Tag: Peter Drucker

The Gaming of Games
Roger L. Martin

Posted on guest3 CommentsPosted in 4th Global Peter Drucker Forum

I have to admit that the thing I like most about Peter Drucker is how often he said things that were dismissed at the time as improbable, extreme or even wacko and 25 years later were considered so obvious that they are assumed to have always been the case. In 1954, he told managers that they should sit down with their direct reports every year and establish objectives by which they will be managed.  Sounded farfetched in 1954 but now you would be considered incompetent if you didn’t manage by objectives. In 1966, he told the business world that its important players would soon be ‘knowledge workers’ not the physical workers that it was used […]

“Capitalism 2.0 Leadership and Paradox Management”
Guest Blog Post by Stephen Rhinesmith

Posted on guest10 CommentsPosted in 4th Global Peter Drucker Forum

The globalized world of 2012 is locked in a debate about the appropriate role of corporations. Should corporations continue to have as their primary purpose the maximization of “shareholder value,” (Capitalism 1.0) or should they also be concerned also about creating “shared value” for the societies in which they operate and the world as a whole? (Capitalism 2.0). Ultimately this is a paradox that leaders at all levels of society will need to be committed to recognize and manage.   The key aspect of a management paradox is that it contains two equally valid, but contradictory viewpoints which need to be managed over time so that neither one is totally neglected. Work-family balance is one […]

Shareholder Value – a theory that changed the course of history – for the better or the worse?

Posted on rstraub8 CommentsPosted in 4th Global Peter Drucker Forum

During the past 30 years, “maximizing shareholder value” has unquestionably become our dominant economic creed with a vast impact on management practice.   Michael Jensen and William Meckling, authors of the famous 1976 Journal of Financial Economics article “Theory of the Firm: Managerial Behavior, Agency Cost and Ownership Structure,” can rightly claim that their paper changed the way corporations have operated: how they’ve been governed, how their top executives have been compensated, what strategic priorities they’ve set, and how they’ve dealt with their human resources.   One might argue, in short, that the article has had a transformative effect on a broad scale—so much so that we should ask whether the recent worldwide economic crisis […]

Management must be a public concern – putting Europe back on a growth path

Posted on rstraub9 CommentsPosted in 4th Global Peter Drucker Forum

Welcome to the new Global Peter Drucker Forum Blog.   As President of the Peter Drucker Society Europe I would like to introduce myself with this short bio. While I will be the main author I will also invite distinguished guest authors to contribute. The blog will cover key management subjects mainly related to the Drucker Forum.     When we discuss management as a key issue for society these days the word has a mostly negative connotation – we tend to talk about management in terms of the damages that short-termism, off-shoring, greed and bad management (in particular in the financial services sector) are inflicting on society.   A round table last week at […]