Department of Management
(Manawatu & Wellington)
152.200
Contemporary Management
15 credits
Administration Guide
Single Semester, 2010
Extramural
Paper Co-ordinator
Dr Craig Prichard
Acknowledgement
I’d like to thank my friends, colleagues and former
students of this and other papers for permission to use
some of their stories and accounts of organizational events
in the case studies and illustrative content found in this paper.
THIS MATERIAL IS PROTECTED BY COPYRIGHT AND HAS BEEN COPIED BY AND SOLELY FOR
THE EDUCATIONAL PURPOSES OF THE UNIVERSITY UNDER LICENCE. YOU MAY NOT SELL,
ALTER OR FURTHER REPRODUCE OR DISTRIBUTE ANY PART OF THIS COURSEPACK/MATERIALS
TO ANY OTHER PERSON. WHERE PROVIDED TO YOU IN ELECTRONIC FORMAT, YOU MAY ONLY
PRINT FROM IT FOR YOUR OWN PRIVATE STUDY AND RESEARCH. FAILURE TO COMPLY WITH
THE TERMS OF THIS WARNING MAY EXPOSE YOU TO LEGAL ACTION FOR COPYRIGHT
INFRINGEMENT AND/OR DISCIPLINARY ACTION BY THE UNIVERSITY.
http://copyright.massey.ac.nz/cll.html#copywarn
Contents
Page
Brief Course Diary .......................................................................................................... 1
Kia ora & Welcome ........................................................................................................ 2
Paper Co-ordinator .......................................................................................................... 3
The Paper: 152.200 Contemporary Management ........................................................... 5
Prescription................................................................................................................. 5
Aims & Objectives ..................................................................................................... 5
Learning Outcomes .................................................................................................... 5
Resources ........................................................................................................................ 6
Required Text ............................................................................................................. 6
Engaging with Contemporary Management ................................................................... 7
Stream......................................................................................................................... 8
Weekly Web Tutorials .............................................................................................. 9
Multi-media Presentations and Email ...................................................................... 10
Studying ........................................................................................................................ 11
Overview of Course Content .................................................................................... 12
Extended Course Diary ................................................................................................. 13
Assessment .................................................................................................................... 17
Assessment Criteria .................................................................................................. 18
Assignment Presentation and submission ................................................................ 19
Lateness & Extension Policy.................................................................................... 20
Contents...................................................................................................................... 1
Brief Course Diary ..................................................................................................... 1
Kia ora & Welcome.................................................................................................... 2
Paper Co-ordinator ..................................................................................................... 3
The Paper: 152.200 Contemporary Management ...................................................... 5
Resources ................................................................................................................... 6
Engaging with Contemporary Management .............................................................. 7
Studying ................................................................................................................... 11
Overview of Course Content ................................................................................... 12
Extended Course Diary: ........................................................................................... 13
Assessment ............................................................................................................... 17
Assessment Criteria .................................................................................................. 18
Assignment Presentation and Submission................................................................ 19
152.200 Cont. Mgmt
Administration Guide i
Lateness & Extension Policy.................................................................................... 20
Assignment 1 25% ............................................................................................... 21
Assignment 2
25% .............................................................................................. 22
Examination
50% .............................................................................................. 23
Plagiarism ................................................................................................................. 24
Copyright Regulations.............................................................................................. 25
Referencing .............................................................................................................. 26
Creating a reference list for your report and presentation ........................................ 26
Massey University Library ....................................................................................... 27
Support Services ....................................................................................................... 29
In case of emergency ................................................................................................ 30
152.200 Cont. Mgmt
Administration Guide ii
Brief Course Diary
See stream for full diary and resources: http://stream.massey.ac.nz/
Wk
1
Online Tutorial
Tut.1: 8-9.30pm, February 24,
Wednesday
Topic and Important Dates
Introductions (Stream, Connect, Peers and different
Conversations)
http://connect.massey.ac.nz/contemporarymgmt/
2
3
Tut.2: 8-9.30pm, March 3,
Wednesday
Critical Study of Mgmt Practice, Theory and Research.
Questions:
http://connect.massey.ac.nz/contemporarymgmt/
•
•
•
Tut.3: 8-9.30pm, March 10
Academic Management knowledge (theory and Research)
Trend 1: ‘Environment and strategy’ (What is strategy?)
Wednesday
What is a ‘critical study’?
How are we to be ‘critical’?
What trends and developments should we study?
4
Monday March 17 (Tut.4: 89.30pm )
Popular Management knowledge Trend 1: ‘Environment
and strategy’ (Responding to a sustainability crisis:
‘Green to Gold’)
5
March 24 (Tut.5: 8-9.30pm )
Practitioner management knowledge Trend 1:
‘Environment and strategy’(Peter’s leaky buildings)
6
March 31 (Tut.6: 8-9.30pm)
Academic Management knowledge (theory and research)
Trend 3. ‘Technology and change’(theory and research)
Mid-Semester Break April 2-April 18
Assignment 1 Theory and Research Report due by noon Monday April 19
7
April 21 (T7: 8-9.30pm)
Popular Management knowledge Trend 3: ‘Technology
and Change’ (Social Media and Organizations)
8
April 28 (T8: 8-9.30pm)
Practitioner management knowledge trend 2: ‘Technology
and change’ (Technology and new businesses)
9
May 5 (T9: 8-9.30pm)
Academic Management knowledge Trend 3: ‘Structure
and culture’( theory of structure and culture)
10
May 12 (T10: 8-9.30pm)
Popular Management knowledge Trend 3: ‘Structure and
culture’ (TV management knowledge - the apprentice and
surviver)
11
May 19 (T11: 8-9.30pm)
Practitioner management knowledge Trend 3: ‘Structure
and Culture’ (Policing structure and teams)
12
May 26 (T12: 8-9.30pm)
Drawing the three conversations together (critical analysis
of 152200)
Assignment 2 Management Practice Exercise due by Noon on May 31
Examination Friday 11 June, 2010 - Morning
152.200 Contemporary Management
Administration Guide 1
Kia ora & Welcome
Welcome to 152.200 Contemporary Management. This course has been completely
redesigned for 2010. I’m excited about this course and this year’s programme. Here’s
why:
•
It’s practical! It provides an introduction to management practice and to
particular trends in practice.
•
It’s analytical! At its core the paper is a critical analysis of the different forms
of management knowledge (academic, practitioner and popular) all of which
address management and organizational problems and issues.
•
It’s theoretical!
It provides a critical introduction to selected theories of
managing and organizing.
This Administration Guide outlines the requirements of the paper but the paper is
based mostly on its stream site: http://stream.massey.ac.nz/ . Please make sure you
visit this site in the first week of the course. You will also need to get access to or
purchase the textbook (Hatch, 2006). Try to get this as soon as possible so that you
can progress with your study. Before we go further, let me introduce myself . . .
152.200 Contemporary Management
Administration Guide 2
Paper Co-ordinator
Craig Prichard
As well as coordinating 152200 Contemporary Management in 2010 I will
also coordinating the postgraduate paper ‘152707 Leading Change’.
Alongside my teaching I have a research interest in the critical analysis of
organizing processes. The key question here is why do certain management
and organizational practices take particular forms, how are they maintained or
how are they changed. To address this I’m involved in range of empirical
projects that include, among other things, analysis of computer visualization,
organizational affectivity, academic journal publishers and private finance
companies.
Outside of work, paid work at least, my wife and I are kept occupied (!) by our
three children (aged 16, 12 and 8). I also manage squeeze in some time to
play music and I try to get out regularly on my recumbent bike.
What else is there? I come from a family that were once mostly farmers and
small business owners and who are now mostly wage and salary earners in
large organizations (some multinationals). I was born in the little agricultural
service town of Waverley in South Taranaki and as I grew my family moved
north – pushed by rural population decline and lured by the opportunities of
the larger towns. I went Canterbury University in the early 1980s. Later
studied journalism at ATI (now Auckland University of Technology) and
worked as a reporter on provincial daily newspapers in the late 1980s before
heading overseas. At the time newspapers were making the transition to direct
entry computer technology. They were also confronting the (continuing)
downward trend in daily newspaper circulation. Strangely enough these issues
became the focus of my first research job in the UK in early 1991. During
something of an overly long ‘OE’, I became attached to three universities as
researcher, PhD student and lecturer. I reflect on all this now and wonder if it
might be better to consider change to be the stable unvarying feature of
152.200 Contemporary Management
Administration Guide 3
people’s lives, and stability to be, that which makes for all the barriers and
complications? I’d be interested in your reflection on this point as we move
through the course.
There are a number of ways of communicating with me (and your colleagues)
during the course:
1. Email (anytime). Messages of a personal nature should go directly to:
c.prichard@massey.ac.nz . All discussion points should be sent to the
stream site forum (as appropriate) all general queries and discussion points
should go to: 152200class@lists.massey.ac.nz. This second address is the
address for our course email list. Your Massey supplied email address will
be added to this list just before the course starts. The list is the primary
source of course communication and will be the fastest way to get a reply
to queries (you can try the phone but I’m not always in the office).
2. Online Tutorials (weekly): This is where we will be doing most of our
‘same time’ interaction. As a web-based course you will need an internet
connection. If you’ve not got broadband then I’d strongly suggest an
upgrade to broadband. A headset (with microphone) or webcam, with
built in microphone, is strongly recommended as an essential piece of
equipment for the course. These will be used during the weekly meetings
(instructions are below).
3. Telephone. This might work, but if there’s no reply please leave a
message and I’ll ring back as soon as I can. The best thing way to ring me
is dial the Massey Auckland, Wellington or Palmerston North numbers
(below) and key in extension number: 2244.
The Massey numbers:
a. Palmerston North: 06 3569099
b. Wellington: 04 801 5799
c. Auckland: 09 414 0800. And if all else fails please send mail to
Postal address:
Craig Prichard
Department of Management PN214
Massey University
Private Bag 11 222
Palmerston North, 4410
152.200 Contemporary Management
Administration Guide 4
The Paper: 152.200 Contemporary Management
•
Course Credit Value: 15 credits
•
•
Semester: Single (Start: Monday 22 February, End: Friday June 18)
Mode: Extramural (Location: Manawatu)
Prerequisite(s): Any 100-level paper
Exam date: June 11, morning
•
Contact Course: none (weekly online tutorials)
•
•
Prescription
A critical study of selected trends and recent developments in management theory,
research and practice.
Aims & Objectives
•
To provide knowledge and understanding of organizations, theory
management processes and the influence of environmental forces;
•
To exhibit and evaluate a diversity of management approaches;
•
To assist students gain an appreciation of the differences between and
contribution of management theory, research and practice
Learning Outcomes
Students who successfully complete this paper will be able to:
•
Critically interrogate management concepts and theories relevant to
contemporary business decision making.
•
Demonstrate the value of management concepts and implications for
contemporary practice.
•
Apply knowledge of management ideas to contemporary organizational
issues.
152.200 Contemporary Management
Administration Guide 5
Resources
Required Text
Hatch, M J (with Cunliffe, A L) (2006). Organization Theory: Modern, Symbolic and
Postmodern Perspectives. (2nd Ed). Oxford: Oxford University Press.
Order your textbook from:
Bennetts University Book Centre
Freepost 118333
Massey University
Palmerston North
Telephone: (06) 354 6020
152.200 Contemporary Management
Administration Guide 6
Engaging with Contemporary Management
Stream
152200 Contemporary Management will be using Massey’s learning management
system, Stream, in 2010. The course’s stream site is the primary location for course.
The site hosts key materials (beyond the textbook and two separate readings), course
presentations, recordings of tutorials, discussion fora and is the site for the submission
and return of assignments. The course is structured into 11 weekly topics. At the
beginning of each week a short presentation covering the key points and frameworks
for that topic will be posted to the stream site (and flagged via email).
From the middle of February login to the site at this address:
http://stream.massey.ac.nz/
Weekly Web Tutorials
At the core of this course are weekly online course meetings/tutorials. The dates for
each of these are at the front of this guide (in the brief course diary) and in the
detailed section below. The tutorials/meetings will be held on Wednesday evenings
between 8-9.30pm. To join the meeting/session put the following address in your web
browser’s address space and hit return: http://connect.massey.ac.nz/contemporarymgmt/
152.200 Contemporary Management
Administration Guide 7
When you visit this site you will see the following:
To enter the room simply enter your login details or take the ‘enter as a guest’ option
(shown). You do not need your Massey username and password to use this option. If
you do take the ‘guest’ option, you will then be prompted for your name. Enter your
first name only.
Next click ‘enter room’. The course coordinator will open the meeting room five
minutes before the start time. If you do not get access straight away just wait a few
moments (it’s a bit like knocking on the door – someone will answer). The next image
shows you what you will (typically) see when you enter the room.
152.200 Contemporary Management
Administration Guide 8
In order to listen to the lecture you will need to plug in your headphones or turn on
your computer’s speakers. Once everyone is familiar with this we will then work on
using the meeting rooms to communicate using microphones and webcams. In our
experience most users get easy access to the Connect meetings (although there have
been instances when corporate firewalls block this so best to check with your
network administrator if you are going to use a work computer).
Part of the first session on February 24 will involve an introduction to the meeting
environment. There is also a ‘pre-flight’ check for using the software at the following
site: http://elearning.massey.ac.nz/ . It would be helpful to take a look at look at this
before the meeting. Go to this address: http://elearning.massey.ac.nz/ and click on
the ‘Connect pre-flight check’.
Web Tutorial Structure
The focus of each tutorial will be the materials for the particular week of the course.
Each session will likely include a short presentation, an exercise (typically a case
study) and a round of Q&A. There will also be time to discuss assignments. These
sessions will be recorded so that those not able to attend the event can catch up
afterwards.
Attendance at these meetings is highly recommended. However no material in these
electronic discussion forums is examinable, nor will participation or lack of
152.200 Contemporary Management
Administration Guide 9
participation be assessed in anyway. However, interaction using this meeting
environment is a powerful means of engaging with the substantive and administrative
elements of this paper. Our experience has been that those students who attend
regularly are significantly more ‘in tune’ with the course and this makes a significant
contribution to their assignment work. But if you can’t make the sessions please do
not despair! A recording of each meeting will be available to everyone after the
meeting. And a series of presentations - that are not time specific - will also be
available (see next note).
Multi-media Presentations
Associated with the online sessions will be a series of short, multi-media presentations
that use the Adobe presenter application (audio-enhanced PowerPoint slides). These
will be made available via the course’s Stream site (with links distributed via email
also). We will use the email list to provide the links to these. The presentations are
introductions to and discussion of the materials for the key sections of the course.
