Book review – The future of management

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My goal for June: 30 days, 30 book reviews. This post is a review of The Future of Management by Gary Hamel (and Bill Breen). My short recommendation? This book was easily the best leadership book I read in 2009 and should be required reading for all practicing and preservice school administrators.

What I liked about the book

Hamel is one of the leading leadership and business scholars of our time; he has won numerous awards for his writing. As you read through this review, whenever you see the word company or business, substitute school organization. The essential premise of this book is stated early on:

What ultimately constrains the performance of [an] organization is not its operating model, nor its business model, but its management model (p. x). [Unfortunately,] the equipment of [current] management is now groaning under the strain of a load it was never meant to carry. Whiplash change, fleeting advantages, technological disruptions, seditious competitors, fractured markets, omnipotent customers, rebellious shareholders – these 21st-century challenges are testing the design limits of organizations around the world and are exposing the limitations of a management model that has failed to keep pace with the times (p. x).

In other words, as Charles Leadbeater says, “old groaning corporations are the wrong shape” for the fast-paced, ever-changing, innovation-driven, global economy in which we now live.

Hamel notes a number of new environmental factors that now exist for organizations, including reduced barriers to entry across a wide range of industries; a shift in bargaining power to consumers rather than producers; a world of near-perfect information; and the rise of more nimble, global competitors “eager to exploit legacy costs of the old guard” (pp. 9–10). He then goes on to describe why management, rather than other factors, is the key to resolving many of these dilemmas. He also outlines three formidable challenges that now confront organizations:

  • Dramatically accelerating the pace of strategic renewal in organizations large and small;
  • Making innovation everyone’s job, every day; and
  • Creating a highly engaging work environment that inspires employees to give the very best of themselves. (p. 41)

These ring true for school systems as well as corporations.

Hamel states that “if we were to measure the relative contribution that each of these human capabilities makes to value creation, . . . the scale would look something like this“

  • Passion 35%
  • Creativity 25%
  • Initiative 20%
  • Intellect 15%
  • Diligence 5%
  • Obedience 0% (p. 59)

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