Summary:

According to the latest research from CarringtonCrisp, the UK-based business school consultancy service, the financial crisis has not deterred prospective MBA students from taking up the degree.

One surprising finding of the survey was in the area relating to curriculum. While content such as strategic management and leadership placed as a high value with respondents, there were four areas that languished at the bottom of the popularity lists: taxation, logistics, outsourcing and……. ethics.?!

The survey was conducted online with prospective students through a range of sources such as Facebook and LinkedIn. A total of 91 countries participated, with the largest group coming from India, followed by Australia and the UK.

Article Quote:

“According to the report – Crisis? What crisis? – only 7 per cent of the 723 prospective students surveyed reported that their attitude towards the MBA had become more negative as a result of the financial crisis.”

Link:http://www.ft.com/cms/s/0/30cab94c-1644-11df-8d0f-00144feab49a,dwp_uuid=02e16f4a-46f9-11da-b8e5-00000e2511c8.html?nclick_check=1

While is is appropriate for strategic management and leadership to have a high value in curriculum content, it is surprising that ethics ranked so low on students’ list of importance.

If we are to improve investor confidence, ethics needs to be valued by the new group of business leaders entering the job market. If ethics is not valued, we are likely to see a repeat of the financial lending institution scandal which put the global market into a recession, or scandals such as those of the 90’s.

For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/

Summary:

William T Hayes II, CEO of William T Hayes & Associates believes that hope is not a viable strategy for preventing a business from failing. In consulting, Hayes has found three common culpability issues for businesses in financial decline. First, most businesses in a financial decline rely almost entirely on the one thing they know how to do — cut costs.

The second issue is that strategic planning and tactical execution in a turnaround process are rarely skill sets of the company’s front-line officers, even if the executive leadership team may have a proven track record.

Lastly, the “root cause” — strategic error is the last thing when challenged with financial crisis, most organizations blame their predicament on anything and everything except the one thing most often at.

Article Quote:

“If your business is significantly underperforming, focus on the following: Other than cost-cutting, what other action items have you identified that will impact the top line? What skills and experience do you have as a management team that will allow you to effectively plan, develop and execute a recovery initiative? Other than the poor economic climate, which usually exacerbates a problem but does not create it, what is truly the root cause of the problem?”

Link:http://www.greenbaypressgazette.com/article/20091225/GPG0706/912250549/1269/GPG06/Guest-column–Hope-is-not-a-strategy

Cutting costs is usually the first area where executives look to balance their profit and loss statements when facing a financial decline. However, cutting costs is only a temporary fix to the problem – much like applying a band aid.

Strategic planning must remain flexible when positive or negative factors arise. Accessibility to the plan -for everyone in the organization- helps keep the plan active so course corrections may be made early, before the company is in great financial distress. Strategic planning software that creates visibility on objectives, tracks progress, and keeps everyone involved greatly increases the chance for successful strategic plan implementation.

For more on strategic planning, see http://www.performancesolutionstech.com/category/strategicplanning/