Reading list

B O O K S A N D A R T I C L E S I N B R I E F

EROlnG LIST

by James W Marcum, LaRoi Lawton, Rachael Green, Thomas E. Schaefer, and Alan Zimmerman

Lowell Bryan, Jane Fraser, Jeremy Oppenheim, and Wilhelm Rall Roce For the World-Strategies to Build o Great Global Firm Boston: Harvard Business School Press, i 999 384 pages; $29.95

The subtitle of this book “strategies to build a great global firm” de- scribes the goal of the work, which is to develop a new set of strategies global corporations can use at the end of the twentieth century. These strategies have been developed by four McKinsey consultants based on inter- views with 200 managers in very large, globally oriented organizations in late 1996 and early 1997.

The four believe the era of incre- mental globalization and obtaining competitive advantage through privi- leged access to markets is coming to an end. In a world of integrating econo- mies, new strategic approaches are called for. Most consumers will have access to most products through a glo-

balizing economy in which barriers will essentially be eliminated. This means that companies “will have access to the best resources . . . the most talented labor, the most extensive customer markets, the most advanced technology and the lowest cost, high- est quality suppliers.” However, risks will also come with the elimination of barriers because more businesses will be competing across all these inte- grated markets, thereby radically increasing the level of competition. They identify three forces working to elimi- nate most geographic barriers: market pressures requiring national govern- ments to remove legal and regulatory barriers, a genuinely global capital market, and advances in communica- tions and computing technology.

The authors feel that integration within a company will become less valuable while cooperation between companies will increase in value. The model for multinational organizations will be the network form for a world in which “strategy is back with a capi-

tal S.” The authors identify midgame strategies for the immediate future: integrator and specialist. Integrators acquire or merge with similar companies in adjacent geographies to gain access and scale advantages. Special- ists concentrate on increasing business in which they have relative skill advantages and partner with other firms in markets in which they do not. Spe- cialists tend not to own or control the value chain but use contractual ar- rangements with others to achieve their goals. The authors identify four different end-game strategies: specialists, shapers, geographic incumbents, and geographic integrators. The shapers will be firms that create new industry structures despite such obstacles as insufficiently demanding aspirations, ignorance of current complexities, and the most pressing constraint, a short- age of talent.

These authors have made an important contribution to strategic thinking in an era of nearly unlimited opportunities and increasing complexity. -AZ

* * *

JamesW Marcum, PhD., is professor and chief librarian,The College of Staten Island, City University of NewYork LaRoi Lawton, MLS is director; Media Center; Bronx Community College, CUNY; Rachael Green, MLS, is reference librarian at Noel Memorial Library, Lousiana State University, Shreveport; Thomas E. Shaefer; Ph.D., is professor; John Ben Shepperd Public Leadership Institute, University offexas-Permian Basin, in 0dessa;Alan Zimmerman, Ph.D., is assistant professor of international business, College of Staten Island.

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a4 James W Marcurn, h R o i Luwton, Rachael Green, Thomas E. Schaefer, and Alan Zimmerman

Robin Cooper and Regine Slagmulder Supply Chain Development for the Lean Enterprise: lnterorganizationol Cost Management Portland, OR.: ProductivityAMA Foun- dation for Applied Research 55 I pages: $50

In today’s business world it does not serve to stand in isolation. Firms must be parts of adaptive and effective supply networks. Lean enterprises in particular must be deeply enmeshed with their partners, since they typically outsource more functions and are highly cost-sensitive.

This is a serious study by academ- ics from America and Belgium. The hard data come from a study of 25 in- novative Japanese firms that have instituted advanced cost management programs. Other, less-familiar companies join some well-known firms, such as Komatsu, Nissan, Toyota, and Sony, in a series of case studies. Nineteen case studies are explored in detail.

There are three generic strategies for interorganizational cost management: cost leadership, differentiation, and confrontation. These strategies must be appropriately applied according to conditions in the “survival zone” of cost/price, functionality, and quality.

