case outlines

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Rudy Guiliani: The Man and His Moment Earlier Years: From an early age had developed a stark sense of right and wrong. This arguably may have been what pushed him to pursue a career in law enforcement. Described as “using the law to determine right and wrong, crime and punishment.” Referred to as “a priest in a pinstriped suit.” Nominated as Associate Attorney General. Decided that he wanted to go back to NY so took position as US Attorney for the Southern District of NY. By the time he reached his mid-forties had established a reputation as a man tough on crime and ruthless in his quest to enforce the law. Ran for mayor in 1989 and lost to David Dinkins. Ran again in 1993. Focused on economic reform and crime reduction (the key issues in NYC at the time) and he adapted a “zero tolerance” stance on crime. Was elected mayor in 1993. As Mayor: Was a “hands on administrator””rarely was there an emergency in the city when the mayor didn’t make his presence felt.” An example of this is the role he played after the crash of TWA Flight 800. He had a friend on the plane and he remained with the victims’ families through out the process—demanding information and personally breaking the news to them. In such instances, people could see him as one of them. Also anticipated and planned for emergencies which was crucial to his ability to deal with the 9/11 crisis. o After being elected he immediately created the Office of Emergency Management which eased turf battles between agencies and improved preparedness By his 2 nd term his ego had clearly evolved and public opinion consequently went down. He was referred to as “an animal”, and as “obnoxious and arrogant” Part of this was because he stuck to his principles—there were no gray areas: “good or bad, right or wrong, end of story.” This is demonstrated in the way that he continued to back the police officers in the Diallo case despite the uproar from New Yorkers. Towards the end of his term two personal issues brought him great attention: his prostate cancer and his girlfriend outside of marriagesome felt a “new compassion for a man with whom they had felt locked in battle”

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Rudy Guiliani: The Man and His MomentAung San Suu Kyi Case Summary Case Study: Robert MosesLyndon Baines Johnson The NAACP SummaryCase: Whitney Young, Jr. Slade Plating Department Southwest AirlinesCase Study: Meg Whitman at eBay Inc. (A)

TRANSCRIPT

Rudy Guiliani: The Man and His Moment

Earlier Years:

From an early age had developed a stark sense of right and wrong. This arguably may have been what pushed him to pursue a career in law enforcement. Described as using the law to determine right and wrong, crime and punishment. Referred to as a priest in a pinstriped suit.

Nominated as Associate Attorney General. Decided that he wanted to go back to NY so took position as US Attorney for the Southern District of NY.

By the time he reached his mid-forties had established a reputation as a man tough on crime and ruthless in his quest to enforce the law.

Ran for mayor in 1989 and lost to David Dinkins. Ran again in 1993. Focused on economic reform and crime reduction (the key issues in NYC at the time) and he adapted a zero tolerance stance on crime. Was elected mayor in 1993.

As Mayor:

Was a hands on administrator(rarely was there an emergency in the city when the mayor didnt make his presence felt. An example of this is the role he played after the crash of TWA Flight 800. He had a friend on the plane and he remained with the victims families through out the processdemanding information and personally breaking the news to them. In such instances, people could see him as one of them.

Also anticipated and planned for emergencies which was crucial to his ability to deal with the 9/11 crisis.

After being elected he immediately created the Office of Emergency Management which eased turf battles between agencies and improved preparedness

By his 2nd term his ego had clearly evolved and public opinion consequently went down. He was referred to as an animal, and as obnoxious and arrogant Part of this was because he stuck to his principlesthere were no gray areas: good or bad, right or wrong, end of story. This is demonstrated in the way that he continued to back the police officers in the Diallo case despite the uproar from New Yorkers.

