INDEX
A
Accountability: Colleague Letter of Understanding for, 213–215, 219; commitment replacing, 202;
defined, 4; evaluating own, 7;
holding leaders to, 4–5; instilling with low control, 158–159;
reverse, 234; upholding in self-management systems, 226 Adaptability: companies in decline,
103–104; contentment and entitlement effects on, 108–110;
dealing with exponential change, 85–89; effect of change on institutions, 95; examining, x-xi;
guarding against denial, 98–100;
investing in, 88–89; missed opportunities in, 89; mitigating and confronting, 99; noticing lack of in strategies, 105–106;
observing entropy in operating model, 91–98, 102;
organizational corruption preventing, 107–110; physical laws applying to success,
104–105; questioning habits defeating, 101–102;
rationalization and, 99 Adbusters, 30
Aesthetics in design, 57 Amazon, 50
American Religious Identification Survey, 93
Apple: accomplishments of, 74–75;
decoupling from specific product lines, 129–130; design thinking at, 58, 79–80; detail-orientation of, 79, 80; distinctive strategy of, 76–77; exceeding customer expectations, 78; Google’s imitation of iOS, 105; innovation at, 50, 51, 78–79, 87; iPad introduction, 74; Job’s
contributions at, 75–76; leading product development, 77–78;
locking customers to their products, 76; passion for products at, 77–78; profitability of iPhone for, 139–140; retail environment of, 75, 79–80
271
COPYRIGHTED MATERIAL
Aravind Eye Care System, The, 101–102
Assumptions: challenging, 122–123;
toxic business, 32 A.T. Cross, 73 Authority, 228–229
Autonomy: expanding employee, 230;
goal of expanded scope of, 251–252. See also Self-management
B
Bank of New Zealand, 164–169 Bayliss, Chris, 164–166, 167, 169 Ben-Shahar, Tal, 43
Bernanke, Ben, 11 Blair, Tony, 92 BMW Designworks, 49 Boeing, 210
Bono, 92
Branson, Richard, 105 Breen, Mike, 156, 158 Brin, Sergey, 115 Brown, Donaldson, 171 Brown, Tim, 57–58
Budgeting for innovation, 127–128 Bureaucracy, 184, 186
Business unit teams, 213, 214–215, 221–222, 228
BusinessWeek, 46, 47, 52 Businesses: adaptability in, 88–89;
adapting lower cost operational models for, 101–102; allowing inflexibility in, 107; basing on social innovation, 33–34; being unreasonable in innovation, 78–79; born-again innovators, 51–53; challenging contentment and entitlement in, 108–110;
changing policy by changing leaders, 87–88; co-locating factories, 200; corporate laureates at innovation, 48–49; costs of corporate failures, 113–116;
creating engaging workplace, 142–143; creating internal markets for resources, 250;
cyborgs of innovation, 50–51;
dealing with exponential change, 85–89; decentralizing control to stores, 163–169; design thinking used by, 58, 79–80; developing subsidies for, 116; diagnosing decline in, 103–110; dissent within, 175, 196, 198, 252;
diversity in, 123; embedding new values in, 130–131, 246–247;
emotional vacuum in, 36–38;
employee peer reviews in, 201–202, 204, 221–222;
encouraging strategic flexibility in, 125–126; evaluating your innovative values, 80–81;
exceeding customer expectations, 78; finding emerging trends, 65–67, 121–122; finding hidden competencies and assets, 67–68;
fostering innovation in, 45–56, 63–64, 79; guarding against denial, 98–100; humanizing, 247, 256–257; incessant innovation required, 79;
initiating self-managing, 229–231; innovative artistes, 49–50; institutional longevity for, 111–117; intellectual flexibility within, 122–124;
internal debate within, 123–124;
leading the product category, 78;
learning from Apple’s strategy, 76–77; minimizing cost of experimentation, 125;
multiplying funding for new initiatives, 127–128; need for revamped policy models, 107–108; noticing death of strategies, 105–106; operations at Morning Star plant, 211–212;
passion required for innovative products, 77–78, 80; planning for structural flexibility, 128–130;
public opinion about, 29–31;
putting individuals first, 145–151; questioning habits defeating mission, 101–102;
removing drudgery from work,
