But they also know that surprises will occur, so they keep enough flexibility in their spending to allow for competitive threats, good new ideas, or softer volume.
July—August 1989 Issue Explore the Archive. Since the general manager is the only executive who can commit the entire organization to a particular strategy, the best GMs are invariably involved in strategy formulation, spearheading the effort, not just presiding over it.
They add overhead grudgingly.
Naturally, those reorganizations accomplished very little. Everyone knows that promising ideas often fail in the marketplace. Signed up.
He centralized merchandising concepts, priced aggressively, eliminated loser departments, built strong execution-driven local managements, and got control of costs. The best GMs also know that compensation is a means to an end, not an end in itself. Finally, they directly influence important appointments by exercising a veto or offering subordinates a slate of candidates to choose from.
A Conceptual Introduction case study Christopher A. As a result, despite substantial price erosion, it racked up record profits and share-of-market gains.
To remain a leader, CEO James Burke feels that he and his managers have to excel at spotting promising new market segments early, tailoring products to serve them, and getting those products to market quickly. And they never stop trying to read those facts and figures for clues to an edge in the marketplace.
Finally, top GMs are always searching for unproductive assets to get them up to par or off the books. High standards are thus the principal means by which top general managers exert their influence and leverage their talents across the entire business.
Instead of just looking inward, they get their competitive information first-hand by talking to knowledgeable customers and distributors. These managers are also bugs on costs. To do this, they follow up on big capital expenditures to be sure the projected benefits are realized.
In contrast to the GM who is satisfied to have one or two high-performing departments only, they demand superior execution in every function. Add to cart. They do regional rollouts to test the market and control costs.