Towards the end of his term two personal issues brought him great attention: his prostate cancer and his girlfriend outside of marriage(some felt a new compassion for a man with whom they had felt locked in battle

In 2000 he announced that he was withdrawing his candidacy for NY Senate due to his illness. Many believed that the Guiliani era was coming to a close and concluded that he had been a great mayor, not so great man

9/11 crisis:

In the aftermath of 9/11, Guiliani was deemed an international hero and leader

A symbol of the citys unity Was deemed the voice of America through out the crisis

According to Letterman, all you had to do at any moment [amidst the chaos and confusion] was watch the mayor he was the personification of courage

Although Guiliani asserts that he was just operating on faith and having hope and reflecting the way the people are there were important factors that made him an effective leader

importance of his planning and preparation (especially the creation of the Office of Emergency Management which played a crucial role)

his approach to the work was so well orchestrated that you would have thought that he had prepared it forever

Importance of visibilityin crisis, people are looking for someone to take charge; seeking guidance on how to understand and respond to the situation; people will respect leaders willingness to take a hands on approach.

Worked to get everyone on the same page and communicated with president and media in order to attain a sense of control and keep the city informedgrabbed a reporter and brought him along

Was on the air just 2 hours and 6 minutes after the attack

Was also seen in the midst of the crisis talking to and directing New Yorkers on the streets

Importance of demonstrating follow me leadership and modeling the behavior you would like others to demonstrateimportance of setting the tone (emotions are contagious) and maintaining contact and communication. Doing so demonstrates that someone is in charge and keeps the people informed.

He remained calm on the air, was compassionate and extremely honest and straight forwarddidnt try to mask the severity of the circumstances. He also carried a message of hope.

The next day he called for normalcygave people something to do

Emulated courage and remained calm at all times.

Aung San Suu Kyi Case Summary

SUMMARY:

Burma had been a nascent democracy after gaining its independence in 1948, and Aung San Suu Kyis father, Aung San, was a leader in the movement for independence, loved and revered by the people, before he was assassinated in 1947. Despite early attempts at democracy, Burma fell to military rule under General Ne Win and remained under his control for decades. In 1987, protests and riots broke out against the military government and a movement for democracy began. Aung San Suu Kyi had been living abroad since the age of 15, but she had returned to care for her ailing mother. Amidst the chaos, Aung San Suu Kyi rose to the occasion with a speech at the Shwedagon Pagoda the spiritual heart of Burma and the place where her father gave his last speech in which she spoke of her father and Burmas long struggle for freedom and democracy. Within weeks, she was the leader of a new political party, the chief voice of opposition to the military government, and a unifying force for the movement.

Soon after, the military government violently quashed the protests and demonstrations, leaving over 10,000 dead. Aung San Suu Kyi grew in status and power as the head of the National League for Democracy, a political party, and during the election campaign for multi-party elections, the government tried to stop her from campaigning and threatened those that attended her speeches and rallies, but she wouldnt stop. Before the election took place, the government put Aung San Suu Kyi under house arrest (July 20, 1989), soon cut off access from family, and arrested other leaders of the NLD. Despite the crackdown, the NLD garnered over 80% of the vote in the election, but the military government refused to recognize the results and remained in power. Aung San Suu Kyi became a symbol of national indomitability and gave hope to the people. She accepted her condition, felt no hostility towards the guards, had no fear, and decided not to leave the country to join her family despite the conditions. On July 10, 1995, she was released from house arrest, and resumed small-scale political activity in pursuit of democratic rule.

LESSONS:

Charismatic Leadership

Transform personal struggle into universally shared concerns (house arrest & movement for democracy)

Manipulation of symbols (reincarnation of father, Shwedogan Pagoda) to associate self with sacred symbols; and created new myths and legends through own actions (i.e. Aung San Suu Kyi walking straight towards soldiers with guns trained on her after they told her to stop)

Prophesize a future born of values from the idealized past (use of father)

Transference in Leadership

Idealization: followers ascribe exaggerated qualities to leader in search of paradise lost; leaders help scared and confused followers by responding to needs for identity, security, and protection

Mirroring: idealized projection enhances leaders self-image which is reflected back and reinforced by followers

Persecutory Reactions: leaders grandiosity becomes superiority and callousness; followers disappointment with leaders inability to fulfill tacit promise turns to vengeful devaluation (didnt happen to Aung San Suu Kyi)

The NAACP Summary-Myrlie Evers-Williams took the reins as Chairman of the NAACP when in crisis (newly dishonored reputation, divided board, less support, and questionable finances)

-previous Chairman Benjamin Chavis Jr. created debt and a lack of trust within the organization through personal charges, inviting gang members, and lack of including board in decisions