Email
Alongside the course’s stream site a separate email distribution listserver will also be
used for this course. Your Massey supplied email address will be automatically added
to the list just before the first semester’s begins. This will allow you to communicate
and collaborate with others taking the paper and to receive notices and information
from the course coordinator. The address for sending message to the course is:
152200class@lists.massey.ac.nz .
152.200 Contemporary Management
Administration Guide 10
Studying
Learning, as the philosopher and physicist Michael Polanyi suggested, is a process of
‘pouring ourselves into things’ or ‘folding the outside into ourselves’ (1969:183). It
takes time and attention to the task at hand and at first new concepts and ways of
thinking can seem strange and complex. Over time however what initially seemed
incomprehensible and inaccessible will begin to ‘make sense’. 152.200 Leading
Change is a challenging programme. Please note that the time commitment for a 15credit paper is around 12 hours of study time each week during the semester. This
includes time spent reading the study materials, attending the tutorial, listening to
presentations and course videos (e.g. practitioner knowledge), and preparing your
assignments. Here are some suggestions as to what you might include in your 12
hours per week.
Essential:
•
Complete the assignments
•
Read all of the course materials, textbook chapters and supplied readings.
•
View course presentations and practitioner videos and meeting recordings (if
you are unable to attend the live meetings)
Valuable:
•
Attend the online meetings.
•
Contribute to the course discussion forums.
152.200 Contemporary Management
Administration Guide 11
Overview of Course Content
This page provides an indispensible overview of the underlying structure of the
course. This is essential reading!
This course asks students to engage with three types of knowledge. These are:
•
Practitioner/managers’ knowledge (includes
knowledge and organizational practice)
•
Popular management knowledge (includes guru texts, popular TV and web
resources)
•
Management research and theory (Analytical and empirical research findings
produced by academics working within various traditions)
manager’s
experiential
Each type of knowledge can be understood as a different kind of conversation. As
with conversations we encounter in everyday life (you might be competent in
‘computer’ or ‘plumbing’ or ‘farming’ for example) each conversation has its
particular vocabularies, ways of contributing/speaking, and its particular forms of
knowledge – assumptions, traditions, authority relations. These organize what counts
as valid and reliable. For example the claims found in academic ‘conversations’ tend
to be governed by assertions of logical coherence and empirical support. Practitioner
conversations meanwhile tends to be grounded on claims to experience, membership
or position in key networks and organizations. Popular knowledge about management
and organization, e.g. on TV, in movies, magazines and on the web, might be simply
based on what ‘sells’, is ‘watched’, or viewed (we will be exploring each of these
forms of knowledge in the course).
The aim of the course is to undertake a critical study of selected trends and recent
developments in management theory, research and practice. To do this we will be
studying, critically (more on what this means in our second week), three broad
organizational topics: ‘environment and strategy’, ‘technology and change’, and
‘structure and culture’. We will be looking at each of these via our three
conversations: practitioner conversation/knowledge about management and
organizations, popular knowledge about management and organizations, and
academic knowledge about management organizational knowledge.
152.200 Contemporary Management
Administration Guide 12
Extended Course Diary:
WEEK 1
Topic:
Introduction
Reading:
Examples of practical, popular and academic forms of knowledge (see
stream site)
Exercise:
Exercise: Do you speak practitioner/popular/academic management?
(see stream for details)
Tutorial:
Wednesday February 24 8-9.30pm:
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 2
Topic: Critical analysis and the analysis of a form of knowledge?
What is critical analysis
How to analyse a form of knowledge?
•
Rhetoric
•
Scepticism toward tradition, authority, objectivity
•
Context of production
•
Relations of production
•
Vocabulary and positions
Readings:
Mingers, J (2000) ‘What is it to be Critical? Teaching a Critical Approach to
Management Undergraduates’, Management Learning 31(2):219-237
Chapter 2, ‘Histories, Metaphors and Perspectives in Organization Theory’ in Hatch,
M. J. (2006) Organization Theory, Oxford: Oxford University Press
Exercise: Doing critical analysis of management knowledge (see stream for details)
Tutorial: Wednesday March 3, 8-9.30pm at:
http://connect.massey.ac.nz/contemporarymgmt/
152.200 Contemporary Management
Administration Guide 13
WEEK 3
Topic:
Reading:
Exercise:
Tutorial:
Academic Knowledge 1. Environment and Strategy
Strategy and environment
Critical Analysis of practitioner knowledge recording (see stream for
details)
March 10 (Tut. 3 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 4
Topic:
Reading
Exercise:
Tutorial:
Popular Knowledge 1: Environment and Strategy
Green to Gold (segment)
Critical Analysis of popular knowledge of Sustainability Strategy
Monday March 17 (Tut.4: 8-9.30pm )
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 5
Topic:
Reading
Exercise:
Tutorial:
Practitioner Knowledge 1: Environment and Strategy
Video of Paul Jackman’s interview
Critical Analysis of Practitioner Knowledge (see stream for details)
March 24 (Tut.5: 8-9.30pm )
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 6
Topic:
Reading:
Exercise:
Tutorial:
Academic Knowledge 2: Technology and Change
Chapter 5 ‘Technology’ from Hatch, M J (2006) Organization Theory,
Oxford: Oxford University Press pp 127-160
Critical Analysis of Academic Knowledge 2 (technology)
March 31 (Tut.6: 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
152.200 Contemporary Management
Administration Guide 14
Mid-Semester Break April 2-April 18
Assignment 1 due by noon Monday April 19Report: Critical Analysis of Strategy Knowledge
(see stream for details)
WEEK 7
Topic: Popular Knowledge 2: Technology and Management
Reading : Social organization and Web 2.0
http://www.thesocialorganization.com/about-the-social-organization.html
Exercise: Critical comment (posted) on popular knowledge of social media and
organization knowledge
Tutorial: April 21 (T7: 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 8
Topic:
Reading:
Exercise:
Practitioner Knowledge 2: Technology and Management
Video of practising manager. Technology and Managing
Critical analysis of practitioner knowledge
Tutorial:
April 28 (T8: 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 9
Topic:
Reading
Exercise:
Academic Knowledge 3: Structure and Culture
Chapter 6 ‘Organizational social structure’ and Chapter 7,
‘Organizational Culture’ from Hatch, M J (2006) Organization
Theory, Oxford: Oxford University Press pp 161-199 and pp 200-240
Critical analysis and comparison of organizational structure and
culture.
Tutorial (9): May 5 (T9: 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
152.200 Contemporary Management
Administration Guide 15
WEEK 10
Topic:
Reading:
Exercise:
Tutorial:
Popular Knowledge of Structure and Culture
The Apprentice and Survivor (Videos)
Critical Analysis of popular knowledge of Structure and Culture
May 12 (T10: 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 11
Topic:
Reading:
Exercise:
Tutorial:
Practitioner Knowledge 3: Structure and Culture
Video of Dave Thornton (Police Structure and Culture)
Critical Analysis of Practitioner Knowledge
May 19 (T11: 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
WEEK 12
Topic:
Reading:
Exercise:
Tutorial:
Bring it all together. Critical Analysis of the Course
No reading (assignment 2 preparation)
Critical Analysis of 152200 Cont. Mgmt
May 26 (T12: 8-9.30pm)
http://connect.massey.ac.nz/contemporarymgmt/
Assignment 2 due by Noon on May 31
‘Management Practice Exercise’
Format: Presentation based on Case Study
Examination
Friday 11 June, 2010 - Morning
152.200 Contemporary Management
Administration Guide 16
Assessment
Requirements
Assessment
Due Date
Percentage Value
Assignment 1 (Report)
April 19
25
Assignment 2 (Exercise)
May 31
25
Examination
June 11
50
To complete this paper you will need to attain at least 50 percent of the available
marks. Most of you will meet an acceptable and competent standard of work
throughout the semester and some will maintain an excellent standard. There are no
‘quotas’ on any of the categories, so make use of the information available to you and
aim for the top.
152.200 Contemporary Management
Administration Guide 17
Assessment Criteria
Aside from some particular assessment criteria noted below, assignments will be
graded on the following broad criteria:
•
Structure
•
Content
•
Reading
•
Evidence of thoughtful, independent analysis
•
Presentation
A mark of 50% indicates an adequate performance and is a C grade pass for this
paper. Grades are as follows:
Grade
Evaluation
A+
Exceptional
A
Outstanding
A-
Excellent
B+
Very good
B
Good
B-
Competent
C+
Satisfactory
C
Adequate
D
Flawed
(fail)
E
Deficient
(fail)
152.200 Contemporary Management
Administration Guide 18
Assignment Presentation and Submission
All assignments must be typed using a word processing application and be submitted
to the Stream site in electronic format. Do not hand in hard copies and do not email
copies to the course coordinator. Your assignments must be grammatically correct,
correctly referenced, and professionally presented in the appropriate format. Here are
a list of particular presentation guidelines:
1. The first page of your assignment must be a copy of the supplied assignment
coversheet (see stream site for copy)
2. Your assignment file must be named with the course number, the assignment
number and your name e.g. ‘152200_Assign_1_Jo_Sixpack.doc’.
3. Use A4 page size in portrait orientation.
4. Leave a 5cm margin on the left to allow room for marker’s comments.
Comments will be inserted using Word’s comment function.
5. Use a 12 point font – preferably Times New Roman or Arial.
6. Use 1.5 line spacing.
7. Ensure you reference according to APA specifications (discussed later in this
guide).
8. Each page should be numbered in one continuous sequence.
9. Submission: To submit your assignment login at the course’s stream site:
http://stream.massey.ac.nz . The submission pages for each assignment are found at
the top of the stream site’s main page.
1. Click on the submission icon
. This loads a page with the
assignment details. Go to the bottom of the page.
2. Click on the ‘BROWSE’ button. Select the file from the location on your
computer (please use file name format as noted above).
3. Click ‘OPEN’.
4. You are now back on the submission page so click ‘UPLOAD THIS
FILE’
5. Please check that the assignment now appears on the page.
Note: If you have any problem please contact the course coordinator.
152.200 Contemporary Management
Administration Guide 19
Lateness & Extension Policy
Lateness: Students are expected to submit their assignments by the due date.
Assignments submitted more than a week after the due date will not be accepted or
marked unless agreement for late submission has been made with the course
coordinator prior to the assignment deadline.
Extensions: We recognise that sometimes there are unforeseen situations such as
serious illness and family crises that affect your ability to complete your assignments.
In these situations you may request an extension. You will be expected to submit your
request for an extension to the paper co-ordinator before the due date. You may also
need to provide the paper co-ordinator with appropriate documentary evidence of the
reason that the extension is needed (e.g. a doctor’s certificate).
Marking Turnaround: Students can expect assignment submitted by the due date to
be marked within 21 days of submission.
152.200 Contemporary Management
Administration Guide 20
Assignment 1 25%
Topic: Critical Analysis of Strategy Knowledge (academic, popular or practitioner)
Format:
Report (addressed to a fictional manager/supervisor/boss)
Due Date:
April 19 (submit to stream site assignment page)
Description: See full description on stream site.
Length:
1000 words maximum
Particular assessment guidelines:
•
Clear, direct and illuminating prose
•
Clear presentation of the target of analysis,
•
Clear presentation of the type of critical analysis
•
Bulk of report deal with the analysis of the ‘target’
.
152.200 Contemporary Management
Administration Guide 21
Assignment 2 25%
Topic:
Format:
Management Practice and Technologies (Case Study)
Presentation (audio enhanced slide show)
Due Date:
May 31
Length:
Commentary should be no longer than 1000 words maximum
Requirements:
See full description on Stream site
Particular assessment guidelines:
•
Appropriate tone and address
•
Clear and direct analysis of management problem
•
Appropriate, creative
and practical responses to the presented
problem that draws on different forms of knowledges presented in
the course.
152.200 Contemporary Management
Administration Guide 22
Examination
50%
Date:
June 11 Morning (three hours)
Format:
Three short answer questions
Details:
Some guidance on the questions to be answered in the exam will be
given in the final week of the course (tutorial and on stream site).
152.200 Contemporary Management
Administration Guide 23
Plagiarism
‘Plagiarism is …’
Copying or imitating the language, ideas, thoughts, or writing of another author and
passing off the same as the student’s original work.
Students should take particular note of the following:
College Policies




Plagiarism is not permitted.
Questions of suspected plagiarism will be immediately referred to the Head of
Department for investigation.
Students suspected of plagiarism will have the opportunity to discuss the case with
the lecturers, Head of Department, and other relevant persons prior to any college
action being taken or recommended.
Confirmed plagiarism will be dealt with severely. A penalty equal to the marks
allotted to the work may be imposed. Depending on circumstances, a more severe
penalty may be applied.
To summarise plagiarism
What exactly is plagiarism?
 Plagiarism is a form of cheating.
 Plagiarism is using someone else’s ideas or words and saying they are your own.
If you use material from a text and do not acknowledge the source, you are committing
plagiarism.
Specifically, these behaviours are often regarded as plagiarism:
 Copying directly from a text, acknowledging the source but pretending that you
are paraphrasing.
 Paraphrasing or copying directly from a text without acknowledging the source.
 Copying from another student’s assignment with or without the student’s
knowledge.
The following behaviours are regarded as misconduct:
 Submitting the same assignment in two different papers.
 Getting someone else to write an assignment for you.
You are also involved in misconduct if you:
 Let another student copy from your own work.
 Write an assignment for another student.
The University has severe penalties for intellectual dishonesty. The penalties for
plagiarism are severe and may range from a zero grade for an assignment through to
exclusion from the examination and the course.
You have been warned!
Contact the Student Learning Centre for information on how to avoid plagiarism.
152.200 Contemporary Management
Administration Guide 24
Copyright Regulations
Please remember that as a student you breach the Copyright Act if you photocopy an
entire book, or a significant proportion of a book, without the permission of the
copyright owner. The only time you can copy a book freely is if that book is no
longer in copyright (which will not be until 50 years after the death of the author
and/or 25 years after the book was published). It is also a breach of the law to obtain
photocopies from other people.
As a student you can make one copy of a small proportion of a book so long as you
make the copy only for your private research and study.
You are free to make a copy of an article from a journal for your private study or
research.
Massey University reminds you of your obligations under the Copyright Act 1994.
You must be familiar with the information posted in the Library near photocopy
machines. Remember too that electronic or digital copies are subject to essentially the
same limitations as photocopies.
152.200 Contemporary Management
Administration Guide 25
Referencing
Referencing is an important part of all work you will do at university. The reference
system enables you to indicate the source of facts and opinions without interrupting
the flow of your argument, and it enables a reader to check and pursue these citations
quickly and economically. These guidelines are based on the APA (American
Psychological Association) referencing system.
