhunter's should re-asses the methodologies in their selections & recommendation to their client's for the candidate for the best fit!!
Wal-Mart loses $7.5 million discrimination suit
NEW YORK (Reuters) — A New York jury awarded a former Wal-Mart Stores (WMT) employee who suffers from cerebral palsy $7.5 million in a discrimination lawsuit, the worker's lawyer said Thursday.
The former worker, Patrick Brady, claimed that Wal-Mart transferred him from his job as pharmacy associate to a position picking up garbage and collecting trash in the parking lot after only one day of work, said lawyer Douglas H. Widgor. The case was heard in U.S. District Court for the Eastern District of New York.
Wal-Mart said that the store did not discriminate against Brady and that he was transferred at his request.
"Although the jury has reached a decision, we do not expect the court to enter a final judgment until we have the opportunity to establish how the jury was wrong," the company said in a statement. "We are optimistic that the award will be substantially reduced or eliminated altogether."
Bentonville, Ark.-based Wal-Mart is in the midst of a national advertising campaign to burnish an image tarnished by claims of worker discrimination. The company is facing complaints throughout the world as it seeks to expand.
Public resistance to Wal-Mart's expansion has been particularly strong in California, where the retailer's campaign to improve its image began in 2004. The company's push for its first store in New York City was reported to have hit a snag this week after a real estate developer scrapped plans to include a Wal-Mart store in a Queens shopping center.
USATODAY.com - Wal-Mart loses $7.5 million discrimination suit
Tuesday, February 22, 2005
Making HP "Old Reliable" Again -- The HP Way
In my earlier comments about money is Innocent!!
I have quoted the great Guru's of Chinese history.
A great leader is not motivated by money, he or she cannot be swifted by the financial baits.
In the case of Job's, he is different in the sense that Apple is his Baby, & it always is his baby.
In the HP contacts, the Founders are dead. It would take Leader who share the same spirits of the founder's & willing to committed his/her time & resource, energy to lead.
The said leader shall not only have the quality to lead, he should be able to sacrifice one self for the success of the corporations.
Gives the Extreme Useful Values to the corporation, employees, their shares holders, their customers, their business partners...etc.
Be able to React to Change & Change Timely!!
Looking at what is happening today..where to find such individual like you-son?? That is my late mom parting words before she die!!
Making HP "Old Reliable" Again
If the next CEO can capitalize on the best parts of the "HP Way," he or she could reinvigorate profits, innovation, integrity, and credibility
When Hewlett-Packard held a special shareholder meeting to consider the Compaq merger back in 2002, HP engineer Dan Dove decided to attend to see whether the controversial megadeal would go though. He hadn't planned to speak -- until he heard Chief Executive Carly Fiorina argue that contrary to public opinion, employee morale at HP (HPQ ) was in fine shape.
Suddenly, the 22-year veteran found himself standing at a microphone, where he challenged his famous CEO with a directness that brought the room to a standstill. Dove told a story of how the company that had paid for him to get his engineering degree and where he had remained for years despite many lucrative offers from rivals, had just cut the jobs of two people he considered to be among his most effective co-workers. The layoffs and other changes brought in by Fiorina, he said, shattered his and many other employees' faith in HP management.
Now, with the Feb. 10 ouster of Fiorina, HP has a chance to regain the faith of longtime employees and tap into a deep reservoir of devotion to the often-misunderstood "HP Way." This time around, many of those employees are hoping management will see the HP Way as a unique asset to be polished, rather than a problem to be eliminated. "Our corporate culture could have been the best tool Fiorina had to accomplish her goals," says Dove (see BW Online, 2/22/05, "Three Simple Rules Carly Ignored").
"THE ONLY WAY OUT." HP's board should take note. While the HP Way is often derided as an outdated philosophy of interest only to nostalgic HP veterans, that misses the point. In 1939, Bill Hewlett and Dave Packard set out to create a company where talented techies would want to work -- not just for the perks, but because they were given the respect and authority to run their own businesses.
The result was a company that became famous not only for its profits and innovation, but for its integrity and credibility. From taking care of customers to providing secure employment, HP became known as high-tech's Old Reliable. True, its inability to capitalize on fast-changing markets during the Internet boom, when Fiorina was brought in, made it seem hopelessly stodgy. But in today's less overheated market, HP's old traits are back in fashion.
"The core values that made HP great are still there," says Steve Maiwurm, a long-time employee who works in Minneapolis. "Maybe they've been in hiding, but it's time for them to come back to the forefront. It's the only way out of this mess: to go back to what made HP great in the first place."
REPAIRING CONNECTIONS. Of course, HP's management has a lot of making up to do, particularly with investors who had tired of HP blowing past Wall Street earnings expectations in one quarter and then falling short in the next. In that regard, interim CEO Robert Wayman made a great start during the Feb. 16 earnings call with a blunt explanation of rising margin pressures in the printer business.
Many employees believe boring needs to be cool again at HP, at least for a little while. "Let's go back to cold, dead fish," says one staffer, a reference to the old joke that if HP had invented sushi, it would have called it "cold, dead fish."
What should a new boss -- whoever it turns out to be -- do? Along with dealing with investors, repairing those frayed connections with the rank-and-file has to be a top priority. Employees want proof that management is interested in their input.
One idea: Take an extended tour of HP's main campuses. Rather than making speeches, the new boss should arrive with little fanfare, walk the halls, and eat in cafeterias -- in other words, practice some "management by wandering around," a phrase coined by HP's founders. This could provide valuable, unvarnished input from staffers -- and convince HPers that the new CEO didn't arrive with a preconceived formula to fix their broken company.
RETURN TO PROFIT SHARING. The new boss should also roll back some of Fiorina's centralization efforts and push more authority back to HP's many business units. While Fiorina was right to centralize functions such as marketing and procurement, HPers complain that under the current structure accountability is often unclear. Generations of HP managers were trained to manage their own businesses, from R&D to distribution. HP should take advantage of this inbred competitiveness, before it's too late.
Then there's compensation. Back in the options-obsessed 1990s, HP's 50-year-old profit-sharing plan was deemed out of touch. While all employees got a single-digit percentage bonus twice a year, that didn't seem enough incentive to keep HP on a par with Internet highfliers. So Fiorina killed the program and replaced it with a far more complex "corporate performance bonus" (CPB) that was tied to stock appreciation, market share, and other factors.
Since tech's boom days are as defunct as a cold, dead fish, HP should go back to something akin to that old profit-sharing plan. It would create an all-for-one ethos that's badly needed, and it would attract workers who want a collaborative place to work, where financial gains come over time rather than in dramatic stock market swings. "That doesn't mean we're fat and lazy," says Dove. "It just means we value not having to change jobs every two years."
APPLE'S MODEL. And the new CEO should insist that he or she get a true pay-for-performance package. When Fiorina was hired in 1999, she was guaranteed about $65 million to join HP, and she got an additional $21 million in severance to leave -- not to mention a seven-figure bonus for her work in 2004 (see BW Online, 2/22/05, "Dear Carly: Cook Up a Comeback"). Who knows, maybe a symbolic $1-a-year salary is in order, as Apple Computer's (AAPL ) Steve Jobs takes. Granted, he gets plenty of stock options as well. But at least his wealth is tied directly to the interests of shareholders.
None of this is to say HP should return completely to its past. Clearly, this company had seen better days when Fiorina arrived. Still, the board needs to show the rank and file that her ouster wasn't just a boardroom power play. No, directors need to show a broader appreciation for the unique corporate culture that continues to mean so much to HP employees. Sure, it needs to be adapted to the times. But as good tech execs know, smart and motivated employees are the best asset they'll ever have.
Making HP "Old Reliable" Again
I have quoted the great Guru's of Chinese history.
A great leader is not motivated by money, he or she cannot be swifted by the financial baits.
In the case of Job's, he is different in the sense that Apple is his Baby, & it always is his baby.
In the HP contacts, the Founders are dead. It would take Leader who share the same spirits of the founder's & willing to committed his/her time & resource, energy to lead.
The said leader shall not only have the quality to lead, he should be able to sacrifice one self for the success of the corporations.
Gives the Extreme Useful Values to the corporation, employees, their shares holders, their customers, their business partners...etc.
Be able to React to Change & Change Timely!!
Looking at what is happening today..where to find such individual like you-son?? That is my late mom parting words before she die!!
Making HP "Old Reliable" Again
If the next CEO can capitalize on the best parts of the "HP Way," he or she could reinvigorate profits, innovation, integrity, and credibility
When Hewlett-Packard held a special shareholder meeting to consider the Compaq merger back in 2002, HP engineer Dan Dove decided to attend to see whether the controversial megadeal would go though. He hadn't planned to speak -- until he heard Chief Executive Carly Fiorina argue that contrary to public opinion, employee morale at HP (HPQ ) was in fine shape.
