Lessons

Worldwide companies should not be citizens of nowhere. They must protect the unity and identity of the company, out of pure self-interest. This is a lasting mandate for executive managers and supervisory boards: to be not only a servant of capital markets, and their short-term interests, but to be a good steward of the company.

Is there a law that says bad work drives out good? No, and yet digitalization reduces and simplifies traditional work until, ultimately, it can be automated. Many employees face the prospect of becoming mere 'human sensors' and semi-skilled operatives in an automated process. The working lives of people in manufacturing and service industries will be marked by deskilling, estrangement and isolation, unless corrective measures are taken. This essay considers the dangers of digital Taylorization and denounces the drive for total efficiency.

The 50th Lesson of the Managerism series is dedicated to Werner von Siemens: a great entrepreneur of the industrial revolution in Germany. This essay makes the case for studying some of the great entrepreneurs of the past: men like Robert Bosch, Reinhard Mohn and Berthold Leibinger, to name a few outstanding German business entrepreneurs. That is a good way to discover the true essence of business leadership and bypass the fashion trends of management teaching and consulting.

Digitization directly impacts business leaders by transforming how they manage employees. Managers must adapt, by choice or by force, to a new workshop culture and say goodbye to multiple layered, tightly controlled organizations. However, that does not mean trying to copy Silicon Valley. This essay explains what has to change and also describes some organizational innovations at major companies in Germany

Years ago the British charity Christian Aid said that the novel CSR programs of many global corporations were a great sham, a big bluff. Management executives were letting themselves be fooled. Since then a huge CSR industry has grown up, to replace the ethos of the honorable businessman. In the meantime CSR consultants have profitably positioned CSR as the systemic ethical consulting for commercial businesses — and for non-profit organizations too. This essay describes the chronic malady this causes and what must be done to cure it.

Philosophical, Ethical and Practical Ideas for Management: Karl Popper was probably the most wide-ranging philosopher of the past century. Ever since his youth he addressed social and political questions. In his famous book The Open Society and Its Enemies (1945) and subsequent works he analysed the nature of democracy and its aberrations. Austrian-born Sir Karl Popper — unlike his German contemporaries — advocated simplicity and clarity. He made it his duty to speak and write as clearly as possible. The code of professional ethics that he formulated for responsibles in politics, society and administration, and thus indirectly also for managers, is of timeless validity.

For some time now there has been much talk about the inexorable advance of digitization, all-pervading algorithmism and modeling. So where does that leave experience, practical experience? Why it must not be neglected is explained in this thoughtful essay.

Until recently, GE was the star of progressive corporate leadership and was much admired, especially by the capital markets. Now things have fundamentally altered. So new conclusions must be drawn about corporate leadership, also in Europe, and especially by GE’s rival Siemens.

Schumpeter is renowned as the economist who invented the expression "creative destruction". Schumpeter ranks, together with Keynes, as the outstanding economist of the 20th century. But what do we really know about this multi-faceted economist: of his disjointed life or comprehensive analyses of entrepreneurship and the dynamics of the market economy?

The term "hidden champion" is a title of distinction. There are many hidden champions in Germany, more than any other country — many are small or mid-sized enterprises (Mittelstand) often located well away from major cities. Another hidden champion, a really huge one, Koch Industries, is headquartered on the Great Plains in Kansas, USA. Charles G. Koch, son of the founder, and present CEO, developed a theory of human action based on ideas from the Austrian School of Economics: Ludwig von Mises, Friedrich A. von Hayek and Joseph Schumpeter. This Lesson offers a unique insight into Koch's thinking and beyond.

What kind of a man was it who, after surviving the horrors of Nazi death camps, was able to advocate conciliation? What teachings of this great psychotherapist are still relevant for our day and age which he predicted so well? What lessons can we learn from Frankl about leading our lives and companies?

After the announcement that Joe Kaeser would replace Peter Löscher as CEO of Siemens, the business media combined surprise with even more speculation. Despite the numerous reports and comments, there was little analysis of the consequences for Siemens. This Lesson provides the missing link― and suggests a positive and optimistic future for Siemens.

For a long time these men represented the non plus ultra of corporate leadership and business strategy. So what is left after the hype? Do their teachings still pass a reality check? This lesson gives the answer ― from a professional. Also, why management gurus are bad for your health.

Forty years after the publication of his best seller we recall the insights on human development of this legendary scientist. The 'Father of the Grey Geese' was not only a universal scientist of animal behavior, he was also a keen observer of humanity and societies. Here we reconsider Konrad Lorenz's perspectives, especially on economics and politics.

Auditing and certification, mainly of companies, is a booming business. It all began in Britain with BS 5750, which was the first standard for Quality Management Systems: it was the forerunner of the ISO 9000 series of standards. The fees levied by standardization and certification agencies was followed by globally operating and highly profitable consulting and certification groups. Well over a million certificates have been awarded worldwide for ISO 9001 alone: around 50,000 of these in Germany. The runaway train of certification is now unstoppable. What certification is based upon, its consequences, and where it can lead is elaborated in this Lesson.