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This story was written when I first started the company in the mid 90’s by our PR consultant, John Lardge to mirror what was happening in the market. I kid you not, nothing has changed since it was written. The analogy still fits don't you think?
"Once upon a time, an American company and a Japanese company decided to have a competitive boat race on the Detroit River.
Both teams practiced long and hard to reach their peak performance. On the big day they were as ready as they could be.
The Japanese team won by a mile.
Afterwards, the American team became discouraged by the loss and their morale sagged. Corporate Management decided that the reason for the crushing defeat had to be found.
A Continuous Measurable Improvement Team was set up to investigate the problem and to recommend appropriate corrective action.
Their conclusion: The problem was that the Japanese team had eight people rowing and one person steering, whereas the American team had one person rowing and eight people steering.
The American Corporate Steering Committee immediately hired a consulting firm to do a study on the management structure.
After some time and billions of dollars, the consulting firm concluded that "toomany people were steering, and not enough rowing". To prevent losing to the Japanese again next year, the management structure was changed into "Four steering Managers, three Area Steering Managers and one Staff Steering Manager" and a new performance system was implemented for the person rowing the boat to give more incentive to work harder and become a "six sigma" performer.
"we must give him empowerment and enrichment."
The next year the Japanese team won by two miles.
The American Corporation laid off the rower for poor performance, reduced their paddle inventory, cancelled all capital investment for new equipment, halted development of a new boat, awarded high performance awards to the consulting firm, and distributed the money saved as bonuses to the Senior Executive.
With the aid of Federal legislation requiring the Japanese to drill holes in their boats, the US Corporation is now optimistic about their new team comprised of eight lawyers in a four man canoe sharing two paddles."
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