Suddenly, the 22-year veteran found himself standing at a microphone, where he challenged his famous CEO with a directness that brought the room to a standstill. Dove told a story of how the company that had paid for him to get his engineering degree and where he had remained for years despite many lucrative offers from rivals, had just cut the jobs of two people he considered to be among his most effective co-workers. The layoffs and other changes brought in by Fiorina, he said, shattered his and many other employees' faith in HP management.
Now, with the Feb. 10 ouster of Fiorina, HP has a chance to regain the faith of longtime employees and tap into a deep reservoir of devotion to the often-misunderstood "HP Way." This time around, many of those employees are hoping management will see the HP Way as a unique asset to be polished, rather than a problem to be eliminated. "Our corporate culture could have been the best tool Fiorina had to accomplish her goals," says Dove (see BW Online, 2/22/05, "Three Simple Rules Carly Ignored").
"THE ONLY WAY OUT." HP's board should take note. While the HP Way is often derided as an outdated philosophy of interest only to nostalgic HP veterans, that misses the point. In 1939, Bill Hewlett and Dave Packard set out to create a company where talented techies would want to work -- not just for the perks, but because they were given the respect and authority to run their own businesses.
The result was a company that became famous not only for its profits and innovation, but for its integrity and credibility. From taking care of customers to providing secure employment, HP became known as high-tech's Old Reliable. True, its inability to capitalize on fast-changing markets during the Internet boom, when Fiorina was brought in, made it seem hopelessly stodgy. But in today's less overheated market, HP's old traits are back in fashion.
"The core values that made HP great are still there," says Steve Maiwurm, a long-time employee who works in Minneapolis. "Maybe they've been in hiding, but it's time for them to come back to the forefront. It's the only way out of this mess: to go back to what made HP great in the first place."
REPAIRING CONNECTIONS. Of course, HP's management has a lot of making up to do, particularly with investors who had tired of HP blowing past Wall Street earnings expectations in one quarter and then falling short in the next. In that regard, interim CEO Robert Wayman made a great start during the Feb. 16 earnings call with a blunt explanation of rising margin pressures in the printer business.
Many employees believe boring needs to be cool again at HP, at least for a little while. "Let's go back to cold, dead fish," says one staffer, a reference to the old joke that if HP had invented sushi, it would have called it "cold, dead fish."
What should a new boss -- whoever it turns out to be -- do? Along with dealing with investors, repairing those frayed connections with the rank-and-file has to be a top priority. Employees want proof that management is interested in their input.
One idea: Take an extended tour of HP's main campuses. Rather than making speeches, the new boss should arrive with little fanfare, walk the halls, and eat in cafeterias -- in other words, practice some "management by wandering around," a phrase coined by HP's founders. This could provide valuable, unvarnished input from staffers -- and convince HPers that the new CEO didn't arrive with a preconceived formula to fix their broken company.
RETURN TO PROFIT SHARING. The new boss should also roll back some of Fiorina's centralization efforts and push more authority back to HP's many business units. While Fiorina was right to centralize functions such as marketing and procurement, HPers complain that under the current structure accountability is often unclear. Generations of HP managers were trained to manage their own businesses, from R&D to distribution. HP should take advantage of this inbred competitiveness, before it's too late.
Then there's compensation. Back in the options-obsessed 1990s, HP's 50-year-old profit-sharing plan was deemed out of touch. While all employees got a single-digit percentage bonus twice a year, that didn't seem enough incentive to keep HP on a par with Internet highfliers. So Fiorina killed the program and replaced it with a far more complex "corporate performance bonus" (CPB) that was tied to stock appreciation, market share, and other factors.
Since tech's boom days are as defunct as a cold, dead fish, HP should go back to something akin to that old profit-sharing plan. It would create an all-for-one ethos that's badly needed, and it would attract workers who want a collaborative place to work, where financial gains come over time rather than in dramatic stock market swings. "That doesn't mean we're fat and lazy," says Dove. "It just means we value not having to change jobs every two years."
APPLE'S MODEL. And the new CEO should insist that he or she get a true pay-for-performance package. When Fiorina was hired in 1999, she was guaranteed about $65 million to join HP, and she got an additional $21 million in severance to leave -- not to mention a seven-figure bonus for her work in 2004 (see BW Online, 2/22/05, "Dear Carly: Cook Up a Comeback"). Who knows, maybe a symbolic $1-a-year salary is in order, as Apple Computer's (AAPL ) Steve Jobs takes. Granted, he gets plenty of stock options as well. But at least his wealth is tied directly to the interests of shareholders.
None of this is to say HP should return completely to its past. Clearly, this company had seen better days when Fiorina arrived. Still, the board needs to show the rank and file that her ouster wasn't just a boardroom power play. No, directors need to show a broader appreciation for the unique corporate culture that continues to mean so much to HP employees. Sure, it needs to be adapted to the times. But as good tech execs know, smart and motivated employees are the best asset they'll ever have.
Making HP "Old Reliable" Again
Saturday, February 19, 2005
"Prosecuting Corporate Crimes" -- Money Is Innocent!!
In my opinion, I totally agreed with Mensius said:
"If there Are No Law Makers' of Making All The Complex Rules, Then There Are No Law Breakers'!!"
"A Nation Without The External Enemy, Then The People Would Not Be United!!"
"A Leader Must Known; One Task Is To Shoulder The Concerns of Their Nation, Only Death Is The Peace To One Soul!!"
My observations is that it is a total failure of the Education, Personal Conducts & Ethics.
The Current era, corporate leadership selection, reward & recognition system is too much Nail ON Money!!
Money Is Innocent!! Money Cannot Defend Itself
"Money Is The Bait!! Celebrity Is The Bait!!"
"Greed Is The Nutrition For Power & Wealth"
The present Global Leadership generation & Selection system is that; once one is out of the Elite Business Schools' or Elite Corporations', The Elite Head Hunters' would re-profile one to be Best Fit for the Leadership!! Then one Power & Wealth Is Assure!!
Board Room Politics, Corporate Politics, That is War War War everywhere.
Where is the Culture Value of Life??
Where is the Righteous Spirits of A Leadership??
Where is The Ethics & Virtue of Life??
The Guru of Leadership
i.e.
Yao & Shun
Lao Tze
Jiang Thai Kong
Confusius & Mensius
Chun Tze & Soon Tze
Kwei Ku Tze
Sun Tze & Sun Ping
Liu Zher
Chu Ker Conming
Kuan Yi
Li Yeun
Pao Zheng
Su Dong Poi
Gengiskhan
Liu Poi Wen
Zheng He
Kang Si
Yong Zheng
Chien Long
Sun Yat Sun
Mao Zhe Dong
Zhou Urn Lai
..................etc.
are long gong, left those self-proclaimed "Guru's" on the Globe!!
Prosecuting Corporate Crimes
The U.S. Department of Justice is moving decisively to address corporate criminal behavior, using the tools provided by the Sarbanes-Oxley Act of 2002 to crack down on corporate officials and other professionals who abuse their positions to enrich themselves at the expense of all other stakeholders.
Strategies and policies for combating corporate crime are set by the Corporate Fraud Task Force, created by President Bush in 2002 following a wave of corporate scandals in the United States. The task force comprises both a Justice Department group that focuses on enhancing the criminal enforcement activities within the department, and an interagency group that works to maximize cooperation and enforcement throughout the federal law enforcement community. Recent prosecutions illustrate the department's new and aggressive approaches to fighting business-related crime.
Corporate crimes injure investors, employees, and the capital markets that fund the needs of existing firms and promote new businesses. Recent revelations of corporate fraud and other crimes have increased the need to investigate and prosecute criminal activity conducted by corporate officials—and associated professionals—who have abused their positions to enrich themselves while breaching the trust of investors, employees, financial institutions, and the capital marketplace.
The prosecutions for corporate fraud and related misconduct have demonstrated that criminal activity has permeated the highest levels of several major publicly held corporations, brokerage firms, accounting and auditing firms, and others. A few dishonest individuals have damaged the reputations of many honest companies and executives. These wrongdoers injured workers who dedicated their lives to building the companies that hired them. They hurt investors and retirees who had entrusted their financial futures when they placed their faith in the promises of the companies' growth and integrity.
These revelations of a corporate culture of corruption and deception in a number of very prominent corporations have threatened to undermine the public's confidence in corporations, the financial markets, and the economy. They also have magnified the need for a renewed emphasis on effective corporate governance.
ENFORCEMENT ACTIVITIES
To address these and other abuses revealed by recent corporate fraud scandals, such as those related to Enron, WorldCom, HealthSouth, and Adelphia, President George Bush created the Corporate Fraud Task Force in July 2002. The task force, chaired by the deputy attorney general of the Department of Justice, comprises members of the department assigned to enhance criminal enforcement activities within the department, and an interagency group of investigative and regulatory agencies that concentrates on maximizing cooperation and joint regulatory, investigative, and enforcement activities throughout the federal law enforcement community in matters of federal corporate fraud.
