In an era of rapid change, companies need to reinvent management fundamentally to thrive. Leaders must focus on the most critical issues that will determine success or failure. Though many trends matter now like social media and sustainability, leaders have limited capacity. So organizations must prioritize the biggest challenges that demand new solutions beyond traditional management thinking. These issues include rebuilding trust, managing risk, collaborating virtually, capitalizing on big data, tapping emerging markets, fostering open innovation and more. Tackling these thorny problems requires venturing beyond familiar management approaches to create fit-for-the-future companies. Leadership vision and courage to implement sweeping change are imperative. The stakes are high but the potential rewards of management innovation are immense.
In recent years, bankers and unprincipled CEOs have set new records for egocentric madness, giving capitalism a bad name. It is time for an injection of morality into business, as values matter now more than ever. Business needs a moral renaissance and a return to good values. Leaders must start acting like stewards of their organizations rather than mercenaries, protecting assets as a trust rather than making personal gain, putting the organization's wellbeing first, building sustainable success over short-term thinking, accepting accountability, and fairly distributing rewards. The robber baron era has passed; ethical, constructive executives can move business confidently into the future. Leaders should act as if their mothers invested life savings in their companies. Treat bosses like respected elders, employees like childhood friends, and customers like treasured children. Have integrity in everything. Be a good steward. As we address complex 21st-century challenges, bedrock values still matter most. All who have a stake in capitalism's future hold responsibility for improving it by raising ethical standards. The recent crises stemmed from deceit, hubris, greed, and denial - moral failures more than anything. Lessons learned: capitalism requires all to raise ethical standards and challenge others; everyone can speak out against wrongs. To build lasting prosperity, society must rediscover thrift, self-discipline, and other "farmer values." While capitalism rewards risk and enterprise, its future relies on responsible companies converging shareholder and societal interests over the long term, freely yet valuably serving society, collaborating for progress, leading in doing good, and using inspiring language calling to higher human values like truth, charity, and courage rather than sterile corporate-speak. Companies once sought to spread joy, beauty, and wisdom. Lasting success comes from allegiance to such noble purposes over mere profits.
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