[lbo-talk] Junkyard dog hits Motown

Michael Smith mjs at smithbowen.net
Wed May 16 13:40:39 PDT 2007


On Wednesday 16 May 2007 14:13, Doug Henwood wrote:
> On May 16, 2007, at 12:23 PM, Michael Smith wrote:
> > On Wednesday 16 May 2007 07:42, Doug Henwood wrote:
> >> Why have they been so unable to get their shit together?
> >>
> >> From what I've seen of corporate executives, this is a little like
> >> asking why
> >
> > the plague bacillus doesn't take better care of its host.
> >
> > People who are making their way on the inside of big established
> > companies
> > mostly have far more immediate and urgent worries than whether the
> > product is
> > any good. They worry about finding someone else to blame for the
> > latest
> > disaster, about getting promoted, about flattering their boss' idiotic
> > notions and getting a nice bonus, and so on.
>
> So why doesn't this apply to Toyota, Mercedes-Benz, Apple, Hewlett-
> Packard, Nokia, Procter & Gamble....?

Never worked in any of these places. I'm not 100% convinced that they're all equally on-the-ball -- in particular, I've always thought Apple software was an awful dog's breakfast, though their styling is kewl, and Microsoft makes anybody look good. Even Sun. But even so, of course one has to allow the point that some companies do make a better product than others. I daresay it's not monocausal.

An upstart company that succeeds in making a place for itself in an established industry can probably only do so by making a better product than the established players. The organizational equivalent of random genetic mutation no doubt sees to it that companies do come into being that for whatever reason have developed an internal style of work that does make for a better product.

Once companies become established and dominant, though, I suspect that the forces I mentioned before tend to start operating. Maybe the successful, quality-oriented upstart's immune system can resist the executive bacilli for a while, but I doubt that such resistance can continue indefinitely. And moreover, once the infection is well advanced, I bet it's irreversible -- even with a CEO who really does _want_ to reverse it; we shouldn't make the mistake of assuming that CEOs are omnipotent within their their little cosmoi.

Maybe IBM's return from the brink of the grave can be cited as a counter-example to the irreversibility of organizational decay, but I'm not entirely convinced of that -- and IBM is a place where I _have_ worked.



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