The current wave of corporate fraud prosecutions focuses on a variety of criminal conduct, including falsification of corporate books and records, distribution of fraudulent financial statements to the public and to regulatory authorities, creation of "off-the-books" accounts and relationships to conceal fraudulent activity, abuse of high corporate positions for personal benefit at the expense of the corporation, and insider trading. Often, related charges are brought for obstructing and compromising audits and investigations related to fraudulent misconduct, destruction or alteration of corporate records, perjury before grand juries and investigative authorities, and related criminal activity.
On the legislative front, the U.S. Congress passed the Sarbanes-Oxley Act in July 2002. The act constitutes the most comprehensive reform of U.S. business practices in 60 years. It gives prosecutors and regulators new means to strengthen corporate governance, to improve corporate responsibility and disclosure, and to protect corporate employees and shareholders.
The act requires, upon pain of imprisonment, that the most senior officers of a corporation certify that the firm's financial statements truly and accurately reflect its financial condition and result of operations; that auditors exercise their responsibilities to provide an independent examination and certification of the accuracy and reliability of a corporation's financial statements; that employees are protected from retaliation for disclosing improprieties of corporate officials; and that the corporate information available to investors is true and accurate, and free from deception.
INNOVATIVE TOOLS
Recent investigations and prosecutions of corporate fraud cases have been expedited by the use of some of the new tools provided to prosecutors by the Sarbanes-Oxley Act and by strategies and policies developed by the Corporate Fraud Task Force. These innovations include the following:
* Bringing the collective resources and expertise of federal agencies to bear earlier in an investigation in order to complete the investigation and initiate prosecution more expeditiously. This frequently means using the resources of regulatory agencies, such as the Securities and Exchange Commission (SEC), to conduct a joint investigation of corporate misconduct from the inception of an investigation, instead of awaiting completion of the SEC proceedings before commencing a criminal investigation.
* Segmenting complex investigations into smaller, more manageable portions that can be investigated and prosecuted promptly and are more understandable to investigators, prosecutors, and juries. A more narrowly defined criminal investigation often encourages corporate officers and others who are involved in fraudulent conduct to enter plea agreements. A plea agreement is a formal agreement for the disposition of criminal charges between the prosecutor and the defendant pursuant to which the defendant agrees to plead guilty to one or more charges of an indictment or information and the prosecutor agrees to do certain things, such as not to bring or move to dismiss other charges or recommend to the court that a particular sentencing disposition is appropriate under the circumstances. Consequently, instead of spending years investigating a complex scheme of corporate fraud—as would have been the case only a few years ago—cases are now more often investigated and prosecuted in months.
* Using aggressive and innovative means to obtain corporate cooperation before criminal charges are instituted. Usually, the issue of corporate cooperation is intertwined with the criminal liability of the corporation itself. Increasingly, corporations are held accountable through full prosecutions or negotiated resolutions. A corporation or other organization may be fined, placed on probation and ordered to make restitution, and ordered to notify the public and their victims about their criminal wrongdoing. A condition of probation may require the corporation to take actions to remedy the harm caused by the offense and to eliminate or reduce the risk that the harm will occur in the future.
The Department of Justice is also increasingly using deferred prosecution agreements, a less punitive option with reduced collateral harm. These agreements typically provide for the filing of criminal charges with an agreement that those charges will be dismissed after a period of time if the company lives up to its obligations. The agreements usually provide for the company to accept responsibility by acknowledging the acts of its employees, make restitution and surrender ill-gotten financial gains, install effective compliance programs, employ an independent monitor to review future activities, and commit to fully cooperating with the government in its investigation of culpable individuals. A court may add to the fine any gain to the corporation from the offense that has not and will not be paid as restitution or by way of other remedial measures. Any breach of the agreement by the company would subject it to a full prosecution.
On other occasions, the Department of Justice has entered into cooperation agreements with companies. These agreements can encompass most of the attributes of a deferred prosecution, but they do not involve an actual legal action in court. The cooperation agreements allow the company to avoid any potential collateral consequences associated with the mere fact that the company has been charged with a crime, but they still require acceptance of responsibility, restitution and surrender of ill-gotten gains, full cooperation, and implementation of remedial measures.
* Prosecuting those who facilitate fraud and obstruct investigations, either in separate criminal proceedings or in the underlying corporate fraud prosecution.
* Aggressively pursuing civil and regulatory enforcement action, often in proceedings parallel to criminal prosecutions and investigations. This ensures that enforcement actions will be promptly initiated and actively pursued to protect investors and consumers from corporate fraud.
RESTORING PUBLIC CONFIDENCE
Much has been accomplished in the Department of Justice's ongoing campaign against corporate fraud; however, much remains to be done. In order to restore full public confidence in the financial markets, continued strong enforcement will be necessary to increase the level of transparency of corporate conduct and of financial reporting and to strengthen the accountability of corporate officials.
Promoting Growth Through Corporate Governance
Christopher Wray was confirmed on September 11, 2003, as the assistant attorney general of the Criminal Division of the U.S. Department of Justice. He has been with the department since 2001, handling a variety of federal cases and investigations, including for securities fraud, public corruption, racketeering, counterfeiting, and immigration.
Christopher Wray, "Prosecuting Corporate Crimes" , eJournal USA: Economic Perspectives, February 2005
"If there Are No Law Makers' of Making All The Complex Rules, Then There Are No Law Breakers'!!"
"A Nation Without The External Enemy, Then The People Would Not Be United!!"
"A Leader Must Known; One Task Is To Shoulder The Concerns of Their Nation, Only Death Is The Peace To One Soul!!"
My observations is that it is a total failure of the Education, Personal Conducts & Ethics.
The Current era, corporate leadership selection, reward & recognition system is too much Nail ON Money!!
Money Is Innocent!! Money Cannot Defend Itself
"Money Is The Bait!! Celebrity Is The Bait!!"
"Greed Is The Nutrition For Power & Wealth"
The present Global Leadership generation & Selection system is that; once one is out of the Elite Business Schools' or Elite Corporations', The Elite Head Hunters' would re-profile one to be Best Fit for the Leadership!! Then one Power & Wealth Is Assure!!
Board Room Politics, Corporate Politics, That is War War War everywhere.
Where is the Culture Value of Life??
Where is the Righteous Spirits of A Leadership??
Where is The Ethics & Virtue of Life??
The Guru of Leadership
i.e.
Yao & Shun
Lao Tze
Jiang Thai Kong
Confusius & Mensius
Chun Tze & Soon Tze
Kwei Ku Tze
Sun Tze & Sun Ping
Liu Zher
Chu Ker Conming
Kuan Yi
Li Yeun
Pao Zheng
Su Dong Poi
Gengiskhan
Liu Poi Wen
Zheng He
Kang Si
Yong Zheng
Chien Long
Sun Yat Sun
Mao Zhe Dong
Zhou Urn Lai
..................etc.
are long gong, left those self-proclaimed "Guru's" on the Globe!!
Prosecuting Corporate Crimes
The U.S. Department of Justice is moving decisively to address corporate criminal behavior, using the tools provided by the Sarbanes-Oxley Act of 2002 to crack down on corporate officials and other professionals who abuse their positions to enrich themselves at the expense of all other stakeholders.
Strategies and policies for combating corporate crime are set by the Corporate Fraud Task Force, created by President Bush in 2002 following a wave of corporate scandals in the United States. The task force comprises both a Justice Department group that focuses on enhancing the criminal enforcement activities within the department, and an interagency group that works to maximize cooperation and enforcement throughout the federal law enforcement community. Recent prosecutions illustrate the department's new and aggressive approaches to fighting business-related crime.
Corporate crimes injure investors, employees, and the capital markets that fund the needs of existing firms and promote new businesses. Recent revelations of corporate fraud and other crimes have increased the need to investigate and prosecute criminal activity conducted by corporate officials—and associated professionals—who have abused their positions to enrich themselves while breaching the trust of investors, employees, financial institutions, and the capital marketplace.
The prosecutions for corporate fraud and related misconduct have demonstrated that criminal activity has permeated the highest levels of several major publicly held corporations, brokerage firms, accounting and auditing firms, and others. A few dishonest individuals have damaged the reputations of many honest companies and executives. These wrongdoers injured workers who dedicated their lives to building the companies that hired them. They hurt investors and retirees who had entrusted their financial futures when they placed their faith in the promises of the companies' growth and integrity.
These revelations of a corporate culture of corruption and deception in a number of very prominent corporations have threatened to undermine the public's confidence in corporations, the financial markets, and the economy. They also have magnified the need for a renewed emphasis on effective corporate governance.
ENFORCEMENT ACTIVITIES
To address these and other abuses revealed by recent corporate fraud scandals, such as those related to Enron, WorldCom, HealthSouth, and Adelphia, President George Bush created the Corporate Fraud Task Force in July 2002. The task force, chaired by the deputy attorney general of the Department of Justice, comprises members of the department assigned to enhance criminal enforcement activities within the department, and an interagency group of investigative and regulatory agencies that concentrates on maximizing cooperation and joint regulatory, investigative, and enforcement activities throughout the federal law enforcement community in matters of federal corporate fraud.