For further details on APA referencing please refer to either Manalo et al. (2002) or
Emerson (2005). Alternatively, visit the Massey Library’s Online Reference
Resources section (http://library.massey.ac.nz/findit/onlinereference resources.htm) or
APA (www.apa.org).
Creating a reference list for your report and presentation
All references cited in the text of your report or presentation must be reported in full
standard bibliographical form under a heading References at the end of the assignment
(report or presentation).
The references should be arranged alphabetically by author’s surname.
When listing references, all lines except the first should be indented five spaces
(typically one tab stop). Note the use of italics, capitalisation, punctuation and order
of elements. For journal articles, the title of the journal, and the volume number,
should be italicised. For a book, italics should be used for the title. If your word
processor or printer cannot do italics, underline these elements.
152.200 Contemporary Management
Administration Guide 26
Massey University Library
The Library provides resources and help to support your study. Please contact us if
you need help finding information or requesting Library material.
Phone: 0800 MASSEY (0800 627 739) ask for Library
Email: library@massey.ac.nz
Distance Library Service
The Distance Library Service delivers course-related Library materials to students
who are eligible (students studying predominantly extramural or block mode
courses in a semester). For key information about using the Distance Library
Service, see the Library For Extramurals section of our web site
http://library.massey.ac.nz/massey/library/the-library-for/the-library-for-extramurals/the-library-forextramurals_home.cfm,
and the printed Library Services for Extramurals brochure. If
you are uncertain about your eligibility, and/or you need a copy of the brochure,
please contact the Distance Library Service.
How the Distance Library Service can help:
•
•
•
•
Books: We deliver course-related books to your home and pay return postage
within New Zealand for the books we send out.
Photocopies: We photocopy study materials and post them to you, including
journal articles, copies of three previous exam papers, and chapters of books
not available for loan.
Note: The Library must comply with the Copyright Act which restricts the
amount that can be copied (normally one chapter or article, or 10 percent from
any one publication).
Subject Searches: If you are having trouble finding information, we can help
with advice on how to search. We may also be able to get you started by
carrying out a brief search on your behalf and sending you a list of useful
material to select from.
Studying outside New Zealand: We will supply materials to help you with
your studies, but there may be some restrictions. Please contact us for more
information.
When you are using the Library from a distance it is especially vital to plan ahead to
allow plenty of time just in case the material or assistance you need is not
immediately available.
152.200 Contemporary Management
Administration Guide 27
Library Web Site (http://library.massey.ac.nz)
You can use the Library web site to find useful resources by:
•
•
•
•
searching the Library catalogue to find and request books,
journals, theses and more held at any of the Massey Libraries
using Subject Guides (for article databases, encyclopedias and
dictionaries, web sites in major subject areas)
searching Article Databases (subject access to journal and
newspaper articles often full-text online)
printing copies of past exam papers
You can also Log in to your MyLibrary record online to check your due dates,
renew your books, view your reading history and request items from the catalogue.
For
advice
on
finding
information
see
the
How
to
Find
section
at:
http://library.massey.ac.nz/massey/library/help-and-instruction/how-to-find/how-to-find_home.cfm
Using the Library in Person
You’re welcome at any of the Massey Campus Libraries - in Auckland, Palmerston
North (Turitea and Hokowhitu) and Wellington. Services available from these
Libraries include access to computers and photocopiers, Information Desks where
you can get help in using Library resources, research consultations for postgraduate
students and EndNote support. All Massey libraries provide help and support, but
not all resources are held in every Library.
Extramural students resident in Hawke’s Bay may join the Twist Library at EIT and
borrow in person. ID and proof of enrolment is required.
EndNote
EndNote is specialised software for storing and managing bibliographic
references/citations. It allows you to:
1 Create, store, and manage your references
2 Import and store references from electronic databases
3 Annotate, sort and search your references
4 Create bibliographies instantly in a variety of bibliographic styles
5 Insert citations into your Microsoft Word documents.
See the EndNote page for further information
http://library.massey.ac.nz/massey/library/help-and-instruction/endnote/endnote_home.cfm
152.200 Contemporary Management
Administration Guide 28
Support Services
For a detailed description of all support services at Massey
University, please refer to the General Information section at
the front of your Extramural Handbook.
Student Learning Centre
Phone:
Fax:
Email:
Website:
Wellington:
Albany:
(06) 350 2251
(06) 350 5760
SLC-PN@massey.ac.nz
http://learning.massey.ac.nz/
(04) 801 2794 extn 6843
(09) 443 9700 extn 9434
Support for Students with Disability
Freephone: 0800 MASSEY (0800 627739) and ask for Disability Services
Email:
disinfo@massey.ac.nz
Support for Maori Students
Tracey Hepi-Eparaima
Phone: 06 350 5799 ext 7245
Fax: 06 350 5608
E-mail: T.Hepi-Eparaima@massey.ac.nz
Support for Pacific Students
Freephone: 0508 544 331 extn 7186
Auckland: 09 4140800 extn 7186
Wellington: 04 8015799 extn 7186
Extramural Students’ Society
Phone:
Freephone:
Fax:
Email:
Web:
06 3544331
0508 544 331
06 350 5650
info@exmss.org.nz
http://exmss.massey.ac.nz
152.200 Contemporary Management
Administration Guide 29
In case of emergency
Are you having doubts, sudden feelings of incompetence, and awful realisations of
time running out? Are you, in other words, thinking of withdrawing?
Before you do, ask yourself
 Will I regret this later?
 Will I feel better after a cup of coffee/the baby has gone to sleep/the weather
has improved?
 Should I write to or phone my paper coordinator?
Tell yourself
 I’ve got this far, I might as well finish.
 I have the right kind of reasons to ask for an extension of time for the
assignment.
 There are people around who can help if I ask.
Do



Talk about it with your paper coordinator. Often students withdraw because,
working in isolation, they do not realise that other students are having the
same problems and in fact, compared to others, they are doing very well.
Discuss withdrawing with your family, your employer or others important to
you.
Get on with what needs to be done now (leave future tasks to the future).
If after that you find you have no alternative but to withdraw then...
 Check the Extramural Handbook. Note what date you need to withdraw
before if you don’t wish to have the paper recorded as a failure.
 Please contact the Massey University Contact Centre phone 0800
MASSEY(0800 627739) to withdraw.
 Contact your paper coordinator too, if you possibly can. We are interested to
hear what your problems have been, and whether there is some way we can
make it possible for you to take this paper again in a future year.
The only way you can be withdrawn or change your course is to contact the Massey
University Contact Centre on 0800 MASSEY (0800 627739). Writing to the paper
coordinator or tutor does not officially withdraw you from a paper. However, if you
are thinking about withdrawing, please email or talk to Craig first.
152.200 Contemporary Management
Administration Guide 30
Department of Management
(Manawatu & Wellington)
152.200
Contemporary Management
15 credits
Course Readings
Single Semester, 2010
Extramural
Paper Co-ordinator
Dr Craig Prichard
THIS MATERIAL IS PROTECTED BY COPYRIGHT AND HAS BEEN COPIED BY AND SOLELY FOR
THE EDUCATIONAL PURPOSES OF THE UNIVERSITY UNDER LICENCE. YOU MAY NOT SELL,
ALTER OR FURTHER REPRODUCE OR DISTRIBUTE ANY PART OF THIS COURSEPACK/MATERIALS
TO ANY OTHER PERSON. WHERE PROVIDED TO YOU IN ELECTRONIC FORMAT, YOU MAY ONLY
PRINT FROM IT FOR YOUR OWN PRIVATE STUDY AND RESEARCH. FAILURE TO COMPLY WITH
THE TERMS OF THIS WARNING MAY EXPOSE YOU TO LEGAL ACTION FOR COPYRIGHT
INFRINGEMENT AND/OR DISCIPLINARY ACTION BY THE UNIVERSITY.
http://copyright.massey.ac.nz/cll.html#copywarn
2
The Course Administration Guide and the Course Stream Site provide a week by
week timetable for the course. The key readings are found in the course textbook.
Below are two separate readings required for the course.
Reading 1 for Week 2:
Mingers, J (2000) ‘What is it to be Critical? Teaching a Critical Approach to
Management Undergraduates’, Management Learning 31(2):219-237.
Reading 1 for Week 4.
Excerpt from: Esty, D and Winston, A (2009) Green to Gold: How Smart Companies
Use Environmental Strategy to Innovate, Create Value, and Build Competitive
Advantage, Wiley.
3
Reading 1 for Week 2:
Mingers, J (2000) ‘What is it to be Critical? Teaching a Critical Approach to
Management Undergraduates’, Management Learning 31(2):219-237.
4
Management Learning
Copyright © 2000 Sage Publications
London, Thousand Oaks, CA
and New Delhi
Vol. 31(2): 219–237
John Mingers
Warwick University, UK
What is it to be Critical?
Teaching a Critical Approach to Management Undergraduates
Abstract Developing our students’ abilities to be critical is important but what does it mean
to be critical? Is it just the cognitive skills of critical thinking or should it involve more radical re-examination of management knowledge and practice from a Foucauldian or
Habermasian perspective? This article addresses the issue of what it is to be critical by reflecting on the development of an innovative core course for final year management students concerned with critical management issues. The first section outlines the specific educational
context and the structure of the course as a whole. Then the article explains the underlying
theoretical framework that was developed which identified four aspects of being critical—scepticism towards rhetoric, tradition, authority, and objectivity. The teaching material associated with this part of the course is discussed next. This looks at two real situations, one the
debacle of the Taurus stock exchange system, and the other an ongoing legal case concerning
racial discrimination that is being documented on the web. The article concludes with a more
theoretical discussion of the relation between this particular course and critical management
more generally.
It is not practicing criticism either to validate the status quo or to join up with a priestly
caste of acolytes and dogmatic metaphysicians . . . [t]he realities of power and authority—
as well as the resistances offered by men, women, and social movements to institutions,
authorities, and orthodoxies—are the realities that . . . should be taken account of by criticism and the critical consciousness. (Said, 1983: 5)
The field of management as an academic subject is very broad, covering many disciplines, taking place in many different organizational settings, and ranging from pure
research into management practices to what is simply training for management. The
corresponding academic literature is full of theoretical debate, empirical studies,
and practical guidance for effective management. It lacks, however, much by way of
considered reflection about the practice of management education itself. By that I
mean the theoretical and practical bases of our pedagogical activity. This article
makes a contribution by addressing the question of what we might mean by a ‘critical’ approach to management education. It does this by reflecting on a specific and
1350–5076[200006]31:2; 219–237; 013147
5
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Management Learning 31(2)
practical example—the development of an interdisciplinary, core course for final
year undergraduates on a range of management degrees at Warwick Business School
(WBS).
At the undergraduate level, WBS1 has three major BSc programmes—
Management Sciences, Accounting and Finance, and International Business—as well
as numerous joint degrees with other departments. Traditionally the major programmes had emphasized disciplinary-based core courses in the first two years while
in the third (and final) year students choose a range of electives. This meant that in
the final year there was no common core course for all students on a programme,
nor was there much inter-disciplinary teaching throughout the three years. A major
review identified these issues and proposed the development of a compulsory core
course across all three programmes (nearly 200 students).
The specification of the new course was ambitious in that it should involve all the
disciplines in an integrated manner, be academically rigorous and at the same time
be participative and based on student-centred learning, and should develop the students’ practical skills in presentations, report-writing and group work. A group of
academics from across the School produced an initial proposal specifying a framework for how the course would operate, and the core idea that it should be about
developing in the students a critical approach to management. A title was agreed—
‘Critical Issues in Management’—but just what the term ‘critical’ connoted to the different people involved is very much the subject of this article. Once accepted by the
university, the rather bare proposal was passed on to the staff who would actually
flesh out and teach the course in its first year, some of whom had also worked on the
initial proposal.
The article begins with a general discussion of the nature of critical management
education and the difficulties and contradictions inherent in developing such
courses within the current academic environment. The next section describes the
development of an underlying framework, four aspects of critique, to support the
course. This was necessary because there are many possible interpretations of
the term ‘critical’—critical thinking, critical issues, critical theory, critical systems,
critical management studies—each of which stems from a particular milieu and
carries its own disciplinary and political connotations. The framework, drawing on a
range of sources including Habermas and Foucault, identifies four different aspects
of ‘being critical’—scepticism towards rhetoric, tradition, authority, and objectivity.
Then the course itself is described in more detail, including an illustration of the
framework applied to a case study. Finally, the success of the course is evaluated after
its first year of operation.
Critical Management Education
In order to contextualize the course, it is useful to outline what might be meant by
critical management education in general. Perhaps the most fundamental questions
concern the relationship between management education and other arenas of management such as management practice, management research, the experience of
living in/with organizations, and the critical and emancipatory potential. Grey and
French (1996) argue that management, in a wide sense, has become of central
importance to the world and its societies, and it therefore must become the subject
6
Mingers: What is it to be Critical?
221
of critical evaluation. Management education and research are crucial for the development and reproduction of management practices and so must also come under
scrutiny. The prevailing view within business schools and management departments
is the utilitarian one that management education is primarily concerned with
enhancing managerial effectiveness. Grey and French contrast this managerialist
view with a critical view that we should decouple management education from management activity in order that the claims and practices of management can be called
into question. One should be able to study management as a practice without it
being training for management, in the same way that one can study politics without
being trained to be a politician. In this view, higher education should withdraw from
management training all together. A variant of this might be that both should exist
within academe but develop in separate ways, with particular institutions clearly specializing in one or the other (Thomas, 1997). An alternative view, discussed below, is
that a new perspective on management education should be developed, based on a
more critical evaluation of its role and importance within society as a whole.
Moving down to the level of individual courses, Grey and French (1996) suggest
that most of them embody a positivist stance, assuming that there is a given and
unquestionable body of valid knowledge that must be presented and then mastered
by the student. The teaching approach is largely didactic and, although this is now
changing towards more student-centred methods that stress practicality, role-playing,
participation and so on, this is still within a context that does not problematize
knowledge itself. In contrast, Grey et al. suggest that a critical approach should start
with the students’ own lived experiences—not to make the transmission of knowledge
more effective, but to ‘provide a basis for a critical reflection on experience as a
means of subverting such knowledge’ (Grey, Knights and Willmott, 1996: 100). The
point here is to raise very fundamental questions about the status and validity of management theory and the extent to which it privileges only one, primarily functionalist, view of knowledge.
Grey et al. recognize the problems of this approach, both practical and theoretical. Practically, there is the inevitable tension of teaching a critical course within a
context of degree programmes that are largely positivist in the above sense. This is
exacerbated by the current political and economic climate (in the UK anyway) of
reduced funding, students incurring more and more debt, greater emphasis on relevance (to industry), practicality and skills, and increasing measurement of university performance by crude indicators. Theoretically, there is the almost inherent
contradiction that we are encouraging students to question the validity of knowledge
and authority and yet by that very choice imposing our visions upon them.