249; resilience-friendly values for, 130–133; retooling for open world model, 254; rocket innovators, 47–48; role of markets and hierarchies in, 209–210, 227–229; solving customer’s unspoken needs, 68–72; substituting resources for creativity, 108; sustaining wealth creation by, 253; toxic
assumptions about, 32; value zone for, 235. See also
Future-proofing businesses; and specific businesses
C Caoua, Ron, 217
Capitalism: self-interest in, 20–21;
shortcomings of, 21–23; Smith’s views on, 21; toxic assumptions about businesses, 32; view of big business in, 29–31
CDOs (collateralized debt obligations), 11
CDS (credit default swaps), 12 CEOs. See Executives; Leaders Chandler, Alfred, 210
Change: anticipating, 120–122;
challenges keeping up with, 86–89; changing organization, not values, 97–98; characteristic of, 85–86; confronting, 99, 120–121; denial of, 98–99; forces of corporate, 172–173;
harnessing power of evolution, 249–250; initiating in
institutions, 153–162; investing in diversity, 123; mitigating, 99;
rationalization in response to, 99;
strategic variety preparing for, 124–125; transitions in industrial revolution, 171–173. See also Future-proofing businesses Chapin, Jeff, 49
Charity, 4, 7 China, 11
Church of England, 153–162 Cisco, 48
Citizenship, 246–247 Citterio, Antonio, 56 Coase, Ronald, 209
Collaborative decision-making:
advantages of flat organizations for, 225; conflict resolution in, 220–221; depoliticizing decision making, 251; hiring with, 220, 225–226; making financial decisions in, 219–220; role of business units, 213, 214–215, 221–222, 228; timeliness of judgments in, 224; used by Web collaborators, 173–174
Colleague Letter of Understanding (CLOU), 213–215, 219 Community: cooperation within,
160–161; developing mid-size MSC groups, 153–162;
embedding ethos in businesses, 246–247; emphasizing over hierarchy, 151; enabling communities of passion, 248–249; finding inspiration for Mission-Shaped, 156;
multiplying impact of church on, 56; work characteristics of Web, 173–175
Companies. See Businesses
Compensation: aligning to contribution, 151; Morning Star’s approach to, 222; rewarding innovation, 202 Competition: declining profits with
increased, 106; institutional longevity and, 111–117;
redefining basis for, 76;
undermining, 150; within flat organizations, 224
Computer World, 139
Conflict: between opposing ideology, 181–183; resolving in collaborative decision-making, 220–221
Contributions: aligning compensation to, 151; credentials vs., 173 Control: basis of management ideology,
183–191; decentralizing, 163–169; instilling high
Control (Continued)
accountability and low, 158–159;
reinventing means of, 247–248;
stifling creativity with, 235;
tension between freedom and, 189–191
Cooperation within communities, 160–161
Cox, Christopher, 17, 18 Creativity: inspiring, 248; spotting
trends in, 121–122; substituting resources for, 108
Crosby, Sidney, 46 CrossPad, 73
Csikzentmihalyi, Mihaly, 43 Customers: Apple’s attraction to, 76;
benefits of ‘‘employees first, customers second’’, 236;
exceeding expectations of, 78, 80; product value and price matched to, 80–81; providing good design for, 56–59;
responses to bad and good design, 55–57; solving unspoken needs of, 68–72; toxic business assumptions about, 32 Cyborgs of innovation, 50–51
D Dawkins, Richard, 92, 93 de Klerk, F.W., 24 De Tocqueville, Alexis, 92 Decentralizing: control, 163–169;
management, 203. See also Collaborative decision-making Defensive thinking, 107
Dell, 125
Denial: guarding against, 98–100;
seen in U.S. banking crisis, 16–18
Depoliticizing decision making, 251 Design: aligning with stewardship, 57;
impact of bad and good, 55–56;
indicators of good, 56–57 Diagnosing decline: companies in
decline, 103–104; death of business strategies, 105–106;
physical laws applicable to decline, 104–105 Dialectic thinking, 123–124 Disney, 67–68
Dissent: allowing right to, 196; building foundation of trust, 198;
encouraging, 252; finding like-minded individuals for, 175 Distributed leadership model, 195–197,
198–199 Diversity, 123, 248 Dodd-Frank Act, 6 E
Economic downturn: complexity of mortgages in, 12; costs of corporate failures in, 113–116;
declining customer service in, 80–81; HCLT’s growth in, 234–235; lack of values culminating in, 13–15; U.S.
