• Succession and Failure (HBR Case Study and Commentary)

    Norman Windom, the chairman of Tiverton Media, may not know much about the world of popular music, but he does fancy himself a careful planner and a superb judge of managerial talent. That's why he's been grooming COO Sean Kinnane, a Wharton-minted numbers man, to take over an important division, Aleph Records, and one day Tiverton itself. But Derek Solomon, Aleph's 68-year-old CEO and founder, remains a creative force and a father figure to the label's artists. What's more, he's touchy about anything that might slow down Aleph's responses to the market's ever-shifting preferences--or that might call into question his indispensability. Though Sean dutifully participates in Tiverton's broad-based and elaborate executive development plan, he senses that Aleph's future leadership structure is uncertain. As impatient as he is ambitious, he announces that he's leaving Tiverton for more suitable pastures. Several of his associates, also unsure about their fate within Aleph, are following him out the door. In one fell swoop, they've torn Norman's proud succession plan apart. What kind of plan should the board adopt going forward? Commenting on this fictional case study in R0406A and R0406Z are Francis N. Bonsignore, a senior vice-president at Marsh & McLennan; Michelle L. Buck, a clinical associate professor of management and organizations at Northwestern's Kellogg School of Management; Jon Younger, who heads leadership development at National City Corp., a financial holding company in Cleveland; and Thomas Leppert, the chairman and CEO of the Turner Corp., a large construction company in Dallas.
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  • Succession and Failure (HBR Case Study)

    Norman Windom, the chairman of Tiverton Media, may not know much about the world of popular music, but he does fancy himself a careful planner and a superb judge of managerial talent. That's why he's been grooming COO Sean Kinnane, a Wharton-minted numbers man, to take over an important division, Aleph Records, and one day Tiverton itself. But Derek Solomon, Aleph's 68-year-old CEO and founder, remains a creative force and a father figure to the label's artists. What's more, he's touchy about anything that might slow down Aleph's responses to the market's ever-shifting preferences--or that might call into question his indispensability. Though Sean dutifully participates in Tiverton's broad-based and elaborate executive development plan, he senses that Aleph's future leadership structure is uncertain. As impatient as he is ambitious, he announces that he's leaving Tiverton for more suitable pastures. Several of his associates, also unsure about their fate within Aleph, are following him out the door. In one fell swoop, they've torn Norman's proud succession plan apart. What kind of plan should the board adopt going forward? Commenting on this fictional case study in R0406A and R0406Z are Francis N. Bonsignore, a senior vice-president at Marsh & McLennan; Michelle L. Buck, a clinical associate professor of management and organizations at Northwestern's Kellogg School of Management; Jon Younger, who heads leadership development at National City Corp., a financial holding company in Cleveland; and Thomas Leppert, the chairman and CEO of the Turner Corp., a large construction company in Dallas.
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  • Succession and Failure (Commentary for HBR Case Study)

    Norman Windom, the chairman of Tiverton Media, may not know much about the world of popular music, but he does fancy himself a careful planner and a superb judge of managerial talent. That's why he's been grooming COO Sean Kinnane, a Wharton-minted numbers man, to take over an important division, Aleph Records, and one day Tiverton itself. But Derek Solomon, Aleph's 68-year-old CEO and founder, remains a creative force and a father figure to the label's artists. What's more, he's touchy about anything that might slow down Aleph's responses to the market's ever-shifting preferences--or that might call into question his indispensability. Though Sean dutifully participates in Tiverton's broad-based and elaborate executive development plan, he senses that Aleph's future leadership structure is uncertain. As impatient as he is ambitious, he announces that he's leaving Tiverton for more suitable pastures. Several of his associates, also unsure about their fate within Aleph, are following him out the door. In one fell swoop, they've torn Norman's proud succession plan apart. What kind of plan should the board adopt going forward? Commenting on this fictional case study in R0406A and R0406Z are Francis N. Bonsignore, a senior vice-president at Marsh & McLennan; Michelle L. Buck, a clinical associate professor of management and organizations at Northwestern's Kellogg School of Management; Jon Younger, who heads leadership development at National City Corp., a financial holding company in Cleveland; and Thomas Leppert, the chairman and CEO of the Turner Corp., a large construction company in Dallas.
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  • Enemies of Trust

    Researchers have established that trust is critical to organizational effectiveness. Being trustworthy yourself, however, does not guarantee that you are capable of building trust in an organization. That takes old-fashioned managerial virtues like consistency, clear communication, and a willingness to tackle awkward questions. It also requires a good defense: You must protect trust from its enemies. Any act of bad management erodes trust. Among the most common enemies of trust are inconsistent messages from top management, inconsistent standards, a willingness to tolerate incompetence or bad behavior, dishonest feedback, a failure to trust others to do good work, a tendency to ignore painful or politically charged situations, consistent corporate underperformance, and rumors. Fending off these enemies must be at the top of every chief executive's agenda. But even with constant vigilance, an organization and its leaders will sometimes lose people's trust. During a crisis, managers should enlist the help of an objective third party.
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  • Why Doesn't This HR Department Get Any Respect?

    This fictitious case outlines the dilemma faced by Luke Robinson, the new head of human resources at Loft Securities, a financial services firm. Robinson took the job because he thought it would be a rewarding challenge: Loft Securities needed someone to expand the role of the human resources department from being purely administrative to having significant input in recruiting, development, and strategic planning. The problem is, despite his best efforts, the firm's senior management team just won't let HR break out of its administrative mold. Robinson must decide: Should he hang up his hat, or is there a way to help the company understand just how--and how much--HR can contribute? Five commentators on this fictional case study explain why he should avoid quitting and how he can help his department earn new respect. The author, Robert Galford, consults with senior managers on performance, organizational, and career issues and teaches executive education at Columbia University's Graduate School of Business in New York City and at Northwestern University's J.L. Kellogg Graduate School of Management in Evanston, Illinois.
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  • When an Executive Defects (HBR Case and Commentary)

    The news that one of the company's senior managers is leaving comes as a complete surprise to Paul Simmonds, CEO of Kinsington Textiles, Inc. (KTI). Ned Carpenter, KTI's vice president of operations for three years, writes in his resignation letter that he is leaving for a better opportunity. Simmonds soon learns that Carpenter's new job is at Daltex, one of KTI's main rivals in the intensely competitive carpet industry. In this fictitious case study, Simmonds, along with the company's counsel and vice president of human resources, must figure out how much and what sort of damage control they need. Five experts offer advice about communicating with KTI's employees, the media, and Carpenter himself, and about protecting the company's confidential information. In 97111 and 97111Z, Kenneth L. Coleman, Stephen A. Greyser, Hal Burlingame, Rob Galford, and Gregory S. Rubin offer advice about communicating with KTI's employees, the media, and Carpenter himself, and about protecting the company's confidential information.
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  • When an Executive Defects (Commentary on HBR Case Study)

    The news that one of the company's senior managers is leaving comes as a complete surprise to Paul Simmonds, CEO of Kinsington Textiles, Inc. (KTI). Ned Carpenter, KTI's vice president of operations for three years, writes in his resignation letter that he is leaving for a better opportunity. Simmonds soon learns that Carpenter's new job is at Daltex, one of KTI's main rivals in the intensely competitive carpet industry. In this fictitious case study, Simmonds, along with the company's counsel and vice president of human resources, must figure out how much and what sort of damage control they need. In 97111 and 97111Z, Kenneth L. Coleman, Stephen A. Greyser, Hal Burlingame, Rob Galford, and Gregory S. Rubin offer advice about communicating with KTI's employees, the media, and Carpenter himself, and about protecting the company's confidential information.
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