Willmott (1997) has made a strong case for a particular form of critical management called critical action learning. This combines the practical stance of
action learning (Revans, 1982) with the more sociological viewpoint of critical
theory. Action learning moves from the traditional perspective that education is
the de-contextualized transmission of abstract and universal knowledge and expertise, to the view that learning should be a process of self-development, in which
knowledge is acquired through its relevance to the real-life engagements and
struggles of the learner. Critical action learning allies to this the recognition that
individual experiences and learning always occur within institutional and social
contexts, and that these both engender and constrain through relations of power
and signification.
7
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Management Learning 31(2)
Where does our Critical Issues in Management (CIM) course stand with respect to
these distinctions? First, it is clear that it actually embodies within it the central
dichotomy between utilitarian and critical management education. Is it primarily
concerned with problematizing management knowledge or with improving the
effectiveness of our students in their management careers? The answer is that it tries,
perhaps unsuccessfully, to do both. This is partly because of its institutional context.
Warwick Business School, like most university management departments, is both a
business school concerned with effective management and a centre for research into
management. Individual members of faculty may be more committed to one aspect
than the other, but often have to embrace both—for instance, teaching on an MA in
Critical Management and an MBA—simply because of the demands of the job. CIM
is the construction of a wide circle of staff and so inevitably incorporates a range of
disciplinary and political views. Indeed, it could be argued that to some extent there
is a deliberate vagueness in its specification so as to allow all those involved to feel
comfortable. It has been put across to students mainly in effectiveness terms—that
critical questioning will lead to better management decisions—but it is hoped that as
they progress through the course they will themselves question this rationale more.
To what extent does this tension and ambiguity undermine the claim that the
course is an example of critical pedagogy? There are several possible responses. The
most obvious is perhaps that smuggling in critical ideas is the best that can be managed in the current circumstances. Any attempt at raising the students’ critical awareness is better than none. A more deliberative response is to see it as a ‘Trojan horse’
strategy, disguising a subversive critical intent within a course apparently concerned
with management effectiveness. A third, and in some ways attractive, approach is to
argue against the supposed contradiction between the utilitarian and critical models.
Does the course have to be either one or the other?
The assumption is that either one adopts the presuppositions of management as
conventionally defined (and thus supports the status quo), or one must be antagonistic toward all management as an activity. Should we not instead move beyond a critique of management toward developing a critical practice of managing—‘a
qualitatively different form of management: one that is more democratically
accountable to those whose lives are affected in so many ways by management
decisions’ (Alvesson and Willmott, 1996: 40). This might involve focusing attention
away from management as a class-based hierarchy towards managing as an activity that
we all do, in our personal and occupational lives, and that is done to us. Seen in this
light, the course could be a first step toward synthesizing the often competing
demands of morality (our duties and responsibilities towards others), ethics (our concern with our own worth and self-identity), and pragmatics (the need to be effective
in our activities) (Habermas, 1992, 1993b; Mingers, 1997).
The second issue is the extent to which CIM could claim to be critical in problematizing the status of knowledge. Chia and Morgan, in a rather abstract and theoretical work, argued that education should develop the philosopher-manager, ‘the
critical thinking manager who persists in the vigilant deconstruction or “de-signing”
of hitherto self-evident social and management concepts and categories’ (Chia and
Morgan, 1996: 41). Here, I would argue that the course certainly aims at this within
the inevitable practical constraints outlined above. It is clearly addressed within the
four aspects of being critical (discussed in more detail below) in terms of the critiques
of authority and objectivity. The critique of authority denies the hegemony of a
8
Mingers: What is it to be Critical?
223
single legitimate viewpoint or interest, promoting instead the acceptance of a
plurality of positions. The critique of objectivity denies the assumption of pure,
value-free knowledge and introduces the Foucauldian notion of power/knowledge.
Both of these theoretical ideas are developed practically in various case studies.
Whether it is wholly successful in actually generating a high degree of reflexivity and
scepticism in the students will be discussed in a later section. And, if it does, it is not
clear how both students and staff will react to the self-referential contradiction of
using our authority to require them to be sceptical of authority.
The third issue concerns questions of contradictions in the teaching approach.
For example, we are essentially forcing the students to participate in seminars by
using assessment rather than allowing their participation to be given freely. We have
to accept that this is less than ideal, a justification being that it supports the wider
benefit of having a non-lecture, student-based course. We hope the material will be
interesting enough for the students to want to participate, but this may well be an
area for future developments. Our experience so far, as might be expected, suggests
that those students in a seminar who are giving presentations do engage very successfully with the material but those who are not tend to opt out. In a way we are placing the students in a very contradictory position—expecting them to become critical
but at the same time to adhere to our rules.
A related issue is the extent to which we, the (older) lecturers, can understand the
experiences and reality of present-day students. We choose and present material that
appeals to us, assuming it will work equally well for them. However, Spaul (1997)
reports that students are much more motivated by examples close to their own
experience (rather than business cases), and are more interested in computer,
video, and graphical material than traditional texts, for example making a video
rather than writing an essay for assessment. A similar point is made by Thompson
and McGivern (1996) who use a wide range of narrative literature to stimulate reflection and interest in the students. A more generalized version of this problem is the
extent to which our version of being critical is itself biased, representing a particular
rationalistic, universalistic and gendered view. This is an important debate concerning the nature of rationality itself that cannot be pursued in detail here except to
note that such criticisms have already been registered within Habermasian critical
theory itself (Benhabib, 1992; Habermas, 1994; Young, 1990), sparked in part by
clashes with the Foucauldian perspective.
What is a Critical Approach? A Framework for Critical Learning
This section moves to the more specific design of the course itself, and in particular
the development of an underlying framework encompassing different aspects of
being critical. The group of people developing the course were generally senior academics but of a fairly disparate nature—professors of Finance, Strategic Marketing,
Industrial Relations, and Local Government; lecturers and senior lecturers from
Accounting, Operational Research, Information Systems; and a senior researcher in
Corporate Governance. As might be expected, such a group embodied a very wide
range of intellectual and ideological positions, and discussions were wide-ranging
but seldom acrimonious. The practical details of the course (described below) were
agreed relatively quickly. What was not so clear, however, was the core intellectual
9
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Management Learning 31(2)
foundation of the course—what was meant by a critical approach? Here a variety of
views were held. Certainly, as the title implied, there was the idea of critical, as in crucial or vital, issues facing management and organizations in the future. There was
also a commitment to critical thinking as in the ability to evaluate the validity and
strength of arguments and proposals. But beyond this there was the idea of adopting
a critical stance towards the accepted, managerialist, assumptions underpinning
most management education and thereby problematizing the status of management
knowledge. It was also felt important to raise issues such as the nature and effects of
power in organizations; the relationship of organizations to local communities and
to the environment; issues of race, culture and gender; and ethics and responsibility.
It was this question—what is the nature of a critical approach?—that became the subject of the first session of the course, and of this article.
There are many strands of thought in both the social and philosophical literature
that can be labelled ‘critical’. These include:
1. what is termed ‘critical thinking’ (Chaffee, 1997; Hughes, 1996; McPeck, 1981;
Paul, 1990; Ruggiero, 1988; Weast, 1996), that is, developing the discipline of
being sceptical or questioning about statements, propositions or information;
2. critical social theory as in the Frankfurt School and more particularly the work of
Habermas (1978, 1984, 1993a; Harnden, 1996) that is critical of the prevailing
structures, values, and rationalities in society;
3. two strands of thought within the management literature that draw especially on
Habermas—critical management studies (Alvesson and Willmott, 1992, 1996;
French and Grey, 1996), and critical systems thinking (Flood and Jackson, 1991;
Flood and Romm, 1996; Jackson, 1991a, 1991b; Mingers, 1984, 1992, 1997;
Mingers and Gill, 1997); and
4. the work of Foucault, especially on power and its relationship to knowledge
(Foucault, 1980, 1982).
These all related to or exemplified the different aspects of being critical that were
expressed within the group.
The problem from a pedagogic point of view was how to present these different,
and quite sophisticated, notions in a way that would be meaningful to our particular
students in the context of this course. The main constraints were, first, that many of
the students, especially those from the Accounting and Finance course, would have
no background in social science or organizational behaviour at all. Second, being
undergraduates almost none would have experience of real-world organizational
work and many would have been taught a very rationalistic and abstract view of
decision-making. Third, there were to be no lectures and so any material assigned to
the students would have to be intelligible in its own right. And fourth, that this was
to be the first session of the course and so could assume no prior material. The main
conclusions were that a fairly simplistic framework would need to be developed to
relate these different aspects together; that the reading material would need to be
both straightforward and interesting; that some practical activity to allow the students to apply the material would be necessary; and that the students would have to
become aware of the messy nature of real-world decision-making to motivate their
participation in the course.
The rest of this section explains the response to these concerns.
10
Mingers: What is it to be Critical?
225
Four Aspects of Being Critical
In everyday language, ‘being critical’ means finding fault and being negative about
something. It can often be quite destructive rather than constructive, and is often
done with a particular antagonistic motive or attitude. In developing a critical
approach in the course, we were concerned that it should not be purely destructive;
that it should be rigorous and structured; and that it should generate insights that
are valuable in taking practical action. What all of the different aspects of being critical mentioned above seemed to share was not taking things for granted, not just
accepting how the situation seemed or was portrayed but questioning or evaluating
such claims before deciding or acting. This may seem quite simple or straightforward
but, if done seriously, rigorously, and radically it can lead to far-reaching and unsettling conclusions.
Four different dimensions of questioning or scepticism were identified. The
rationale for these was based, by analogy, on Habermas’ (1979, 1984) theory of communicative action, and (1992, 1993a) discourse ethics, and in particular his theory of
the validity claims of speech acts. Habermas argues that any communicative utterance aimed at generating understanding and agreement implicitly raises four validity
claims—that it is comprehensible, that it is factually correct or in principle possible
(truth), that it is acceptable normatively (rightness), and that it is meant sincerely
(truthfulness). In our situation we are concerned with a wider range than simply
speech acts—for example, plans, proposals, actions, and designs; and they may well
not be communicative (i.e. oriented towards understanding) but may well be strategic (oriented towards getting one’s way). In an analogous manner, we can say that
proposals for action involve implicit assumptions or validity claims that should be
questioned. First, the logical soundness of the argument and its manner of
expression (rhetoric); second, the taken-for-granted assumptions about factual matters and acceptable social practices and values (tradition); third, assumptions made
about legitimacy and whose views should be privileged (authority); and fourth,
assumptions concerning the validity of knowledge and information (objectivity).
These four aspects of a critical approach are further developed below, and are illustrated by one of the course case studies in a later section.
(i) Critical thinking—the critique of rhetoric The first sense that is considered is that
known as critical thinking.2 At the simplest level this concerns being able to evaluate
whether people’s arguments and propositions are sound in a logical sense (Hughes,
1996). Do the conclusions follow from the premises? Are the premises themselves
justifiable? Is language being used in a fair way, or is it deliberately emotive or misleading? This might appear to be a simple technical skill concerned with the logical
analysis of language, but in real situations it can become extremely difficult to fully
understand what is meant or claimed by some assertion, or to discover whether particular claims are or are not valid.
Critical thinking can be defined more widely (McPeck, 1981) to involve a scepticism or suspension of belief towards particular statements, information, or norms.
To think critically is not purely abstract but is always about some particular problem
or domain. It therefore requires knowledge and skills specific to the problem or disciplinary domain although Paul (1990) argues that critical thinking is a general skill
rather than being domain specific. It should also be reflective scepticism—being
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aware of its purpose (why am I adopting this particular attitude?) and being capable
of offering alternatives. This aspect of being critical could be called the critique of rhetoric as it is particularly concerned with the use of language.3
(ii) Being sceptical of conventional wisdom—the critique of tradition The other senses of
the term critical that we will consider are really developments of this sceptical attitude, taking less for granted and questioning deeper and more fundamental assumptions that we usually make. One of the most common assumptions we meet in
organizations (and society more generally) is that of tradition or custom—the takenfor-granted ‘way we do things around here’. Organizations and parts of organizations
develop particular cultures and particular practices. These may have originated for
good reasons, or simply by chance, but they tend to become accepted and, indeed,
unseen. However, they may well not be the most appropriate way of doing things,
either because the situation has changed, or because in fact they never were, or
because they deny or contradict moral values such as sexism, racism or environmentalism.
It is often not so much the long-standing practices or traditions of an organization,
but assumptions that relate to a particular project or plan. These can be seen as
boundary judgements (Ulrich, 1991), often set by technical experts or powerful
groups, that limit (perhaps implicitly) what may be debated or challenged.
Questioning such practices or judgements can often provoke strong reaction and
the weight of tradition and authority may well be used to support them. Trying to
change them can be extremely difficult as it will inevitably change the status quo and
upset established patterns of power and authority. This can be called the critique of
tradition.
(iii) Being sceptical of one dominant view—the critique of authority Another, deeper,
assumption is that there should be just one right or dominant view as opposed to a
plurality of different but valid perspectives. For students this is particularly difficult
to accept since much of their education so far will have been aimed at teaching the
‘correct’ answer, on the assumption that there is one. They will not have been
encouraged to question the validity of their teachers. However, by this stage in their
final year, they should be appreciating that there are genuine disagreements and
unresolved issues even within academic disciplines. The situation in the organizational world, which does not split itself into well-defined disciplines and problems,
can be highly complex with many different stakeholders involved. These interest
groups will all have different experiences of the situation, different relationships to
it, and stand to benefit or lose in different ways. Recognizing that there is a multiplicity of perspectives, questioning the dominant view or privileged position, and
trying to ‘see the world through another’s eyes’ (Checkland and Scholes, 1990;
Churchman, 1968) could be called the critique of authority.
(iv) Being sceptical of information and knowledge—the critique of objectivity The final
level to be considered is questioning the validity of the knowledge and information
that is available, and recognizing that it is never value-free and objective. At the simplest level students have to see that even seemingly objective ‘facts’ such as quantitative data do not simply occur but are the result of particular processes involving a
whole variety of people, operations, and decisions/choices. Which factors are
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227
recorded and which are not? How are they recorded or measured—there are usually
several possibilities? Can important factors be measured at all or do we have to use
some surrogate? Do the non-quantifiable judgmental factors get given their due
weight (Mingers, 1989)? Even when some data have been produced, they only
become usable as information when someone interprets them from their point of view
and for their particular purposes. A simple table of data embodies many assumptions
and has as many interpretations as there are readers.