banking crisis and, 9–11, 255–256. See also U.S. banking crisis
Edelman Trust Barometer, 146 Eden, Sue, 164–165
Education models, 101–102 EMI, 103
Employees: advantages of self-management, 222–225;
allowing right to dissent, 175, 196, 198, 252; Colleague Letter of Understanding for, 213–215, 219; creating value to customers, 235–236; cultivating passion for customers, 168; encouraging team initiative, 223; engagement of, 36, 138–139; expanding autonomy of, 163–169, 216–217, 230; financial transparency with, 236; growth in self-management
organizations, 226; hierarchy of human capabilities in, 150–151;
innovation processes lacking for, 52; investing in innovation skills for, 63–64; loyalty of Morning Star, 225; making mission boss,
212–213; open evaluations of, 238; owning company, 194; peer reviews for, 201–202, 204, 221–222; personal mission statements for, 212–213, 230;
resilience in, 130; roles for Gore, 199–200; selecting leaders on qualifications, 194–196; testing ideas in banking innovation, 167;
trade-offs in decentralizing management, 203. See also Empowering employees
‘‘Employees first, customers second’’
(EFCS), 236, 239–241 Empowering employees: CLOUs and,
213–215, 219; as sign of trust, 169; supporting frontline HCLT employees, 237–238
Entropy: businesses allowing, 100;
finding in church operating models, 91–98, 102; noticing increases in, 96
Equity, 4, 7
Eviscerated strategies, 106
Executives: aligning decisions, 196–197;
aligning incentives with sustained wealth creation, 253; budgeting for innovation, 127; corporate patience with, 112; dealing with freedom and control ideologies, 190–191; Nayar’s passion to change, 234, 240–241; protecting own interests, 112–113; toxic business assumptions about, 32.
See also Leaders Experience chain, 69–70
Expertise: accumulating authority with demonstrated, 228–229;
encouraging with self-management, 223
F
Failures of businesses: 113–114 Fast Company, 45–46, 47, 49, 52, 193 Fealty, 3, 7
Fearless moral inventory, 24 Finances: commitment to financial
transparency, 236; developing
team-level P&Ls, 230–231;
making collaborative financial decisions, 219–220
Financial Times, 20, 30
Findley, Ferne and Eldon, 25–26 Fiorina, Carly, 92
Flat hierarchies. See Self-management Flexibility: allowing at Bank of New
Zealand, 164–169; building natural hierarchies with, 251;
intellectual, 122–124;
self-management encouraging, 223–224; strategic, 125–128;
structural, 128–130 Ford, 51, 75, 172, 209 Four Seasons hotel chain, 129 Frank, Barney, 17
Frankl, Viktor, 38
Freedom: basing management on self-determination, 190; found in Morning Star’s self-management model, 218–222; institutional support of employee, 164–169;
tension between control and, 189–191
Fuld, Dick, 10
Future: role of innovation in our, 43–44
Future of Management, The (Hamel), 52, 140, 193
Future-proofing businesses: about, 119–120; anticipating change, 120–122; creating competition for resources, 126–127; creating structural flexibility, 128–130;
encouraging internal debate, 123–124; facing need to change, 120–121; intellectual flexibility supporting, 122–124; investing in diversity, 123; minimizing cost of experimentation, 125;
multiplying funding for new initiatives, 127–128; rehearsing alternate futures, 122;
resilience-friendly values, 130–133; spotting future trends at fringe, 65–67, 121–122;
