Page 59 - Chapter One

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Why it is Time Now for The Management Shift

as if the time has stopped....as if the money matters most, as if the
Internet was not invented and if amazing people are just happy to keep
their job. 97

Another trend in the new management approaches is focusing more on
the customer, as Andrew Mason, the former CEO of Groupon, expressed:
“Have the courage to start with the customer. My biggest regrets are the
moments that I let the lack of data override my intuition on what’s the
best for our customer.” 98

Traditionally, companies have been adopting risk avoidance, detailed
planning, rules, stability and status quo. On the other hand, companies
adopting emerging paradigms are open to experimentation, learning,

reflection and managing on the edge. Detailed long- term strategic
plans are impossible to produce due to constant changes in business
environments. Managers cannot plan all details in advance – no one is
that smart or has a clear crystal ball. A general direction for the future can
be set, and people should be ready to adapt and evolve as environments
change. In traditional management paradigms, for example, the emphasis
is on cost cutting. However, no company has ever shrunk to greatness. 99
According to the traditional management theory, the focus is on estab-
lishing order and control by a few people at the top of the organiza-
tional hierarchy. There is an emphasis on admiring a company’s strength
reflected in its balance sheets. In emerging management approaches, the
emphasis is on admiring the company’s soul reflected by its caring com-
pany culture, which will encourage creativity and innovation, love, pur-
100
pose and compassion and by its philanthropy, where more companies
realize the power of giving back to the society. Given the rapid changes in
business environments, companies are in danger of applying old solutions
to new challenges; emerging management paradigms can provide many
answers.
The extent of the application of emerging management practices in an
organization would depend on the degree of uncertainty, dependency
on knowledge and innovation, challenge faced and the magnitude of the
change sought, and the extent of the use of knowledge for value creation.