-Evers-Williams emphasized teamwork and surrounding herself with talent, even including former opponents (Gibson)

-early action was spent forming committees full of people with the expertise needed- even with Gibson supporters; Evers also eliminated members or brought in more qualified, such as the Financial Officer from Price Waterhouse

-stressed communication especially when former leader used secrecy. She had to regain trust, special board to monitor expenses

-Convinced Ford foundation to donate money to pay severance packages to pay employees being laid off to help turn company around

-Evers created a code of ethics and made sure everyone agreed to it

-Evers hired known outsider as Executive Director, Kweisi Mfume

-Mfume fired more people, did heavy fund-raising, and created the major points of the organization based on existing policy (Civil Rights and Civil Liberties, Voter empowerment, Educational excellence, Economic development, and Young People)

-Evers heavily decreased expenses once in power

-MAIN IDEAS: Must be able to disagree on issues to work as a team between Mfume, Evers, and Board- heavy emphasis on COMMUNICATION!

Major Ideas discussed in class-NEED ACCOUNTABILITY AND CONTROL to make-up for $3 Million deficit, unchecked chairman spending, and bad publicity

-GOVERNANCE is decentralized and emphasize new values

-UNITY/COMMUNICATION

-CREDIBILITY/INTEGRITY through consolidation, agenda, code of ethics, and New Exec. Director

Lyndon Baines Johnson

Lyndon Baines Johnson began his career in campus politics at a small Texas college, then traveled to Washington DC as a legislative secretary for a Texas Congressman. In Washington, he joined, transformed, and controlled the Little Congress, an organization of legislative secretaries that met and debated bills that the Representatives would later present. LBJ used a secret, well-orchestrated plot to become Speaker of the Little Congress and in power, he reshaped it from a defunct social club to a high-visibility debating society. Using his power as the leader of the Little Congress, he began networking with high-profile Congressmen (by inviting them to speak at the Little Congress); once connected, he then used flattery and psychology to leverage connections for his own personal gains. He was intensely strategic and calculating; he assumed the basic premise of human interactions to be for personal political gain. In 1940, with connections to numerous Congressmen and a highly transactional style, he launched his own campaign and won a seat. He then combined customize flattery, logic, premeditated debating strategies and conviction during his debating sessions. In this sessions, he would meet privately with Senators to manipulate their emotions and desires for fame and power to get what he wanted (a vote, an exchange, private information etc). As President, he tried to network and woo the press in a similar way, based on his assumptions of political human interactions, but this backfired and settled at a antagonistic relationship between press and President.

LBJ had important bases of power: positional, personal, and relational. He used distinct and aggressive influence tactics. By examining and researching people carefully, he aligned interests and reminded Senators of their singular importance and responsibility. He was a talented wordsmith and flatter; he understood who was susceptible for such flattery and with whom to resort to persistence or fear/emotion. LBJ would get in a persons face, be aggressive and motivate through fear if necessary he used a 1-2 punch of calling to the heart (passion, flattery) and then the head (calculated logic, debates). He could strong-arm a Senator one day, then beautifully manipulate another with flattery.

Johnsons approach to politics was that of brokering a deal, so his transactional method is similar to Carlson (from the stop-action video about a business deal). Like Ang San Suu Kyi, he filled a power vacuum (Little Congress); however, although he was a flatterer, he was definitely not charismatic as she was. Although he thoroughly transformed the Little Congress as an organization, he was not a transformational leader like Myrlie Evers Williams at the NAACP because he was not driven by discernible core values or passion beyond his self-serving desire for power.

LBJ Summary: Transactional, highly calculating and manipulating. He leveraged connections for personal gain and was very political. Tried to mold people to his desires through significant behind-the-scenes brokering, debating, and flattering. Ultimately failed when he couldnt bribe/manipulate press when President.Case Study: Robert MosesRelevance: What do you have to sacrifice for power? Machiavelli claims that for a leader, one must sacrifice and do whatever one can to achieve the desired end, to maintain power, and to wield it. Robert Moses, in the beginning of his career, was an idealist, incredibly intelligent, and also impracticalnone of his ideals reached political success. Informal networks, social relations, power players were his obstacles, so in his work with Al Smith, he removed these obstacles. He got things done, established positional power, and became incredibly successful.

