What it takes to perseverance in today’s economy – not only survive, but to thrive and flourish? It’s a question that get grown more urgent lately, as we saw once mighty companies such as Merrill Lynch and AIG falter and I crumble. In the investigation lending provisions, banking regulation and derivatives structures insight into the specifics of the crash can make to turn our attention to the intricacies of the subprime mortgage market and asset-backed securities obsc … Read more »

What it takes to perseverance in today’s economy – not only survive, but to thrive and flourish? It’s a question that get grown more urgent lately, as we saw once mighty companies such as Merrill Lynch and AIG falter and I crumble. In the investigation lending provisions, banking regulation and derivatives structures insight into the specifics of the crash can make to turn our attention to the intricacies of the subprime mortgage market and asset-backed securities obscures the real lesson, says the author. He argues that our own management theories are the main culprits – a triumvirate of well-intentioned theories taught and entrenched in every major listed company in every business school the. Intended to ensure longevity and efficiency, they have instead led to the opposite – transience – and contributed significantly to both the technology crash and the 2001-02 financial services crash of 2008. Neither crash had happened, he argues, if our theories were as robust as that are used to govern America’s National Football League (NFL).
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from
Roger Martin
Source: Rotman School of Management
5 pages.
Release Date: 1 April 2009. Prod #: ROT077-PDF-ENG
Undermining Staying Power: The Role of Unhelpful Management Theories HBR case solution