Marks and Spencer (M&S) is a British based retailer that is the holding company of Marks & Spencer Group (M&S Group). This company is currently the largest clothing retailer in the UK, and has held an outstanding reputation for throughout most of its 125 years of service. They offer stylish, high quality, great value clothing and home products, as well as outstanding quality foods, responsibly sourced from more than 2,000 suppliers globally.
The Marks & Spencer brand name is one of their most valuable assets because of its strong impact on customers and its innate association with high-quality and value. The success of Marks & Spencer has not come to pass without organizational issues that have since been resolved and ultimately contributed to today’s success of the company. Today, Marks & Spencer is under control of its new CEO, Marc Bolland. The company surpasses the point of societal legitimacy to an obvious extent shown by their efforts in becoming a leader in their industry through an established organizational culture and high values place that are built on socially responsible initiatives.
Marc Bolland has taken this company from a stagnant position and pulled it back into a competitive atmosphere with decisions that are critical to future of the company. Considering the company suffered a near-fatal mistake in the past having to do with the internal organization and meeting fundamental objectives, the company has capitalized on their mistakes and used them to transform in a way that exemplifies societal and economical strategic CSR standards. Marks & Spencer has undergone organizational modifications that have produced standard operational changes for the good of both their business and the organizational society. The company website displays every imaginable report needed for stakeholders of all kind and convey a high standard of transparency; a measure that is essential to sustainable CSR efforts.
The leadership abilities that Marc Bolland uses for Marks & Spencer has a penetrating effect on the company; it delves into the deepest and most meticulous points of the organization that refine and reinvigorate the M&S brand name. Marks & Spencer has already executed an array of different methods in their implementation of CSR that has already shown clear evidence of positive effects on its societal environment and to M&S itself from an economic perspective. The introduction and process of Plan A has been paramount to working with existing societal factors that exist external to the firm; these opportunities on a societal dimension have been analyzed and utilized by the company in a method that will help the company become sustainable into future operations.
Works Cited:
MarksandSpencer.com. Retrieved from http://www.marksandspencer.com/.
Written by: Michael Magaruh with inspiration from The Big Bang Bloggers
Saturday, April 16, 2011
Sunday, April 10, 2011
Taking a Leap of Faith with Amazon's own Jeff Bezos
When it comes to CEO’s that have really made a difference in their organization, Jeff Bezos of Amazon.com leads the list. While Jeff’s leadership style is quite unconventional, it has proven to be extremely effective as Amazon has become the leader of online e-commerce. When making decisions for the organization Jeff is typically most effective when using an intuitive decision making model process. According to the textbook an intuitive decision making model is, “arriving at decisions without conscious reasoning. The model argues that in a given situation, experts making decisions scan the environment for cues to recognize patterns (Bauer and Erdogan 265.)” Bezos is known all too well for these “leaps of faith” in which his decisions are made without any true evidence or studies to back them up. Most of these intuitive decisions are actually made on a rather large scale and don’t have the time or effort to be tested first on a smaller scale.
While some of these decisions made by Bezos have hurt the company in terms of sales and profits in the short run, Bezos is always concerned for the long term effects of the decisions on the customers. If the decision will be good for customers in the long run than it was exactly the right decision according to Bezos. This customer pleasing focused decision making concept is what has helped Jeff become as successful as he is today and has proven to truly help the company in the long run.
Bezos is constantly searching for ways to improve efficiency at Amazon, regardless of how small of a positive impact that change may have. As long the company is always increasing efficiency, than the company is heading in the right direction. However, while he does constantly search for small short-term ways to increase efficiency at Amazon’s warehouses Bezos is still committed to the sustaining the company’s long term goals of changing the world over decades.
Even though Bezos does value the importance of using creativity when coming up with decisions and new ideas, he is not afraid to use/steal other company’s creative ideas that have proven successful as well. According to the textbook creativity is referred to as, “The generation of new ideas that are original, fluent, and flexible (Bauer and Erdogan 266).” While Amazon is constantly coming up with new innovative and creative ideas they realize the importance of learning from your competitors creative ideas. In the very words of Jeff Bezos, “We watch our competitors, learn from them, see things that they were doing for customers and copy those things as much as we can.” For example, when EBay started becoming increasingly popular Amazon decided that they too needed an auction style way of selling their products. While the first attempts struggled to take flight, Bezos persistently searched for a successful auction system. Finally Amazon came up with Marketplace, where third parties could sell their goods side by side with Amazon’s own offerings using an auction style way of selling. Amazon’s copying ways have not stopped there. Similar to Google’s Froogle feature, Amazon is in the process of expanding its search capabilities to help its customers find what types of products they need to buy on other websites and compare prices.
While Amazon has gone through some extremely tough times, such as the dot come crisis, Jeff Bezos continues to be optimistic and keeps his company on track to achieve their long term goals. During a PC forum conference in 2001 Jeff gave a presentation in which he displayed a slide showing figures indicating Amazon’s stock falling from $100-a-share to a measly $6. What Bezos claimed while showing this slide was that if you think the Amazon Company is not achieving its long term goals than you’re a pessimist. After that he displayed a slide showing Amazon’s cumulative wealth since the day it went public ($1.50, split-adjusted) and that current day ($11.64). Bezos explained to the crowd that he concentrates on this aspect of the business and really concentrates his definition of a successful business on its ability to achieve long term results, rather than short term times of struggle.
Stimulating Questions to think about/dicuss:
Do you agree with Jeff’s intuitive decision making style, in which he relies on taking “leaps of faith” rather than using evidence and data to support decisions?
Do you consider Jeff promoting his employees to steal successful innovative techniques that competitors are using a breach of ethics?
With the plethora of e-commerce companies out on the web, what do you personally feel sets Amazon apart from its competitors?
Work Cited:
http://www.fastcompany.com/magazine/85/bezos_1.html
http://www.achievement.org/autodoc/page/bez0bio-1
http://investing.businessweek.com/research/stocks/people/person.asp?personId=218119&ticker=AMZN:US
By: Jason Dangles
While some of these decisions made by Bezos have hurt the company in terms of sales and profits in the short run, Bezos is always concerned for the long term effects of the decisions on the customers. If the decision will be good for customers in the long run than it was exactly the right decision according to Bezos. This customer pleasing focused decision making concept is what has helped Jeff become as successful as he is today and has proven to truly help the company in the long run.
Bezos is constantly searching for ways to improve efficiency at Amazon, regardless of how small of a positive impact that change may have. As long the company is always increasing efficiency, than the company is heading in the right direction. However, while he does constantly search for small short-term ways to increase efficiency at Amazon’s warehouses Bezos is still committed to the sustaining the company’s long term goals of changing the world over decades.