This is a heavyweight book for serious managers seeking to adapt to competitive conditions in complex environments through carefully crafted collaborations. -JWM

Suzanne Dibble Keeping Your Valuable Employees: Reten- tion Strategies forYour Organization’s Most Important Resource NewYork: John Wiley & Sons, I999 298 pages; $34.95

A new employment contract per- tains today. Employees can no longer count on longevity from their employers; they must constantly evaluate the benefits of staying put against the in- ducements of other organizations. For

their part, employers require people who can help them compete and suc- ceed; attitudes of complacency and entitlement cannot be tolerated.

Dibble offers no quick fix. Reten- tion requires attention to detail at every step in the process. Job descriptions must spell out expectations, required skills, and working conditions. Re- cruitment, selection, and orientation must be given careful attention.

Retention management begins with money but does not end there. Career paths and development are criti- cally important today. So are the work environment and performance records and reviews. The author discusses flextime, family considerations, employee handbooks, and making coun- teroffers. She also reports on an extensive survey of why employees leave or stay. Benefits, career opportunities, work conditions, good co- workers, a good boss, and flexibility are leading “retainers.” A lack of opportunities for improvement and career advancement stand out as the leading reason for leaving.

This is a handy overall look at human resources practices today.

-JWM

Gary K. Griffith The Quality Technician’s Handbook (Fourth Edition) New Jersey: Prentice Hall, I999 577 pages: $75

This edition familiarizes the reader with a variety of basic skills concerning quality assurance, control, and inspection at the technician level.

The chapters are arranged so that the text and illustrations combine to make the material easily understood, even for a layman. Besides serving as a quick reference, this book can be used by apprentice and experi- enced technicians as a text for internal quality technician training. Many technicians today study for the American Society for Quality’s Cer- tified Quality Technician and the

Certified Mechanical Inspector ex- aminations using this text as one of their study guides. -LRL

Detlev I. Hoch, Cyriac R. Roeding, Gert Puckert, and Sandro K. Lindner Secrets of Software Success: Management Insights from I 0 0 Softwore Firms around the World Boston: Harvard Business School Press, I999 296 pages; $27.50

This volume spells out the findings of a study of more than 500 individuals from 100 global software firms. The messages conveyed are simple, clear, and strong.

Product life cycles run about 18 months. Software is a major wealth- creating enterprise engaging people from southern India to the Dakota plains. Successful leaders in the industry are rare, thrive on uncertainty, take major risks, and build dynamic organizations.

The three industry segments- surprisingly comparable in rev- enues-are professional services providers, enterprise solutions providers, and mass-package providers. A shift back from products to services is occurring today with Internet and value-added services.

Separate chapters spell out lessons learned in partnering as a growth strategy, attracting-and turning over-t alen t , comple t ing-and abandoning-software development projects, and marketing products on promise. These lessons should be adaptable to many of today’s rapidly evolving industries. -JWM

Dee Hock Birth of the Chaordic Age San Francisco: Berrett-Koehler, I 999 350 pages; $27.95

Dee Hock is famous for cobbling together an organization of a new type, VISA, that stands as one of the biggest

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businesses in the world. It is almost a “virtual” organization, owned by its member banks and global in reach. But Hock retired from VISA in 1984 to engage in a personal quest that included the restoration of 200 acres of devastated land.

Hock has not been forgotten. He has been honored by the business community and his work analyzed in business school case studies. He attracted attention by coining the term “chaordic,” to signify that uncertain ground between order and chaos.

In this book he rambles back and forth between a narrative of his early life and the work that led to the creation of VISA, and cogitations about the meaning of it all. So what we have is a book of biography, business, and philosophy, segueing into a fascinating statement of experience, belief, and commitment.

From his early experiences, Hock lost faith in institutions and came to wonder why they seemed to fail so fre- quently in accomplishing their purpose, be it education, governance, business, or social service. He determined, after long thought and study, that the blame lies with our mechanistic, industrial-age assumptions of command and control. Like Meg Wheatley and others, Hock places his faith in people, their sense of civic responsibility, their concerns for the future, and their spiritual values. He concludes by outlining his next life’s work: promoting research and development of chaordic organizations, which he deems necessary to secure a smooth transition from a dying, four centuries- old industrial age to the coming new age. -m

Peggy Holman and Tom Devine, eds. The Change Book Group Methods for Shaping the Future Berrett-Koehler Publishers, I999 394 pages: $49.95

This book is about effective change for people who are looking for a better quality of life in their commu-

nity, personal relationships, and organizations. It is intended for people who want to create a workplace environment in which the concept of total participation by everyone is evident. The goal is commitment via participation, that is, total participation and commitment to one’s objective, be it personal or corporate.