But he also devolved; doing really whatever was necessary for success. He was unethical if necessary, circumvented the law, and eventually become a most-feared politician. He helped millions, building parks, schools, etc., but at what cost? What he did was clear, but what his motivation wasto just gain power or to help peopleis not.

Themes for the class: Sources of power, Exercising influence, Informal Networks, and Means v. Ends leadership (Machiavelli v. Suu-Kyi)

Case: Whitney Young, Jr.

Omaha, Nebraska was segregationist and racially conservative when Whitney Young assumed leadership of the National Urban League in Omaha in 1950. He had experience in Minnesota, and knew that the League needed endorsements for the local white elite and the black community. His network was diverse, with people of different races, religions, and seniority. He spent a lot of time building relationships he might need in the future. He got the help of several white Omaha businessmen, some militant and others more peaceful. Under Youngs leadership, the League got more money and expanded its staff. Youngs tactics to convince whites to end discrimination included private persuasion and negotiation, the assistance of influential white board members, agitations for governmental intervention, and nonviolent direct action. He was very results oriented. He enhanced his credibility as a black leader when he joined the Prince Hall Masons and spoke in black churches, and later his affiliation with the white Unitarian church harmed his credibility among blacks. He asked influential white board members to accompany him to meet employers, and was patient when dealing with the prejudice of white businessmen. Occasionally he would even be willing to make embarrassing compromises. His influential white friend Dodge introduced him to restaurant proprietors, thus helping him to desegregate public establishments. He created positive examples by showing that businesses dont fall apart when they have black people employees. Young had ties with Father Markoe, a militant priest. Young often appeared rational and moderate in comparison to Markoe and his militant De Porres club, which made whites more willing to work with Young. Young also worked to improve housing and was partly successful at this, but exhibited oversight when he failed to talk directly to homeowners and tenants in the areas in question. Young learned that all whites were not alike.

Taran Swan at Nickelodeon Latin America

Taran Swan starts Nickelodeon Latin America (LA)

Leaders play a major role in shaping the culture of their teams (decide on composition, structure, task)

Key role of leader is to shape culture

Culture and design factors need constant readjustment

She was passionate about Nick brand and shared clear vision and future goals

Maintained good relations with all constituencies, such as the corporate office, MTV shared staff, advertisers, affiliates, kids, etc., and managed her team itself.

She shaped distinct culture by determining what teamwork was needed, coordinating the team composition and structure, facilitating the team process, creating a unique team culture, and coaching the team in the right direction.

Culture of open communication, intense questioning, and holding people accountable

Swan determined composition of team members, made sure they had the necessary knowledge and skills and defined their roles and coordination to encourage efficiency and leverage talents. After fighting for the recruited talent, she gave them ownership.

As she had to return to NYC due to her high-risk pregnancy, her objective was to determine how to face the new leadership challenges of the future and whether that meant installing an interim director, now that she was leaving during the key projects of the Cablevision affiliate deal and the direct-Brazil feed launch.

Swan does not appoint interim director and manages from NYC while having 2 informal interim leaders

Slade Plating Department

Company background: The Slade Plating Company was a small but prosperous manufacturer of metal products for industrial application. It employed 500 employees in Michigan. Employee pay was low for the region, and working hours were long. At other companies, employees worked shorter hours at higher pay, and where unionized.The company compensated for this by being generous with overtime.

Problem: A production manager heard that workers were cheating the company by punching time cards for others. However, managers as a whole are pleased with the output of the workers and believe that they are doing a good job. The production manager needed to decide if he should let the workers go, or if he should confront them about their behavior.

Dynamics: The largest group in the department, the Sarto group was led by Tony Sarto, a respected member. They were a close-knit group, sharing lunches, loaning money, and taking vacations together. They are highly skilled, knowledgeable, and work longer hours to increase their output when the company gets large orders. The group itself has a shared code of ethics. The group stressed high standards of both quality and inventiveness, and Willingness to be of help was a trait Sartos group prized.