Even though Bezos does value the importance of using creativity when coming up with decisions and new ideas, he is not afraid to use/steal other company’s creative ideas that have proven successful as well. According to the textbook creativity is referred to as, “The generation of new ideas that are original, fluent, and flexible (Bauer and Erdogan 266).” While Amazon is constantly coming up with new innovative and creative ideas they realize the importance of learning from your competitors creative ideas. In the very words of Jeff Bezos, “We watch our competitors, learn from them, see things that they were doing for customers and copy those things as much as we can.” For example, when EBay started becoming increasingly popular Amazon decided that they too needed an auction style way of selling their products. While the first attempts struggled to take flight, Bezos persistently searched for a successful auction system. Finally Amazon came up with Marketplace, where third parties could sell their goods side by side with Amazon’s own offerings using an auction style way of selling. Amazon’s copying ways have not stopped there. Similar to Google’s Froogle feature, Amazon is in the process of expanding its search capabilities to help its customers find what types of products they need to buy on other websites and compare prices.
While Amazon has gone through some extremely tough times, such as the dot come crisis, Jeff Bezos continues to be optimistic and keeps his company on track to achieve their long term goals. During a PC forum conference in 2001 Jeff gave a presentation in which he displayed a slide showing figures indicating Amazon’s stock falling from $100-a-share to a measly $6. What Bezos claimed while showing this slide was that if you think the Amazon Company is not achieving its long term goals than you’re a pessimist. After that he displayed a slide showing Amazon’s cumulative wealth since the day it went public ($1.50, split-adjusted) and that current day ($11.64). Bezos explained to the crowd that he concentrates on this aspect of the business and really concentrates his definition of a successful business on its ability to achieve long term results, rather than short term times of struggle.
Stimulating Questions to think about/dicuss:
Do you agree with Jeff’s intuitive decision making style, in which he relies on taking “leaps of faith” rather than using evidence and data to support decisions?
Do you consider Jeff promoting his employees to steal successful innovative techniques that competitors are using a breach of ethics?
With the plethora of e-commerce companies out on the web, what do you personally feel sets Amazon apart from its competitors?
Work Cited:
http://www.fastcompany.com/magazine/85/bezos_1.html
http://www.achievement.org/autodoc/page/bez0bio-1
http://investing.businessweek.com/research/stocks/people/person.asp?personId=218119&ticker=AMZN:US
By: Jason Dangles
Leading the Market to Sustainability: Alan Mulally and Ford Motor Co.
A watchful eye has been placed on sustainability and the “green” movement nowadays where leaders that are willing to pursue this issue pertaining to their organization can get an early lead for something that is coming in the blink of an eye. Earlier posts provided by our group have focused on sustainability and what this means for business and the organizational environment. The effects that can be realized for those organizations that take early initiative in terms of implementing sustainable processes and systems into their organization will have to pay a high price in the present, but these ambitious moves will pay for themselves over and over in the mid to long-term. One company that is already well on their way to sustainability, is Ford Motor Co. led by CEO Alan Mulally.
Ford Motor Co. has undergone significant changes recently having to do with restructuring their entire lineup of vehicles while still trying to lessen their environmental footprint left behind. To add to this pivotal restructuring, it must not be forgotten that this was the only U.S. auto manufacturer out of the “big 3” (General Motors Co., Chrysler Group LLC., & Ford Motor Co.) that did not get bailed out by the government during the recession. While not asking for help, the company was obligated to cut their workforce substantially, cut costs, and revolutionize their strategies. All of these efforts have been led by Mulally who has been making many bold decisions where risk-taking is part of everyday procedure.
The next big step that Mulally is making within the company is trying to strengthen their competitive edge on foreign manufacturers who have already surfaced to the top in their gas-saving lineup of vehicles; Toyota being the biggest competitor in this segment. At the Detroit Auto Show that took place in early 2011, Mulally spoke about their new strategy in saying that the company’s new small-vehicle offerings are made possible by a strategic decision taken as part of the company’s recent overhaul to build 10 different compact car and crossover models using the same basis chassis, or “platform.” The organization is delving into research and design in the fuel-efficient sector and ultimately hopes to achieve increased economies of scale in regards to their hybrid and electric models in the current and near-future.
Alan Mulally has certainly been on the right path in his substantial restructuring and overhauling for Ford. His leadership style is one that not only performs for the company, but exemplifies what U.S. auto manufacturers need to produce in order to stay on the same level as the global auto market. The reach for becoming a sustainable organization has made itself one step closer for Ford because of their recent struggle. Albeit, the company still has a long road ahead of them if they plan on competing with Toyota and Honda with their lineup of smaller vehicles. Alan Mulally’s momentum in the global recession has shown to be beneficial not only for Ford and its stakeholders, but the entire global market as well.
Written by: Michael Magaruh and the Big Bang Bloggers
Works Cited:
Wall Street Journal (2011), “Detroit’s Woes Make for Better, Smaller Cars,” (Accessed April 10th, 2011).
Available at: http://online.wsj.com/article/SB10001424052748703954004576090061509442764.html?KEYWORDS=ford+motor+company
Ford Motor Co. has undergone significant changes recently having to do with restructuring their entire lineup of vehicles while still trying to lessen their environmental footprint left behind. To add to this pivotal restructuring, it must not be forgotten that this was the only U.S. auto manufacturer out of the “big 3” (General Motors Co., Chrysler Group LLC., & Ford Motor Co.) that did not get bailed out by the government during the recession. While not asking for help, the company was obligated to cut their workforce substantially, cut costs, and revolutionize their strategies. All of these efforts have been led by Mulally who has been making many bold decisions where risk-taking is part of everyday procedure.
The next big step that Mulally is making within the company is trying to strengthen their competitive edge on foreign manufacturers who have already surfaced to the top in their gas-saving lineup of vehicles; Toyota being the biggest competitor in this segment. At the Detroit Auto Show that took place in early 2011, Mulally spoke about their new strategy in saying that the company’s new small-vehicle offerings are made possible by a strategic decision taken as part of the company’s recent overhaul to build 10 different compact car and crossover models using the same basis chassis, or “platform.” The organization is delving into research and design in the fuel-efficient sector and ultimately hopes to achieve increased economies of scale in regards to their hybrid and electric models in the current and near-future.
Alan Mulally has certainly been on the right path in his substantial restructuring and overhauling for Ford. His leadership style is one that not only performs for the company, but exemplifies what U.S. auto manufacturers need to produce in order to stay on the same level as the global auto market. The reach for becoming a sustainable organization has made itself one step closer for Ford because of their recent struggle. Albeit, the company still has a long road ahead of them if they plan on competing with Toyota and Honda with their lineup of smaller vehicles. Alan Mulally’s momentum in the global recession has shown to be beneficial not only for Ford and its stakeholders, but the entire global market as well.
Written by: Michael Magaruh and the Big Bang Bloggers
Works Cited:
Wall Street Journal (2011), “Detroit’s Woes Make for Better, Smaller Cars,” (Accessed April 10th, 2011).