The book is divided into five parts that deal with the methodology of change for individuals and organizations. Much of the information comes from 31 experts in the field, besides the editors themselves. Both editors have in-house experience with several of the change methods discussed and have provided guidance, expertise, and advice to many of America’s well-known corporations. The book can be used as an easy reference tool that does not necessarily have to be read in chapter order.

Strong theoretical methods are put into practice with creative outcomes shown by the examples included in the text. Written for community Ieaders, senior management, and even consultants, this text can help the user achieve dramatic results with a moderate amount of people’s time and other resources.

-LRL

Jan Jasper Take BockYourTime:How to Regain Con- trol of Work Information, and Technology NewYork St. Martin’s Griffin, I999 288 pages; $ I 3.95 paper

On one level this book is simply a new rendition of a time management do-it-yourself book. On another level it’s almost a “take back your life” trea- tise for the over-stressed. There is much sound guidance for making priorities and improving one’s quality of life here.

Jasper works with many of her clients on a one-to-one basis and cus- tomizes her solutions to their needs. From years of practice come valuable lessons learned, which she shares clearly and graciously. The guidelines

are powerful in their simplicity. For instance, there are only two kinds of files: reference and current. The current files are immediately at hand while the rest are to be filed away.

Many of the myths cultivated by time-management guru-such as handling a piece of paper only once-are laid to rest. The approach here is prac- tical and useful, not theoretical. Jasper fully credits authors and consultants for their contributions to the field, but she gives all of the ideas her own twist.

Despite the claims of the subtitle, the value in this book rests more with traditional time and office management practices; the sections on managing one’s personal computer and other technologies are more Iimited, though they are current and helpful.

Many professionals will find this readable and useful little book a boon in making better use of a most precious commodity, their time. -JWM

Constantinos C. Markides All the Right Moves:A Guide to Crafting Breakthrough Strategy. Boston: Harvard Business School Press, I999 256 pages: $27.50

For many businesses today, a major hurdle is that they have so many choices. Advancements in technology and transportation alone have deliv- ered more options to their doorsteps and to the boardroom. Some of these choices will be difficult, and others not so difficult. All the Right Moves speaks of the difficult choices, examining in detail each issue from a number of diverse angles so that the end result is innovation, creative thinking, and productivity. These are the essential tools that make the difference in any company’s survivability.

Markides argues that the more things any business wants to do, the less time it will have to do them. Cramming as much as possible into a business day is, as Markides implies, is “like gulp- ing down a meal, and then wondering


86 James W Marcum, LaRoi Lawton, Rachael Green, Thomas E. Schaefer, andAlan Zimmerman

why we have indigestion.” There must be a strategy for the daily balancing act of any business today. The approach should be as creative as possible allowing for “fresh ideas” to evolve. The author suggests using a step-by-step module that allows for more intellec- tual openness regarding any task that a company must undertake, be it target- ing new customers related to e-business or revamping a long accepted traditional business concept responsible for the prosperity of the company. - L a

Howard Risher, ed. Aligning Pay and Results: Compensation Strategies That Work from the Boardroom to the Shop Floor NewYorkAMACOM, 1999 324 pages: $35

This book offers insights from 14 prominent compensation consultants for both the employer and employee. For the employee, research is the key to any successful compensation request, which can include a summary that high- lights the top four or five accomplishments and results. They must keep in mind that the more statistics and per- centages, the better, listing not only the slam-dunks that improved profits and or productivity, but also examples on how routine duties and less-than-opti- ma1 situations were handled.

