Students of management, business and economics: here's your opportunity. A study of the current political crisis would yield great examples to support the fundamental rules that govern management.
The key ingredient to any successful management is trust between the various stakeholders. Shareholders of companies will only listen to the same promises about planned changes or improved governance for one or two AGMs before they become dissatisfied with mere words. They have too much at stake to just listen to speeches at meetings and take it all lying down. If management doesn't deliver what it promises, the trust is lost. The fall of India's BJP-led government is a classic example of such loss of trust.
Similarly, it is known in management that when a larger majority opposes a particular product design, they will go all out to ensure that it fails. The fact that there are no alternatives immediately available does not deter those who are hell-bent on change. For instance, in Thailand this Beed noticed the masses worked to force out Thaksin without having a clear-cut solution about who would succeed him. Similarly, those in the US gunning for the head of Donald Rumsfeld know that they want him out but are not sure who should replace him. The simple fact that there are no sure alternatives to the Thaksins and the Rumsfelds is no guarantee that they will continue.
 |
Good management is also about being able to see the writing on the wall and being pro-active. Encyclopaedia Britannica, a strong brand and a well-known product, nearly went out of business because it could not adapt to the Internet world. The online free editions of many search engines were providing the encyclopaedia's contents without being burdened by the costs and storage of hard copies that the original copy has to bear. Similarly, instant camera maker Polaroid did not understand the significance of the digital camera on time and is therefore now tilting on the edge of extinction. On the other hand, pager firm Motorola did grasp the importance of cellular phones and managed to transform its core business.
Management is management, be it in business, politics or society. There are a few fundamentals that should never be ignored, or else failing becomes a very easy step.
