Organization, Staffing and Directing
Organization, Staffing and Directing
Organization, Staffing and Directing
• It is possible that a current CEO may not be appropriate to implement a new strategy
• Executives with a particular mix of skills and experiences may be classified as an
executive type and paired with a specific corporate strategy
• a corporation following a concentration strategy emphasizing vertical or horizontal
growth would probably want an aggressive new chief executive with a great deal of
experience in that particular industry—a dynamic industry expert.
• A diversifica- tion strategy, in contrast, might call for someone with an analytical mind
who is highly knowledgeable in other industries and can manage diverse product
lines—an analytical portfolio manager.
• A corporation choosing to follow a stability strategy would prob- ably want as its CEO
a cautious profit planner, a person with a conservative style, a production or
engineering background, and experience with controlling budgets, capital
expenditures, inventories, and standardization procedures.
Executive Succession: Insiders vs. Outsiders
A company can identify and prepare its people for important positions in several
ways.
1. performance appraisal system , to identify good performers with promotion potential. A company
should examine its human resource system to ensure not only that people are being hired without regard to
their racial, ethnic, or religious background, but also that they are being identified for training and promotion in
the same man- ner.
2. assessment centers , They use special interviews, management games, in-basket exercises, leaderless
group discussions, case analyses, decision-making exercises, and oral presentations to assess the potential of
employees for specific positions.
3. Job rotation , moving people from one job to another—is also used in many large corporations to ensure
that employees are gaining the appropriate mix of experiences to prepare them for future responsibilities.
PRoBLEMS in RETREnCHMEnT