Re:Why C.E.O.s are getting fired more
by nickpsecurity on Wednesday November 02, 2016 @01:53PM
(#12857477)
Most people come in to do defined jobs. Most initiatives that are innovative or risky come from below the CEO without CEO's influence. CEO's have little input on day-to-day operations of big companies. Add to it that many companies minimizing both management and CEO pay are among highest performers. Several models include Publix, Costco, Whole Foods, and I recently found Semler.
Semler is a good example showing the opposite model works in difficult, high-innovation sectors in the worst economy possible with least management possible. Just has to be set up right. On other end, Toyota Production System, Publix, and Whole Foods strategies draw most innovation out of people lower in hierarchy with excellent results. Heavily-managed, hierarchical companies are among the least innovative normally just acquiring companies for it.
So, CEO's should be payed way, way less than they are right now with most senior managers just eliminated in favor of interacting, small teams or divisions. Much of the administrative stuff could similarly be outsourced to lean organizations focusing on that stuff.
http://www.freibergs.com/resources/articles/leadership/semco...
Semler is a good example showing the opposite model works in difficult, high-innovation sectors in the worst economy possible with least management possible. Just has to be set up right. On other end, Toyota Production System, Publix, and Whole Foods strategies draw most innovation out of people lower in hierarchy with excellent results. Heavily-managed, hierarchical companies are among the least innovative normally just acquiring companies for it.
So, CEO's should be payed way, way less than they are right now with most senior managers just eliminated in favor of interacting, small teams or divisions. Much of the administrative stuff could similarly be outsourced to lean organizations focusing on that stuff.