How to prepare an incentive pro- gram? Inform employees of the plan; update current programs for incentive purposes to meet the changing needs and demands of the business; and con- sider both the human and technical issues tailored to each employee level in any business today. -LRL

Tom Taormina Successful Internal Auditing to IS0 9000 Upper Saddle River; NJ: Prentice Hall PTR, 1999 32 I pages; $39 paper

Many quality-minded f m s expect IS0 9000 certification from suppliers

to assure quality and continuous improvement. That certification requires conformity to standards, and that requires internal auditing. Taormina specializes in helping companies imple- ment IS0 9000 practices.

This volume is a workbook for use in training internal auditors within a company to do the inspections and maintain the records required by these quality standards. The language and organization of the book are clear and simple. A 35-slide overview presentation is included in full-page dimen- sions suitable for copying. The presentation also is available for down- loading from one of the websites listed inside.

The various types of audits are discussed (routine, diagnostic, improvement, or follow-up), as is the planning, conducting, and reporting of the audits. Templates, graphics, and appendices facilitate audit implemen- tation and help justify the cost of the volume. -JWM

Don Tapscott, ed. Creating Value in the Network Economy: A Harvard Business Review Book Boston: Harvard Business School Press, I999 324 pages; $19.95

A virtual-in both senses of the word-industry exists of gurus offering advice on coping with the changes buffeting business today. This book should be considered an appetizer tray of well-selected offerings of that genre. Tapscott, a best-selling author of books on the digital economy and the “net generation,” serves up a tantalizing selection of recent articles from Har- vard Business Review offering answers to the question of “What’s new about the new economy?”

The first answer is that it’s a knowledge-based economy, in which yield management strategies fill every seat on a given flight by selling tickets at 20 different prices. An economy where e-lancers (electronically con-

nected freelancers) become sought-after partners in the ongoing adaptation of new products. An economy where one-third of the cost of a manufactured product (such as a Boeing 777) is for software, and where customers become invaluable “partners in learning.”

Many of the authors of these selections have produced notable business books, with such titles as Blur, Blown to Bits, and The Death of Com- petition. Three themes for grouping these selections are the “changing nature of value,” the networked customer, and the future of the corporation. Many of the ideas explored here provide ample food for a leisurely repast, ideas like the disag- gregation of products into niche busi- nzsses, redefining the market as “market space,” and the “co-evolu- tion” of products and services. This sampler can introduce mangers to a useful range of new business ideas and practices. -JWM

R. Roosevelt Thomas jr., w i th Marjorie 1. Woodruff Building a House ofDiversity: How a fable about a Girafe Ofers New Strategies for Today5 Workforce New York AMACOM, I 999 266 pages; $27.95

Although it may be essential for workers and managers alike to realize and understand the complexities involved in working together toward a common goal, experience for many has shown that “teamwork” does not always work in a diverse work setting. With this in mind, Roosevelt begins his manual with a fable about a giraffe and an elephant, which shows how these two diverse creatures are able to suc- cessfully team up on some projects.

Through actual case studies Roosevelt offers many examples of people working with one another for a common goal in the workplace. He points out that the ability to deal with other people who are distinctly different is a capacity that is both dynamic

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and basic to many of us. This book guides the reader through real-life sce- narios, giving equal weight to the human, organizational, and procedural considerations most companies and institutions have in place today.-LRL

skills needed to achieve them. Ap- proaches to attaining this balance are illustrated in useful graphs from the authors and others, such as GE’s Lead- ership Effectiveness Survey. -TES

Dave Ulrich, l a c k Zenger, and Norman Smallwood Results-Based Leadership Boston: Harvard Business School Press, I999 234 pages; $24.95

Warren Bennis’ upbeat foreword to this book well expresses its cen- tral point: leadership attributes are fine, even necessary, but their pos- session is no guarantee of leadership effectiveness.

Beyond all the skills of leadership, every capability of the leader, lie results.

It is true that skills are defined in terms of the results they produce, but too often a leader’s capabilities don’t translate into actual accomplishments. As Bennis puts it, what is missing in leadership today is the link between critical capabilities and real outcomes.