At a broader level it can be argued that information and knowledge always reflect
or are shaped by the structures of power and interest within a situation (Foucault,
1980, 1988). Which problems are raised and which are not? Which decisions get
taken and which are always put off ? To what extent are particular interest groups
able to promote or suppress certain information, or shape the agendas of discussions and meetings? This aspect of critical thinking can be called the critique of
objectivity as it calls into question the whole idea of there being objective, value-free
knowledge.
This framework was fleshed out for students with readings. A set of very basic ones
were handed out (see Table 1) and references were given to the literature for the students to follow up if interested. It was also pointed out to students that being overly
critical in a real situation could be dangerous—it needed a health warning:
1. Criticism can very easily be negative and destructive. Constantly pointing out the
problems with particular proposals, especially if this is done in an unpleasant way,
can have a wholly unhelpful effect both for the problem and for yourself.
Criticism should always try to be constructive and you should aim to put forward
your own positive proposals that can, in their turn, be criticized by others.
2. People generally find it hard to receive criticism—it is threatening and demoralizing. This is especially true when younger and possibly newer people criticize
Table 1
Four aspects of being critical, and associated reading
Topic
Calls into question
Introduction
Readings included
Alvesson and Willmott
(1996, ch. 1)
Critique of rhetoric
(critical thinking)
The language used, the form Hughes (1996, chs 1, 13, 14)
of argument, the validity of
the premises and assumptions
Critique of tradition
The taken-for-granted,
traditional ways of doing
things
Goldratt and Cox (1993:
124–7)
Critique of authority
One dominant or privileged
position. Accepts a plurality
of viewpoints
Churchman (1968, ch. 14)
Critique of objectivity
The idea of objective,
value-free, disinterested
knowledge. Recognizes that
information and knowledge
are partial and power-based
Mingers (1989)
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Foucault (1982)
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Management Learning 31(2)
those who are more established. It can lead to unpleasantness and unpopularity.
Be sensitive and try to criticize the proposals and ideas rather than the individuals.
3. Finally, if you seriously challenge the existing power structures do not be surprised if they fight back. Think carefully of your own position.
An Overview of the Course and its Materials
The main pedagogic aims of the course, apart from the critical content discussed
above, were that it should be inter-disciplinary, should be based on participative, student-centred learning, and should develop practical skills such as presentations and
different forms of writing. The framework of the course was clear in principle but
was very complex in its logistical details. There were to be no lectures at all on the
course (apart from an introduction) but only fortnightly, two-hour seminars (10 in
all across two terms) at which the students would give individual and group presentations on a case study, and participate in discussions led by the tutor. There would
be roughly 20 students to a seminar group and these would be split into five subgroups, two of which would present each week. Each student would also review a
book from a list of books that the staff felt were important for management students
to be aware of. The review would be presented orally and in writing. The assessment
for each student would consist of four written-up case studies, the book review, and
a mark allocated by the tutor for classroom performance and participation throughout the year.
Different staff members would contribute their own case studies that would then
be taught by all members of the group. The cases were not to be too tied in to a particular disciplinary background but should explore the different facets of the course
and allow an inter-disciplinary approach (see Table 2 for a list of the 10 sessions).
The final session was to be different in that the case study was the CIM course itself.
The students were required to present a critical evaluation of the course with argued
recommendations for practical improvements in both the short and long term. The
results of this review are discussed later in the article.
Table 2
Outline of the sessions and case studies
Session
Topic/case study
0
1
2
3
4
5
6
7
8
9
10
Introduction to critical thinking: Decision Steel
Critical thinking: The Taurus Debacle
Soft systems: Middleton Mutual
Sexual harassment: The Harassing Client
The power of numbers: Waterford Glass
‘Irrationality’ at work: Managing to Survive
Corporate citizenship: Closing a Plant—BP at Baglan Bay
Social reporting: The Triple Bottom Line
Sources of corporate success: The Honda Effect
Ethical responsibilities: Whistleblowing in the Civil Service
Critical review of the CIM course
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229
Case Study for the Critical Approach Session
This section considers the choice of case study for the first, ‘What is a Critical
Approach?’ session, and illustrates the four critiques framework outlined above. It
was felt that, initially, the students needed a practical activity and exposure to realistic decision behaviour. For the latter, the best idea seemed to be a video of a real situation, and the well-known ‘Decision Steel’ was used. This was one of a series of three
made in the late 1970s. It is excellent for the purpose and although it is rather old
there does not appear to be anything similar made more recently. The students were
shown a short version of the video and asked to identify examples of the four aspects
of the critical approach.
Several possibilities were considered for the case study that the students would
make presentations on. Two were recent examples of major information systems failures that had received much publicity, at least in the UK—the London Ambulance
Dispatch System, LASCAD, (Beynon-Davies, 1995)4 and the London Stock Exchange
settlement system, Taurus, (Drummond, 1996a, 1996b). A third was a description of
the involvement of large-scale OR models in the public enquiry about the Sizewell B
nuclear power station (Ormerod, 1997). The fourth was more unconventional. It was
an ongoing (in 1997) case in which a well-known information systems lecturer in the
US (Ojelanki Ngwenyana) was suing his university for racial discrimination after not
receiving tenure. He had established a web site5 and was making available all the
information about the case, including both legal submissions and documentation
from within the university.
In the event, the Taurus case was considered the most relevant and comprehensive. This was a massive project, initiated by the London Stock Exchange, to computerize the whole of its trading and settlements, something that had previously
been done entirely manually. Not only was it to be the first computer system, but it
also involved a complete redesign of the way that stock trading was carried out, with
major implications for a whole range of public and private institutions. In the event,
Taurus was an enormous, costly, public disaster that caused much anguish both personal and corporate. Unfortunately, it is only one of several, equally high-profile, IT
projects that have been major failures in recent years. The most serious probably was
the London Ambulance Dispatch project that broke down when it was first put into
service, possibly causing several deaths. Others include the Wessex Regional Health
IS, the Confirm travel industry reservation system, and the Mandata public service
information system. One of the common features of all these experiences is a dislocation between the technical rationality driving the development and design, and
the social and political realities of the surrounding context. In some examples the
technologists have pushed forward with unrealistic promises of what can be delivered; in others (e.g. Taurus) the political drivers have forced unrealistic demands on
the technology. But perhaps in all of them a greater degree of critical questioning
and scrutiny at an early stage may have mitigated the extent of the calamity.
One reason why the case history was chosen is the availability of information.
Drummond made an extensive study of Taurus, including many interviews with participants. This is fully written up in a book (Drummond, 1996a) that describes the
project from different parties’ perspectives and contains a listing of the extensive
press coverage that was given throughout the project. But for students a short version
is available in a paper (Drummond, 1996b). They were encouraged to look up some
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of the newspaper articles as well. The students were asked to use the case to illustrate
the different types of critical thinking that could be applied to this situation.
Illustrations of what they came up with are given below.
Critique of tradition or conventional wisdom In many ways this is a theme that runs
throughout the case. By ‘tradition’ I do not necessarily mean long-standing historical arrangements but simply the accepted, taken- for-granted assumptions and ways
of doing things that arise in any organizational group or project. Here, the main
assumption is that the project as a whole cannot be questioned. Nobody ever says
‘why are we doing this’, or ‘is the whole thing really feasible?’. Even when Peter
Rawlins (the Chief Executive) does begin to question he is over-ruled. The prevailing orthodoxy becomes embodied in the institutions and procedures and becomes a
given context or boundary within which everything else proceeds. Each new problem
is treated incrementally, as something to be dealt with, often by quite different
groups, and no one really puts together the political aspirations with the technical
realities.
Critique of authority: there are many interests and stakeholders This case is a classic
example of a situation involving many different parties with divergent and sometimes
conflicting viewpoints and interests. The students should identify as many of these as
they can, try to articulate what the project looks like from that particular perspective
(both from what is said in the case and from common-sense), and highlight the possible conflicts and alliances between these varied stakeholders.
• The Stock Exchange whose project it is and who have put up lots of money. They face
a loss of power post-Big Bang and see the project as necessary for their survival, and
as enabling them to control the settlements business. In this they are in conflict
with their members, the brokers.
• Retail stock brokers who have traditionally carried out this function. They feel threatened by the loss of the traditional system and are having to spend a lot of money
to come into the new one.
• Listed companies, pension funds etc. will be the major institutional customers of the
system but they are not convinced that it will work properly and feel left out of the
decision-making process. They try to sabotage the project.
• Individual personal investors are completely ignored by the initial design but it is
important to the government that they be safeguarded.
• The government/DTI are very interested in the long-term future of London as a
finance centre, and the reputation of the UK, but do not want a system that causes
a problem for the ‘small shareholder’, i.e. the voters.
• The Bank of England shares the government’s desire that London be seen as the
financial capital of the world and is part of a pressure group of international
banks. It also has ultimate responsibility for regulating the stock market.
• The technical team are having to work under enormous pressure to come up with a
solution to what may, in fact, be technically infeasible. They are being battered by
varied and constantly changing requirements, and an over-ambitious timetable.
They are having to deal with the constraints of a ready-made package that may not
be suitable. They are highly dedicated and committed (often working 80 hours per
week) to the project.
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231
• Peter Rawlins, Chief Executive, should theoretically be in a position to overview the
whole mess but in practice has even more pressing problems initially, overseeing a
major re-structuring of the Stock Exchange as a whole.
• Several other interested groups and individuals including Watson, the project
director; the Taurus monitoring group; the producers of the Vista software; and
various consultancies such as Coopers and Lybrand who had their reputations to
maintain.
Critique of objectivity and power The case history (in the article) is written at quite a
high level of generality without much detail but even so there are several instances
in the case of concern about the validity of information and of the explicit and
implicit exercise of power. The case supports quite well the Foucauldian view of
power as ever present and ‘in action’, shaping and modulating the unfolding events
without it being knowingly exercised by some controlling subject. It also lends itself
to analysis in terms of actor-network theory (Callon, 1986; Law, 1986, 1992). Some
clear examples of power are:
• The decision not to go for a central register because the Stock Exchange could not
impose its will on the industry.
• The adoption of a very complex design to try to meet the many conflicting
interests.
• The influence of the international banks in preventing the project as a whole
being questioned.
• The fear of upsetting the apple cart by questioning the project so that such issues
were never even raised.
• The resistance to the project by stock brokers and clearing banks that led them to
enlist the help of the government in imposing constraints on the project.
• The development of the project in the first place as a way of securing the loss of
influence of the Stock Exchange.
One can also see some evidence of the unreliability of available information. There
was much, supposedly ‘objective’, quantitative information that seemed to show that
everything was all right, yet the gut feelings of several people were that there were
major problems. Whether the information was deliberately distorted or just did not
capture the important qualitative aspects of the situation is not clear, but what is
clear is that the gut feelings were right and the figures wrong.
Evaluation and Review of the CIM Course
This section provides an evaluation of the course after its first complete year. There
are two sources for the review—an informal discussion in the seminar groups after a
few weeks of the course, and an analysis of the students’ written evaluation produced
after the final session of the course.
Informal Reactions
• Considerable concern over the rather diffuse nature of the course in comparison
with other more traditional ones. This was expressed as ‘we want lectures so we
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know what we have to do’! Clearly it is very much a part of the philosophy of the
course to try to develop in students an ability to take responsibility for their own
learning, and to be able to tolerate the ambiguity of a course without tight boundaries and a formal exam.
• Understandable concern about being assessed on presentations and classroom
performance. Training in presentation skills has been provided, and students recognize its value, but inevitably presenting orally is partly personality based, and
puts overseas students at a potential disadvantage. The question of assessing classroom discussion is more problematic and there was considerable debate about this
in the development team. It is difficult to do equitably, is highly subjective, favours
those who say a lot even if it is of little value, and disadvantages those who come
from cultures that do not encourage participation. Nevertheless, contribution and
participation are so central to this course that it was felt that it must be assessed.
• Surprisingly perhaps, the idea of doing book reviews worried a number of students. Even after being given guidance many were uncertain of how to do one and
doubted its relevance. Yet after the event almost all students found the book they
reviewed valuable as did other members of the seminar group.
• With regard to the specific material on a critical approach, the theoretical framework was found to be relatively clear, and it was generally applied successfully to
the Taurus case. Some students found the case rather complex for the start of the
course but at least that may make them aware of real-life complexity.
Analysis of Students’ Critical Reviews
In all, 30 students submitted this assessment and as they had a choice of four out of
10 it was relatively unpopular. Also, as the report counted toward the overall mark,
the sample may be biased towards those who felt positively about the course. The
overall reaction among those who submitted was extremely positive towards the
objectives and style of the course. Only three (10 percent) could be said to have had
a negative reaction. Examples of some comments are:
It did a good job. . . . The course was the highlight at interviews. . . . It went a long way to
achieving its objectives. (#9532168)
It has undoubtedly been very successful and has comfortably achieved all of its outlined
objectives. (#9539325)
I can honestly say that CIM has been one of the most interesting and beneficial courses I
have taken at Warwick. (#9434460)
Virtually everyone agreed with the objectives of the course (to be discussed further
below), and felt that the course had generally been successful in achieving them. The
main thrust of the responses was to point out many difficulties in the delivery of the
course (recognizing that it was the first year) and to make practical suggestions for
changes. Some problems (and solutions) were agreed on by most people, while
others generated opposing views.
The most frequently mentioned concerns are shown in Table 3. The most
common was that the 20 percent assessment weighting for classroom participation
was too little. Given the emphasis that we put on presentations and participation, and
the time the students spent on it, the general suggestion was that it should count for
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Mingers: What is it to be Critical?
Table 3
233
Most frequently mentioned concerns
Concern/suggestion
Number
20% for participation too little
Lecturers to give better feedback on presentations
Have groups present different perspectives on the case
Enforce strict time limits on presentations
Some books too technical/textbookish
Enforce more participation in the discussion
Change group membership during the year
Too wide size variations in books
Give summaries of books at start
Have outside lecturers (e.g. from companies)
Provide more input on the critical approach and ethics
26
18
15
14
12
11
10
10
9
8
8
40 percent. There is in fact a structural problem with this suggestion as the university regulations limit the amount of non-written and group-based assessment.
I will briefly describe the other concerns that were mentioned:
• The feedback given by tutors on presentations was felt to be poor and inconsistent.
Some suggestions were: use standard forms (these were available but not used);
have meetings after the session; get student feedback (perhaps anonymously on
forms); video some. There was general agreement that seminars were more interesting when different perspectives were presented by the two groups, or different
questions were addressed. Role-playing was advocated by a number of students.
