The current Morgan Stanley CEO took his job in 2010. The company was struggling badly coming out of the 2008 recession, during which Morgan Stanley’s share price had sunk to $14. After taking a year to fully understand the nature of the business, he announced in early 2012 that “the path we are on is simply not sustainable.” He went to work by first axing Morgan Stanley’s proprietary trading desks and shrank its bond trading operations, the source of repeated blunders. He sold an oil tanker fleet and a half-finished casino, remnants of a freewheeling culture that once ruled Wall Street.
Bob's Gutsy Leadership Blog
Archive for May, 2018
I recently read a summary of a study on the “unstoppable power of leaderless organizations.” It was authored by two academics that wrote it in a style that suggested they believe they should be put on a pedestal for this astounding work. The report sings the praises of “starfish-like” organizational structures that are totally decentralized and completely dependent on peer-to-peer relationships. They claimed this inherent flexibility would lead to a big positive impact on the management of projects and the discovery of knowledge.
Recently, Nike learned the hard way that you need to know what employees are experiencing. Specifically, the press reported that this saga began with several female employees complaining to the Nike HR organization about sexual harassment issues. The press noted it was apparently common practice for an HR representative to meet one-on-one with anyone who had a complaint, tell them they are the only person with such a complaint, and suggest that it’s their own fault.