Punch-Out Scheme: The company was very independent. As one described: They leave us along and expect us to produceand we do. Because supervisors worked from 8-5pm, and were hardly present on weekends, members of the Sarto group could rotate turns punching everyone out later. So if the supervisor left at 5, and all but one member left by 5:30, the last member could leave a 7 and punch everyone else out too, thereby everyone gains free time.

Key Takeaways (From Class Lecture Slides) This case gives us a better grounding of what we mean by culture. Culture can work for or against organizational goals.

Helps us understanding the power of group norms. They emerge because of antecedent factors (they are not random, and are implicit, not explicitthey are not written down but you can infer from study of patterns of behavior.

Power of internal controls: peer pressure vs. accounting controls

Culture can be changed, but rarely a superficial process

Gives a framework for understanding work groups

Design factors: group composition, task design, formal organization

*C+S Wholesale* - Everything is about being on a team! why is Cohen worried? A+P sales are higher than 200 million Can the company meet customer needs with high quality service? Crowding Increase in # of workers and supervisors Increase in cost Competition from Supervalu and Flemming Maintain accountability. Why use teams? (what does it say about human nature) Motivation Enjoyable work environment Community (belongingness) Trust Accountability Efficiency and specialization ** GIVE PEOPLE PRIDE IN THEIR WORK** Security Interdependence (peer pressure!) RISKS social slack Consistency with culture and legacy Normative Model of Group Effectiveness Organizational context (reward, education, information)Group Design (structure of task, composition of group, group norms about performance)Group Synergy (reduce process losses, create gains) Process Criteria of Effectiveness (effort, knowledge+skill, performance strategies) Material Resources Group Effectiveness: performance, satisfaction, and cohesiveness Group Design TASK: engage and motivate members COMPOSITION: what skills are contributed to the group NORMS: enable the group to regulate member behavior and support situational/strategy planning Organizational Context REWARD: provide challenging objectives and reinforce achievement EDUCATION: provide training and consultation to supplement expertise INFORMATION: data to assess and evaluate performance Synergy MINIMIZE LOSS: implement strategies effectively, no weighting of member contributions, CREATE GAIN: shared commitment, cross training for collective learning, be innovative! Team Leader Ask questions Motivate solving problems Promote participation Help resolve conflict Train others Positive reinforcement Encourage high performance goals Encourage self evaluation Be honest!!! Liaison with higher management Southwest Airlines:

Southwest Airlines had seen extreme success and growth since Rollin King and Herb Kelleher (current Chairman) founded it in 1967; however, it had been facing some industry setbacks and volatile responses from competitors after Sept 11, 2001 and is trying to figure out to preserve a culture formed so successfully around founder/leader Kelleher. To figure out how to set Southwest back on the success track, we examined the factors that had made it so successful in the first place:

Business strategy: low price and high quality service

Target: frequent business traveler, price sensitive pleasure travelers

Service concept: efficiency, flexibility, many flights, few frills, fun, low price, innovative

Shared Values: empowered employees, love, family, ownership, wild/fun

Management style: irreverent, lead by example, dynamic

Skills: team-oriented, take initiative, skill diversity

Systems: profit sharing, recruiting system, promote from within, culture committee, boarding process, FIT

Staffing: hire for attitude, train for skill, people who enjoy interaction

Structure: not main airports more convenient, less congestions, faster; all Boeing 737 planes, no interline travelers

McKinseys 7 Ss (Strategy, Shared Values, Style, Skills, Systems, Staffing, Structure) are all in alignment, each system supports one another extremely effective organization

Case Study: Meg Whitman at eBay Inc. (A)

Case Outline The case begins stating that eBay is thinking about acquisition of Kruse -- would help stock price; help high-end market

The story: Huge stock and sales growth since IPO

Whitman explains that Growth due to very good community culture online

Company growing, and Whitman cannot be as hands-off as eBay used to be tension

Auctions are self-regulating mechanism, with feedback.

eBay just takes a slice of the sale to make money

Difficulty of controlling brand, since it is completely in the hands of the customers

Whitman Begins

Whitman: you cannot come in and start completely changing how people do things, though the temptation is high when you are a senior manager

Says that Internal culture MUST mirror website culture so it permeates everything they do.