Available at: http://online.wsj.com/article/SB10001424052748703954004576090061509442764.html?KEYWORDS=ford+motor+company
Mark Zuckerberg: Interconnecting the World
Mark Zuckerberg is a widely recognized leader of change around the world and has clearly made a real difference in society as we know it today. In 2003, Mark founded the social networking website called Facebook, which since its establishment has experienced exponential growth. Facebook was solely created for college universities at the time so that students would be capable of easily networking with one another. However, in 2005 Mark then made the strategic decision of offering the websites services to some high schools and international schools. Several years later the website became available to virtually everyone in the world with an internet connection and is the current Facebook as we know it. These were some of the best nonprogrammed decisions Mark Zuckerberg has made from his available criteria as Facebook’s popularity rose from one million users in 2004, to over 500 million empowered users today. Mark’s popularity grew nearly as fast as his website with a recent movie being based around his life and the rise of Facebook in The Social Network, which won three Oscars. The creation of facebook.com has amounted to unsurpassed success for Mark Zuckerberg as at 26 years of age he has amassed a net worth of 6.9 billion dollars, or in translation, the 35th richest person in the United States according to Forbes. It would be flat-out erroneous to leave Mark Zuckerberg out of the Big Bang Impact Blog because of his outright success at such a young age, as well as the real difference he has made in society using his high task-oriented leadership abilities.
This success could not have been accomplished without the proper utilization of many critical theories and concepts from Organizational Behavior. These areas in which I have discovered to be most relevant in the development of Mark Zuckerberg’s role in Facebook relate to his leadership, and the decision making process. The Facebook as we know it today would not be the same if Mark did not excel in these two topical areas related to Organizational Behavior. He has demonstrated knowledge and passion to excel in these two organizational subjects, which is best described by the Washington Post as Mark Zuckerberg stated, “we really just believe in what we are doing (Frontiera).”
The formal task-oriented leader, Mark Zuckerberg, has proved to be an outstanding decision maker as this recent leader of change has not lost sight of Facebook’s long-term strategy. This long-term strategy includes taking a directive approach in structuring roles for his subordinates in an effort to perfect the social networking capabilities of Facebook. Mark Zuckerberg’ task-oriented approach to leadership has proven successful, as he did not invent social networking but rather must utilize task-management in order to guide his employees to see a common value in perfecting it. I personally believe that Mark primarily exercises inspirational motivation to create a need for achievement, and affiliation in his subordinates with Facebook as he is truly a charismatic personality. This charisma, along with a high degree of task-oriented leadership, has raised the expectancy of effort and performance in which Mark seeks from his employees. Mark Zuckerberg’s charisma is evident in the fact that his rise to success and fame has come in such a limited time frame. However, Mark’s charisma is not the only motivator for his employees as he has taken an uncompromising authoritarian leadership approach to delegate specific tasks to his subordinates. The Social Network does a fantastic job of depicting this approach as Mark essentially views the human nature of his employees in the Theory X sense. During the movie Mark is persistent in motivating his friends to input their maximum effort when he first moved to Palo Alto, California in order to achieve product development goals he had set for Facebook. Leading employees in this fashion basically fulfills Mark Zuckerberg’s task-management philosophy in creating a common vision for his employees. He has consistently stuck to this vision since founding Facebook, which was tested when Mark was confronted with a one billion dollar offer to sell his company to Yahoo at the age of 22. While pondering this offer, Mark used the rational decision making model to identify the problems, establish decision criteria, generate alternates, and choose the best alternative. He then chose to implement the decision of rejecting the offer after carefully examining the decision criteria and other available alternatives. This choice has become history upon evaluating Mark’s rational decision today, as Facebook is now worth well over 50 billion dollars. Mark Zuckerberg’s decision making ability is extremely unique because thus far he has not demonstrated a framing bias in the way offers are presented to him by others. Nor has he exhibited anchoring in decision making as he has not divulged into a single piece of information when confronted with choice. Mark Zuckerberg’s combination of highly intelligent decision making ability, and utilization of task-oriented leadership for his employees has brought Facebook to historical successes in the world of social networking.
Today still may be just the early stages of Facebook’s growth as the sky is the limit with Mark Zuckerberg’s vision. He has demonstrated an outstanding ability to lead others by utilizing task-oriented leadership and exercising a decision making process which is far more mature than his age. Mark Zuckerberg’s abilities have earned him a great deal of respect around the globe as a true leader of societal change. The social networking company Facebook has aided people in discovering long lost loved ones, and has been credited as an essential medium of communication amongst groups organizing uprisings in the Middle East and North Africa. He is also taking a philanthropic approach to societal change in a much similar fashion to the recent trends established by Bill Gates and Warren Buffet. According to the New York Times, Mark Zuckerberg donated 100 million dollars to the struggling public schools in Newark, New Jersey. This act of philanthropy in helping these once "failed" schools has revealed Mark's true concern for the good of society; while being a high self-monitor and positively representing his company's acts of corporate social responsibility. The founding of Facebook has provoked a social revolution in the world as we know it, and this dramatic change in communication would not have been accomplished without the charismatic leadership of Mark Zuckerberg.
Do you believe that Facebook is still in the growth stage of success, or is the website about to reach its peak? Should Mark Zuckerberg also reach out to other recent leaders of change, such as Microsoft’s Bill Gates or Google’s Sergey Brin, for further guidance related to leading or operating the successful website of Facebook? Is there any other social networking websites which you believe could compete with Facebook and reach their level of success in the future?
Works Cited:
A&E Television Networks (2011), “Mark Zuckerberg Biography,” (Accessed April 9, 2011), [available at http://www.biography.com/articles/Mark-Zuckerberg-507402]
Joe Fronteria, Washington Post (July 25, 2010), “Facebook’s Leadership: Dissecting Mark Zuckerberg,” (Accessed April 9, 2011) [http://views.washingtonpost.com/leadership/leadership_playlist/2010/07/facebooks-leadership-dissecting-mark-zuckerberg.html]
Richard Perez-Pena, New York Times (September 22, 2010), "Facebook Founder to Donate $100 Million to Help Remake Newark’s Schools," (Accessed April 9, 2011) [http://www.nytimes.com/2010/09/23/education/23newark.html]
Written by: Zach Seibel
This success could not have been accomplished without the proper utilization of many critical theories and concepts from Organizational Behavior. These areas in which I have discovered to be most relevant in the development of Mark Zuckerberg’s role in Facebook relate to his leadership, and the decision making process. The Facebook as we know it today would not be the same if Mark did not excel in these two topical areas related to Organizational Behavior. He has demonstrated knowledge and passion to excel in these two organizational subjects, which is best described by the Washington Post as Mark Zuckerberg stated, “we really just believe in what we are doing (Frontiera).”