The authors bring home the in- separability of attributes and results in their equation: EfJicient Leadership = Attributes x Results. This dramatizes the fact that a leader’s exemplary score on attributes is worth little when results are meager. Conversely, one hav- ing few leadership skills while producing significant results merits the title of leader. Of major import here, as the equation suggests, is the rel- evance of a particular leadership quality for the specific outcomes sought. Since firms seek different outcomes, they must ensure that their decision- makers have the right stuff for the achievement of those specific outcomes. Sears, which puts employee results first, would cultivate qualities conducive to such results, for example, people-skills. But since no organization is without multiple goals, a balance must be sought among the leadership

Ken Blanchard, John I? Carlos, and Alan Randolph “Boosting Collective Brain Power” Security Management 43:9 (September I999), 35-38.

For a company to prosper, it needs to take advantage of the full brain power of its entire workforce, not just its management-level staff. That means encouraging all workers to think creatively and to be willing to make judgment calls appropriate to their position. If managers want their employees to be responsible for making good business decisions, they must share information. Without it, employees will have nothing on which to base their judgments. Managers must also establish a trusting relationship with their workforce before they can expect workers to be willing to take the risks inherent in decision making. An organizational change, such as quality improvement, can provide the perfect opportunity to start sharing information and developing trust.

The authors share seven tips for managers’ information sharing success: (1) Give useful data. Managers should explain what is wrong with the current situation, and what must be changed to fix it. ( 2 ) Be straightfor- ward. The information shared must create a realistic picture of the situation. (3) Make it meaningful. Give employees as much information as possible for making responsible decisions. (4) Overcome resistance. Senior management has to take the lead and show by example that the corporate culture embraces open communication. (5) Act on input. Sharing information to generate worker ideas is a

wasted effort if management fails to take staff input seriously. (6) Take mistakes in stride. Managers must let employees know that anyone who takes bold actions will be expected to make mistakes and that these will not be punished or viewed as failures. (7) Praise progress. It’s important to ac- knowledge even small steps in the right direction. The result: a business that profits from the full brain power of everyone on the payroll. -RG

Timothy Butler, and lames Waldroop “Job Sculpting:The Art of RetainingYour Best People” Harvard Business Review, 77:5 (September-October I999), 144- 152.

Hiring good people is tough, but keeping them can be even tougher. Many talented professionals leave their companies because senior managers don’t understand the psychology of work satisfaction. The authors identify the eight different life interests of people drawn to business careers.

Job sculpting is the art of match- ing people to jobs that allow their deeply embedded life interests to be expressed. It is the art of forging a cus- tomized career path to increase the chance of retaining talented people. Job sculpting is challenging; it requires managers to play both detec- tive and psychologist. Sometimes an employee’s life interest is glaringly obvious-he is excited about doing one kind of work and dismal doing another. But much more often, a manager has to investigate and observe. Some managers worry that job sculpting requires them to play psychologist, but if they’re good managers, they already play the role of psychologist intuitively if they have a strong interest in the motivational psychology of their employees. Managers don’t need special skills to job sculpt, but they do need to start listening more carefully when employees de- scribe what they like and dislike about

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88 James W Marcum, LaRoi Lawton, Rachael Green, Thomas E. Schaefer, andAIan Zimmerman

their jobs. Once managers and employees have discussed life interests-ideally during the performance review-they can begin customizing future work assignments accordingly.

Even with its challenges, job sculpting is worth the effort. A company’s most important asset is the energy and loyalty of its people. How- ever, many managers undermine that commitment by allowing talented people to stay in jobs they’re good at, but aren’t fundamentally interested in. To assure retention, managers must know the hearts and minds of their employees and then undertake the tough but rewarding task of sculpting careers that bring joy to both. -RG

Michael I. Earl and Ian A. Scott “What Is a Chief Knowledge Officer?” Sloan Management Review, 40:2 (Winter I999), 29-38.

In many organizations, a new corporate executive is emerging-the chief knowledge officer (CKO). Com- panies are creating the position to ini- tiate, drive, and coordinate knowledge management programs.

The role of the CKO is so imma- ture that there is no job specification, so CKOs have had first to work out an agenda for themselves. This is a two- fold task that involves preaching the nature and value potential of knowledge and selling not only the concept of knowledge management but also how to sell it to both corporate and line management.

