Winter 2001
Volume 42, Issue # 2


Does the “E” in E-Business Stand for “Exit”?

  • Read Time: 3 min 

The conventionally correct economic answer to this problem is as simple and straightforward as it is brutal: Choose the old sales channel that leads to economic suicide. The “right” strategy is, in fact, an exit strategy.


Three Strategies for Managing Fast Growth

  • Read Time: 24 min 

Managers can’t leave growth to chance. They should have a strategy for growing as well as for applying new knowledge faster than their competitors.

How Nimble Companies Stay That Way

  • Read Time: 3 min 

“Strategy Innovation Routines” enable GE Capital, Enron and other companies to adapt to changing business conditions.


What’s Next After Lean Manufacturing?

  • Read Time: 5 min 

Genetic algorithms, virtual-engineered-composite cells and the Internet help increase speed and product variety.

Will Users of ERP Stay Satisfied?

  • Read Time: 2 min 

Although the satisfaction rate for enterprise-resource-planning software is high, a newer option may be better for e-commerce.


The Performance Impact of New CEOs

  • Read Time: 3 min 

It's been all over the headlines in the last few years: Boards of directors and shareholders at corporate giants such as Procter & Gamble, American Express, IBM and AT&T have ousted incumbent CEOs in the hope of improving company performance.

Employee Loyalty Around the Globe

  • Read Time: 3 min 

The benevolent cycle in which loyal employees beget loyal customers beget greater profits has been laid out convincingly by such luminaries as Frederick Reichheld (“The Loyalty Effect”) and James Heskett, W. Earl Sasser and Leonard Schlesinger (“The Service Profit Chain”).

How CFOs Really Practice Finance

  • Read Time: 4 min 

Shareholder value could suffer by following “rules of thumb” instead of textbook theory. The debate about how best to practice corporate finance can be likened to the one about whether life exists in outer space: lots of theories but little agreement.


Strategic Purchasing Remains an Oxymoron

  • Opinion & Analysis
  • Read Time: 3 min 

Managing domestic and global suppliers is the most influential strategic lever companies can use to reduce costs and compete more effectively on price.
Purchasing leaders now determine the success of new-product launches.

Truisms? Not necessarily. According to a study of 236 large Canadian and U.S.

Brands Still Matter, Even for Shopbots

  • Read Time: 2 min 

In the early days of Internet commerce, conventional wisdom held that online shoppers were fickle bargain hunters and that the Internet would relentlessly drive down prices and profit margins. Pundits said the days of brand equity and consumer loyalty were numbered.



Turning Browsers Into Buyers

  • Opinion & Analysis
  • Read Time: 4 min 

A new computer model could help online retailers predict which window shoppers are on the verge of a purchase.

Old Laws Hobble the New Economy Workplace

  • Read Time: 3 min 

Employment conditions have changed in almost every way but the way regulators see the issues. The old model is obsolete.


How Assumptions of Consensus Undermine Decision Making

  • Read Time: 26 min 

Recent research shows that managers” personal, and often unconscious, assumptions can undermine their decision-making. The authors offer concrete advice, supported by industry examples, on how to tackle the detrimental effects of “social projection,”


Making Business Sense of the E-Opportunity

  • Read Time: 27 min 

Web-based technology is creating opportunities to rethink business models, processes and relationships along the supply chain. How new are the strategic concepts? The author constructs a coherent map of the e-opportunity by identifying three domains that exist within operations, marketing and customer service.


Leading in Unnerving Times

  • Read Time: 16 min 

Warren Bennis and a panel of experts in leadership development discuss the “legitimization of doubt,” which frees managers to admit they don’t know everything and to begin the serious learning that improves competitiveness. “Most managers find it unnerving to be thrown into situations they can’t anticipate,” says Bennis. “Accustomed to being on top of everything, they are now experiencing doubt. And they should be.”



The Past and Future of Competitive Advantage

  • Read Time: 16 min 

Since the very existence of competitive advantage sets in motion creative innovations that cause the advantage to dissipate, strategists must understand the processes of competition and progress and the factors that undergird each advantage. Only then will they be able to see when old advantages are poised to disappear and how new advantages can be built in their stead.


Product-Development Practices That Work: How Internet Companies Build Software

  • Read Time: 25 min 

Software is an increasingly pervasive part of the New Economy. As a result, today’s general managers need to be aware of the most effective methods for developing and deploying software products and services within their organizations. Delegating such decisions to a technical staff, however skilled, can be a risky strategy.


How Do They Know Their Customers So Well?

  • Read Time: 31 min 

Internet portal Yahoo! records every click made by every visitor, accumulating some 400 billion bytes of data per day — the equivalent of 800,000 books.1 Direct marketing giant Fingerhut has 4 million names of repeat customers and stores up to 1,000 attributes on each one.

Innovating Our Way to the Next Industrial Revolution

  • Read Time: 19 min 

What's so new about the New Economy? Our real future lies in building sustainable enterprises and an economic reality that connects industry, society and the environment.