strategic flexibility and, 125–128;
Future-proofing businesses (Continued) strategic variety for, 124–125. See also Moonshots
G Gates, Bill, 188
General Electric, 75, 104 General Electronics: 48 General Motors, 33, 103, 116,
120–121
Generation Facebook, 172–173 Gibson, William, 121
Global consciousness, 4–7 Global Workforce Survey, 138, 149 Golf, 61–62
Google: business plan backing, 115–116; innovation at, 50–51;
minimizing experimentation costs, 125; replicating Apple strategies, 105; team size at, 126 Google Ideas, 33–34, 43
Gorbachev, Mikhail, 24 Gore, Bill, 194, 195, 200 Government institutions, 112 Greed, 16
Green, Paul, Jr., 216, 217, 219, 223–224, 226
Green, Paul, Sr., 219 Greenspan, Alan, 11 Grey New York, 49
Groups: developing mid-size, 153–162;
self-defining and self-organizing, 174
H
Half Moon Bay ‘‘Renegade Brigade’’, 245–246, 259–260
Hamel, Gary, 52, 140, 193 Happiness, 43
Harris, Sam, 92
Harvard Business Review, 119 Hate2Hope, 33
HCL Technologies (HCLT), 233–241 Hewitt Associates, 234
Hierarchies: disadvantages of corporate, 223; emphasizing community over, 151; of human capabilities, 140–142; markets and, 209–210, 227–229; Morning Star’s flat,
210–222; natural, 173–174, 251.
See also Inverting management hierarchy
Hiring practices, 220, 225–226 Hitchens, Christopher, 92 Human Side of Enterprise, The
(McGregor), 186, 195 Humanizing business language and
practice, 247, 256–257 Hurd, Mark, 5
I
IBM: CrossPad, 73; innovation at, 48, 51–52, 124–125; role in Microsoft’s success, 113 Ideas: durability of good, 176; equality
of Web, 173; testing innovative, 167
IDEO, 49–50, 57–58
Ideology: accommodating competing, 182–183; conflicts between opposing, 181–183; considering shortcomings of capitalism, 21–23; discovering
management’s, 183–191; effect of limited management, 181;
indifference to cost of ideological zeal, 18; need to examine, xi;
Weber’s view on management, 184–185, 186
IKEA, 47 Immelt, Jeff, 104
Individuals: collaborative Web hierarchies among, 173–174;
finding work best suited for, 162;
opinions on religion, 93–94;
ownership of Web by users, 175;
participating in MSCs, 157–162;
public opinion on big businesses, 29–31; putting ahead of institutions, 145–151 Inflexibility in business systems, 107 Information: aspiring to democracy of,
252; required in self-managing systems, 218–219
Innovation: Apple’s, 74–75, 79–80, 140; artistes in, 49–50; born-again innovators, 51–53; challenging
mental models, 64–65;
compensation rewarding, 202;
control vs., 187–188; corporate laureates at, 48–49; cyborgs of, 50–51; equality of ideas on Web, 173; evaluating your values for, 80–81; finding new
competencies and assets, 67–68;
fostered by self-management, 217; imagination inspired by, 248; incessant and pervasive, 79;
industrial revolution’s effect on, 171–172; inspiring great design, 55–59; inverting pyramid to encourage, 235–236; investing in employee training for, 63–64;
leaders in corporate, 45–56; need to examine, x; our debt to, 42–44; passion required for, 77–78, 80; putting ‘‘employees first, customers second’’, 236, 239–241; resources substituted for creativity, 108; responding to emerging trends, 65–67; rocket innovators, 47–48; solving customer’s unspoken needs, 68–72; testing ideas for banking, 167; thinking like engineer, feeling like artist, 79–80;
unreasonableness in, 78–79, 80.