Having different cases each week was also mentioned. Time limits for presentations should be strictly enforced both to give time for discussion and as a necessary skill. It was felt that it was necessary to enforce more participation by
non-presenting students. Some suggestions were: going round the table; requiring
non-presenting groups to respond to the talks; getting students to chair the discussion; having smaller discussion groups that then came together.
• There were various problems with the range of books for review. Particularly, that
some were too technical or textbookish, and there was too great a range of sizes
making it unfair. Summaries of the books should be provided and the students
asked to concentrate on reviewing rather than summarizing.
• The group work was seen as very important but it was felt that groups should not
be self-selected, but rather constructed so as to encompass a range of backgrounds
and abilities. It was also felt that the membership should be changed after a term.
• There was a demand for more lecture input, for example people from companies
to discuss real-life problematic situations; inputs on specific areas such as ethics or
law or soft systems methodology; and more on what was meant by a critical
approach at the beginning, especially in terms of how to tackle a case study.
While all the above are sensible suggestions reflecting the students’ experience of
the course, of greater concern for the overall aims of the course was that virtually all
the students failed to be genuinely critical. They simply accepted the course objectives as given and then reviewed the delivery of the course. This raises some important points.
There were in fact two quite different interpretations of the objectives made by students, and indeed different sources for them. One interpretation claimed the main
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purpose of the course was to improve the employability of students by giving them
practical skills. Reference was made to an article about the course published in a
Business School newsletter that certainly gave this emphasis. The majority of students, however, saw it as a combination of critical thinking and practical skills, and
referenced the five objectives given in the first course hand-out. This demonstrates
both the differences of viewpoint among the staff on the course, and the extent to
which the course itself embodies the somewhat contradictory aims of developing
practical (and marketable) skills, and developing potentially subversive critical abilities. It also demonstrates the way that students can inevitably (and from their viewpoint legitimately) subvert the intentions of the educators and in a rather ironic way
realize the underlying aims of the course.
More seriously, the unthinking acceptance of the course objectives is a sign that,
at a deeper level, the course was not wholly successful. There were many fundamental issues that could have been raised—about the nature of the course; the underlying rationale; the views of different stakeholders (students, different members of
staff, employers etc.); possible conflicts between the various objectives; the potentially contradictory nature of the course itself (authority ordering them to question
authority etc.) and so on. That none of the students chose to do this or, perhaps
worse, either did not feel they were allowed to, or even did not conceive of doing it,
is testimony to the difficulty of fostering a genuinely critical attitude. Whether this is
primarily a failure of the delivery of this particular course, or whether it is a sign of
more deep-seated social or psychological constraints will be better answered after
several more years of development.
Conclusions
The CIM course has been a learning experience as much for the academics involved
as for the students. Given its innovatory nature, and its complexity, I feel that the first
year has been a qualified success. There are many lessons we have learnt, about both
the practicalities of its delivery and its underlying rationale, so that we will be able to
make it more effective in future years. Whether we will be able to develop the degree
of critical and reflective practice in the students that we hope for through this single
course is a matter for the future.
Notes
I would like to acknowledge the other members of staff involved in designing this course:
John Benington, Paul Edwards, Anthony Lawton, Brendan McSweeney, Chris Marsden,
Yasmin Merali, Tony Steele, Robin Wensley.
1. WBS has around 112 full lecturing staff organized into five disciplinary groupings—
accounting and finance, operational research and systems, marketing and strategic management, industrial relations and organizational behaviour, and production and service
management.
2. There are several institutions concerned explicitly with promoting critical thinking. The
Foundation for Critical Thinking, Santa Rosa, California maintains resources and produces videos; and a web site has an annotated bibliography:
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http://www.montclair.edu/Pages/CRC/Bibliographies/CriticalThinking.html.
It is an important area within education, especially schools, and in psychology.
3. The term ‘critique’ is taken to mean a particular critical appraisal or evaluation of
some problem or situation; ‘rhetoric’ is used in its general sense of the effective use of
language.
4. There is an interesting analysis of this case through the framework of Clegg’s (1989) ‘circuits of power model’ in Introna (1997).
5. The web address is: http://www.okn.com/
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Habermas, J. (1979) Communication and the Evolution of Society. London: Heinemann.
Habermas, J. (1984) The Theory of Communicative Action Vol. 1: Reason and the Rationalization of
Society. London: Heinemann.
Habermas, J. (1992) ‘Discourse Ethics: Notes on a Programme of Philosophical Justification’,
in J. Habermas (ed.) Moral Consciousness and Communicative Action, pp. 43–115. Cambridge:
Polity Press.
Habermas, J. (1993a) Justification and Application. Cambridge: Polity Press.
Habermas, J. (1993b) ‘On the Pragmatic, the Ethical, and the Moral Employments of
Practical Reason’, in J. Habermas (ed.) Justification and Application, pp. 1–17. Cambridge:
Polity Press.
Habermas, J. (1994) ‘What Theories Can Accomplish—and What they Can’t’, in M. Haller
(ed.) The Past as Future: Jurgen Habermas Interviewed by Michael Haller, pp. 99–120.
Cambridge: Polity Press.
Harnden, J. (1996) ‘Enlightenment, Empowerment and Emancipation: The Case for Critical
Pedagogy in Nurse Education’, Nurse Education Today 16: 32–7.
Hughes, W. (1996) Critical Thinking. Ontario: Broadview Press.
Introna, L. (1997) Management, Information and Power. London: Macmillan.
Jackson, M. (1991a) ‘The Origins and Nature of Critical Systems Thinking’, Systems Practice
4(2): 131–49.
Jackson, M. (1991b) Systems Methodology for the Management Sciences. New York: Plenum
Press.
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Heterogeneity’, Systems Practice 5(4): 379–93.
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Operational Research and the Social Sciences, pp. 471–7. New York: Plenum Press.
Mingers, J. (1992) ‘Recent Developments in Critical Management Science’, Journal of the
Operational Research Society 43(1): 1–10.
Mingers, J. (1997) ‘Towards Critical Pluralism’, in J. Mingers and A. Gill (eds)
Multimethodology: Theory and Practice of Combining Management Science Methodologies, pp.
407–40. Chichester: Wiley.
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Management Science Methodologies. Chichester: Wiley.
Ormerod, R. (1997) ‘OR Models Assist the Sizewell B Public Enquiry: The NCB’s Use of
Linear Programming’, OR Insight 10(3): 2–8.
Paul, R. (1990) Critical Thinking. Santa Rosa: Foundation for Critical Thinking.
Revans, R. (ed.) (1982) The Origins and Growth of Action Learning. Bromley: Chartwell-Bratt.
Ruggiero, V. (1988) Teaching Thinking Across the Curriculum. New York: Harper & Row.
Said, E. (1983) The World, the Text, and the Critic. Massachusetts: Harvard University Press.
Spaul, M. (1997) ‘Exploring “Our Common Future”’, in F. Stowell, R. Ison, R. Armson, J.
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Mingers: What is it to be Critical?
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Contact Address
John Mingers is at Warwick Business School, Warwick University, Coventry CV4 7AL, UK.
[email: j.mingers@warwick.ac.uk]
23
Reading 1 for Week 4.
Excerpt from: Esty, D and Winston, A (2009) Green to Gold: How Smart Companies
Use Environmental Strategy to Innovate, Create Value, and Build Competitive
Advantage, Wiley.
24
Chapter 12
Eco-Advantage
Strategy
In Michael Porter's highly regarded stra tegy model, companies gain
competitive advantage by lowering costS or differentiating products.
But today the traditional poi nts of competitive differentiation are being squeezed on aU sides . Outsourcing-and the lower Jabor costs it
promises-is available to almost any business, big o r small. Other
once unassailable sources of advantage, such as access to capital or
low-cost raw materials, a re disappearing as markets go global. Competitive advantages are becoming ever more difficult to establish a nd
maintain.
This restructured landscape requires refined business strategy. The
capacity fo r inn ovation-bringing imagination to bear to solve problems and respond to human needs-lies at the heart of success. Companies must find new ways to break o ut of the pack. T hose that don't
will struggle to keep up in the ma rketplace.
Environmenta l strategy offers just this sort of opportunity. As a
relatively new variable in the competitive mix and a market-reshaping
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Putting It All
Together
issue, (he environment presents a lens through which to examine a
faci lity, company, or industry-and a way to bring fres h th inking
to bear. Careful use of the environmental perspective can help to
reduce COStS and risks . But it also can drive upside gains, increasing
revenues and the value of hard -to-measure but im portant intangibles
such as reputation. Findi ng new market spaces, satisfying Customers'
needs in new ways, and just plain doing the right thing-which many
important stakeholders appreciate and reward-all have the potential
to add real value.
The business world is waking up to an inevitable and unavoid.
able truth: T he econom y and the environment are deeply intertwined.
All goods depend on the bounty of Nature and the services it provides. Without careful stewardship, natura l resource constra ints will
encroach o n a g rowing number of companies and industries. Co ncern
about these trends is driving laws, rules, and expectations that will
further restrain business . The environment thus ranks as a macroissue tight up there with globalization, the Internet, and the other
mega forces that keep CEOs up at night. In this new, mo re complicated and interconnected world, envi ronmental strategy emerges as a
critical point of competitive differen tiation.
In the very nea r future, no company will be pos it ioned
for industry leadership and sustained profitability
without fa ct o ring environmental issues into its
strat egy.
Strategy no longer rests in the hands of narrowly focused planning
teams. Toda y, every company's financial futute depends on executives who possess the abil ity for integrated thinking. The companies
"in the barrel" of the Green \Y/ave adeptly incorporate the environment into their core strategy. They wo rk with a dynamic and holistic
vision of how a company operates and engage the full range of sta keholders who can shape the company's future. T hey crea te enduring
26
Eco-Advantage Strategy
£Co-Advantage by thinking differently, adopting tools to understand
tbeir companies' environmental challenges and opportunities, and embedding attention to stewardship in their corporate values.
We see four foundational elements-an Eco-Advantage Mindset,
Eco-Tracking, Redesign , and Culture-underpinning environmentdrive n innovation. In this chapter, we review how to devel op these
critical supports. We also explore the forces influencing companies,
tbe Green-co-Gold Plays that offer a way to get ahead o f the competitive pack, and the hurdles co avoid on the wa y to Eco-Advantage.
We bring these elements together in a complete picture of environmental strategy (see figure ). The adept use of the Eco-Advantage
Toolkit drives successful execution of the Green-to-Gold Plays. Natural forces and a range of players exert Significant influence on the
process. Companies face ma ny hurdles and risks of failu re on the way
Eco-Advantage Strategy
HURDLES
OfIGANIUTI _
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Putting It All Together
to Eco-Advamagc. But those who persist and learn from experien
find ways to innovate, create value, and build competitive advanra
THE PRESSUR ES: NATURAL FORC ES AND PLAYERS
•
We sta rred this book with stories of companies at various stages 0
dealing with environmental issues. Sony, having learned a hard lesso
with its PlayStation game systems, spent over $100 million building
a supplier a udi t system to catch problems before they emerge. BP
while it was " looking for carbon," found a range of efficiency gai
and discovered a n aston ishing h billion plus in value waiting to he
unlocked . And \Va l-Mart, GE, and Goldman Sachs, in moves tha t the
companies' previous leaders might find su rreal, have launched major
environmenta l initiatives. After years of neglect, considerations o f the
environment have grown in importance. So let's return to o ur opening
questio n: What 's going on?
In short, a Green Wave is sweeping the business community, propelled by two fundamental forces: (1) pollmion and natura l resource
stresses and (2) a world of people who a re insisti ng that the business
commu nity rake action in response. These drivers are transfonnin
marker dyna mics. They arc rendering old ways of doing business
obsolete-and impos ing challenges that every company, from multinational corporations to mom-and-pop shops, muSt face. But t .
rea lignment also creates opportunities for Eco-Advantage.
The Nat ural Forces
Under the Wave lies an assortment of local, regional, national, a
global environmental problems that constrain business choices :1
req uire management attention. Some of the issues in play, from wa
shortages to climate change, threaten to restructure markers (as w
as the planet) in fundamental ways. Others will have smaller impac.
But all provide opportunities for those who respond most creatively;
In Chapter 2, we presented 10 critica l environmental issues wi
which every executive must be familiar (see box for recap). So
such as ozone layer depletion, are being managed pretty well alread
O thers verge on crisis. The most pressing issues, like climate chan
n romi~e to affect everv business. large and small. in every indus
28
Eco-Advantage Strategy
TOP 10 ENVIRONMENTAL PROBLEMS
Climate Change. The build-u p o~ greenhouse gases in the atmosphere
threatens to lead to global warming and the accompanying rising sea
levels, changed rainfall patterns, and increased intensity of storms.
Ene rgy. A carbon-constrained future will require a shift toward new
modes of power generation and sustainable energy or new technologies for cleanly burning fossil fuels.
Water. Water-quality issues and water shortages are threatening licenses to operate and constraining business activities all around the
globe.
Biodive rsity and land Use. Ecosystems play a critical role as life support for both humans and nature. Unmanaged development undermines this capacity through habitat destruction, loss of open space,
and species decline.
Chemicals, Toxins, and Heavy Metals. These contaminants crealI'! a
risk of cancer, reproductive harm, and other health issues in humans,
plants, and animals.
Air Pollution. Smog, particulates, and volatile organic compounds
pose a risk to public health, especially in the developing world where
trends are worsening . Indoor air pollution is now recognized as an
added problem.
Waste Management. Many communities still struggle with t he disposal of their solid and toxic waste, especially in countries that are
industrializing and becoming more urban.
Ozone Layer Depletion. Depletion has been substantially reduced by
phasing out CFCs, but some substitutes continue to cause thinning of
the Earth's protective ozone shield.
Oceans and Fisheries. Overfishing, pollution, and climate change have
depleted fi sh stocks and damaged marine ecosystems across the Seven
Seas.
Defore station. Unsustainable timber harvesting plagues many parts
of the world, leading to soil erosion, water pollution, increased risk of
flooding, and scarred landscapes.
Others are strategically importam for business only in certain contexts . And there are a dozen more issues with industry-specific impacts
that could also be significam.
What makes these pressures a matter of business strategy is one
imole truth: Our economy rests o n the asset base of the na tural
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Putting It All Together
world, not the other way around . Where resources are threatened,
ripples will move through society and across the corporate world.
These issues arc complicated. Tht:" fact that the underlying science is
often complex, even contradictory at times, makes the situation eveI).
more volatile and environmenta l policymaking highly contested. Some
publ ic policy choices cou ld drive whole industries into obsolescence.
Can th e coa l business survive in a carbon-constra ined world? We can
be sure that those affected will not go quietly. In fact, coa l companies
are working hard to shape the direction of climate change legislation
or actio n-it's a bet-the-industry issue for them.