The formal task-oriented leader, Mark Zuckerberg, has proved to be an outstanding decision maker as this recent leader of change has not lost sight of Facebook’s long-term strategy. This long-term strategy includes taking a directive approach in structuring roles for his subordinates in an effort to perfect the social networking capabilities of Facebook. Mark Zuckerberg’ task-oriented approach to leadership has proven successful, as he did not invent social networking but rather must utilize task-management in order to guide his employees to see a common value in perfecting it. I personally believe that Mark primarily exercises inspirational motivation to create a need for achievement, and affiliation in his subordinates with Facebook as he is truly a charismatic personality. This charisma, along with a high degree of task-oriented leadership, has raised the expectancy of effort and performance in which Mark seeks from his employees. Mark Zuckerberg’s charisma is evident in the fact that his rise to success and fame has come in such a limited time frame. However, Mark’s charisma is not the only motivator for his employees as he has taken an uncompromising authoritarian leadership approach to delegate specific tasks to his subordinates. The Social Network does a fantastic job of depicting this approach as Mark essentially views the human nature of his employees in the Theory X sense. During the movie Mark is persistent in motivating his friends to input their maximum effort when he first moved to Palo Alto, California in order to achieve product development goals he had set for Facebook. Leading employees in this fashion basically fulfills Mark Zuckerberg’s task-management philosophy in creating a common vision for his employees. He has consistently stuck to this vision since founding Facebook, which was tested when Mark was confronted with a one billion dollar offer to sell his company to Yahoo at the age of 22. While pondering this offer, Mark used the rational decision making model to identify the problems, establish decision criteria, generate alternates, and choose the best alternative. He then chose to implement the decision of rejecting the offer after carefully examining the decision criteria and other available alternatives. This choice has become history upon evaluating Mark’s rational decision today, as Facebook is now worth well over 50 billion dollars. Mark Zuckerberg’s decision making ability is extremely unique because thus far he has not demonstrated a framing bias in the way offers are presented to him by others. Nor has he exhibited anchoring in decision making as he has not divulged into a single piece of information when confronted with choice. Mark Zuckerberg’s combination of highly intelligent decision making ability, and utilization of task-oriented leadership for his employees has brought Facebook to historical successes in the world of social networking.
Today still may be just the early stages of Facebook’s growth as the sky is the limit with Mark Zuckerberg’s vision. He has demonstrated an outstanding ability to lead others by utilizing task-oriented leadership and exercising a decision making process which is far more mature than his age. Mark Zuckerberg’s abilities have earned him a great deal of respect around the globe as a true leader of societal change. The social networking company Facebook has aided people in discovering long lost loved ones, and has been credited as an essential medium of communication amongst groups organizing uprisings in the Middle East and North Africa. He is also taking a philanthropic approach to societal change in a much similar fashion to the recent trends established by Bill Gates and Warren Buffet. According to the New York Times, Mark Zuckerberg donated 100 million dollars to the struggling public schools in Newark, New Jersey. This act of philanthropy in helping these once "failed" schools has revealed Mark's true concern for the good of society; while being a high self-monitor and positively representing his company's acts of corporate social responsibility. The founding of Facebook has provoked a social revolution in the world as we know it, and this dramatic change in communication would not have been accomplished without the charismatic leadership of Mark Zuckerberg.
Do you believe that Facebook is still in the growth stage of success, or is the website about to reach its peak? Should Mark Zuckerberg also reach out to other recent leaders of change, such as Microsoft’s Bill Gates or Google’s Sergey Brin, for further guidance related to leading or operating the successful website of Facebook? Is there any other social networking websites which you believe could compete with Facebook and reach their level of success in the future?
Works Cited:
A&E Television Networks (2011), “Mark Zuckerberg Biography,” (Accessed April 9, 2011), [available at http://www.biography.com/articles/Mark-Zuckerberg-507402]
Joe Fronteria, Washington Post (July 25, 2010), “Facebook’s Leadership: Dissecting Mark Zuckerberg,” (Accessed April 9, 2011) [http://views.washingtonpost.com/leadership/leadership_playlist/2010/07/facebooks-leadership-dissecting-mark-zuckerberg.html]
Richard Perez-Pena, New York Times (September 22, 2010), "Facebook Founder to Donate $100 Million to Help Remake Newark’s Schools," (Accessed April 9, 2011) [http://www.nytimes.com/2010/09/23/education/23newark.html]
Written by: Zach Seibel
William McDonough and Michael Braungart: The Next Industrial Revolution
Before you simply scroll down and gasp at the length of this post, I implore you to consider something. You could pass over this short novel in favor of commenting on shorter post. Of course, it is much easier for you to summarize and say yes or no to a short post. However, I hope you will read at least part of my writing here. The first half deals with an amazing company and the surprising work they have done that questions the laws of business and our preconceptions about possibility. The second portion deals with some course concepts we have covered. I know you will take something away from this post, so I hope you invest just five minutes in this article. You could do it during the TV commercials or while you are checking your facebook. If you manage to make it to the end and find something interesting enough to comment on, I promise I will return the favor. (Be sure to include your team's title in your signature. Also, please try to comment before midnight on the due date so that I can actually read your posts!)
This Dynamic Duo is a fascinating partnership. McDonough is an American architect who has extensive experience in the realm of sustainability. He started redesigning buildings for several clients and founded his own company. When met Michael Braungart, the direction of his work would soon change and he started to make a significant impact on the world. Michael is a German chemist who was an activist for a movement called Greenpeace. They now work together to bring innovation and the environment together in architecture. Together, they founded McDonough Braungart design Chemistry (MBDC). As with most of the leaders that I have written about, I cannot do these two brilliant men justice in a single blog post. Since the semester is winding down, I will only touch on a couple of their key concepts and direct you to a couple information-rich locations to learn more about them at your own discretion.
The environment is at the center of MBDC’s work. One concept that they struggled with early on was eco-efficiency. Since the time of Henry Ford, efficiency has always been the name of the game as it relates to the environment. Companies need to squeeze more utility out of every resource, worker, and hour. Eco-efficiency aims to release less toxic waste into the environment, create fewer dangerous waste materials, and bury less garbage in the ground. The world has operated on these principles for many years, until McDonough and Braungart came along. They argue that eco-efficiency is not enough. It is not a long term solution to a serious problem. Instead, they proposed a model of eco-effectiveness. In this system, we do not focus on reducing waste. MBDC suggests that we completely eliminate the concept of waste.
To move towards eco-effectiveness, MBDC introduced the simple yet powerful equation: Waste = Food. When left untouched, nature recycles everything. When something dies, it is reabsorbed back into the system as nutrients for something else. Whether a predator catches its prey or a tree falls in the forest, everything becomes an input in the system. MBDC thought that the best model for creating products and buildings is the tree. A tree creates and sustains life for everything around it. And once it dies, it nourishes its environment so that the process can be repeated. MBDC transferred this cycle into our world. Braungart uses the terms biological and technical nutrients. Biological nutrients are raw materials used by other living organisms to carry on life processes. This includes food waste and other materials that could be broken down by the environment somehow. Technical nutrients are materials that humans create which can be continuously put back into production. This is where recycling and upcycling occurs (Upcycling is the practice of recycling materials in a way that it maintains and/or accrues value over time, as opposed to downcycling).
By putting nature’s ways into practice, we can ensure that an endless cycle of sustainable production is created. McDonough and Braungart are famous for their “Cradle to Cradle” model. In this model, materials are cycled continuously through two separate cycles. All technical nutrients will be put back into production to create new products and all biological nutrients will be processed so that the environment is benefited.
