Saturday, October 28, 2006

Business Schools and Instructors need a Transformation – NOW

Market Share and production losses in the United States began in the mid to late 1970s. Look at the number of U.S. Companies during that time that led the world in Revenue and Market Share (i.e., AT&T, GM, Ford, etc.).

Now look at these companies today, a poor shell of what they were in the so-called Glory Days. One main cause that is found in all of these companies has been poor management. So from a Quality perspective what is the input or place that produces poor managers in such abundance? One might say poor managers learn their skills on the job, which is true in many cases. However, the University and Colleges in the United States needs a major transformation in the way they are producing our industry leaders and managers.

Why is it that so many leaders are short sighted in planning and strategy and think the only way to manage are by result measures and bottom line finances? Is it because that is what they learn in most of the business texts and then the professor or instructor teaching the class reinforces the information?

I taught Management and Business in a University and I have many of the textbooks. I sat in many of classes where the instructor would not allow difference of opinions on how to manage and lead that contradicted the text or their research. In other words they did not want to hear from the workers or low to middle range managers that took the brunt of poor manager decisions.

I can still remember studying with a Japanese Graduate Student in 1981 when we both took the same management class. He was from Kyoto and was in the United States studying Hotel Management. He told me how disgruntled he was because the perception he had prior to coming to the United States was that he would return home with knowledge that would land him an excellent job.

What he was learning was to concentrate on the bottom line and make sure your finances were in order and get the best Chief Financial officer you could find. There was no mention of customers except that is who bought your services. Employees were workers who got paid to do a job and long term planning was a no no and thought “Systems Thinking” was something from the IT Department

Has anything changed?

Yes, two of the companies are fighting for their survival; one died and was brought back to life in name only (R.I.P. Ma Bell).

Updated 10/28/06

M.B.A.s: The Biggest CheatersMarketWatch By Thomas Kostigen Graduate business students take their cue from corporate scandals .

Article at

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