The current wave of corporate fraud prosecutions focuses on a variety of criminal conduct, including falsification of corporate books and records, distribution of fraudulent financial statements to the public and to regulatory authorities, creation of "off-the-books" accounts and relationships to conceal fraudulent activity, abuse of high corporate positions for personal benefit at the expense of the corporation, and insider trading. Often, related charges are brought for obstructing and compromising audits and investigations related to fraudulent misconduct, destruction or alteration of corporate records, perjury before grand juries and investigative authorities, and related criminal activity.
On the legislative front, the U.S. Congress passed the Sarbanes-Oxley Act in July 2002. The act constitutes the most comprehensive reform of U.S. business practices in 60 years. It gives prosecutors and regulators new means to strengthen corporate governance, to improve corporate responsibility and disclosure, and to protect corporate employees and shareholders.
The act requires, upon pain of imprisonment, that the most senior officers of a corporation certify that the firm's financial statements truly and accurately reflect its financial condition and result of operations; that auditors exercise their responsibilities to provide an independent examination and certification of the accuracy and reliability of a corporation's financial statements; that employees are protected from retaliation for disclosing improprieties of corporate officials; and that the corporate information available to investors is true and accurate, and free from deception.
INNOVATIVE TOOLS
Recent investigations and prosecutions of corporate fraud cases have been expedited by the use of some of the new tools provided to prosecutors by the Sarbanes-Oxley Act and by strategies and policies developed by the Corporate Fraud Task Force. These innovations include the following:
* Bringing the collective resources and expertise of federal agencies to bear earlier in an investigation in order to complete the investigation and initiate prosecution more expeditiously. This frequently means using the resources of regulatory agencies, such as the Securities and Exchange Commission (SEC), to conduct a joint investigation of corporate misconduct from the inception of an investigation, instead of awaiting completion of the SEC proceedings before commencing a criminal investigation.
* Segmenting complex investigations into smaller, more manageable portions that can be investigated and prosecuted promptly and are more understandable to investigators, prosecutors, and juries. A more narrowly defined criminal investigation often encourages corporate officers and others who are involved in fraudulent conduct to enter plea agreements. A plea agreement is a formal agreement for the disposition of criminal charges between the prosecutor and the defendant pursuant to which the defendant agrees to plead guilty to one or more charges of an indictment or information and the prosecutor agrees to do certain things, such as not to bring or move to dismiss other charges or recommend to the court that a particular sentencing disposition is appropriate under the circumstances. Consequently, instead of spending years investigating a complex scheme of corporate fraud—as would have been the case only a few years ago—cases are now more often investigated and prosecuted in months.
* Using aggressive and innovative means to obtain corporate cooperation before criminal charges are instituted. Usually, the issue of corporate cooperation is intertwined with the criminal liability of the corporation itself. Increasingly, corporations are held accountable through full prosecutions or negotiated resolutions. A corporation or other organization may be fined, placed on probation and ordered to make restitution, and ordered to notify the public and their victims about their criminal wrongdoing. A condition of probation may require the corporation to take actions to remedy the harm caused by the offense and to eliminate or reduce the risk that the harm will occur in the future.
The Department of Justice is also increasingly using deferred prosecution agreements, a less punitive option with reduced collateral harm. These agreements typically provide for the filing of criminal charges with an agreement that those charges will be dismissed after a period of time if the company lives up to its obligations. The agreements usually provide for the company to accept responsibility by acknowledging the acts of its employees, make restitution and surrender ill-gotten financial gains, install effective compliance programs, employ an independent monitor to review future activities, and commit to fully cooperating with the government in its investigation of culpable individuals. A court may add to the fine any gain to the corporation from the offense that has not and will not be paid as restitution or by way of other remedial measures. Any breach of the agreement by the company would subject it to a full prosecution.
On other occasions, the Department of Justice has entered into cooperation agreements with companies. These agreements can encompass most of the attributes of a deferred prosecution, but they do not involve an actual legal action in court. The cooperation agreements allow the company to avoid any potential collateral consequences associated with the mere fact that the company has been charged with a crime, but they still require acceptance of responsibility, restitution and surrender of ill-gotten gains, full cooperation, and implementation of remedial measures.
* Prosecuting those who facilitate fraud and obstruct investigations, either in separate criminal proceedings or in the underlying corporate fraud prosecution.
* Aggressively pursuing civil and regulatory enforcement action, often in proceedings parallel to criminal prosecutions and investigations. This ensures that enforcement actions will be promptly initiated and actively pursued to protect investors and consumers from corporate fraud.
RESTORING PUBLIC CONFIDENCE
Much has been accomplished in the Department of Justice's ongoing campaign against corporate fraud; however, much remains to be done. In order to restore full public confidence in the financial markets, continued strong enforcement will be necessary to increase the level of transparency of corporate conduct and of financial reporting and to strengthen the accountability of corporate officials.
Promoting Growth Through Corporate Governance
Christopher Wray was confirmed on September 11, 2003, as the assistant attorney general of the Criminal Division of the U.S. Department of Justice. He has been with the department since 2001, handling a variety of federal cases and investigations, including for securities fraud, public corruption, racketeering, counterfeiting, and immigration.
Christopher Wray, "Prosecuting Corporate Crimes" , eJournal USA: Economic Perspectives, February 2005
Wednesday, February 09, 2005
Hewlett-Packard Ousts CEO Carly Fiorina - The Tao of CEO
In the Wisdom of Lao Tze He said....
A Soothing, Soft Nature Person/ Things Will Last!!
A Strong, Stubborn, tough Person/ Things Would Not Last!!
Now Let us look at what Sun Tze Said about Leadership movement:-
A Hero Know When To Advance & When To Retreat!!
A Saint or Virtue Person Know How to Size-Up The Situation!!
As Pei Ghe Yi said:
" The True or False In One Life, Is Not for Any Individual To Say about.
It is Only Oneself Knowing Oneself Better!!"
Hewlett-Packard Ousts CEO Carly Fiorina
Wed Feb 9, 2005 09:27 AM ET By Eric Auchard
SAN FRANCISCO (Reuters) - Carly Fiorina, one of the most powerful women in American business, was ousted as chairman and chief executive of Hewlett-Packard Co. (HPQ.N: Quote, Profile, Research) on Wednesday after disagreements over strategy at the computer and printer maker.
Analysts said Fiorina's departure would be good for HP, and the company's shares jumped more than 11 percent in pre-market trading.
"This is a good move for the company. I would say there will be a boost to employee moral because internally people had become frustrated, certainly within the printing division," said Shannon Cross, a Wall Street analyst with Cross Research who tracks the printing industry.
Peter Sorrentino, chief investment officer of Bartlett & Co. in Cincinnati, also expressed relief at the management change.
"This was a move that we had long hoped they would take. We thought the stock, just from the imaging business, is worth $24 a share, and you were being impaired as a shareholder because of the other businesses," he said.
Fiorina, 50, who joined HP as CEO in 1999, became the lightning rod of criticism among investors and some in the Silicon Valley establishment for pushing through a merger with rival PC maker Compaq Computer in 2002.
"While I regret the board and I have differences about how to execute HP's strategy, I respect their decision," Fiorina said a statement. "HP is a great company and I wish all the people of HP much success in the future."
Shares of HP, a component of the Dow Jones industrial average, rose $2.30 to $22.44 in pre-market trade on the Inet electronic brokerage system.
Robert Wayman, HP's chief financial officer, was named CEO on an interim basis and appointed to the board of directors of HP. Wayman rose through the ranks at HP after joining the company in 1969.
HP said a search for a new CEO was underway.
Patricia Dunn, vice chairman of Barclays Global Investors and a member of HP's board since 1998, was named non-executive chairman of the board.
MERGER HEADACHES
Critics of the merger with Compaq, including family members of HP founders William Hewlett and David Packard, decried the merger, argued that it diluted the value of HP's crown jewel, its profitable printer and imaging business.
"The fact that everything is back on the drawing board, with respect to (spinning off) the printer business, makes the stock more attractive," SG Cowen analyst Richard Chu said.
Sorrentino said, "HP has never had a cost-effective model in terms of the PC business, they've frittered away their lead in imaging, and their move to services never really panned out even with the addition of Compaq," he said.
Cross said the Compaq deal failed to provide the results promised at the time of the merger and HP's stock has languished since then.
HP also suffered from failed execution, which meant that quarterly results were inconsistent, leading to several sharp sell-offs in the shares in recent years. (Additional reporting by Franklin Paul and Martha Graybow in New York)
Top Technology News Sponsored by Audi | Reuters.com
A Soothing, Soft Nature Person/ Things Will Last!!
A Strong, Stubborn, tough Person/ Things Would Not Last!!
