Why Smart Companies Do Dumb

From Guy Kawasaki we have the simple explanation for this. "A sweeping answer is that companies are run by smart people, and smart people do dumb things as we’ve learned." Why smart people do Dumb.

Nine factors that cause corporate dumb, nine ways to minimize them, one wish for a way to squash arrogance and greed.

How smart people can behave as dumb companies:

Conviction. Consensus rears its ugly head during the decision-making process. The situation can get worse once implementation occurs because the organization marches along with a firm belief in what it’s doing. At that point, a decision takes on a sacred life of its own, and a company cannot see flaws.

And how to fix:

Spell things out. It’s not enough to say, "Plug this leak in our company" and assume that it will be done legally. You should say, "Plug this leak in our company by using only legal, ethical, and reasonable methods." That’s when you’re done.

Don’t shoot the messenger who brings the bad news unless he caused it.

Don’t reward the messenger who brings good news unless he caused it

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