On the othe r side o f the ledger are companies and industries that
will be crippled if we dotl't take action to stem environmental losses.
T he skiing industry will be juSt one sma ll symbolic economic loss
if global warming and ene rgy constraints continue on their current
• path-airlines, transportation, and all energy- intensive businesses are
at risk. And everyone's insurance COStS will rise if reinsurers jack up
rates to handle the growing claims from climate change-related natural
disasters.
The diversity of issues, variety of interests, and range of sc ienti fic
uncertainties can be daunting. Bur executives can't just throw up their
hands in despair and confusion. Compan ies need to stay on top of
these challenges no matter how complex, both to reduce risk and to
pounce on emerging opportunities.
SCIENTIfiC UNCERTAINTY
After a CEO powwow on climate change, Duke Energy CEO Jim Rogers
said, "Forget the science debate. The regulations will change someday.
And if we' re not ready, we're in trouble." He's' voicing a simple reality.
There is no such thing as absolute scientific certainty. Business should not
delay their response and risk being unprepared. Environmental problems
will find you whether or not you care to be inconvenienced by them.
Th e Player s
An evolv ing set of stakeholders who ca re about these issues and
nvpr ("nrnnr:ne hehavior are addine to the momentum
Uli,.lrl i,...fll1pnrp
30
fco-Advantage Strategy
behind the Green Wave. ]0 the traditional B~sch oo l strategy, com~
panies are led by charismatic leaders who make bold decisions, inOu~
c:nccd by only a handful of actors: competitors, C\lstomers, "channel s"
(suppliers and distribution), and maybe government regulators. And
all of these players are subservient to the almighty shareholder.
T he balance of power hasn't entirely changed, but CEOs have cause
to feel like the ground is shifting beneath their feet. New stakeholders
are asking tough questions about socia l and environmental perfor~
mance. Civil society in general, and environmental NGOs in partic u ~
lar, have emerged as forces (0 be reckoned with. Coordinated action
against irresponsible corporations has never been easier thanks to
e~mail) the Web, social networking, and other modern communications technologies. And activ ist shareholders, including large mainstream investment companies, have suddenly found their voice. Nervous boards now watch over the shoulders of CEOs like never before.
As difficu lt as it is, igno ring these drivers of roday's business r e~
ality is even more unwise. Sure, a few remaini ng corporate titans
still think that most environmental issues are overblown creations of
some Birkensrock-wearing, tree~hugging fringe element. As misguided
as this caricature may be, rhe truth is actually beside rhe point. The
concern around these issues is broad enough that every director, executive, and manager must pay attention to the Green Wave. Anyone
who thinks he or she can avoid it risks being drowned by the gtowing
array of legal requireme nts-like those laid out in the Sarbanes-Oxley
law-that mandate attention to potential "material" issues, including
environmental challenges.
Our research has identified an array of 20 Grecn Wave players,
some marginal for the time bei ng, but many more growing in power
and importance. These stakeholders break inco five groups:
Rulemakers and Watchdogs. NGOs, regu lators, politicians, and the
plaintiff's bar. The array of players in this category is expanding ~oth
"vertically" and "horizontally." National regu lators in many regions,
particularly the European Union, are growing more aggressive. But
down the vertical scale, regional, state, and local governments are
getting involved in environmental issues in ways they never have be~
fore . American states, for instance, are sening their own renewable
energy goals. And U.S. mayors are agreeing, on their own, to imp lement the climate chanee emissions reductjons targets of the Kvoto
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Putting It All Together
Protocol. Go up ch e vertical dimension and you'll see continenHvide
regulations lik e the EU's laws on chemicals a nd electronics. At the
largest scale, calls for global regulations on a ra nge of environmental
issues arc growing.
On the horizontal di mension we see an increasing breadth of power
centers. Companies must track not on ly the requirements of govern.
ments but also the demands of an incredible diversiry o f N GOs a nd
other self·appo inted wa tchdogs (like bloggers). These new players
ca n do great damage to a compa ny's reputation quickly. O nline tools
on ly make it easier to turn the slightest corpo rate misstep into an
international incident. But the news is not all bad for compa nies. An
explosi on of partnerships has created dyna mic a lliances between fo r·
mer adversa ries . NGOs are working with, not against, business like
never before.
Idea Generators and Opinion Leaders. Media, think tan ks, and aca·
demics. In roday's innovation·driven world, being connected to those
creating knowledge, launching ideas, and shaping the political dia·
logue provides a competitive leg up. To tap top thinkers, WaveRiders
have launched partnerships with academic insti tutions and research
centers aro und the world.
Bu siness Partners and Compet itors. Industry associations, competi.
rors, business·to·busi ness buyers, and suppliers. Businesses are now
finding ways to work together for env ironmental gain and to get a head
of the issues . The trend started 20 years ago with the chemical ind ustry
and its Responsible Care program and has blossomed since.
Electronics companies have joined together to set supply chain sta n·
da rds. Big energy users formed the Green Power Market Develop·
ment Group to encourage renewab le energy development. A range
of paper buyers, from Staples to T oyota , fo rmed the Paper Working
Group to coor-d inate the requirements they'll ask paper suppliers to
meet, in effect imposing a priva tely determined set of environmental
st andards.
T he pressu re for change usually starts with big brands, but the
effects a re fel t on obscure midsized companies ca ught in the web.
A few yea rs ago, Home Depot changed its procurement policies to
eliminate products that origi na ted in endangered forests. In response,
the floo ring compan y Romanoff changed one of its products from
32
Eco-Advantage Strategy
plywood to renewable wheat straw. As President Douglas Romanoff
said , "The Home Depot purchasing policy ... has produced a direct
ripple effect that has resu lted in a significant cha nge in the material
we will use in the fu ture."
Consumers and Communit y. CEO and executive peers, consumers,
kids, a nd communities. When an environmental boycott works, it's
impressive. In the wake of the famous Brent Spar oil platform incident
in the mid-1990S, a million Europeans cut up Shell credit cards. The
company took notice and set off on a decade- long quest to improve
stakeholder relations. And the list of those who might ca ll you out
is expanding. More and more consumers are what some call "conflicted» o r "conscious" and are looking for environmental and social
dimensions in thei r purchases, from food to clothes to ca rs.
Investors and Risk Assessors. Employees, shareholders, insurers,
capital markets, and banks. As every executive knows, in today's
know ledge-based economy, capturing the best and the brightest is
nor just helpful, it's essential. Before the most talented workers invest
their time and energy in a company, they increasingly ask what a
potential employer stands fo r. They wa nt to work for companies
whose corporate values are in harmony with their own worldviews.
Trad itional investors have emerged as the new 8oo-pound gorilla
in the environmenta l space. Led first by insurers and now joined by
major banks, the financiers have started to look hard at environmental
risks and liabilities. Over 60 banks have signed on to the Equator Principles, which demand thorough environmental reviews before loans
are approved. But the Principles are just the starting point. Goldman
Sachs, J PMorgan, Citibank, and many others are wrapping environmental conside rations into lending decisions in dramatic new ways.
ABN AMRO, one of the founde rs of the Equator Principles, has
developed a new way of looking at its portfolio of loans. The company chart:s borrowers on a classic two-by-two matrix, with capacity
to handle a nd mitigate environmental risks on one axis and commitment to do so on the other. In the near future, ABN AMRO hopes
to graph all potential loans aga inst these criteria. Upper- right quadrant loans-with borrowers who "get it" and have the means to fix
any eIIvironmental issues-would be no-brainers. Deals falli ng in the
upper-left or lower-right quadrants would require some work on the
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borrower's part. Loans to those in the lower- left corner-the unwill!
ing and unabl e- wo uld not be made.
EeO-ADVA NTAGE TOOLKIT
]
To be successful in integrating the environment infO busi ness strateg ,
companies need to cultivate a n Eco-Ad vantage Mindset hacked by a
set of tools, including Eco-T racking, Culture, and Redesign.
Eco-Advantage Mindset
During our interviews with dozens of companies, we looked fo r what
made them effective at bringing environmenta l considerations into the
mix with Q[her business goa ls. We fou nd an overarching set of five
principles tha t guided their thinking;
Look at the fo rest, nOt the trees . Wave Riders think broadly about
time, pa yoffs, and boundaries. They make decisions with the
long-term in mind, positioning themse lves for a tighter regulatory
framework, rising consumer expectations, and market rea lignment
driven by natural constraints. WaveRiders a lso include inta ngible
benefits in their payoff calculations. They put a va lue on things like
lower risk , higher employee retention, stronger cuSfOmer loyalty,
and bolstered btand va lue. Finally, they think beyond their own
operations and look at the whole value cha in, fro m raw materia ls and su ppliers to cuStomer environmen ta l needs and desi res to
prod uct end -of- life.
2. Start at the top. All the WaveRiders have "C- Ieve!" support fo r
their efforts to seek Eco-Advantage. Start with CEO commitment.
T ha t alone won 't put you over the top, but no company will get
far wi thout it.
3. Adopt the Apollo 13 Principle. Don' t take no for an answer. Companies and industries have time a nd agai n shown incredib le creativi ty in solvi ng seemi ngly intractable environmental probl em~.
WaveRiders focus on inn ovation and getting people to use an environme ntallens to think about thei r work in a new way.
4. Recognize that fee lings a re fact s. Leading companies know that
they have to deal with what communities, NGOs, and other sta keholders {eel the big environmental issues are. Instead of blindly
I.
•
34
Eco-Advantage Strategy
defending their own position or downpla ying others' concerns,
they recognize the need to meet people where they stand. They
don't let outsiders dictate the agenda, but they do establish a dia logue with friends and foes alike.
5. Do the right thing. It 's amazing how often we were told that a sincere belief in doi ng what's right was behind WaveRider decisions.
Va lues do matter.
Eco-Tracking
The next element o f the Toolkit is a systematic approach to capturing
and using good informa tion. Wave Riders use issue-spotting tools like
the AUDIO analysis as well as Life Cycle Assessments to understand
their environmental impacts. They look a t the eco-consequences of
their products all along the va lue chain , upstream and downstream.
These tools a re most effective when they rest on a found atio n of
good data , ca reful planning, a nd an environmental management system. T he best systems track dozens of metrics by region, division,
factory, even down to particular production lines. And they track the
same metties globally. Akan keeps a worldwide data wa rehouse on
environmental performance. Tha t wa y, all divisions work in a CO Il sistent way and are assessed against simila r measures. Common data
helps hea dquarters benchmark pe rformance, set targets, a nd monitor
progress closely. As we mentioned in Chapter 7, we recommend a core
set of metrics that track results on energy use, water and ai r pollution ,
waSte generation, and compliance.
Companies also need outside pe rspectives to learn whe re they stand
in the world. Many WaveRiders esta blish relationsh ips with environmental experts. Some create advisory boa rds to "peer review"
their environmental effons and stay a head of issues that could slam
them. Some invite the fox into the hen house by partnering with
NGOs and other critics. No one necessarily looks forward to spenrl .
ing time around a table with those who have raked them over the
coals in the pa st, but their feedback is a va lua ble form of EeoTracking.
In the same spirit, Wave Riders also reach beyond environmental
groups to work wi th communities, governments, other compan ies,
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and any other stakeholder than can provide them with credible information on environmental issues and changi ng market conditions.
What gets m easured gets managed. Knowledge is power.
Trite phrases perhaps, but th e leading companies treat
these id eas not as throw-away lines but as calls to
actio n. They leverage data and knowl edge to generate
sustained marketplace advantage.
Redesign
T racking data helps define the playing field, but compa nies gain an
• Eco-Advantage only when they understand environmental market
drivers, use their knowledge to dri ve innovation, and change prodUCts and processes. WaveRiders redesign their products, the spaces
around them, and even their suppl y chains.
Eco-design, th e second point of the Eco-Advantage Toolkit, has
he lped companies like Intel and Herma n Miller design out envi ronmental problems before they arise, saving time and money down the
road. Factoring environmental considerations into product design also
means helping cUS[Qmers reduce their environmental footprints. In a
world of rising energy prices, for exa mple, having rhe most energyefficient product on the market will often translate into rising market
share.
A number of leading companies ha ve embraced green building as
well. Why? Because well -designed, energy-effic ient facilities often save
money, improve worke r productivity, and send a signal about corporate values.
A few companies such as IKEA are going beyond compliance audits and pressuring suppliers to change business practices. These
best-in-class companies are redesigning entire value chains to reduce
environmental and social impacts.
36
Culture
The third leg of the Eco-Advantage support structu re centers on bu ild ing a corporate culture that promotes environmental thinking and
innovation. Wh ile every business is unique, we found fou r common
approaches across Wave Riders:
Stretch goals. WaveRiders use targets th at seem symbol ic and even
uncomfortable, but inspire innovation and a broad reexamination
of how they do things. "The goal is zero" is one example. A few
companies even discove r that "zero" is not' an unreachable number.
2. Decisionmaking tools. Top-tier companies refine traditional costbenefit analyses to allow for intangibles . They tweak interna l hurdle rates (or "pa ir " projects) to tip the ba lance in favor of some
environmental investments. And they use Adam Smith's invisible
hand, through internal markets, to guide decisions.
3. Ownership and engagement. CEO commitment gets the ball
rolli ng. Engaging other senio r managers and all employees keeps it
goi ng. WaveRiders use various tools to make executives sit up and
take notice of environmenta l priorities. Some are soft, like ass igning executives to be "stewa rds" of an environmental issue. Other
tools have a decided bi te to them. GE's Session E, most notably,
asks plant managers to ex plain their environmental performance
in front of bosses and pee rs.
Wa veRiders also drive interest and engagement by crossfe rtilizing environmental and line managers. At lKEA, 3M,
DuPont, and many others, the top environmental officials came our
of line businesses. No division head can tell these experienced operational executives that they don't get it. The credibility of the environmenta l goals is greatly enhanced by sending the right messenge r.
Money and incentives focus attention, too . Many leading-edge
companies build environmental key performance metrics into
bonuses. At some of the globe's greenest companies-places like
TK EA , 3M, and Herman Miller--deep cultural values, including a
comm itment to stewardshi p, motivate managers. Some companies,
such as Wal-Mart, are trying to build that cul ture fast by helping
employees make sustainability a part of their personal lives as well.
Finall y, awards, even if only plaq ues, go a long way . Ma ny
WaveRiders have annua l environmental or sustainabili ty awards.
1.
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Putting It All Together
Because the companies clearly treasure their green commitments,
it's a real honor fO be singled OUt fo r environmenta l successes.