Now Let us look at what Sun Tze Said about Leadership movement:-
A Hero Know When To Advance & When To Retreat!!
A Saint or Virtue Person Know How to Size-Up The Situation!!
As Pei Ghe Yi said:
" The True or False In One Life, Is Not for Any Individual To Say about.
It is Only Oneself Knowing Oneself Better!!"
Hewlett-Packard Ousts CEO Carly Fiorina
Wed Feb 9, 2005 09:27 AM ET By Eric Auchard
SAN FRANCISCO (Reuters) - Carly Fiorina, one of the most powerful women in American business, was ousted as chairman and chief executive of Hewlett-Packard Co. (HPQ.N: Quote, Profile, Research) on Wednesday after disagreements over strategy at the computer and printer maker.
Analysts said Fiorina's departure would be good for HP, and the company's shares jumped more than 11 percent in pre-market trading.
"This is a good move for the company. I would say there will be a boost to employee moral because internally people had become frustrated, certainly within the printing division," said Shannon Cross, a Wall Street analyst with Cross Research who tracks the printing industry.
Peter Sorrentino, chief investment officer of Bartlett & Co. in Cincinnati, also expressed relief at the management change.
"This was a move that we had long hoped they would take. We thought the stock, just from the imaging business, is worth $24 a share, and you were being impaired as a shareholder because of the other businesses," he said.
Fiorina, 50, who joined HP as CEO in 1999, became the lightning rod of criticism among investors and some in the Silicon Valley establishment for pushing through a merger with rival PC maker Compaq Computer in 2002.
"While I regret the board and I have differences about how to execute HP's strategy, I respect their decision," Fiorina said a statement. "HP is a great company and I wish all the people of HP much success in the future."
Shares of HP, a component of the Dow Jones industrial average, rose $2.30 to $22.44 in pre-market trade on the Inet electronic brokerage system.
Robert Wayman, HP's chief financial officer, was named CEO on an interim basis and appointed to the board of directors of HP. Wayman rose through the ranks at HP after joining the company in 1969.
HP said a search for a new CEO was underway.
Patricia Dunn, vice chairman of Barclays Global Investors and a member of HP's board since 1998, was named non-executive chairman of the board.
MERGER HEADACHES
Critics of the merger with Compaq, including family members of HP founders William Hewlett and David Packard, decried the merger, argued that it diluted the value of HP's crown jewel, its profitable printer and imaging business.
"The fact that everything is back on the drawing board, with respect to (spinning off) the printer business, makes the stock more attractive," SG Cowen analyst Richard Chu said.
Sorrentino said, "HP has never had a cost-effective model in terms of the PC business, they've frittered away their lead in imaging, and their move to services never really panned out even with the addition of Compaq," he said.
Cross said the Compaq deal failed to provide the results promised at the time of the merger and HP's stock has languished since then.
HP also suffered from failed execution, which meant that quarterly results were inconsistent, leading to several sharp sell-offs in the shares in recent years. (Additional reporting by Franklin Paul and Martha Graybow in New York)
Top Technology News Sponsored by Audi | Reuters.com
Thursday, February 03, 2005
LEADERSHIP IN MANUFACTURING -- Restoring Credibility
The Restoring of Credibility to the Shareholders, Board of Directors, Employees & most important partners in Business or Cusotmers is not an easy task for a New leader.
In my point view Ed Breen of Tyco have done well within the period, since he come onboard. I congratulate him for his success.
From my personal Experience & views is that, the Leadership is certainly a critical factor in leading the Change & establish the New Corporate culture.
These "Changes" involve the setting of Vision, Mission, Achievable Goal, Short Term & Long Term Strategic Planning, the next is organize the Team/ Team's, translate these keys into the Human Resources, Financial, Auditing, Operating, Manufacturing, Marketing, Sales, Logistics, Customer Services..etc.
Technology..Tools.. Software...Hardware obviously important. But the single most significant people overlooked is "People".
Very often when come to restructuring is concern. New leader tend to eliminate the layer once seem un-neccessary, it may be ignorance to creating a new structure which is more roots cutting then branches trimming. In the case of the audit committee, it shall be reporting to the Board management committe.
After having the Audit report once it is accepted, there must be a Culture Implementation team to Lead the Change & implementation.
Yes training & education on corporation wide is important, it shall be enlarge to extending the training/awareness to the close partners such as suppliers & customers.
Then, the must be a close root control & monitoring system to measure the efficiencies & effectiveness of each implementation & it's success.
Well, in my experience on the initializing "New Corporate Culture", One need the Skillful Learship, it also need the most significant "People" element & their committed "Mindset" for "Change"; the "Positive Change".
Restoring Credibility
Ed Breen, Tyco International's chairman and CEO, works to gain the trust of investors, customers, government regulators and employees.
By John S. McClenahen
Two years ago, when television portrayed Tyco International Ltd., a Bermuda-incorporated conglomerate, the focus usually was on the alleged misdeeds of previous management. Today, Tyco still is seen on television but in commercials that positively portray the $40 billion company's core products and services. This change is a product of the leadership of Edward Breen Jr., a former president and COO of Motorola Inc. who's been Tyco chairman and CEO since July 2002.
IW: You have said that the biggest challenge you've had since your arrival has been the process of restoring trust in Tyco's leadership. Where are you now in that process?
Breen: When I arrived [just over] two-and-a-half years ago, it was clear to me that the board of directors of Tyco needed to be changed, and we did that with every single person. And the senior corporate management needed significant change, and [now] the whole corporate team is basically new. To me,
No. 1 was [getting] the right leaders in place. On that task we're where we want to be.
The other area we spent a lot of time focusing on was the corporate governance side, and we certainly instituted a lot of structural change. For instance, we now have an ombudsman who reports to the audit committee.
We have doubled the size of our audit team, and the head of audit reports to the audit committee. And we have a head of corporate governance who looks at all our processes, procedures, [and] delegation of authority [and] who reports to the nomination and governance committee of the board. And
then what we have been doing for the last two-and-a-half years is an intense amount of training about what we want our culture to be and our governance to be like. But the fact of the matter is [in] that [area] you are never done.
IW: Why, as a part of restructuring, have you closed 227 facilities, shed 8,100 people, and sold 27 businesses for $2.1 billion?
Breen: When we really analyzed how we were going [to make the company more efficient and save money], we decided that we wanted to do a pretty large restructuring in fiscal '04 [which ended Sept. 30, 2004]. That's [when] we closed those facilities and reduced the head count. Restructuring and efficiency actions will continue in this company, and, quite frankly, will contribute a lot to our profitability over the next few years. [As to] the businesses that we sold . . . we very simply did an analysis of our portfolio and wanted to make the decision on what was core and strategic to the portfolio going forward and what potentially wasn't. When I [say] strategic [I mean] did it fit in one of the four core segments we wanted to grow long term. [Our] core [segments] are fire and security; health care; electronics; and what I would call engineered products or infrastructure services. They are great industries to be in; they have great growth dynamics; and we have a leading global position in these markets.
IW: What roles are Six Sigma and strategic sourcing playing in your building Tyco into an "operating" company?
Breen: When we say we're working to become world-class in operating, what we're doing are two things internally.
We are very focused on organic revenue growth -- where can we drive additional growth in our core businesses without doing acquisitions.
The second area is what I would call the operating excellence or operating intensity area. And under that falls Six Sigma, strategic sourcing, the rationalization of our real estate footprint and our focus on improving working capital. [Operating excellence] is really a catalyst, and what I would say is a culture of how we want to run this company for continuous improvement.
INDUSTRYWEEK: LEADERSHIP IN MANUFACTURING -- Restoring Credibility
In my point view Ed Breen of Tyco have done well within the period, since he come onboard. I congratulate him for his success.
From my personal Experience & views is that, the Leadership is certainly a critical factor in leading the Change & establish the New Corporate culture.
These "Changes" involve the setting of Vision, Mission, Achievable Goal, Short Term & Long Term Strategic Planning, the next is organize the Team/ Team's, translate these keys into the Human Resources, Financial, Auditing, Operating, Manufacturing, Marketing, Sales, Logistics, Customer Services..etc.
Technology..Tools.. Software...Hardware obviously important. But the single most significant people overlooked is "People".
Very often when come to restructuring is concern. New leader tend to eliminate the layer once seem un-neccessary, it may be ignorance to creating a new structure which is more roots cutting then branches trimming. In the case of the audit committee, it shall be reporting to the Board management committe.
After having the Audit report once it is accepted, there must be a Culture Implementation team to Lead the Change & implementation.
Yes training & education on corporation wide is important, it shall be enlarge to extending the training/awareness to the close partners such as suppliers & customers.
Then, the must be a close root control & monitoring system to measure the efficiencies & effectiveness of each implementation & it's success.
Well, in my experience on the initializing "New Corporate Culture", One need the Skillful Learship, it also need the most significant "People" element & their committed "Mindset" for "Change"; the "Positive Change".
