The Crisis Facing Business: Succumbing to the Madness of the Crowd

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  pgaluszka10/14/08 Report as spam
  1

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  Prof. Pfeffer has written one of the clearest
  and wisest points on the state of economics
  during these crisis days. He is absolutely
  correct that there is a lot of unnecessary
  gnashing of teeth going on. While we're all
  worked up, we're being hustled to go along with
  the Bush Administration's massive and rather
  strange bailout after bailout. The market needs
  to shake its sillies -- and its losers -- out.
  
  Peter Galuszka

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  dcrichfie10/14/08 Report as spam
  2

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  Amen. I agree completely. Difficult economic times can [resemt opportunities, but it takes vision & fortitude to seize them.
  
  doug@crichfieldgroup.com

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  SandyMan110/14/08 Report as spam
  3

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  Amen 2! Consider the values used to reap success...use
  those to brave this storm.
  
  Money is not what great leaders stand for. Money comes
  from the wisdom, sagacity and alignment that great
  leaders use to inspire their people!
  
  I agree with Peter! This is what loser leadership creates!
  Shake, Shake, Shake!

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  murthyg10/14/08 Report as spam
  4

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  Peter is very right. I would like to add one more point.
  
  All these trouble are because of the policy of "Live but dont Let Live" instead of "Live & Let Live". These businesses wanted everything for themselves..and look where they ended up.
  
  Hope at least now they learn a lesson.. Freedom is good but too much freedom is bad for the house. Ask anyone with grown up children, they would tell you.

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  gibsonmu10/15/08 Report as spam
  5

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  Amen 3
  I totally agree with Peter. There is no need to pacick during our journey in business life when we come against bumpy sections if we had bothered to take risk management measures before setting out. All what is required is to have vision and put in place the appropriate Plan B, C, D etc.
  
  It is important to constantly stay in touch with all our business stakeholders in order to update and make relevant Plan B, C, D etc.
  
  Embracing the right mangement tools like committment to QMS, technology, insurance and risk management, internal and external auditing, good ethics,training and R&D can do a lot to keep us prepared to be able to go over that bumpy section of our journey without problems.
  
  Being fully prepared for eventualities is the key to a successful journey.
  
  Thank you.
  
  Gibson

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  Ian P10/15/08 Report as spam
  6

  The case for hunkering down.

  Jeffrey's point is well made and unrefutable within its context.
  However many modern industries live at the sharp end of "disposable spending" (to coin a phrase). The "nice to have's" in both personal and corporate lifestyles. Whether it is the holiday industry, gaming software or the new car in personal terms. The updated desktops or new production machines or the employee bonus in the business world.
  These industries all depend on their being enough people around with the confidence to spend their cash, knowing they have a secure future income.
  If I seriously think that my company is about to go through hard times, with a much reduced market, income and profit then it would be foolish indeed to invest in increased capacity if the spending drives me into bankruptcy.
  No, I have to make do with what I have, keep the people I can afford and get ready for the next upturn.
  It is the responsibility of the spender to make the choice between wise spending and saving. And I will not spend profligately.

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  paetiwulf2004@...10/15/08 Report as spam
  7

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  While I agree with the article in theory, there is an issue that seems to always pop-up. The issue is the segment of population that is selected as examples. Not every worker in the world is a member of the decent salary of the middle and upper class. Most of us are just working people, living from paycheck to paycheck--and most of us are single incomes in the household. So, buying fancy software, games, and cars is not an option. And, that makes us have to live at the mercy of big business and the government.

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  durantam10/15/08 Report as spam
  8

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  Professor P is spot on. The beauty of Capitalism and the Free Market System is that, while greed is good, unbridled greed is not. Generally, greed of the unbridled sort includes less than ethical business and personal conduct (ala Enron). As a result the Universe and, yes, the Market, ALWAYs corrects this.
  
  Let cool heads and ethically run/socially responsible businesses prevail!
  
  Alexandra Durant

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  GingerAF10/15/08 Report as spam
  9

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  If only J.Pfeffer could be nose-to-nose with these CEOs' who "don't get it" with the cycle of developing infrastructure-downsizing-rehiring with more resources that hurt not only their own company's financial future but also the general economy. If only J.Pfeffer and other business leaders and other company CEOs'"who get it" could get the message through. Where are the Board of Directors' input when this manic-depressive behavior happens under their noses? It seems the CEOs' of major companies (not speaking of CEOs' of their own company) exhibit no responsibility for their directed actions and they end up with ridiculously multi-million dollar severance packages as a reward for the failure of their company? (Example - Constellation Energy, MD). Maybe these CEOs' need a big dose of the business equivalent of lithium - business economics and leadership lessons from the CEOs' who are setting the example!!
  
  Ginger Florian - marketing/sales career person currently unemployed (& not contributing to the economy and tax base) when the owner of the company closed the doors after 30+ years.

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  pcvc200010/16/08 Report as spam
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  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  just apt to buisiness leaders in india..the aviation industry is a mess and thanx for this post..i hve taken out material from this article. i hope it helps those who read it..in case it comes out

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  pcvc200010/16/08 Report as spam
  11

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  thanks for this

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  rs-k10/20/08 Report as spam
  12

  RE: The Crisis Facing Business: Succumbing to the Madness of the Crowd

  I agree completely about the negative correlation of downsizing and productivity, Jeff, but we (US and Europe and the rest) are in a recession and will go further into it. I won't bore everyone with the figures but just look at a few key ones -housing starts and durables sales. Hold onto your hats, we're on the downside. And that, of course, is where excellent leadership and management wins. Any mug can have good performance when everything is going up. Now we find out who the real professionals are
  Robin