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Management article
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Reference no. 84305
Published by: Harvard Business Publishing
Published in: "Harvard Business Review", 1984

Abstract

Four managers of Hugh Russel, Inc. had to change their management style when the company was acquired by a corporation that had no plan and no money on the eve of a major recession. To deal with the new, unsettled environment in which creditors were banging on the door and plants had to be closed, the managers had to develop a "soft", intuitive framework that offers a counterpart to every element in their traditional "hard", rational model. The executives found that the key to effective management is knowing whether you are in hard "box" or a soft "bubble" context. The soft model is conducive to trust, which generates a sense of mission or common purpose. Once the mission is established, the managing group can enter the hard box of strategy.

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Abstract

Four managers of Hugh Russel, Inc. had to change their management style when the company was acquired by a corporation that had no plan and no money on the eve of a major recession. To deal with the new, unsettled environment in which creditors were banging on the door and plants had to be closed, the managers had to develop a "soft", intuitive framework that offers a counterpart to every element in their traditional "hard", rational model. The executives found that the key to effective management is knowing whether you are in hard "box" or a soft "bubble" context. The soft model is conducive to trust, which generates a sense of mission or common purpose. Once the mission is established, the managing group can enter the hard box of strategy.

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