Impact of Crisis on Management and Strategy
Fascinating NYT article on the impact of our current financial and cultural crisis on management thinking and corporate strategy. It suggests we are at one of those major historical inflection points, and that companies will need to
"go beyond simple cost-cutting to take a hard look at the economics of their businesses. Most companies ... are actually bundles of three different businesses: infrastructure management, product and service development and commercialization, and customer relations.
The current crisis ... opens the door to “an unbundling of the corporation” to achieve greater efficiency and profitability."
It is time to rethink what can be done well with large corporate infrastructure and what can be done better in small teams, leveraging the power of tribe. It's an opportunity to analyze the true costs of production and distribution, and which are better done locally versus at the point of lowest labor cost. It's a chance to innovate in the area of corporation as a social entity and a force for good in the community. Exciting times we live in.


