Value-Directed Management: Organizations, Customers, and Quality

By Bernard Arogyaswamy; Ron P. Simmons | Go to book overview

The paper industry is a particularly apt vehicle to use in illustrating the changing nature of supplier-customer relationships. The industry is becoming increasingly global in terms of market needs, competition, and manufacturing base. Consolidation through acquisition of smaller firms is an ongoing phenomenon. Firms, in honing their skills and ability to compete with firms from across the world are looking for allies wherever they can find them. One of the first such allegiances seems to be between the supplier and customer. Exploitative tendencies are giving way to cooperation, synergy and mutually reinforcing value-creation processes. The paper industry, in our perspective, is bestirring itself in its mission of value and is unlikely to go the way of the steel, automobile, and consumer electronics industries, which succumbed to the onslaught of foreign competitors. Of course, not only are paper firms embarked on a revolution in the management of supplier-customer dependencies, they are attempting to come to grips with other problems impeding value creation and delivery. One such problem is that of not utilizing the human resource to the fullest extent possible, of not realizing the entire potential of the firm's employees. In taking up this issue next, we shall explore what can be done to more fully elicit commitment and to breathe new life into the firm's strategies, perhaps even generate more effective ones.


NOTES
1.
See, for instance, Collier's Encyclopedia (New York: Macmillan, 1991), pp. 463-67.
2.
See, for example, Arlyn Melcher and Bernard Arogyaswamy, "The Shifting Playing Field in Global Competition," in William Wallace, ed., Global Manufacturing: Technological and Economic Opportunities and Research Issues ( Greenwich, CT: Jai Press, 1992).
3.
For a detailed discussion of asymmetry in brain functions see Michael Corballis , Human Laterality ( New York: Academic Press, 1983), pp. 29-64.
4.
For a look at the managerial implications of such asymmetry, see Henry Mintzberg , "Planning on the Left Side and Managing on the Right," Harvard Business Review, 1976, 54: 49-58.
5.
Raymond Radosevich, "Strategic Implications for Organizational Design," in Igor Ansoff, Roger Declerck and Robert Hayes, eds., From Strategic Planning to Strategic Management ( New York: Wiley, 1976), pp. 161-77.
6.
Gareth Morgan Images of Organization (Beverly Hills: Sage, 1986) includes an excellent treatment of redundancy of both parts and functions (pp. 98- 9). In fact, the work offers a detailed analysis of the brain as a metaphor for organizations (pp. 79-109).
7.
Peter Drucker Innovation and Entrepreneurship suggests that small businesses could be managed by attending to or modifying the success employed in running large organizations. We tend to agree with Hawken ( Growing a Business, pp. 12, 15) experience and argument which assert that a completely different attitude is required to manage a small business.

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