The Canadian government’s promised CAD 13-16 billion welfare grant to Volkswagen (VW) is outrageous! Is this the best use of funds? It’s an abuse of power, a waste of taxes, and it’s crucial it doesn’t happen for three reasons.
I am not against large rewards for CEOs who create sustained value for stakeholders. I get it as a former senior executive in a $24 billion company away from home over 65% of the time working on mergers, acquisitions, partnerships, and other significant corporate matters. My company paid me handsome compensation, bonus, and share options. So, […]
The late management expert Peter F. Drucker, in his book The Effective Executive, states an executive does not have to be a leader. Effective executives, he states, follow eight practices shown under three headings: To gain knowledge, they asked two questions: What needs to be done? What is right for the enterprise? They converted knowledge to effective […]
A worker shortage might be excellent news for the economy! Maybe, just maybe, firms will awake and see workers’ substantial contribution to their success. Some CEOs take unconscionable sums and destroy their firm’s value, unlike many frontline workers who create value. During the pandemic, CEOs took vast sums as they laid-off workers. Some firms sought bankruptcy protection, but […]
Why do companies hire chief operating officers (COOs) when their efficacy is questionable? A 2004 research found no support for the contingency view explaining when COOs are most beneficial. Instead, it found “CEOs [Chief Executive Officers] who have COOs deliver lower organizational performance than those who do not.” (Hambrick, D., & Cannella, A., 2004).1 Fifty […]
World Economy Saddled With Debt World economies entered the pandemic saddled with debt, which will hamper the pace of economy recovery. Many countries depend on consumer spending to drive their economies (about 70% in the U.S. and Canadian), and during an economic slowdown firms lay off workers who must cut spending. Still, the IMF estimates […]
Setting and maintaining the right culture is an antidote to toxicity. That’s what effective leaders do. Don’t lead with arrogance, unrealistic expectations, throw temper tantrums, or be rude. These negative traits at the top breed toxicity in organizations. If you are always out front with answers, you do not lead a team, you are a maverick!
Apple’s Smartphone Strategy Steve Jobs’ Apple produced the Macintosh computer in 1984 for normal people’s use, not experts. Later, Apple ousted Jobs and developed the Newton in 1993, an outstanding PDA ahead of its time. I have two functioning Newtons, which could have heralded the iPad years earlier if continued. On Jobs return to Apple, […]