Archive for June 28th, 2012

“Back to the Future: Seven Timeless Lessons for Organizational Success” by Dr. Chris Bart, FCA

Thursday, June 28th, 2012

Staying abreast of the latest management wisdom is one of the greatest challenges any manager can face.  With so much fad management “wisdom” being published, it’s easy to lose sight of the importance of mastering the basics.  When the dust settles, a few timeless principles, rather than trendy techniques, will bring long-term success to your organization.  Allow me, then, over the next few weeks to share with you seven of the most important and fundamental management lessons that will help your business survive and thrive.

LESSON 1. Focus On What’s Really Important, Right Now.

While every organization must do everything well, it’s often impossible to excel at everything all at once. Successful companies figure out how to succeed by accomplishing big goals with excellence, but one step at a time.  By prioritizing high quality machine performance over low cost, Japanese construction manufacturer Komatsu reduced its warranty claims by 70% in three years.  Only after they achieved global quality standards did they focus on cost-reduction, and though this strategy involved many short-term sacrifices, Komatsu eventually became #2 in its industry. Therefore, convince your firm’s directors to embrace a gradualist approach by showing them how long-term benefits will vastly outweigh the short-term sacrifices of doing things one step at a time.


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