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Harvard Business Review

Harvard Business Review July - August 2015

For over 80 years, Harvard Business Review magazine has been an indispensable and unrivaled source of ideas, insight, and inspiration for business leaders worldwide. Each issue contains breakthrough ideas on strategy, leadership, innovation and management. Now, newly redesigned, HBR presents these ideas in a smart new design with improved navigation and rich infographics. Become a more effective leader by subscribing to Harvard Business Review.

Pays:
United States
Langue:
English
Éditeur:
Harvard Business School Publishing
Fréquence:
Bimonthly
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2 min.
rethinking hr

It might seem that we have it in for human resources. An article in our April issue urged companies to scrap a cherished HR practice: the forced ranking of employees. And this month our Spotlight advocates rethinking HR from top to bottom. It’s not that we don’t like HR; it’s just that we believe it can be improved. In the lead article, “Why We Love to Hate HR...and What HR Can Do About It” (page 54), Wharton’s Peter Cappelli argues that HR should scrap many long-standing “best practices” and set a forward-looking agenda instead. Juniper Networks, in Silicon Valley, is already doing so. In “Bright, Shiny Objects and the Future of HR” (page 72), John Boudreau, a professor at USC Marshall School of Business, and Steven Rice, a former executive vice president…

2 min.
contributors

Early in her career at Intel, Patricia McDonald read about a child who died because of an incorrect prescription, and wondered how that could happen with the technology and management know-how at our disposal. Years later, while drawing on the Toyota Production System to reduce defects and waste at the chip plant she headed, she discovered that Virginia Mason Medical Center had used TPS to improve health care delivery in Seattle. Inspired, she—and Intel, where she’s now vice president of HR— launched an initiative in Portland, Oregon, that could accelerate the transformation of health care in the United States and beyond. It’s described on page 38. Tomas Chamorro-Premuzic, the author of “Ace the Assessment” (page 118), grew up in the “Villa Freud” area of Buenos Aires, said to have more psychoanalysts…

3 min.
restructuring work for better decision making

Could adding technology to the mix help improve decision making? Suppose we add big data and an analytical layer to a company’s enterprise resource planning or financial systems. Designed to flag outliers—positive or negative performances outside acceptable norms—a technologically augmented system could generate alerts or highlight points middle management should focus on daily. Senior managers could do trend analysis of those data points and review the results of middle management’s operational decisions. By implementing the correct analytical layer and constantly refining it, you could perpetually create “opportunities for reflection.” James Gingerich, academic account manager, Maplesoft As I read it, there are two distinct issues here: changing the way people make decisions, and changing the way they implement decisions. In both cases we’re asking people to alter their behavior, but in different ways.…

4 min.
tesla’s not as disruptive as you might think

HBR article, May Christensen coined the term, so he has every right to deliver such a verdict. Still, my opinion is that Tesla is offering a totally different customer experience that car manufacturers cannot copy or compete with. In our own research we’ve found that people are not buying “vehicles” when they buy Teslas. They’re buying into a futuristic experience—what we call “the spaceship program.” Customers aren’t comparing Teslas to anything at all. Key elements of the Tesla experience include the buying process, the lack of refueling costs (if you pay in advance when you buy), the lack of mandatory service checkups, the air improvements, lower depreciation, and the driving experience. Tesla has totally redefined the customer experience, and it will be hard for anybody to follow it. Akos Tolnai, CEO, AbilityMatrix A snapshot…

4 min.
strategy how to live with risks

Following a crisis, regulators and managers naturally take steps to prevent a recurrence. In 2002, after Enron and WorldCom succumbed to massive accounting fraud, U.S. legislators passed the Sarbanes-Oxley Act, which gave directors and executives new oversight responsibilities. In the wake of the 2008 financial crisis many large banks changed their business models, and other companies implemented systems to better manage credit risks or eliminate overreliance on mathematical models. But there’s a problem with managing risk retrospectively: It’s a variation on what military historians call “fighting the last war.” As memories of the recession fade, leaders worry that risk management policies are impeding growth and profits without much gain. “Firms are questioning whether the models they put in place after the financial crisis are working—and more fundamentally questioning the role of…

2 min.
“the fun part is focusing on value creation”

FURTHER READING For a look at how Shell uses scenario planning to manage risk, see “Living in the Futures,” by Angela Wilkinson and Roland Kupers (HBR, May 2013). What’s the role of the enterprise risk management function? We have risk leaders throughout the company—it’s not as if we brought a lot of people together in a new department. Our philosophy is that risk management should be centered in the businesses, which need to understand risk and make trade-offs in pursuit of strategic gains. Risk management is the responsibility of every IBMer. Our role is to support senior managers, risk leaders, and all employees with targeted resources, education, and training. What’s an example? We have about 30 online courses available to all employees. We’ve added gamification. We have a simulation in which you’re a business leader…