An oft-cited quality that leaders are expected to have is decisiveness. Yet, this is not always desirable especially when decisive decisions are made with incomplete or worse conflicting streams ofinformation. One of the reasons for this lack of preparedness for crises situations is the usual risk-avoidance at place. Companies conduct market research or focus groups to get a better grip of the situation. But this caution is not possible during any crisis. To gauge the risk-averseness of any organization, a test has been designed around the so-called 4 Rs. These 4 Rs are – Regret, Repeal, Repercussions and Resilience. As the name suggests the first 2 Rs stand for the long-term impacts and the costs of undoing something that unexpectedly backfired. The last 2 Rs are about the people who are affected and the ability to withstand untold pressures. One needs to be clear about the values one wishes to cultivate. Similarly, one must be able to tell and hear the brutal truth.

Source:https://www.strategy-business.com/blog/The-Four-Rs-of-High-Stakes-Decision-Making?gko=99f6e&sf195602654=1

Uploaded Date:04 September 2018

The pharma industry has seen growth stay nearly flat for about a decade now, thanks to limited increase in productivity. Companies that are not following a holistic approach towards improving performance as seeing their valuations drop. The cost if launching business innovations has gone up tremendously as the time till a competitor plugs the gap has reduced from eight to a mere four years. Some business leaders though are forging ahead thanks to a customer-centric approach and lean operations being implemented. Ipsen is one such example as they have focused on areas where they already had an edge, exiting from unprofitable businesses. According to a report submitted by marketing research firm TSR, category leaders tend to be doing much better than those with a scattered focus. Pharma companies would also benefit by modeling themselves or at least taking cues from other industries and not merely competitors within their own.

Source:https://www.bain.com/insights/jolt-your-pharma-company-out-of-flat-line-growth/

Uploaded Date:04 September 2018

It has been a decade on since the Global Recession in 2008 that was followed by the Eurozone’s sovereign debt crisis. A study was conducted by management consulting giant McKinsey to understand the impact. A lot of new learnings have emerged, while a lot of familial old failings continue unabated. The global debt for example continues to grow, with borrowers merely being replaced by newer ones. Banks are now much safer to keep one’s money in, but less profitable. Digital disruptions have no doubt played their part in this. Households have indeed reduced their individual debt, but the condition isn’t all that better either. The global financial system is less connected than it was a decade back, which means the chances of a contagion have somewhat been reduced. New risks are bound to emerge, not least being China’s rise amidst a cycle of growth amidst debt.

Source:https://www.mckinsey.com/industries/financial-services/our-insights/a-decade-after-the-global-financial-crisis-what-has-and-hasnt-changed?cid=other-soc-twi-mgi-mgi-oth-1808

Uploaded Date:01 September 2018

Rarer things are usually worth more, as per the demand-and-supply model that predominates capitalist societies. This behaviour gets embedded in humans since childhood. Bill Gates though says that the dominance of the model will soon disappear thanks to the ongoing economic shifts that have left political leaders in their wake. A lot of the leading companies in the world for example make their money out of intangible stuff. In his book Capitalism without Capital, Gates asserts that this intangible investment carries new risks for businesses, not accounted for in the traditional, outmoded accounting methods. He also pinpoints that the way GDP is measured by countries does not consider intangible elements such as market research and development. This is also why non-tech-savvy political leaders are often not in the best of positions to regulate the industry, especially social media, which works very differently from traditional business in terms of revenue generation.

Source:https://futurism.com/robot-star-tony-kaye/

Uploaded Date:01 September 2018

Bata Shoes is one of the most successful family firms. But like others of their ilk, they are unsure of where and how to expand further. For family firms, trying to expand requires as meticulous a planning as space travel does. A lot of them struggle in life after the death of the founder. Clashes among siblings for control are unfortunately not uncommon. Most importantly such family groups must have strong values and a vision embedded in them to carry everyone ahead. The corporate strategy needs to be well thought-out to balance both the business side as well as the personal part of the family. A strong governance pattern is required. Proper investment must be made both in terms of human and financial capital. A Parallel Planning Process needs to be initiated right at the start before any of the expectant crises comes to the surface.

Source:https://knowledge.insead.edu/blog/insead-blog/successful-family-firms-shoot-for-the-moon-9881

Uploaded Date:01 September 2018

Emerging economies will drive a substantial portion of the global growth over the next few decades. Some such emerging economies have grown over a period of time, so have managed to close the gap with the developed nations, while others are new entrants. Thus, the McKinsey Global Institute (MGI) has undertaken this business research to understand what are the key drivers at these emerging economies. Seventy-one emerging economies have been studied. Among these, eighteen high-performers have in particular been tagged over this research to understand their success factors. The report will soon be released along with the two key factors responsible for this success.

Source:https://www.mckinsey.com/mgi/subscribe-to-outperformers-report

Uploaded Date:01 September 2018

A lawmaker in the US has proposed a policy which would alter businesses in the country significantly. The main tenet of this new law is that businesses with over a billion dollars in annual revenue need to act as “benefit corporations”. Under this, more than mere maximum benefits to shareholders, the focus will veer towards the other key stakeholders as well. The present avatar of simply trying to drive up profits is unsustainable in the long-run. Right now, managers try to raise up the profits simply to improve their standing within the company. Except for exceptional circumstances such as when the company has been put up for sales, firms do not overtly ask leaders to maximize profits. Employees need to have a strong voice within the company to ensure positive practices are followed. Investment needs to be made on infrastructure and corporate training in order to develop the existing staff.

Source:https://hbr.org/2018/08/what-would-it-take-to-get-businesses-to-focus-less-on-shareholder-value?utm_medium=email&utm_source=newsletter_daily&utm_campaign=dailyalert_activesubs&utm_content=signinnudge&referral=00563&deliveryName=DM12562

Uploaded Date:27 August 2018