See also Apple; Moonshots Innovators: characteristics of, 65;
finding hidden competencies and assets, 67–68; noticing emerging trends, 65–67; solving customer’s unspoken needs, 68–72; training employees to be, 63–64 Institutions: effect of change on, 95;
encouraging strategic flexibility in, 125–126; factors encouraging competence in, 112; flexibility at Bank of New Zealand, 164–169;
individuals’ lack of trust in, 5–6, 145–148; longevity and failure of, 111–117; organizations as, 150; putting individual first, 150–151; supporting employee freedom among, 164–169; taking
precedence over individual, 149–150. See also Businesses;
Religion Intel, 48
Internet: change introduced by, 106;
exposing distrust of executives, 5–6, 145–149; resilience-friendly values of, 131–133. See also Web Inverting management hierarchy:
adapting managers to self-management, 231;
‘‘employees first, customers second’’, 236, 239–241;
empowering frontline employees, 237–238; freedoms in
self-management, 218–222;
HCLT’s commitment to transparency, 236; open evaluations of managers and employees, 238; posting online business plans, 238–239 iPad, 74, 77–78
Isdell, Neville, 22 Ives, Jonathan, 78 J JetBlue, 105
Jobs, Steve, 75–76, 77 Johnson and Johnson, 103 Jurvetson, Steve, 127
K Kahn Academy, 176 Kastle, Nick, 215 Kawasaki, Guy, 123 Kelly, Terri, 194–205 Kirkpatrick, David, 234 Kirkpatrick, Doug, 216 Kodak, 103
Kraft, 147 L Lafley, A.G., 51 Law of averages, 104
Law of diminishing returns, 104 Law of large numbers, 104 Leaders: allowing inflexible business
systems, 107; assessing corporate values, 36–38; budgeting for innovation, 127; capability
Leaders (Continued)
determining, 194–199, 228–229;
challenging contentment and entitlement in, 108–110;
changing policy by changing, 87–88; creating engaging workplace, 142–143; defensive thinking by, 107; developing intellectual flexibility, 122–124;
effect of top-heavy management on, 207–209; encouraging internal debate and dialog, 123–124; evaluating own innovative values, 80–81;
exercising moral courage, 23–24;
facing need to change, 120–121;
finding new trends, 66–67;
holding accountable for values, 4–5; ineffectiveness of banking regulations, 18, 19; nurturing personal stewardship, 7–8;
refocusing corporate innovation, 51–53; refocusing work of, 252;
rehearsing alternate futures, 122;
releasing organization’s latent talents, 162; revamping policy models for, 107–108; solving customer’s unspoken needs, 68–72; substituting resources for creativity, 108; tips for cultivating innovation, 50; toxic business assumptions about, 32;
uncovering hidden competencies and assets, 67–68; Web servant, 174; within institutionalized religion, 96–97; working with strategic variety, 124–125 Leadership Summit, 92, 95 Les Amants, 55
Leyden, T.J., 33 LG Electronics, 48 Loyalty, 225
M Mackey, John, 37, 153 Management: adopting
resilience-friendly values, 130–133; attention to good
design, 57–58; avoiding corporate decline, 105; basing on self-determination, 190;
converting to self-management, 229–231; costs of top-heavy, 207–209; creating engaging workplace, 142–143;
decentralizing control in, 163–169; defined, 184, 245;
democracy of information within, 252; disadvantages of top-down, 235; distributed leadership model for, 196–197;
dramatic changes initiated via Web, 172–177; embedding new values in, 130–131, 246–247; enabling communities of passion, 248–249; expanding and exploiting diversity, 248;
finding ideology of, 183–191;
fostering innovation with, 52;
Gore’s system of, 194–195;
harnessing power of evolution, 249–250; initiating in
institutions, 153–162; Morning Star’s use of self-management, 212–218; posting online business plans, 238–239;
promoting ‘‘employees first, customers second’’, 236;
protecting customers from incompetent, 111–112;
reconstructing philosophy of, 254; reinventing around zero-trauma change, 120; removing drudgery from work, 249; retooling for open world model, 254; serving higher purpose, 246; sharing
responsibility of future direction, 249; strengthening right-brain thinking for, 254; Weber’s view on, 184–185, 186.
