Not Ranked
American Management
A Japanese company and an American company decided to have a canoe race on
the Columbia River. Both teams practiced long and hard to reach their peak
performance before the race.
On the big day, the Japanese won by a mile.
Afterwards, the American team became very discouraged and morally
depressed. The American management decided that the reason for the crushing
defeat had to be found.
A Measurement Team, made up of senior management was formed. They would
investigate and recommend appropriate action. They noted that the Japanese
had 8 people paddling and 1 person steering, while the Americans had one
person paddling and 8 people steering.
So American management hired a consulting company and paid them an
impressive consulting fee. They advised that too many people were steering
the boat and not enough people were paddling. To prevent losing to the
Japanese again next year, the canoe team management structure was
totally reorganized to 4 steering supervisors, 3 area steering
superintendents and 1 assistant steering manager. They also implemented a
new performance system that would give the 1 person paddling the boat
greater incentive to work harder. It was called the Canoe Team Quality
First Program, with meetings, dinners and free pens for the paddler.
The next year the Japanese won by 2 miles.
Humiliated, the American management laid off the paddler for poor
performance, halted development of a new canoe, sold the paddles, and
canceled all capital investments for new equipment.
Then they gave a High Performance Award to the steering managers and
distributed the money saved as bonuses to senior management.
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