To many, this sounds far-fetched and unrealistic. In fact I was one of them. I am a strong believer in capitalism and the corporate structures. However, after taking MQM 385 with Fitzgibbons, my eyes have been opened to a whole new world. I now know that these practices are not only good for the environment, but they are also good for business. And for those who still need convincing, there is a plethora of evidence out there. As for MBDC and their outlandish claims, they have actually achieved this level of success on a number of occasions.
The Rouge River Ford Motor Company complex was renovated under the watchful eye of McDonough. This is an excerpt from the plant’s website: “The Ford Rouge Factory Tour is among 2100 new structures that have won the coveted award since 2000. From the tour’s observation deck, you can see the 10.4-acre “living roof”. It’s actually tens of thousands of tiny sedum plants that decrease energy consumption by 7 percent and improve air quality by as much as 40 percent. The roof is also a central component of an $18 million rainwater treatment system capable of cleaning up to 20 billion gallons of water every year. And scores of energy-efficient skylights and light monitors permit the plant to provide full illumination while shutting off as much as 50 percent of its artificial illumination. And the roof is only one of many elements in an elaborate industrial eco-system that is architecturally inspired as much as it is technologically ahead of its time.”
This roof helps Ford save around $50 million every year. MBDC has used this same concept to help people in China. As you know, over population is a serious problem in some parts of China. The Chinese government asked MBDC to help address the problem of insufficient room for housing and farming. The solution: MBDC designed entire cities that built sustainable houses that required little energy to operate. In addition to eco-friendly materials and technology, they also were able to build mini rice farms on the rooftops of these houses. This allowed people to both live in and plant on the same exact location.
The concepts and ideas I have described above are the things that McDonough and Braungart believe will transform the future. Just as technological and manufacturing breakthroughs in the past altered the course of history, so too will this new change in ideology. This is the New Industrial Revolution that MBDC has brought about.
There are many more success stories I want to get to, but I’m sure you’re tired of reading my post by this point. Unfortunately, I need to stop telling you about what they do and start telling you about what they do. Translation: less stories and more course concepts.
Clearly, McDonough and Braungart are visionaries. One of the most recent concepts we covered involved decision making. These men have made outstanding strategic decisions. They have challenged the “business as we know it” model and created an entirely new way of doing things. By thinking outside the box, they have significantly impacted others in the business community. Manufacturers from all over the world are changing their processes and practices after working with these inspirational leaders. These strategic decisions were coupled with tactical and, surprisingly, operational decisions as well. While McDonough brings several strategic ideas to the table, Braungart brings the ideas to life. His expertise in chemistry and biology help get the ideas from the drawing board to real life. In this aspect, he is displaying his roles as both a contributor and a completer. They are not interested in only creating lofty hypothetical ideals. But rather, they want to bring their concepts to life by actually creating innovative solutions.
This line of communication also leads us to my next point. MBDC obviously makes creative decisions. The three main factors in the creative decision making process are fluency, flexibility, and originality. Fluency refers to the number of ideas a person is able to generate. Although I have not provided enough examples here, they have created several ideas. You don’t have to take my word for it. You can search for the Adam Joseph Lewis Center for Environmental Studies or their work with Nike, Nestle, Pepsi, Volvo or any of the 104 clients listed on MBDC’s client list page.
McDonough and Braungart also have amazing flexibility. They are not a “cookie cutter” company that uses the same tactics in every situation. The consulting group analyzes every individual client as a separate opportunity with different possibilities. They have helped countless clients address a wide variety of issues ranging from solar, wind, and hydroelectric power sources to water treatment, living roof, and negative emissions building solutions (negative emissions refers to a practice that purifies the facility’s water and emissions, as well as its immediate environment. This actually creates negative emissions because it creates no waste and purifies surrounding waste.).
MBDC’s Originality cannot be questioned. Each of the ideas they come up with is entirely unique compared to the traditional business model. They have conceived and actually built things that many of us have never even dreamed of. Plants and gardens growing on the roof, negative emissions, complete energy sustainability? This is the reality that MBDC has created.
Congratulations to those who managed to survive until the end! I hope it was worth your time. I apologize again for the ridiculous length of this post and I promise I will never make one like it again. I just feel very passionate about the things that these amazing people have developed and wanted to share some of their work with you. If you are interested in learning more about MBDC or its founders, I encourage you to explore the following links. One is an article that introduces McDonough and Braungart’s groundbreaking beliefs. Another link is a Youtube video. It is Part 1 of a series of interviews with the founders of MBDC. You can cycle through them as you wish, or simply Google MBDC or either one of the founders. I also included a list of their clients to reinforce my claim concerning MBDC's fluency issues. William McDonough and Michael Braungart are amazing leaders who have shown an exceptional level of creativeness, expertise, and passion to change the world by questioning the traditional business model and pushing the boundaries of possibility.
MBDC key concepts:
http://www.theatlantic.com/past/docs/issues/98oct/industry.htm
Interviews with the founders:
http://www.youtube.com/watch?v=VkoOnJmVB6Q
Client list:
http://www.mbdc.com/clientlist.aspx?linkid=4&sublink=14
Regards,
Jarek Palmer
(Big Bang Bloggers)
This Dynamic Duo is a fascinating partnership. McDonough is an American architect who has extensive experience in the realm of sustainability. He started redesigning buildings for several clients and founded his own company. When met Michael Braungart, the direction of his work would soon change and he started to make a significant impact on the world. Michael is a German chemist who was an activist for a movement called Greenpeace. They now work together to bring innovation and the environment together in architecture. Together, they founded McDonough Braungart design Chemistry (MBDC). As with most of the leaders that I have written about, I cannot do these two brilliant men justice in a single blog post. Since the semester is winding down, I will only touch on a couple of their key concepts and direct you to a couple information-rich locations to learn more about them at your own discretion.
The environment is at the center of MBDC’s work. One concept that they struggled with early on was eco-efficiency. Since the time of Henry Ford, efficiency has always been the name of the game as it relates to the environment. Companies need to squeeze more utility out of every resource, worker, and hour. Eco-efficiency aims to release less toxic waste into the environment, create fewer dangerous waste materials, and bury less garbage in the ground. The world has operated on these principles for many years, until McDonough and Braungart came along. They argue that eco-efficiency is not enough. It is not a long term solution to a serious problem. Instead, they proposed a model of eco-effectiveness. In this system, we do not focus on reducing waste. MBDC suggests that we completely eliminate the concept of waste.
To move towards eco-effectiveness, MBDC introduced the simple yet powerful equation: Waste = Food. When left untouched, nature recycles everything. When something dies, it is reabsorbed back into the system as nutrients for something else. Whether a predator catches its prey or a tree falls in the forest, everything becomes an input in the system. MBDC thought that the best model for creating products and buildings is the tree. A tree creates and sustains life for everything around it. And once it dies, it nourishes its environment so that the process can be repeated. MBDC transferred this cycle into our world. Braungart uses the terms biological and technical nutrients. Biological nutrients are raw materials used by other living organisms to carry on life processes. This includes food waste and other materials that could be broken down by the environment somehow. Technical nutrients are materials that humans create which can be continuously put back into production. This is where recycling and upcycling occurs (Upcycling is the practice of recycling materials in a way that it maintains and/or accrues value over time, as opposed to downcycling).