Seamless transition of CEOs: Omidyar believes in Meg, tells people to go to her, and made sure that employees knew that the company was doing well and THAT was why they were changing

Whitman wanted to have the 10x the capacity needed at any point. The site went down for 8 hours two weeks into her tenure, so she began to focus on the technical side of things. She discovered that the cost of having too little system capacity was very high compared to the cost of having too much capacity. As a result, she made the deceision to significantly increase the companys investment in stem capacity

At this point, 20% of users generating 80% of traffic; some working on eBay full time through its PowerSellers program.

Gets some criticism from users for banning the sale of guns and ammunition on eBay.

Culture: calm, everyone has a voice, open to opposing points of view.

Strategic partnership with AOL.

Acquire Butterfield and Butterfield

What Happened? Bought Kruse in 1999

In Oct 2002, eBay sold Kruse back to the original owner because online was where the company wanted to be

Also sold Butterfields

Used purchase of two organizations as a way to get into an area where it had little expertise

Company explained the decision to sell Kruse as: Perhaps we had not entirely gauged how much of a change in behavior would be required to make customers comfortable with purchasing high-end art and collectibles on-line

Leadership Lessons From Meg Whitman: Be accountable

Make it happen

Deliver results

Codify lessons

Be patient (your career is a marathon, not a sprint)

Build a great team and share credit liberally

Dont be afraid to ask what you dont know or understand

Never compromise your integrity

IDEO Product Development

1. Background

a. One of the worlds largest and most successful product development firms

b. Philosophy was to have a genuine respect for new ideas and invention

c. A merge of ID Two and Matrix

d. It would design, develop, and manufacture new products

i. Mechanical and electrical engineering, industrial design, ergonomics, information technology, prototype machining, and even cognitive psychology.

ii. A fusion of art and engineering to produce pleasing products

e. Major Clients: Apple, Samsung, Amtrack, and even Hollywood

2. Design Philosophy

a. Prototyping was the key to their success It served as the most important way for his company to communicate with clients

i. It was central to their design process

b. Rapid Prototyping

i. Rough, Rapid, and Right! 3 Rs

c. People were not upset if their idea did not become the definitive solution since the act of clipping off ideas brought the entire team closer to the solution

d. Helps put everyone on the same page

e. Management rarely fired employees

i. They were lenient: wanted people to wander and talk during mental blocks

ii. No where for non-contributors because they were so small (units)

iii. All work done in teams

iv. Office space resembled personality of the worker

v. Lack of hierarchy avoided the problem of promoting designers and engineers into administrative positions

3. Innovation

a. Brainstorming was central to their methodology

b. Fail often to succeed sooner

i. First a whirlwind of activity and ideas

ii. Then several principles of brainstorming followed

1. stay focused on topic

2. encourage wild ideas

3. defer judgment to avoid interrupting the flow of ideas

4. build on the ideas of others

5. hold only one conversation at a time to ensure that introverts got some say

6. go for quantity

7. Be visual

c. Go into the field to see how other people use and interact with the products

d. Phases

i. Phase 0 Understand and Observe

ii. Phase I Visualize and Realize

iii. Phase II Evaluation and Refining

iv. Phase III Implement and Detailed Engineering

v. Phase IV Implement and Manufacture

4. 6 steps to Effective Change

a. Mobilize commitment to change through joint diagnosis of business problems

i. People need to know what the problem is before change is effective

b. Develop a shared vision of how to organize and manage for competitiveness

i. After people are committed to a particular problem, then managers can lead employees toward a task-aligned vision of the organization that defines new roles and responsibilities

c. Foster consensus for the new vision, competence to enact it, and cohesion to move it along

i. Commitment to change is always uneven

ii. People need to develop the competencies to make the new setup work

d. Spread revitalization to all departments without pushing it from the top

e. Institutionalize revitalization through formal policies, systems, and structures

f. Monitor and adjust strategies in response to problems in the revitalization process