See also Collaborative decision-making; Moonshots;
Self-management Management Lab, 246
Managers: adapting to self-management, 225–226, 231; coordination provided by, 209–210;
encouraging all to be, 227;
encouraging debate and dialog, 123–124, 175, 196, 198, 252;
inspiring leaps of imagination, 248; open evaluations of, 238;
reinventing means of control, 247–248; strengthening right-brain thinking for, 254;
working with strategic variety, 124–125
Markets: creating for resources, 250;
hierarchies vs., 209–210;
including natural dynamic hierarchy within, 227–229 Marnoch, Scott, 223
Maslow, Abraham, 140, 195 McGregor, Douglas, 186, 189, 195 McKinsey & Company, 29, 123, 246 Media: emerging trends in streaming
video, 66; profitability of iTunes, 74
Medicine, 101–102 Mediocrity, 174–175 Mentors, 252
Microsoft, 48, 113, 188
Mission: inspiration of Negroponte’s, 244–245; keeping paramount, 100; linking to adaptability, 102;
questioning habits defeating, 101–102
Mission-Shaped Communities (MSCs), 153–162
Mitigating change, 99
Money: mercenary creed of bankers, 26–27; Roosevelt’s view on bankers and, 27; valuing prudence and thrift, 25–26 Mooney, James, 171
Moonshots: about, 245–246; creating markets for resources, 250;
dedicating management to higher purpose, 246; democracy of managerial information, 252;
depoliticizing decision making, 251; destructuring and
disaggregating organizations, 250;
embedding new ethos in organizations, 246–247; enabling communities of passion, 248–249; encouraging dissent, 252; expanding and exploiting diversity, 248; expanding autonomy, 251–252; harnessing power of evolution, 249–250;
humanizing business, 247;
importance of goals in, 255–257;
incentives for creating sustained wealth, 253; increasing trust, 247;
inspiring imagination, 248;
leaders as mentors and mobilizers, 252; reconstructing management philosophy, 254; reinventing means of control, 247–248;
removing drudgery from work, 249; sharing responsibility of future direction, 249;
strengthening right-brain thinking, 254; using open world model, 254
Morning Star, 190, 210–232 Mortgages, 12
Motorola, 86 Mubarak, Hosni, 23 Mulally, Alan, 51
Multiplying: church’s impact on community, 56; funding for new initiatives, 127–128; passion with Web, 176–177
MyBlueprint, 238–239 N
National Academy of Engineering, 245 National Bureau of Economic
Research, 41 Nayar, Vineet, 233–240 Negroponte, Nick, 244–245 New York Times, The, 103 New Yorker, 35–36
Nokia: competition with Apple, 74, 103, 139–140; expansion of, 86–87; facing need to change, 121
Novartis, 48
O
One Laptop per Child, 244 O’Neal, Stan, 10
Oracle, 112
Organizations: building around communities of passion, 153–162; bureaucratic, 184, 186; competition in flat, 224;
defined, 150; destructuring and disaggregating, 250; developing human-centered, 150–151;
embedding new values in, 130–131, 246–247; function of policy within, 163–164, 169;
overcontrolled and wrongly controlled, 188–189; policies and rules within, 163–164;
releasing latent talents in, 162; sharing responsibility of future direction, 249 Ortberg, John, 24 Osborne, ‘‘Ozzie’’, 73
P Page, Larry, 115, 245
Passion: building organizations with, 153–162; control vs., 187–188;
cultivating for customers, 168;