Restoring Credibility
Ed Breen, Tyco International's chairman and CEO, works to gain the trust of investors, customers, government regulators and employees.
By John S. McClenahen
Two years ago, when television portrayed Tyco International Ltd., a Bermuda-incorporated conglomerate, the focus usually was on the alleged misdeeds of previous management. Today, Tyco still is seen on television but in commercials that positively portray the $40 billion company's core products and services. This change is a product of the leadership of Edward Breen Jr., a former president and COO of Motorola Inc. who's been Tyco chairman and CEO since July 2002.
IW: You have said that the biggest challenge you've had since your arrival has been the process of restoring trust in Tyco's leadership. Where are you now in that process?
Breen: When I arrived [just over] two-and-a-half years ago, it was clear to me that the board of directors of Tyco needed to be changed, and we did that with every single person. And the senior corporate management needed significant change, and [now] the whole corporate team is basically new. To me,
No. 1 was [getting] the right leaders in place. On that task we're where we want to be.
The other area we spent a lot of time focusing on was the corporate governance side, and we certainly instituted a lot of structural change. For instance, we now have an ombudsman who reports to the audit committee.
We have doubled the size of our audit team, and the head of audit reports to the audit committee. And we have a head of corporate governance who looks at all our processes, procedures, [and] delegation of authority [and] who reports to the nomination and governance committee of the board. And
then what we have been doing for the last two-and-a-half years is an intense amount of training about what we want our culture to be and our governance to be like. But the fact of the matter is [in] that [area] you are never done.
IW: Why, as a part of restructuring, have you closed 227 facilities, shed 8,100 people, and sold 27 businesses for $2.1 billion?
Breen: When we really analyzed how we were going [to make the company more efficient and save money], we decided that we wanted to do a pretty large restructuring in fiscal '04 [which ended Sept. 30, 2004]. That's [when] we closed those facilities and reduced the head count. Restructuring and efficiency actions will continue in this company, and, quite frankly, will contribute a lot to our profitability over the next few years. [As to] the businesses that we sold . . . we very simply did an analysis of our portfolio and wanted to make the decision on what was core and strategic to the portfolio going forward and what potentially wasn't. When I [say] strategic [I mean] did it fit in one of the four core segments we wanted to grow long term. [Our] core [segments] are fire and security; health care; electronics; and what I would call engineered products or infrastructure services. They are great industries to be in; they have great growth dynamics; and we have a leading global position in these markets.
IW: What roles are Six Sigma and strategic sourcing playing in your building Tyco into an "operating" company?
Breen: When we say we're working to become world-class in operating, what we're doing are two things internally.
We are very focused on organic revenue growth -- where can we drive additional growth in our core businesses without doing acquisitions.
The second area is what I would call the operating excellence or operating intensity area. And under that falls Six Sigma, strategic sourcing, the rationalization of our real estate footprint and our focus on improving working capital. [Operating excellence] is really a catalyst, and what I would say is a culture of how we want to run this company for continuous improvement.
INDUSTRYWEEK: LEADERSHIP IN MANUFACTURING -- Restoring Credibility
Friday, January 28, 2005
Steve Ballmer - Microsoft CEO helps Microsoft enter its 30s gracefully
I am fortunate to be able to learn about Marketing & Sales, Import & Export, Wholesales & Retails business begining at the age of 7th.
During my childhood days, I have witness many social unrest, arsonal activities, killing between difference ethnic group's. There is also a strong movement of National independance between late 50's & early 70's in South East Asia. Thus it available the opportunities for the situation or circumstances (Political) Leader's to be born.
When I look into the word "Risk" in English term is just "Risk", However, in the Chinese Word, it is spell as 2 character "Wei Chi" translate to english mean "Danger Opportunity"!!!!
So these is the bases for a Nation to Renew Itself for Longevity that need what?? Leader....Leadership....
Stop the violence & barbaric action's...killing...Arsonal's..Murder....that called for redefinethe continuity culture to unite the people underone...
Now, recall back what the Chinese philosopher - Meng Tze said If the Nation is not at the risk of enemy, then there is no ground for a great leader to be born. If the family is not facing any crisis, then there is no opportunity for the Brother's & Sister's to united underone roof.
These theory his actually passed on by "Lao Tze" to "Confusius" then "Meng Tze" then "Kwei Ku Tze" the teacher of "Sun Tze".
As everyone know, Sun Tze is a great Military Strategist. Today his strategies not only applied in military battle front, it also have been used as the guild for political leader's to govern the nation.
In my paper works Creating Excellence Philips Corporate Culture(1989-1990); for Philips B.V.. I have made many reference into Prince Sidhata, Lao Tze, Jiang Tze Ya, Confusius, Meng Tze, Sun Tze, Chun Tze & Kong Ming...idealogy & philosophies, integrate with my exposure with US, Europe, Japan & Local as well as my family culture plus my own divine on Corporate Culture; Leadership & its relationship to Longevity of a corporation.
I believe Steve Ballmer bring along his foundation from P&G, a consumer products corporation. As the evolutions of PC & convergent of Computers & Communications. The timing is just right for him to brand it to the best interest of Microsoft for the present time.
As the Buddha said:
Because of The Past
There is A Present
Because of The Present
There is A Future
&
Nothing is Impermanent
Hence, be it a Nation, Society, Corporation & Family no entity would be excluded on the said phenomenal above.
I will write more on Corporate-Culture-Leadership of this Blog.
CEO helps Microsoft enter its 30s gracefully
By Kevin Maney, USA TODAY
REDMOND, Wash. — The clock says 8 a.m. CEO Steve Ballmer has been up since 4:45, has worked out and been in the office for a while. Tall coffee in hand, he's already his famous self: revved up, voluble, funny, charming and launching into a root-root-root for the home team.
Microsoft does 'amazing things on a regular basis,' CEO Steve Ballmer says.
By Ed Wray, AP
In an interview, Ballmer talks a lot about how, five years after Chairman Bill Gates made him CEO, he is redefining Microsoft for its next phase, making it more disciplined and decentralized. Though Microsoft (MSFT) has a reputation as a bully in the technology industry, Ballmer is trying to make it a better corporate citizen. (Related: Ballmer shares strategy on moving forward)
As the company enters its 30th year, Ballmer, 48, is nudging Microsoft to make a transition to an enduring corporation — a General Electric or an IBM — that can long outlive its founders. To get there, Ballmer has driven structural and cultural change through the software giant.
While it's clear that Microsoft is changing, old behaviors die hard. When Ballmer gets talking about how Microsoft must be first with technology innovations — which, so far in Microsoft's history, has not often happened — the exchange is more like vintage pugilistic Microsoft.
Ballmer: "You've got to be not just first in an area; you've got to be first with important innovations even in areas that you've pioneered."
USA TODAY reporter: "Well, you guys have proved over and over again being first is not necessarily ..."
Ballmer: "We love to be first."
Reporter: "You love to be first but ..."
Ballmer: "We love to be first."
Reporter: "You certainly weren't the first — you know, I mean, here looking at your ..."
Ballmer: "We love to be first. Well, our big success is Windows. We were first. Windows, we were first — and then everybody faded out because there was a period during which the concept was — I mean, Apple stuck around with their concept of that, but everybody else faded out, basically."
Tech people must be scratching their heads. Windows wasn't the first graphical user interface — that was invented by Xerox and was first made popular by Apple Computer. Microsoft didn't have the first browser or video player or cell phone operating system. Time and again, the company has come in late and, in many cases, won the day with tenacity. It is a strength Microsoft could boast about but doesn't.
The yin and yang — past and future — in Ballmer's remarks echo around Microsoft. In interviews with nearly a dozen Microsoft executives, the company sometimes seems to be grappling with which parts of itself to leave behind and which parts it can't live without. Change is happening. But it apparently isn't easy, and it's not yet evident what kind of company Microsoft is becoming.
"The problem isn't that Microsoft can't change," says Jeffrey Tarter, editor of influential newsletter Softletter. "The real problem is it's not at all clear how the company should change."
Four keys to its strategy
For one thing, Microsoft has a mission problem.
Until recently, its underlying strategy was fairly simple: Drive computer sales. Microsoft made most of its money when new computers were sold loaded with Microsoft's operating system and applications such as Word and Excel. Its well-known mission mantra was, "A computer on every desktop and in every home."
But by the late-1990s, computers had landed on most desktops and in most homes, and Microsoft had moved into other markets such as video games and handheld computers. Ballmer has come up with a new mission and strategy, but it's no longer so clear to employees or the outside world. For instance, asked to describe the company's strategy, the head of Microsoft Research, Rick Rashid, chuckles and says: "I'm not sure the company has an overall strategy. It has lots of different strategies."
Microsoft's new mission: "Enabling people and businesses around the world to realize their full potential."
"So you could say, 'OK, that sounds kind of soft and fluffy,' " Ballmer says. "But I would say it is galvanizing and allows us to think appropriately broadly. We know our core competence is software, and we can think broadly about where software can have this sort of big and broad and important impact."