By putting nature’s ways into practice, we can ensure that an endless cycle of sustainable production is created. McDonough and Braungart are famous for their “Cradle to Cradle” model. In this model, materials are cycled continuously through two separate cycles. All technical nutrients will be put back into production to create new products and all biological nutrients will be processed so that the environment is benefited.
To many, this sounds far-fetched and unrealistic. In fact I was one of them. I am a strong believer in capitalism and the corporate structures. However, after taking MQM 385 with Fitzgibbons, my eyes have been opened to a whole new world. I now know that these practices are not only good for the environment, but they are also good for business. And for those who still need convincing, there is a plethora of evidence out there. As for MBDC and their outlandish claims, they have actually achieved this level of success on a number of occasions.
The Rouge River Ford Motor Company complex was renovated under the watchful eye of McDonough. This is an excerpt from the plant’s website: “The Ford Rouge Factory Tour is among 2100 new structures that have won the coveted award since 2000. From the tour’s observation deck, you can see the 10.4-acre “living roof”. It’s actually tens of thousands of tiny sedum plants that decrease energy consumption by 7 percent and improve air quality by as much as 40 percent. The roof is also a central component of an $18 million rainwater treatment system capable of cleaning up to 20 billion gallons of water every year. And scores of energy-efficient skylights and light monitors permit the plant to provide full illumination while shutting off as much as 50 percent of its artificial illumination. And the roof is only one of many elements in an elaborate industrial eco-system that is architecturally inspired as much as it is technologically ahead of its time.”
This roof helps Ford save around $50 million every year. MBDC has used this same concept to help people in China. As you know, over population is a serious problem in some parts of China. The Chinese government asked MBDC to help address the problem of insufficient room for housing and farming. The solution: MBDC designed entire cities that built sustainable houses that required little energy to operate. In addition to eco-friendly materials and technology, they also were able to build mini rice farms on the rooftops of these houses. This allowed people to both live in and plant on the same exact location.
The concepts and ideas I have described above are the things that McDonough and Braungart believe will transform the future. Just as technological and manufacturing breakthroughs in the past altered the course of history, so too will this new change in ideology. This is the New Industrial Revolution that MBDC has brought about.
There are many more success stories I want to get to, but I’m sure you’re tired of reading my post by this point. Unfortunately, I need to stop telling you about what they do and start telling you about what they do. Translation: less stories and more course concepts.
Clearly, McDonough and Braungart are visionaries. One of the most recent concepts we covered involved decision making. These men have made outstanding strategic decisions. They have challenged the “business as we know it” model and created an entirely new way of doing things. By thinking outside the box, they have significantly impacted others in the business community. Manufacturers from all over the world are changing their processes and practices after working with these inspirational leaders. These strategic decisions were coupled with tactical and, surprisingly, operational decisions as well. While McDonough brings several strategic ideas to the table, Braungart brings the ideas to life. His expertise in chemistry and biology help get the ideas from the drawing board to real life. In this aspect, he is displaying his roles as both a contributor and a completer. They are not interested in only creating lofty hypothetical ideals. But rather, they want to bring their concepts to life by actually creating innovative solutions.
This line of communication also leads us to my next point. MBDC obviously makes creative decisions. The three main factors in the creative decision making process are fluency, flexibility, and originality. Fluency refers to the number of ideas a person is able to generate. Although I have not provided enough examples here, they have created several ideas. You don’t have to take my word for it. You can search for the Adam Joseph Lewis Center for Environmental Studies or their work with Nike, Nestle, Pepsi, Volvo or any of the 104 clients listed on MBDC’s client list page.
McDonough and Braungart also have amazing flexibility. They are not a “cookie cutter” company that uses the same tactics in every situation. The consulting group analyzes every individual client as a separate opportunity with different possibilities. They have helped countless clients address a wide variety of issues ranging from solar, wind, and hydroelectric power sources to water treatment, living roof, and negative emissions building solutions (negative emissions refers to a practice that purifies the facility’s water and emissions, as well as its immediate environment. This actually creates negative emissions because it creates no waste and purifies surrounding waste.).
MBDC’s Originality cannot be questioned. Each of the ideas they come up with is entirely unique compared to the traditional business model. They have conceived and actually built things that many of us have never even dreamed of. Plants and gardens growing on the roof, negative emissions, complete energy sustainability? This is the reality that MBDC has created.
Congratulations to those who managed to survive until the end! I hope it was worth your time. I apologize again for the ridiculous length of this post and I promise I will never make one like it again. I just feel very passionate about the things that these amazing people have developed and wanted to share some of their work with you. If you are interested in learning more about MBDC or its founders, I encourage you to explore the following links. One is an article that introduces McDonough and Braungart’s groundbreaking beliefs. Another link is a Youtube video. It is Part 1 of a series of interviews with the founders of MBDC. You can cycle through them as you wish, or simply Google MBDC or either one of the founders. I also included a list of their clients to reinforce my claim concerning MBDC's fluency issues. William McDonough and Michael Braungart are amazing leaders who have shown an exceptional level of creativeness, expertise, and passion to change the world by questioning the traditional business model and pushing the boundaries of possibility.
MBDC key concepts:
http://www.theatlantic.com/past/docs/issues/98oct/industry.htm
Interviews with the founders:
http://www.youtube.com/watch?v=VkoOnJmVB6Q
Client list:
http://www.mbdc.com/clientlist.aspx?linkid=4&sublink=14
Regards,
Jarek Palmer
(Big Bang Bloggers)
Thursday, April 7, 2011
Meg Whitman’s Successful Leadership Style
We are currently talking about the different types of leadership styles that work within organizations. These styles that are mentioned in the Path Goal Theory of Leadership are directive, supportive, participative, and achievement-orientated. Some people believe you have to be born with the necessary traits to become a successful leader but this isn’t necessarily true. Yes, some of the traits of a leader are difficult to enhance or change if your personality doesn’t fit. This doesn’t mean you can’t be a successful leader if you don’t possess all of these traits. There are numerous amounts of leaders that have developed leadership skills throughout their lives.
Meg Whitman, CEO of EBay, started her career by learning from numerous companies. She was often the new employee in many organizations. She began her career in brand management at Proctor & Gamble. This is where she learned the very valuable listen that customers come first. Then, Whitman went on to be a business management consultant for Bain. Bain was a decentralized environment. Meg Whitman learned that collaborating with others is a better way to get things done then controlling your employees. All of these experiences helped Whitman acquire these valuable traits of listening, learning, collaboration, and building relationships. She learned that one must influence people to be a successful leader.
Meg Whitman took these valuable lessons that she learned and put them into affect at EBay. She became the CEO of EBay in 1988. Revenue has grown from 5.7 million to 4.7 billion in 2005.
You may ask yourself how has she done this?
