Bob's Gutsy Leadership Blog

Archive for April, 2018

Avoid Making Enemies: But Do Make Decisions!

One of the key attributes of a strong, courageous leader is the ability to get people to pursue an aggressive plan for improvement. In doing so, lots of dialogue takes place as the plan is developed, with particular emphasis on trying to make the dissenters understand the thinking, even though they may not agree. In dealing with those that may not agree, one thing you want to avoid is telling them they are wrong.

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Keeping the Talented and Dismissing the Poor Performers

In recent months the business press has been filled with stories of the weak performance of General Electric. Many comparisons have been made to the lack of leadership in the last 15 years versus that which Jack Welch provided during GE’s glory years in the 1980’s and 90’s. One of the most controversial aspects of Welch’s time at GE was his so called “rank and yank” procedure, where he would fire the bottom ranked 5-10% of his managers each year, regardless of absolute performance. He earned a reputation for brutal candor. He rewarded those ranked in the top 20% with bonuses and stock options.

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Warren Buffet and 3G: Capitalizing on the Tendency to Get Fat!

It was 2015 when the acquisitive Brazilian investment giant, 3G Capital, took over Kraft Foods and merged it with HJ Heinz, the catsup maker, which it already owned. In this deal, Warren Buffet provided much of the cash, knowing full well that there were profits to be made, given the strong reputation of 3G Capital of being world-class when it comes to cost-cutting.

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