A common word in the CKO’s vocabulary is “design.” They are de- signers of knowledge directories, knowledge-based systems, knowledge-intensive business and management processes, knowledge exchange events, knowledge-sharing physical spaces, and knowledge protection poli- cies. CKOs have two principal design competencies: They are technologists and environmentalists. As a technolo- gist, they have to understand which technologies can contribute to captur-

ing, storing, exploring, and, in particular, sharing knowledge. As an environ- mentalist, they design space, bring together communities with common interests that rarely interact with each other, and redesign performance mea- surement systems.

There are sufficient strategic reasons to suggest that knowledge management as a concept and practice will survive. Rather like total quality management, knowledge management will become embedded in organizations and knowledge will become an imperative source of value creation and competitiveness. Today’s CKOs are discovering that knowledge management comprises a large agenda and that making progress takes time. Thus, a driven leader can keep up the momentum and share learning about raising the organization’s knowledge capabilities. -RG

Richard McDermott “Why Information Technology Inspired but Cannot Deliver Knowledge Man- agement” California Management Review 4 I :4 (Summer 1999) 103- I 12.

Information technology (IT) tools like e-mail, groupware, and the Inter- net have so boosted communication that great expectations of its ability to manage knowledge appeared. Data- bases of best practices, intranets, and other systems are being developed by many companies. But IT cannot deliver knowledge management.

Knowledge is purely human, be- longs to communities, and is the “residue” of thinking, according to McDermott. It can be developed and le- veraged only by communities, he argues.

Shuffling information around does not generate knowledge. Knowl- edge can only be supported, not di- rected. Communities must be cultivated and provided with forums for thinking. Then they are ready to decide for themselves what tools and systems are appropriate for their need.

The IT-knowledge management link is coming under scrutiny. McDermott helps set the stage for the discussion to come. -JWM

Ian 1. M i t ro f f and Elizabeth A. Denton “A Study of Spirituality in the Work- place” Sloan Management Review 40:4 (Summer I999), 83-92

The authors who had to work around the fact that most people at work are reluctant to talk about spin- tual matters, define spirituality as something quite different from orga- nized religion, rather as a feeling of connectedness with one’s self, others, and the universe.

The study, based on extensive in- terviews and surveys of managers and workers, reaffirms earlier findings that meaningful and interesting work, realizing one’s potential, and associ- ating with an ethical enterprise and good colleagues all outrank salary providing purpose and satisfaction on the job. The spiritual dimension, encom- passing personal needs, inclusiveness, interconnection, inner peace, and in the sacred should be recognized as an important force in the workplace.

The reader need not agree with the authors that “no organizations can survive for long without spirituality and soul,” to decide that further investiga- tion and some consideration for spirituality could have long-term benefits for organizational viability. -JWM

Margaret Olesen “What Makes Employees Stay” Training & Deveiopment 53: I0 (October I999), 48-52.

Just a few years ago training was for the company’s own devices, to make people more productive and ef- ficient. Now, however, employees want to own their development process. As a result, their motivation is tied

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to education, mentoring, and growth opportunities.

The result is a new contract between employers and employees. From employees’ perspective, competencies are assets they can trade for higher salaries. The basic economics of supply and demand add more po- tency to this new attitude. When skills are in short supply, workers can demand more. The employees want training for their own reasons, and the employers are, in turn, providing it. A 1999 survey by the Society for Human Resource Management shows that 94 percent of U.S. companies offer professional development and 85 percent offer educational assistance as benefits. More companies every year are realizing the value of training as a re- cruitment tool.

It’s no surprise that technology workers are among the first candidates to ask what type of training a company offers. However, technical training is only half of the picture. Savvy gradu- ates recognize that those skills alone won’t land them tomorrow’s job; they’ll need the skills to navigate a team-oriented workplace. They want training about teamwork, the company’s history, and the way it mea- sures performance.

Because employees value training, they’ll be more loyal to a company that provides it-a fact that should attract budget-focused eyes. If the American workforce has the training it wants, 12 percent will leave their current company anyway; if they don’t get the training, 41 percent will leave. It shouldn’t be hard to get the chief fi- nancial officer’s attention with that number. -RG

C.K. Prahalad and M.S. Krishnan “The New Meaning o f Quality in the Information Age” Harvard Business Review 77:5 (September l999), 109- I I 8.