Razors and Blades

Sell hardware for cheap, then sell the supplementary at a higher price

A deeply held business model

Which clients to turn down

client overly directive

if it is too difficult and requires loss, then decline

Seven Secrets for Better Brainstorming

Sharpen the focus

Start with a well-defined goal or problem that you wish to solve

Playful rules

Reminds to generate ideas first, evaluate and criticize later

Number your ideas

Motivates everyone and enables quick referencing

Build and jump

Decide when to build momentum or when to switch gears

The space remembers

Write down your ideas on something that everyone can see easily

3 Critical Challenges

- expert knowledge in an appropriate manner

- surfacing and testing underlying assumptions and orthodoxies

- framing problems in a way that does not constrict the debate or the range of solutions that will be considered

First Community Bank Summary

From Gail Snowdens leadership of First Community Bank, we learn that leadership of organizations often entails responding to factors in the environment that are out of managements controls through the difficult task of organizational change. In the case of First Community Bank (FCB), a unit within Bank of Boston (BKB) established to meet the needs of low to moderate-income areas by focusing on community development banking, these factors included government regulations in the form of the Community Reinvestment Act. Because the legal environment is constantly changing, organizations like BKB which are greatly influenced by authorization from the Federal Reserve Board need to respond by changing as well. The establishment of FCB is a good example of this. The leadership of FCB as an independently managed unit in BKB demonstrates that an individual unit possesses the potential for enacting change throughout the organization as a whole. A great example of this was the First Steps Mortgage Program which started out in FCB but then was developed and expanded throughout BKB. In light of the lesson we take from Beer et al on change programs, we see that Snowden will have to make sure that change towards CRA-compliance is a grass roots change starting in FCB and spreading to other divisions in BKB rather than a sweeping top-down program which almost never succeed. The benefits to beginning this kind of change for FCB if it were to succeed would be increased integration into BKB and greater credibility among other BKB branches.

From Gail Snowden, we also see that against opposition to change, a leaders role is to inspire commitment and enthusiasm in her people by conveying an inspiring vision through her actions. An example of this is Snowdens passion for the acceptance of diversity and camaraderie. Snowden nurtured teamwork and flexibility in roles among FCB staff members. A leader must also defend her unit from opposition as we see Snowden do against other managers in BKB that wrote off FCB as the minority bank and not as a credible unit. She was careful to focus on making FCB profitable as well as remaining loyal to the vision of community development and CRA-compliance.

The situational factors surrounding this case are that in the 1990s there was a nationwide shift in the healthcare industry resulting in reduced lengths of stay for patients as well as reduced reimbursements for hospitals. MGH, one of the country's best hospitals, as a result was anticipating large-scale budget reductions and needed to restructure their workforce by decentralizing and transferring jobs to lower cost workers.

Ives Erickson along with a famous consulting firm created the new PCDM that now had three workers performing the tasks of up to 64 different staff. They would be managed as a team by a Resident Nurse. By decentralizing and de-layering this model allowed the hospital to downsize its staff, and thus save money without reducing salary. It let patients interact with fewer people, and the smaller staff could theoretically work together as a team and with a clear unity of purpose and be more patient- and family- focused.

But there were problems. The nurses, who were used to primary nursing models and minimal management had difficulty incorporating increased management responsibility and had trouble delegating. The more diverse staff of immigrants made effective communication an issue. There was also concern that the centralized depts simply couldn't transfer their "acquired knowledge" that had been learned only through years of experience. Because there were many new faces who worked in shifts, it took time to build confidence in the team's relationships. Despite this patients reporting the same high level of satisfaction as before, but this didnt show the toll it was taking on the staff.

The nurses didnt want to delegate to their workers and their workers felt like they werent being respected. This was creating fractures in the team spirit that the model depended on. While patients still remained happy, the model was now raising costs instead of lowering them.

Some lessons-While individuals may work well together as independent agents, that does not mean they will work well as a team.