Whe th e r through direct pay ince ntives or cultural
p ress ure, Wave Rid e rs find ways to walk the talk and
a li gn th e ir st at e m e nts about e nviro nmental
comm it me nt w it h o n-the-gro und operational
decis io ns.
4. Storytelling. Smarr companies tell th e stories of their environmental goals, successes, and lessons learned fO nearly anyone who
will listen. The knowledge sharing can happen through a n inter·
_nal intranet of best practices or public reports. T hese documents
inform all stakeho lders, but particula rl y empl oyees, about what
the company is doing right~and wrong . For internal audiences,
ceo-train ing is an even more direct form of sfOrytelli ng. Teaching
line managers how fO seek out cco-efficiency opportunities or taking middle managers through some what-if scenarios that demonstra te hard trade-offs can jump-starr innovative thinking and better
decision making.
GREE N-TO-G OlD PLAYS
An Eco-Advantage Mindset, supported by the right tracking tools, a
focus on redesign, and a culture of environmental stewardsh ip, lays
the foundation for turning green to gold. But the real action lies in the
strategies that create value, the Green-to-Go ld Plays.
Like any other business strategy, our Green-to-Gold Plays aim to
reduce the downsides a business faces (COSt and risk) or increase the
upsides (revenue and intangible value). Unlike many others, though,
these pla ys don 't sacrifice responsibility in the pursuit of profit-or
profit in the pursuit of responsibility. Ou r WaveRider companies o ffer
proof every day that doing good and doi ng well can be symbiotic.
We've mapped the eight Green-to-Gold Plays drawn from oue study
o f WaveRiders onto the two-by-rwo strategy framework we outlined
38
Green-to-Gold Plays Framework
REVENUES
INTANGIBLES
• Eco-design
• Eco-sales and
marketing
• Eco-defined
new market space
• Intangible value:
Build reputation and
trusted brands
More Certain I Short Term
COSTS
RISKS
• Eco-efficiency
• Eco-expense
reduction
• Value chain
eco-efficiency
• Eco-risk control
earlier (see figure ). Not surprisingly, most green business efforts to
date have focused on the lower left box. Cost reduction is extremely
low risk, easy to sell internally, and often pays back quickly. It can
yield competitive advantage. Bur our research suggests that, by focusing solely on the cost side, many companies are missing chances
to generate broader Eco-Advantage. Most compan ies have not yet
executed all o f th e p lays~they' re leaving money on the ta ble.
1.
Eco-Efficiency
Cutting pollution and waste ma kes good business sense . Even highly
efficient companies have been shocked ro discover savings they had
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Putting It All Together
previously overlooked. O ver three decades, 3M continues to find new
ways to pare costs through its 3P program, Pollution Prevention Pays.
Many changes can be very simple. STMicroe lectronics, for example,
put in larger air-conditioner ducts, which allowed its air-circulating
fan to run more slowly. T he fan now uses 85 percent less energy .
In just one year, with $40 million invested in changes like these, the
company saved $173 million.
Sometimes the search for eco-efficiency can leapfrog past reduction
to outright elimination of a process or resource. Rohn er Textil once
produced its dyed, woven fibers in the same manner as everyone else in
the industry. To make the fibers strong enough to weave, it would coat
the yarn with chemicals, which had to be washed off later, crea.ting
wastewater problems. \Vhile searching for a way to reduce chemical
use, Rohner realized that humidity makes the fiber stronger. So the
<company now skips the chemica l coating and simply doesn't dry the
ya rn quite as much, leaving moistu re in the fiber. Rohner cut o ut one
step. shortened another, eliminated the chemicals, reduced energy use,
and cut costs. A pretty good day at the eco-efficiency office.
Rohner's efficiency improvements have driven per worker productivity up 300 pe rcent over the past 2.0 yea rs. During a vicious downturn in its industry, Rohner, unlik e many other companies, remained
profitable.
[co-efficiency simply depends on cutting out waste and
using resources productively. Businesses that run lean
are more productive, profitable, and less polluting.
2. Eco-Expense Reduction
Efforrs to lower direct environmental COStS such as landfill fees or
regulatory paperwork can also return big dividends. DuPont has saved
billions on pollution control, and that's only the m easurable cost of
waSte. In one case, the company cut rejects from the l ycra production
40
i
fco-Adva ntage Strategy
line from 25 percent of volume to less than 10 percent. T hat focus
on reducing waste saved marerial, lowered landfill costs, and freed up
$l40 million in saleable product. It also meant the company could
delay building another plant, saving many millions more in capira l
expense. The ripples from cutting waSte and eco-expense can overflow
and save money in many ways.
3. Va lue Cha in Eco-Efficiency
Companies [hat look broadly for environmental gains and use rools
like Life Cycle Assessment oftcn find ways to reduce COStS throughout
their value chains. The play here is to rey and caprure that value,
which can be a difficult task. In Chapter 4, we talked a bout onc area
in which companies are quite effective--distribution. IKEA and others
sruff their trucks through smart package and produce design, and save
money.
4. Eco-Risk Control
Wi th the rise of transparency, the risks to a business and its brand
can come from anywhere. A substantial amOunt of goodwill is tied ro
corporate reputation. If a distant supplier dumps waste in a ri ver or
employs children, the major customer, with an international brand ,
may well be the one to pay the price.
Wave Riders identify potential risks and act on them as ea rl y as
possible. When McDonald's pushes back on its suppl y chain to lower
antibiotic use in chickens, or asks for documenta tion that ensures
that cattle do not have mad cow disease, it's lowering the risk of
contamina ting its bra nd. Intel spends milli ons to ship its ha zardous
waste from some developing countries to the United States so it can
be disposed of properly. Why? Intel doesn't trust the waste-handli ng
system in some countries where it o perates. And compa ny officia ls
know they' ll be blamed if somethi ng goes wrong.
WaveRiders get ahead of regulations before they get tighter. SP
began its Clean Cities program and sold cleaner-burning, lower-sulfur
fuels in part to get out in front o f more stringent air quality laws.
"The driver was that sulfur regulations would come," BP's Chri s
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Putting It All Together
Monershead told us. "Rather than deliver on ~ regulated schedul
we decided to go ea rl y and try for a market benefit. '"
Anticipating regu lations can put a company in a position to m
requirements at a lower cost than its competitors. Some co mpa ni
have even obtained a competitive edge by lobbying for tighter COntra
Remember, it's o ften the relative regulato ry burden that matters.
5. Eco-Oe sign
•
Redesigning processes and products to cut waste and pollution is
big pa rt of Eco-Advantage. Keep in mind, tOO, that a great deal of
potential ga in might lie outside the factory gates or your Own fa ..
cil ities' doors. Helping customers reduce their environmental pro
lems can strengthen customer loyalty and attract new sales. Reduc_
ing a product's energy use or toxicity also can add to Custom
value. Like Johnson Controls, which sells entire energy man agement
syStems, companies that find ways to lower customer burden can
profit.
6. Eco-Sa les and Marketing
Marketing the green qua lities of products can drive sales. Wh
Wausau Paper launched a new brand extension of "away from hom
products-paper towels, toiler paper, and the like-it fir st certified t
product line with Green Seal, an NCO specia li zing in environmen
product labels. The compan y then rebranded the prod uct & 050
Green Seal, puuing the certification right in the name. In an indus
growing only 2. to 3 percent per year, Wausau's sa les in this mark
leapt 44 percent in the first two years .
In fact, Wausau took an unusual route by focusing its marked
pitch squa rely on the environmental message. Products that scre
"green " to the exclusion of other qua lities often die on the shelv
As Shell learned with its Pura gasoline, a product often needs to sta
on other attributes first before selling the envi ronmental story. Gre
we've found, is often beSt used as the "third button."
42
Eco-Advantage Strategy
7. Eco-Defin ed New Ma rket Space
Environmental vision can create new market space and value innovation. Toyota set o ut to redefine the twenty-fiest-century car
and has come pretty close. Many customers now seek a hybrid,
not a midsized ca r, and they'll pa y a substantial prem ium or wa it
months for a Prius in particular. Fo r these consumers, there is no
substitute.
-
II
II
Successful, lo ng-lasting co mpanies regularly redefi ne
themse lves. Enviro nme nt-inspired innovati o n offe rs
compa nies a new a nd exciting way to find fresh
~: express io ns fo r the ir ca pab il itie s.
Looking for environmentally defined market space ca n seem to lead
companies far afield. Take John Deere's recent foray into renewable
energy. T he tractor maker sta rted up a business unit to help farmers
harvest wind energy. Deere will offer financia l backing and consulting.
This may seem an odd fit, but we see it as an interesting pl ay. A
company known for providing farmers with the too ls they need is
offering to help them survive and find new revenue streams. That's
value innovation!
8. Intangib le Value
Most companies are worth more than their hard assets, and in
Some cases much more. Brand va lue--or corporate reputation , more
generally---can be worth man y billions of dollars. Any threat to that
value has to be taken seri ously. From BP to GE to Wal-Man , a growing number of companies have launched campa igns to build a green
~lement into their brand.
"-
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300
Putting It All Together
THE HAT TRICK GREEN-TO-GOLD PLAY AT ALCAN
We've set up these Green-to-Gold Plays as if they were distinct strategies.
That's the easiest way to think about them and find business opportuni_
ties. But nothing says a company can't do everything-lower costs and
risk and drive revenues-at the same time.
Alcan, the S20 billion Canadian aluminum and packaging company
recently acquired by Rio Tinto, pulled off this impressive feat. Quick
background: Producing aluminum is dirty work with large-scale environmental consequences. The industry is one of most energy-intensive in
the world, and mining and smelting produce large quantities of waste,
including what settles at the bottom of the big pots they use in production. This toxic residue-not surprisingly called potlining-is scraped off,
which is where the environmental challenge comes in .
Nobody really knows what to do with this toxic slurry since it's not
easy to recycle. Mostly it just sits around, taking up space and creating
liabilities. Alcan's Dan Gagnier estimated that just his company's backlog
of flotl ining exceeded half a million tons. But that changed. Akan developed an innovative new technology to lurn potlinings into inert, recycled
material. The company invE'sted S225 million in a prototype treatment
facility. This breakthrough solves Akan's waste problem and may even
leave the company treating its competifors' wane-for a price of course.
A5 then-CEO Travis Engen said, "We wouldn't havE' come to this without the framework of sustainability." Alcan's initial goal was to reduce
an environmental burden. But executivE'S now anticipate that the new
procE'SS will E'nd up lowering waste, reducing risk and liability, and gE'nerating revenues. Akan is building a real Eco-Advantage.
HU RDLES
Executing a corporate environmental strategy is never easy. A range of
hurdles can trip up even the most sophisticated company, making the
quest for Eco-Advantage elusive. We've identified 13 primary sources
of failure in environmental stra tegy (see table ).
First we've identified failures of planning, where the focus o f the environmental initiative isn't well thought out or expectatio ns are out of
whack. Second, we see failures o f organization, including competing
demands placed on middle management and silo thinking, w h ich limits coordination and chi lls creativity. No wonder inertia is so often the
by-product of organ izational weakness. T hird, failures of substa nce
44
Eco-Advantage Strategy
are widespread. Sometimes the problem can be traced to nOt leveraging environmental gains. In other cases, poor results come from
trying to leverage claims that have toO much hot air. All of these failings are common but can be overcome by bui lding an Eco-Advantage
framework and by equipping employees up a nd down the line with
the right tools.
Eco-Adva ntage Hurdles
Failures of .
Planning
•
•
•
•
•
•
Seeing the trees but not the forest
Misunderstanding the market
Expecting a price premium
Misunderstanding customers
Seeking perfection
Ignoring stakeholders
Organization
•
•
•
•
Middle-management squeeze
Silo thinking
Eco-isolation of environmental professionals
Inertia
Substance
• Claims outpacing actions
• Surprises and unexpected consequences
• Failing to tell the story
TYING THE FRAMEWORK TOGET HER
There's no single right way to assemble all the pieces of an £CoAdvantage strategy. Some of the elements in the fram ework we've
provided wiU fit an organization perfectly, while others may not. Some
are better than others at a ny given point in a product or company's
evolution. While each ha s an independent logic, the major elements
do work together.
The plays and tools a re integrally linked and fee d one another. Collectively, these plays and tools reinfo rce each other to lower business
risk and increase business val ue. Exploring a company's foo tprint
with a Li fe Cycle Assessment, fo r example, will identify oppo rtunities
to cut waste a nd cost, which translates directly into lower business
risk. Looking downstrea m and identifying ways to lower a customer's
45
]01
]02
Putting
It All
Together
environmental burden al so reduces everyone's risk and improves pe r~
forman ce along the va lue chain . And identifying new market Spaces
creates added va lue a nd diminishes the chance of the market shifting
out from under you.
GREEN TO GOLD
Eco-Adva ntage has a ewin logic. On one hand, the stra tegic ga ins
we've identified are based on hard-edged ana lysis. In a world of constra ined na tura l resources a nd poll ution pressu res, the business case
for environmental stewardship grows stronger every da y. Pressures
on compa nies now come nOt only from screa ming eeo-radica ls, but
also from trad itiona l "white-s hoe" bankers and others asking tough_
minded questions about environmental risk and liability. Those who
offer so lutions to society'S environ menta l problems both mute theif
pot entia l critics and find expanding markets. As Timberland's CEO,
Jeff Swartz, said about one of his company's environmental initia tives,
" I can now make the fact-based case to the hardest-nosed engineer
in the world .. . . That 's not limousine liberal, not self-indu lgent. It's
hard-nosed business. That is the innova tion we seek."
In parallel, there's a Strong va lues component to the case for corpora te envi ronmenta l ca re. The WaveRiders we've studied have made
money-lots of it-by refining their business strategies to incorporate
enviro nmental facto rs. But as much as they are driven by profi ts, they
are also aware that thei r slCwa rdship helps more than the bottom line.
When shore-term gains don't justify green initiatives, they a re wiUing
to look for long-term value fo r themselves and their workers, for their
communities, a nd for the planet. The gold they've discovered by going
green is not only about money.
M ore and more people in the business world see corporations playing a maj or role in solving the world's environmental problems. Business, they know, is our most powerful mechanism for crea ting a fu nctioning society and ma tchi ng needs with gnnd!; and !;~ rvice<; . ('.nmpanies can and should be a force for good, leading the cha rge on ca ring
for the environment and protecting our shared natural assets. Fina n~
cia I and environmental success can be achieved together. With rhe
right mindset and tools, compa nies ca n hand le the hard trade-offs.
46
Eco-Advantage Strategy
New values-centered executives are creating companies that inspire
employees and customers alike. In the end, Eco-Advantage is about a
new way for inspired people---executives, managers, and workers-to
build companies and industries that are not juSt innovative, powerful,
and great . . . but good too.
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