enabling communities of, 248–249; hierarchy of human capabilities and, 140–142;
multiplying with Web, 176–177;
required for innovation, 77–78, 80. See also Mission
Pay-as-you-go approach to life, 25–26
Performance measurement: developing holistic, 253; employee peer reviews and, 201–202, 204, 221–222; HCLT’s open evaluations, 238–239; using employee, 151, 201–202, 204, 221–222
Perry, William, 245
Personal mission statement, 212–213, 230
Policy: changing leaders to change, 87–88; function of
organizational, 163–164, 169;
revamping models of, 107–108;
vetoing by Web users, 175 Power: distributing, 251–252;
harnessing evolution’s, 249–250;
sharing vs. hoarding, 174 Price, Chuck, 20
Procter & Gamble, 51, 68 Productivity, 48–49
Products: Apple’s innovative, 76–77;
being unreasonable in innovation, 78–79, 80;
decoupling company from specific, 129–130; developing detail-oriented, 79, 80;
exceeding customer expectations, 78, 80; leading category for, 78, 80; passion required for
innovative, 77–78, 80; providing innovative retail environment for, 79–80; superseded strategies in, 105–106
Prosperity, 42 Prudence, 4, 7
R
Radicalism of the American Revolution, The (Wood), 10
Rainer, Tom and Sam, 94 Rationalizing change, 99 Recognition, 175 Regert, Rodney, 213
Regulation: ineffectiveness of banking industry, 18, 19
Religion: changing organization, not beliefs, 97–98; conflicting ideologies in Christian, 182;
delivery model for services, 97;
entropy in operating models, 91–98, 102; initiating change in institutions, 153–162;
institutionalized leadership of, 96–97; maintaining mission in, 100–101; marginal status of, 93–94; secular trends challenging, 94 Replicated strategies, 105 Research in Motion, 87
Revamping policy models, 107–108
Reverse accountability, 234 Rewards: aligning to contribution,
151; basing on peer reviews, 201–202, 204, 221–222; found in self-management model, 217–218; intrinsic, 175;
sustaining wealth creation with, 253
Rocket innovators, 47–48 Roosevelt, Franklin, 27 Rosenfeld, Irene, 147
Rufer, Chris, 211, 213, 214–223, 226–227, 229, 232
S Salesforce.com, 65, 128 Samsung, 48
Sarbanes-Oxley Act, 6 Schmidt, Eric, 33, 125
Sears, Roebuck & Company, 172 Sebrle, Roman, 46
Securitization, 11
Self-management: adapting managers to, 231; advantages of, 222–225;
challenges in, 225–227;
Colleague Letter of
Understanding in, 213–215, 219;
employee loyalty with, 225;
expanding employee autonomy, 230; freedom found in, 218–222;
growth in organizations with, 226–227; initiating, 229–231;
personal mission statement in, 212–213, 239; scaling model of, 232
Sharing power: hoarding vs., 174;
sharing information with employees, 252 Shirkey, Clay, 176 Simeon, Charles, 182 Sisodia, Raj, 139
Size: Google’s team, 126; of MSC groups, 153–162
Sloan, Alfred, 171
Smart Service Desk, 237–238 Smith, Adam, 20–21
Social innovation: basing business on core values, 33–34; changes with social networking, 87, 172–173
Social Investment Forum Foundation, 6 Socrates, 38 Sony, 74
Southwest Airlines, 47, 105 Sponsors, 199
Starbucks, 47, 48
Stewardship: components of, 3–4;
design aligned with, 57;
evaluating and nurturing personal, 7–8
Stewart, Justice Potter, 55 Stibbe, Mark, 155, 159, 161 Strategy Analytics, 138, 139 Stumpf, Bill, 56
Subsidies, 116 Sugarman, Andrew, 68