-How a team will function is dependent on many factors that must be considered, ex, the personal tendencies of the members(nurses being overprotective), the nature of the work(shift based)

-Assuming that all skills can be easily transferred is naive, as some "acquired knowledge" comes only from experience

-You must look at many different indicators to determine effectiveness - While patients were still happy, costs had risen and nurses were growing more dissatisfied

Important is how Ives enacted her PCDM change through an 8 step processGetting Started1.Create Urgency

2.Create Vision

3.Create Team

Involving Everyone4.Communicate

5.Empower

6.Inspire

Ongoing Improvements7.Institutionalize changes

8.Focus Efforts on Improvements

*Ives, certainly a transformational leader, shows that it is not enough to successfully put a system in place. She KEEPS MODIFYING and MONITORING continuously. *

*The case also stresses the importance of good team design similar to the C&S Wholesale Grocers*

Lisa Benton Case Summary

In my opinion, the Lisa Benton case study is really not that important (sorry). The major point is boss-subordinate relationships and, by extensions, interpersonal relationships period. Regardless, the story is kind of interesting (and not because it was the only case study in which major characters were more than likely getting it on). The summary is as follows: while Lisa Benton she attended Harvard Business School, worked as the first female manager for Right-Away stores, a company where she won accolades for her roll-up-your sleeves approach and charmed the president, Scott Kingston, so much that he offered her a full-time job at Right-Away stores after she graduated. However, she was also offered a job at Houseworlds Care Division, appealing because of its classical and famous excellent marketing training. She chose to turn down the higher salary and a bigger position partly because of her worries of taking on too much responsibility and partly because of Right-Aways rundown warehouse and lack of other female manager and, instead, joined Houseworld. At Houseworld, she was charmed by the friendly and professional people she met initially but ended up under Deborah Linton, who immediately made it clear she was biased against Harvard MBAs. The friendly people she had met didnt remember her name, she felt the reception from her boss was cool and disinterested, and, to make matters worse, her Associate Product Manager, Ron Scoville, was condescending. She was also working on a product, Pure & Fresh, she felt was unnecessary. What follows in the case study is a series of run-ins and experiences with Scoville and Linton, where pretty much each time Benton feels overshadowed, overwhelmed, and unwanted. This leads to the end of the case study, where she considers calling back Right-Away Stores President Kingston and telling she made a mistake.

The point of the whole case is, ultimately, the personalities. Linton, Bentons boss, obviously has an inferiority complex. She never understands Benton and is definitely inexperienced in managing people. She seems overwhelmed, overworked, and may or may not (Im voted definitely) is doing the hanky-panky with Scoville. Scoville, Bentons coworker, is even less of a people person. Hes difficult to work with and, unlike Linton, has what could best be called a superiority complex. His ego, frustration with not being promoted, and bizarre misfit status at the company comes together to annoy (and confuse) the heck out of Benton. Finally, Benton herself seems to have a clip on her shoulder. She has higher expectations for the job than she should have had and clearly has trouble asserting herself. She never conveys her potential and is overtly defensive. Finally, she also seems like shes trying too hard to please people and be liked by them.

In the end (though not in the case study), Scoville and Linton ended up leaving and Benton got the position of Product Manager a full 9 months earlier than is usual. She had the potential, then. So? It would have been best if she had managed upward, assuming responsibility for her own career and development. She should probably have handled Linton differently, understand what she wanted, what pressures existed, and what the stakes were. Ultimately, a boss is in many ways dependent on his or her subordinate- for the knowledge he/she delivers, as a source of information, and as a sounding board. If the subordinate realizes his or her sources of power, having skills that are tough to replace, specialized knowledge or information, and centrality to the organization, etc, then the subordinate should be able to build a partnership with his or her boss. (This is all, for the most, adapted from Agers slides in class).

Katherine Graham

Abstract: Katherine Graham (Kay), the protagonist of this Harvard Business School Case, arrived largely untested in 1963 to the Presidency of the Post Company when her husband Phil passed away. Kays speedy transformation from a silent partner watching from the sidelines, to an inspirational and transformational leader should prove a lesson for us all. Katherine Graham (Kay) was thrust into a situation without preparation and with much animosity. Yet through her transformational leadership as exemplified by her hiring Bradlee, handling the Watergate Scandal, and preempting the Pressmans Strike, Kay led the Post to unprecedented success. Although her leadership style may prove uncomfortable to those acculturated by masculine norms, she proved remarkably effective and left the Post in excellent position for her son, Don Graham, to take over.

Email David Wyman (dkwyman@fas) if interested in the whole case report.