Underneath that mission, Ballmer sees four keys to Microsoft's emerging strategy.
"First and foremost, we are a platform company," he says.
Microsoft makes software that others can build on. Windows is a platform. So are Word and Excel. Third parties build specialized applications on top of those Microsoft products. Microsoft's Xbox, cell phone operating systems and the Media PC are also platforms.
PC sales don't provide enough growth anymore, so Microsoft has to have its software in other devices that have growing sales. That's why it keeps expanding from PCs.
Next, all Microsoft platforms must embrace three capabilities: security (from viruses, identity theft, etc.), communications (helping devices connect to networks) and search and information management (which applies to everything from searching the Web to finding what you want to watch out of 500 TV channels). Microsoft has struggled with security and is behind competitors in search.
Finally, Microsoft products have to integrate with each other. In Microsoft's eyes, that's a benefit to users. The integration makes it easy to move among software programs and devices. In the eyes of many competitors and some government agencies, that can be a way for Microsoft to shut out competition.
A new culture begins to evolve
Ballmer, in a checked shirt, open collar and gray pants, leans way back in his chair and puts his feet on the edge of the conference room table. One-on-one, he's much different from Gates — more relaxed and garrulous. His personality is affecting the corporate culture more than ever.
He seems to want to do something about Microsoft's reputation as a brass-knuckled competitor and as an arrogant or uncaring supplier and partner. Part of the problem, Ballmer says, has been Microsoft's self-perception. It didn't understand how powerful it had become. Taking cues from Gates, Microsoft still thought like an underdog start-up.
"For many years, we did what we saw as our jobs," Ballmer says. "Then we went through a process where we kind of learned that people had expectations for us that were broader than that."
In the past year, Ballmer forged a rapprochement with former archenemy Sun Microsystems and improved a bitter relationship with the European Union. His message to employees is to play hard but be considerate.
"This is a very goal-oriented company," says Alison Watson, a vice president. "It used to be that the goal was to get X number of wins. Now there's more about winning with grace." Time will tell whether competitors feel they've been beaten graciously.
Ballmer seems to be showing Microsoft how to listen rather than dictate. "Since Steve has taken over, they've added a customer-facing DNA like they've never had before," says Mark Templeton, CEO of Citrix Systems, now a Microsoft partner but a company that Microsoft previously tried to crush. "They are listening and acting. It's more of a business point of view, where they used to want to get into a technical shootout."
On the campus, Microsoft's Darwinian culture of competition is easing a bit. One sign: Gates, famous for withering attacks on unprepared employees in meetings, has altered his approach a bit. "Bill still yells at people," research chief Rashid says. "But he's more thoughtful about what he says and how he will affect what will happen."
Going deeper than personalities
Ballmer gets talking about the two broad purposes of his job. First, he says, he's there to run the 60,000-employee company day to day. To describe the other half, he brings up a text that's probably not on most MBAs' reading lists: 19th century sociologist Max Weber's theories on "the routinization of charisma." It's about "how the transitions work from these sort of strong, powerful, charismatic leaders" to a next generation, when the leader is gone or in a different role, Ballmer says.
"That's what we're trying to do," he continues. "We have to be a place that can, with great energy and passion that's baked into the place, do amazing things on a regular basis. We have to be able to predictably do the amazing."
Ballmer recognizes that "predictably do the amazing" can sound oxymoronic. The challenge is to set up a structure and process that allow that to happen, without getting too bureaucratic or losing the passion of the founder, says Yale University's Jeffrey Sonnenfeld, who studies CEOs.
So what is Ballmer's tack?
One key is reducing the Bill and Steve factor inside Microsoft. Gates and Ballmer stay involved in business decisions and technology developments at a deeper level than top officers at many companies. But as Microsoft gets broader and bigger, Gates and Ballmer are trying to be less involved in details.
"I'm steering," Ballmer says. "I'm giving a nudge in directions that I think are important. But at the end of the day, it's not like it was five years ago, where I would have said I have my hands on the levers."
Ballmer in 2002 divided Microsoft into seven business units: business solutions, servers and tools, mobile and embedded devices, home and entertainment, MSN, client, and information worker. Each is responsible for its own profits and losses and even has its own CFO. The structure has helped push decisions out from Ballmer and Gates because managers run their units like somewhat independent businesses — to an extent.
"You don't run Microsoft the way you run General Electric," says Senior Vice President Will Poole. GE is an agglomeration of very different businesses, from jet engines to home appliances. "We have to drive integration across products so they work together and are greater than the sum of the parts," Poole says.
Still, executives say the reorganization is the most profound change Ballmer has brought. Microsoft has long been a product-focused company: Teams worked on Word, Windows, etc. Under the new structure, "People think about their business instead of their products," says Suzan DelBene, a marketing vice president.
"While Gates and Ballmer are still in the middle of the transition, I think they'll be successful in the same way they are with products," says J.P. Auffret, director of technology management studies at George Mason University. "They'll continue to make adjustments" until the company gets it right, he says.
Which, again, is how Microsoft works.
More immediate concerns
"I don't know if (Microsoft is in) phase one or phase two," Ballmer says about Microsoft's transition. "Maybe it's actually phase about three to phase about four, but at least as a bigger company, we're graduating from somehow a phase one to a phase two."
With that, Ballmer grins.
The evolution of Microsoft is not the most pressing issue on Ballmer's desk every day. Microsoft's business is healthy enough financially. Revenue was $23 billion when Ballmer became CEO in fiscal 2000 and hit $36.8 billion in fiscal 2004 — 60% growth in four years.
On other fronts, Linux continues to give Microsoft fits in server operating systems. Open source browser Firefox has been luring away users of Microsoft's Explorer. Microsoft faces powerful competition in cell phone operating systems, game consoles and TV set-top boxes. Read More....
USATODAY.com - CEO helps Microsoft enter its 30s gracefully
During my childhood days, I have witness many social unrest, arsonal activities, killing between difference ethnic group's. There is also a strong movement of National independance between late 50's & early 70's in South East Asia. Thus it available the opportunities for the situation or circumstances (Political) Leader's to be born.
When I look into the word "Risk" in English term is just "Risk", However, in the Chinese Word, it is spell as 2 character "Wei Chi" translate to english mean "Danger Opportunity"!!!!
So these is the bases for a Nation to Renew Itself for Longevity that need what?? Leader....Leadership....
Stop the violence & barbaric action's...killing...Arsonal's..Murder....that called for redefinethe continuity culture to unite the people underone...
Now, recall back what the Chinese philosopher - Meng Tze said If the Nation is not at the risk of enemy, then there is no ground for a great leader to be born. If the family is not facing any crisis, then there is no opportunity for the Brother's & Sister's to united underone roof.
These theory his actually passed on by "Lao Tze" to "Confusius" then "Meng Tze" then "Kwei Ku Tze" the teacher of "Sun Tze".
As everyone know, Sun Tze is a great Military Strategist. Today his strategies not only applied in military battle front, it also have been used as the guild for political leader's to govern the nation.
In my paper works Creating Excellence Philips Corporate Culture(1989-1990); for Philips B.V.. I have made many reference into Prince Sidhata, Lao Tze, Jiang Tze Ya, Confusius, Meng Tze, Sun Tze, Chun Tze & Kong Ming...idealogy & philosophies, integrate with my exposure with US, Europe, Japan & Local as well as my family culture plus my own divine on Corporate Culture; Leadership & its relationship to Longevity of a corporation.
I believe Steve Ballmer bring along his foundation from P&G, a consumer products corporation. As the evolutions of PC & convergent of Computers & Communications. The timing is just right for him to brand it to the best interest of Microsoft for the present time.
As the Buddha said:
Because of The Past
There is A Present
Because of The Present
There is A Future
&
Nothing is Impermanent
Hence, be it a Nation, Society, Corporation & Family no entity would be excluded on the said phenomenal above.
I will write more on Corporate-Culture-Leadership of this Blog.
CEO helps Microsoft enter its 30s gracefully
By Kevin Maney, USA TODAY
REDMOND, Wash. — The clock says 8 a.m. CEO Steve Ballmer has been up since 4:45, has worked out and been in the office for a while. Tall coffee in hand, he's already his famous self: revved up, voluble, funny, charming and launching into a root-root-root for the home team.
Microsoft does 'amazing things on a regular basis,' CEO Steve Ballmer says.
By Ed Wray, AP
In an interview, Ballmer talks a lot about how, five years after Chairman Bill Gates made him CEO, he is redefining Microsoft for its next phase, making it more disciplined and decentralized. Though Microsoft (MSFT) has a reputation as a bully in the technology industry, Ballmer is trying to make it a better corporate citizen. (Related: Ballmer shares strategy on moving forward)
As the company enters its 30th year, Ballmer, 48, is nudging Microsoft to make a transition to an enduring corporation — a General Electric or an IBM — that can long outlive its founders. To get there, Ballmer has driven structural and cultural change through the software giant.