Summit Against Violent Extremism (SAVE), 33
Sun Microsystems, 112 Superseded strategies, 105–106 Surprise and innovation, 78, 80
T
Teams: developing P&L for, 230–231;
encouraging initiative in, 223;
flexibility of, 125–126; incentives disciplining BNZ, 167–169;
Morning Star business unit, 213, 214–215, 221–222, 228; revising management model in parallel with new, 240–241; size of Google’s, 126; within Gore, 197–198, 200–201 Tearfund, 154
Technogym, 56
Technology: building third-party developers for, 77; change in mobile phone business and, 86–87; innovations fusing of hardware and software, 76;
mastering array of, 76 Tennant Snyder, Nancy, 53 Terpeluk, Paul, 224
Theory of Moral Sentiments, The (Smith), 21
Theory X, 186–187 Theory Y, 186–187, 189
Thinking: defensive, 107; design, 58;
encouraging dialectic, 123–124;
like engineer, feeling like artist, 79–80; strengthening right-brain, 254
Three-legged stool, 200 Toshiba, 48
Towers Perrin (Towers Watson), 138, 139, 149
Toyota, 129 Trade-offs, 203, 253
Transparency: decision making, 151;
HCLT’s commitment to, 236; in self-managing companies, 219 Travel and Leisure magazine, 59 Trends: challenges to religion by
secular, 94; finding emerging, 65–67, 121–122; responding to emerging, 66–67
Trust: building foundation of, 198;
empowering others as sign of, 169; between individuals and institutions, 5–6, 145–148; in overcontrolled and wrongly controlled organizations, 188–189; reducing fear, increasing, 247
U
United Airlines, 55, 58, 80–81 Unleashing Innovation (Snyder), 53 U.S. banking crisis: complexity of mortgages in, 12; corporate characteristics seen in, 15–18;
credit default swaps, 12; factors in, 9–11; finding roots of moral decay, 19–20; lack of values culminating in, 13–15;
leveraging from mortgage-backed securities, 12–13; mercenary creed of bankers, 26–27; role of low borrowing costs in, 11;
securitization and subprime lending risks, 11
U.S. National Science Foundation, 245
U.S. Steel, 172
U.S. Supreme Court, 55 V
Value zone for HCLT, 235 Values: adopting resilience-friendly,
130–133; banking crisis and lack of, 13–15; basing business on social innovation, 33–34;
considering shortcomings of capitalism, 21–23; embracing good, just, and beautiful, 38;
exercising moral courage, 23–24;
fearless moral inventory of, 24;
finding roots of moral decay, 19–20; holding leaders accountable for, 4–5; lapses during U.S. banking crisis, 18–19; mercenary creed of bankers, 26–27; need to examine, x; pay-as-you-go approach to life, 25–26;
revolution in, 6; rewarded and reinforced, 203–204; toxic assumptions about business’, 32
Venkataswamy, Dr. Govindappa, 101 Venter, J. Craig, 245
Vernon, Blair, 165–169 Video media, 66 Virgin America, 58–59 Vizio, 48–49
W Wall Street Journal, 46
Wealth of Nations, The (Smith), 20 Web: dramatic changes initiated via,
172–177; HCLT’s U&I site, 236–237; multiplying passion with, 176–177; ownership by users, 175; resilience-friendly values of, 131–133; servant leaders on, 174
Welch, Jack, 104 Whirlpool, 52–53
Whole Foods Market, 37, 153 Williams, Drew, 154–162 Williamson, Oliver, 209
Willow Creek Community Church, 91–92, 93, 100–101 Wilson, Charles, 33
W.L. Gore & Associates, 126, 190, 193–205
Wood, Gordon, 10
Work: characteristics on online, 72–175
Y Yang, Jerry, 112