The demands of the information age are ratcheting up the expectations

of quality goods and services. For the past two decades high quality has meant reduction of variation in the quality of the product or the customer perception of the service. Today a business must look beyond this basic level.

Computer software has become imbedded as the nervous system of the company. Demands upon it come at several levels. For starters, it must be technically competent, it must crunch the numbers in the spreadsheet cor- rectly. But then comes a greater challenge, meeting the needs and eccentricities of the company’s customers. It must be easy to use and have strong technical support. But more than that, it must be flexible, capable of evolving into the next dimension of activity, capable of handling java aplets, for example.

The authors use the concept of domains to explain much of this. Do- mains set out what the software is sup- posed to do, and that requires general knowledge of the needs of the customer. And, as those needs change, the software must evolve accordingly. There is a high level of risk involved in selecting software programs, as the Y2K problem demonstrates.

There is useful information in this article, but the title does not clearly point out the direction intended. This is a discussion of software issues and the risks and benefits of software selection. -JWM

Susan /.Wells “A New Road:Traveling Beyond 360- Degree Evaluation” HRMagazine,44:9 (September 1999) 6-9.

Since their conception about 30 years ago, 360-degree systems have caught on at more companies as personal development tools, although their use of performance and compensation appraisals continues to draw criticism.

The 360-degree evaluation col- lects anonymous reviews about em-

ployees from peers, subordinates, and supervisors and then compiles those reviews in a feedback report. These evaluation systems are especially popular among firms with an eye to employee development. Companies that devote significant resources to training are more likely to use 360 more often.

Experts caution that some companies may put together poorly con- ceived efforts, which can sour employees on the peer review and feedback process, and render the whole exercise futile. The result: Many employees simply don’t know what to do with the feedback they get. That’s where HR needs to step in and be a consultant to help management con- sider all the ways the company may want to use the feedback and define the roles of managers and participants.

The ideal way to put a 360-degree system in place is to start from the top down, before any employee is reviewed. Managers should be rated first and then receive training on coaching others to achieve job-related skills and behaviors. That way, everyone along the 360-degree circle can be accountable for completing and main- taining a personal development plan. In general, consultants advise employers to link feedback about knowledge, skills, and behaviors to individual career development. Feedback about accomplishments or results tied to job responsibilities should be linked to pay decisions. Employers should empha- size the differences by scheduling feedback sessions and performance appraisals at different times. -RG

Minda Zetlin “Nurturing Nonconformists” Management Review, 88: I 0 (October l999), 29-33.

Managing nonconformist employees who don’t quite fit into the company is a challenge, but they do provide benefits that can more than make up for the time and effort needed


90 James W Marcum, LaRoi Lawton, Rachael Green. Thomas E. Schaefer, and Alan Zimmerman

to manage them. One is that they bring a fresh point of view to corporate situations. It also may be easier for them to state an honest opinion even if it differs from the majority because they’re less focused on fitting in with those around them. In some cases, de- liberately putting someone where he or she won’t fit can help expand pa- rameters for a group that’s become too homogenous.

It is more useful to think of nonconformists as employees who have a different set of needs from the corporate norm. Some of the ways those needs might differ: Work habits-one way to nurture nonconformists is to

create the kind of flexible work sched- ule that accommodates such differing needs. Life balance-a good way to keep a variety of talents around is to make sure the company does not pe- nalize the nonworkaholics. kaming- a company should offer some flexibility in the types of outside and in-house education that employees can sign up for. Affiliation-the only way to retain nonconformists is to create programs that will instill in them a passion about the organization and its mission. Career needs-recognizing that no single career model can fit everyone is an important way to make room for a nonconformist.

Flexibility is the key to nurturing nonconformists (and other employees as well). The more management can respond to individual needs in individual ways, the more likely it is to hang on to those who don’t fit the corporate mold. But offering flexible options for different individuals can also create jealousies among peers. This is a balancing act every manager needs to learn. In the traditional management view, if you give something, you must be losing something. But a company can give something to an employee so that both sides benefit. Changing that mind-set is probably the most difficult part of the process. -RG

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