Meg Whitman is a firm believer in influencing relationships with her employees and not controlling them. There are three leadership strands that Whitman uses at her job as CEO of EBay. First, she realizes she cannot control the buyers and sellers of EBay. Second, Whitman feels that people are basically good, so trust them. This shows us that Whitman is a supportive leader. One who emotionally supports her employees and treats them with care and respect. Whitman says, "Our Company is built and managed on validation.” Third, don’t assume that you know everything. Whitman is also a participative leader. She listens and lets her employee’s voice there say in meetings and important decisions within the company. Whitman also believes you must travel and learn from different countries. You can never learn too much. Meg Whitman is a very knowledgeable leader.
Meg Whitman is a prime example of a leader that developed her leadership traits throughout her career to become a successful leader in one of the top companies in the world. Meg Whitman was a very charismatic leader who used her influenced others rather than forcing them to come to work every day. Therefore; Meg Whitman is a well respected leader of eBay.
If you were to become a successful leader in the future, what qualities would you possess and what type of leadership style would you likely portray to your employees?
Posted By: Mitchell Terry
www.usnews.com/usnews/news/articles/.../31whitman.htm
www.associatedcontent.com
Meg Whitman, CEO of EBay, started her career by learning from numerous companies. She was often the new employee in many organizations. She began her career in brand management at Proctor & Gamble. This is where she learned the very valuable listen that customers come first. Then, Whitman went on to be a business management consultant for Bain. Bain was a decentralized environment. Meg Whitman learned that collaborating with others is a better way to get things done then controlling your employees. All of these experiences helped Whitman acquire these valuable traits of listening, learning, collaboration, and building relationships. She learned that one must influence people to be a successful leader.
Meg Whitman took these valuable lessons that she learned and put them into affect at EBay. She became the CEO of EBay in 1988. Revenue has grown from 5.7 million to 4.7 billion in 2005.
You may ask yourself how has she done this?
Meg Whitman is a firm believer in influencing relationships with her employees and not controlling them. There are three leadership strands that Whitman uses at her job as CEO of EBay. First, she realizes she cannot control the buyers and sellers of EBay. Second, Whitman feels that people are basically good, so trust them. This shows us that Whitman is a supportive leader. One who emotionally supports her employees and treats them with care and respect. Whitman says, "Our Company is built and managed on validation.” Third, don’t assume that you know everything. Whitman is also a participative leader. She listens and lets her employee’s voice there say in meetings and important decisions within the company. Whitman also believes you must travel and learn from different countries. You can never learn too much. Meg Whitman is a very knowledgeable leader.
Meg Whitman is a prime example of a leader that developed her leadership traits throughout her career to become a successful leader in one of the top companies in the world. Meg Whitman was a very charismatic leader who used her influenced others rather than forcing them to come to work every day. Therefore; Meg Whitman is a well respected leader of eBay.
If you were to become a successful leader in the future, what qualities would you possess and what type of leadership style would you likely portray to your employees?
Posted By: Mitchell Terry
www.usnews.com/usnews/news/articles/.../31whitman.htm
www.associatedcontent.com
Tuesday, March 22, 2011
Big Bang Spotlight: Yvon Chouinard
Yvon Chouinard is the founder of a company called Patagonia. The company primarily deals with outdoor gear, equipment and clothing. Although in recent years, they have expanded into new markets. He has a truly interesting biography that is sure to catch the attention of many. I have posted the link below that I used to find my most of my information. You may explore the link and see the amazing success story for yourself. Unfortunately, it is a rather long article. Fortune does an excellent job chronicling the life of how an explorer became an executive. Again, it is rather interesting, and you may enjoy reading it on your own time.
http://money.cnn.com/magazines/fortune/fortune_archive/2007/04/02/8403423/index.htm
However, I would like to discuss a few of the more important concepts that are materially relevant to us. These topics include: ethics, motivational theory and how it impacts performance, designing a motivating work environment, and decision making. Yvon is a fantastic leader that has several characteristics that set him apart from other leadership figureheads. Unfortunately, we will not have enough time to discuss these intricacies. Regardless of time constraints, we will begin by addressing ethics.
In an attempt to avoid covering another group’s subject matter, I will be brief in my discussion of ethics. Yvon Chouinard is a business man who seems to have “figured it out.” He understood that business was not just about making money. He didn’t want the pursuit of endless growth to become his main concern. He wanted to serve the needs of his customers. Yvon knew that if he did things the right way, the profits would come. He also knew that profits could be attained legally and ethically. Chouinard was not interested in cutting corners, making “shady” business deals, or selling his soul to increase revenues. True to the explorer within him, he believed that “reaching the summit had nothing to do with where you arrived and everything to do with how you got there.” Many think that business ethics is common sense, and that it’s not a worthy attribute that sets leaders apart. If this were the case, why are so many frauds still exposed today? These ethics “beacons of hope” serve as a reminder that success can be achieved by playing by the rules.
Although Yvon Chouinard does not specifically address this issue, he has also paid close attention to the motivation of his employees. In chapter 5 we learned about the various theories of motivation. One of the needs based theories is Maslow’s Hierarchy of Needs. Yvon clearly meets his employees’ lower level needs through the salaries they receive and the safe working conditions he has provided to them. He also succeeds in satisfying the social needs of his workers by providing extensive opportunities to socialize. Daycare centers are also made available so that bonds with children can be maintained and strengthened. Esteem needs practically take care of themselves. Workers believe that they are doing meaningful work. Their love for the company and its purpose creates a strong bond that unites and empowers each individual. Therefore, each employee feels more important, respected, and appreciated. Patagonia does an excellent job meeting self-actualization needs. Patagonia receives multitudes of applications every year. The people who apply to Patagonia legitimately want to come to the company to make an impact on the world. The company offers all the resources and accommodations necessary to create ingenious and revolutionary products. Employees want to be all that they can be, both professionally and personally. At Patagonia, they have the ability to achieve personal goals in addition to developing their career. As a result of Yvon’s actions, his employees have high morale and perform at impressive levels.
In chapter 6, we discussed how managers can design a motivating work environment. Patagonia is arguably one of the most motivating work environments the business world can offer. Imagine being able to take breaks to surf the next big wave. Think about “testing” equipment while hiking in the mountains. Try to picture experiencing the latest outdoor gear while camping. These are outlandish things that actually happen. Chouinard enjoys life and wants his people to enjoy life as well. While these are amazing things, Yvon does address issues that are pertinent to what we have discussed in class. By further researching the company, I have found that Yvon uses job enrichment to get his employees more engaged in their work. By having more control and freedom in the creation process, they experience more productivity and creativity.
Employees have strong task significance because they feel that their work affects many people. Not only does it affect their fellow co-workers, their work also affects the general public. Employees understand that they are creating quality products that end users will experience and enjoy. Throughout the process, the company stays true to Yvon Chouinard’s focus on sustainability. Employees also know that the environment is a stakeholder that must be catered to. Each product is carefully designed while considering the environmental impact it may have. In short, employees realize that the work they do is important.