While it's clear that Microsoft is changing, old behaviors die hard. When Ballmer gets talking about how Microsoft must be first with technology innovations — which, so far in Microsoft's history, has not often happened — the exchange is more like vintage pugilistic Microsoft.
Ballmer: "You've got to be not just first in an area; you've got to be first with important innovations even in areas that you've pioneered."
USA TODAY reporter: "Well, you guys have proved over and over again being first is not necessarily ..."
Ballmer: "We love to be first."
Reporter: "You love to be first but ..."
Ballmer: "We love to be first."
Reporter: "You certainly weren't the first — you know, I mean, here looking at your ..."
Ballmer: "We love to be first. Well, our big success is Windows. We were first. Windows, we were first — and then everybody faded out because there was a period during which the concept was — I mean, Apple stuck around with their concept of that, but everybody else faded out, basically."
Tech people must be scratching their heads. Windows wasn't the first graphical user interface — that was invented by Xerox and was first made popular by Apple Computer. Microsoft didn't have the first browser or video player or cell phone operating system. Time and again, the company has come in late and, in many cases, won the day with tenacity. It is a strength Microsoft could boast about but doesn't.
The yin and yang — past and future — in Ballmer's remarks echo around Microsoft. In interviews with nearly a dozen Microsoft executives, the company sometimes seems to be grappling with which parts of itself to leave behind and which parts it can't live without. Change is happening. But it apparently isn't easy, and it's not yet evident what kind of company Microsoft is becoming.
"The problem isn't that Microsoft can't change," says Jeffrey Tarter, editor of influential newsletter Softletter. "The real problem is it's not at all clear how the company should change."
Four keys to its strategy
For one thing, Microsoft has a mission problem.
Until recently, its underlying strategy was fairly simple: Drive computer sales. Microsoft made most of its money when new computers were sold loaded with Microsoft's operating system and applications such as Word and Excel. Its well-known mission mantra was, "A computer on every desktop and in every home."
But by the late-1990s, computers had landed on most desktops and in most homes, and Microsoft had moved into other markets such as video games and handheld computers. Ballmer has come up with a new mission and strategy, but it's no longer so clear to employees or the outside world. For instance, asked to describe the company's strategy, the head of Microsoft Research, Rick Rashid, chuckles and says: "I'm not sure the company has an overall strategy. It has lots of different strategies."
Microsoft's new mission: "Enabling people and businesses around the world to realize their full potential."
"So you could say, 'OK, that sounds kind of soft and fluffy,' " Ballmer says. "But I would say it is galvanizing and allows us to think appropriately broadly. We know our core competence is software, and we can think broadly about where software can have this sort of big and broad and important impact."
Underneath that mission, Ballmer sees four keys to Microsoft's emerging strategy.
"First and foremost, we are a platform company," he says.
Microsoft makes software that others can build on. Windows is a platform. So are Word and Excel. Third parties build specialized applications on top of those Microsoft products. Microsoft's Xbox, cell phone operating systems and the Media PC are also platforms.
PC sales don't provide enough growth anymore, so Microsoft has to have its software in other devices that have growing sales. That's why it keeps expanding from PCs.
Next, all Microsoft platforms must embrace three capabilities: security (from viruses, identity theft, etc.), communications (helping devices connect to networks) and search and information management (which applies to everything from searching the Web to finding what you want to watch out of 500 TV channels). Microsoft has struggled with security and is behind competitors in search.
Finally, Microsoft products have to integrate with each other. In Microsoft's eyes, that's a benefit to users. The integration makes it easy to move among software programs and devices. In the eyes of many competitors and some government agencies, that can be a way for Microsoft to shut out competition.
A new culture begins to evolve
Ballmer, in a checked shirt, open collar and gray pants, leans way back in his chair and puts his feet on the edge of the conference room table. One-on-one, he's much different from Gates — more relaxed and garrulous. His personality is affecting the corporate culture more than ever.
He seems to want to do something about Microsoft's reputation as a brass-knuckled competitor and as an arrogant or uncaring supplier and partner. Part of the problem, Ballmer says, has been Microsoft's self-perception. It didn't understand how powerful it had become. Taking cues from Gates, Microsoft still thought like an underdog start-up.
"For many years, we did what we saw as our jobs," Ballmer says. "Then we went through a process where we kind of learned that people had expectations for us that were broader than that."
In the past year, Ballmer forged a rapprochement with former archenemy Sun Microsystems and improved a bitter relationship with the European Union. His message to employees is to play hard but be considerate.
"This is a very goal-oriented company," says Alison Watson, a vice president. "It used to be that the goal was to get X number of wins. Now there's more about winning with grace." Time will tell whether competitors feel they've been beaten graciously.
Ballmer seems to be showing Microsoft how to listen rather than dictate. "Since Steve has taken over, they've added a customer-facing DNA like they've never had before," says Mark Templeton, CEO of Citrix Systems, now a Microsoft partner but a company that Microsoft previously tried to crush. "They are listening and acting. It's more of a business point of view, where they used to want to get into a technical shootout."
On the campus, Microsoft's Darwinian culture of competition is easing a bit. One sign: Gates, famous for withering attacks on unprepared employees in meetings, has altered his approach a bit. "Bill still yells at people," research chief Rashid says. "But he's more thoughtful about what he says and how he will affect what will happen."
Going deeper than personalities
Ballmer gets talking about the two broad purposes of his job. First, he says, he's there to run the 60,000-employee company day to day. To describe the other half, he brings up a text that's probably not on most MBAs' reading lists: 19th century sociologist Max Weber's theories on "the routinization of charisma." It's about "how the transitions work from these sort of strong, powerful, charismatic leaders" to a next generation, when the leader is gone or in a different role, Ballmer says.
"That's what we're trying to do," he continues. "We have to be a place that can, with great energy and passion that's baked into the place, do amazing things on a regular basis. We have to be able to predictably do the amazing."
Ballmer recognizes that "predictably do the amazing" can sound oxymoronic. The challenge is to set up a structure and process that allow that to happen, without getting too bureaucratic or losing the passion of the founder, says Yale University's Jeffrey Sonnenfeld, who studies CEOs.
So what is Ballmer's tack?
One key is reducing the Bill and Steve factor inside Microsoft. Gates and Ballmer stay involved in business decisions and technology developments at a deeper level than top officers at many companies. But as Microsoft gets broader and bigger, Gates and Ballmer are trying to be less involved in details.
"I'm steering," Ballmer says. "I'm giving a nudge in directions that I think are important. But at the end of the day, it's not like it was five years ago, where I would have said I have my hands on the levers."
Ballmer in 2002 divided Microsoft into seven business units: business solutions, servers and tools, mobile and embedded devices, home and entertainment, MSN, client, and information worker. Each is responsible for its own profits and losses and even has its own CFO. The structure has helped push decisions out from Ballmer and Gates because managers run their units like somewhat independent businesses — to an extent.
"You don't run Microsoft the way you run General Electric," says Senior Vice President Will Poole. GE is an agglomeration of very different businesses, from jet engines to home appliances. "We have to drive integration across products so they work together and are greater than the sum of the parts," Poole says.
Still, executives say the reorganization is the most profound change Ballmer has brought. Microsoft has long been a product-focused company: Teams worked on Word, Windows, etc. Under the new structure, "People think about their business instead of their products," says Suzan DelBene, a marketing vice president.
"While Gates and Ballmer are still in the middle of the transition, I think they'll be successful in the same way they are with products," says J.P. Auffret, director of technology management studies at George Mason University. "They'll continue to make adjustments" until the company gets it right, he says.
Which, again, is how Microsoft works.
More immediate concerns
"I don't know if (Microsoft is in) phase one or phase two," Ballmer says about Microsoft's transition. "Maybe it's actually phase about three to phase about four, but at least as a bigger company, we're graduating from somehow a phase one to a phase two."
With that, Ballmer grins.
The evolution of Microsoft is not the most pressing issue on Ballmer's desk every day. Microsoft's business is healthy enough financially. Revenue was $23 billion when Ballmer became CEO in fiscal 2000 and hit $36.8 billion in fiscal 2004 — 60% growth in four years.
On other fronts, Linux continues to give Microsoft fits in server operating systems. Open source browser Firefox has been luring away users of Microsoft's Explorer. Microsoft faces powerful competition in cell phone operating systems, game consoles and TV set-top boxes. Read More....
USATODAY.com - CEO helps Microsoft enter its 30s gracefully
Thursday, January 27, 2005
Corporate Leadership And Corporate Culture
Today I annouce the Birth of This Site
Corporate Leadership & Corporate Culture.
I shall share my experience & thoughts...Knowledge with everyone
Stay in tune..........
Corporate Leadership & Corporate Culture.
I shall share my experience & thoughts...Knowledge with everyone
Stay in tune..........
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