Although we have yet to cover Chapter 11, Yvon provides a glimpse into the future of decision making. He has always had a vision of a business world that operates efficiently and cohesively with the biological world. In his campaign to bring harmony to the earth, Yvon has made substantial progress in the area of sustainability. He has taken the “green” concept to another level by implementing sustainability aspects in every level of the organization. As we will learn, there are multiple types of decisions that need to be made in an organization. Yvon deals primarily with strategic decisions. He is a visionary. He has developed concepts that he believes will take the company and the world to a better place. During his journey, he has explored new products, different methods of product transportation, unique product enhancements, and intuitive business processes. He continues to deal with new product lines. Patagonia is beginning to enter the surfing market. While Patagonia is deeply entrenched in the hiking, outdoors, and generally cold environments, Yvon sees an opportunity on the horizon, "We're getting into the surf market, because it's never going to snow again, and the waves are going to get bigger and bigger." While I do not want to spoil the surprise for those who have not read Chapter 11 yet, I assure you that Yvon Chouinard is an exceptional leader that has used his visionary mentality and excellent decision making abilities to propel himself to the top of the food chain.
I wish I could talk more about Yvon Chouinard, yet time will not allow it. I have posted links to relatively short video clips that help paint a more complete picture of Yvon and Patagonia. His influence in the world of business is already becoming visible. He has begun mentoring the corporate giant Walmart. Chouinard has provided the company with invaluable insights and Walmart has actually modeled its own sustainability plans with Yvon’s help and guidance. Yvon Chouinard has proven that he truly is a “Big Bang” mover.
http://www.fastcompany.com/blog/tom-foster/fosters-blog/patagonia-founder-yvon-chouinard-and-tom-brokaw-talk-green-marketing-vi (2:39)
http://www.fastcompany.com/blog/tom-foster/fosters-blog/can-wal-mart-be-sustainable-ask-patagonia-founder-yvon-chouinard (2:01)
Regards,
Jarek Palmer
http://money.cnn.com/magazines/fortune/fortune_archive/2007/04/02/8403423/index.htm
However, I would like to discuss a few of the more important concepts that are materially relevant to us. These topics include: ethics, motivational theory and how it impacts performance, designing a motivating work environment, and decision making. Yvon is a fantastic leader that has several characteristics that set him apart from other leadership figureheads. Unfortunately, we will not have enough time to discuss these intricacies. Regardless of time constraints, we will begin by addressing ethics.
In an attempt to avoid covering another group’s subject matter, I will be brief in my discussion of ethics. Yvon Chouinard is a business man who seems to have “figured it out.” He understood that business was not just about making money. He didn’t want the pursuit of endless growth to become his main concern. He wanted to serve the needs of his customers. Yvon knew that if he did things the right way, the profits would come. He also knew that profits could be attained legally and ethically. Chouinard was not interested in cutting corners, making “shady” business deals, or selling his soul to increase revenues. True to the explorer within him, he believed that “reaching the summit had nothing to do with where you arrived and everything to do with how you got there.” Many think that business ethics is common sense, and that it’s not a worthy attribute that sets leaders apart. If this were the case, why are so many frauds still exposed today? These ethics “beacons of hope” serve as a reminder that success can be achieved by playing by the rules.
Although Yvon Chouinard does not specifically address this issue, he has also paid close attention to the motivation of his employees. In chapter 5 we learned about the various theories of motivation. One of the needs based theories is Maslow’s Hierarchy of Needs. Yvon clearly meets his employees’ lower level needs through the salaries they receive and the safe working conditions he has provided to them. He also succeeds in satisfying the social needs of his workers by providing extensive opportunities to socialize. Daycare centers are also made available so that bonds with children can be maintained and strengthened. Esteem needs practically take care of themselves. Workers believe that they are doing meaningful work. Their love for the company and its purpose creates a strong bond that unites and empowers each individual. Therefore, each employee feels more important, respected, and appreciated. Patagonia does an excellent job meeting self-actualization needs. Patagonia receives multitudes of applications every year. The people who apply to Patagonia legitimately want to come to the company to make an impact on the world. The company offers all the resources and accommodations necessary to create ingenious and revolutionary products. Employees want to be all that they can be, both professionally and personally. At Patagonia, they have the ability to achieve personal goals in addition to developing their career. As a result of Yvon’s actions, his employees have high morale and perform at impressive levels.
In chapter 6, we discussed how managers can design a motivating work environment. Patagonia is arguably one of the most motivating work environments the business world can offer. Imagine being able to take breaks to surf the next big wave. Think about “testing” equipment while hiking in the mountains. Try to picture experiencing the latest outdoor gear while camping. These are outlandish things that actually happen. Chouinard enjoys life and wants his people to enjoy life as well. While these are amazing things, Yvon does address issues that are pertinent to what we have discussed in class. By further researching the company, I have found that Yvon uses job enrichment to get his employees more engaged in their work. By having more control and freedom in the creation process, they experience more productivity and creativity.
Employees have strong task significance because they feel that their work affects many people. Not only does it affect their fellow co-workers, their work also affects the general public. Employees understand that they are creating quality products that end users will experience and enjoy. Throughout the process, the company stays true to Yvon Chouinard’s focus on sustainability. Employees also know that the environment is a stakeholder that must be catered to. Each product is carefully designed while considering the environmental impact it may have. In short, employees realize that the work they do is important.
Although we have yet to cover Chapter 11, Yvon provides a glimpse into the future of decision making. He has always had a vision of a business world that operates efficiently and cohesively with the biological world. In his campaign to bring harmony to the earth, Yvon has made substantial progress in the area of sustainability. He has taken the “green” concept to another level by implementing sustainability aspects in every level of the organization. As we will learn, there are multiple types of decisions that need to be made in an organization. Yvon deals primarily with strategic decisions. He is a visionary. He has developed concepts that he believes will take the company and the world to a better place. During his journey, he has explored new products, different methods of product transportation, unique product enhancements, and intuitive business processes. He continues to deal with new product lines. Patagonia is beginning to enter the surfing market. While Patagonia is deeply entrenched in the hiking, outdoors, and generally cold environments, Yvon sees an opportunity on the horizon, "We're getting into the surf market, because it's never going to snow again, and the waves are going to get bigger and bigger." While I do not want to spoil the surprise for those who have not read Chapter 11 yet, I assure you that Yvon Chouinard is an exceptional leader that has used his visionary mentality and excellent decision making abilities to propel himself to the top of the food chain.
I wish I could talk more about Yvon Chouinard, yet time will not allow it. I have posted links to relatively short video clips that help paint a more complete picture of Yvon and Patagonia. His influence in the world of business is already becoming visible. He has begun mentoring the corporate giant Walmart. Chouinard has provided the company with invaluable insights and Walmart has actually modeled its own sustainability plans with Yvon’s help and guidance. Yvon Chouinard has proven that he truly is a “Big Bang” mover.
http://www.fastcompany.com/blog/tom-foster/fosters-blog/patagonia-founder-yvon-chouinard-and-tom-brokaw-talk-green-marketing-vi (2:39)
http://www.fastcompany.com/blog/tom-foster/fosters-blog/can-wal-mart-be-sustainable-ask-patagonia-founder-yvon-chouinard (2:01)
Regards,
Jarek Palmer
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