December 6th 2007 2007年12月6日

Traditional Manager and the curse of Institutional Imperative傳統管理者與詛咒的體制勢在必行

What is Institutional Imperative? 什麼是體制勢在必行? It’sa concept that is promoted by Warren Buffett, world’s ‘smartest’ investor. Buffett describes the institutional imperative as the “need” for the managers to act and do like their peers no matter how irrational it may seem. 這概念是一個推動的華倫巴菲特,世界的 ' 聰明 ' 的投資者。巴菲特描述體制勢在必行,因為"需要" ,為經理人採取行動,並喜歡他們的朋輩,不管如何非理性的,它可能是兩回事。 Its peer pressure for CEOs, Executives and the Managers. I have paraphrased the definition from 其同儕的壓力,為首席執行官,總裁和經理人,我有paraphrased定義,從 Ken Little 墾不大 ’s article '文章 Understanding 了解 Warren 華倫 Buffett 巴菲特 . Buffett makes sure that the management has checks and balances in their organization to resist Institutional Imperative. 。巴菲特作出肯定的是,管理層的制衡,在他們的組織,以抵禦體制勢在必行。 I am not sure if Buffett invented that phrase, but its one of the investment tenet he uses to evaluate companies before he buys them. By the way, there is not Wikipedia entry on Institutional Imperative yet. 我不知道如果巴菲特發明了這句話,但它的一個投資特尼特,他用的,以評估公司之前,他購買他們所途中,有沒有文字進入體制勢在必行

Traditional managers (I am talking of executives as well as mid level managers) no matter how smart they are will be tempted to follow the herd by that invisible ‘institutional imperative’ force. If companies A, B, C are all doing the same thing, then it makes sense for the managers in company D to mindlessly follow the same strategy. “Hey, may be the managers of company A, B, C know something we don’t know” - that is the thought process of the managers in company D. Never mind, this ‘new’ strategy will take everyone (management, owners and customers) down the road to less profitability. This, from an investor perspective, leads to misallocation of capital and resource causing lower ROE (Return on Equity). Hence Warren Buffett looks for companies with strong management that can resist the curse of Institutional Imperative. This analysis of finding the management is qualitative in nature, and Buffett uses his intuition to identify companies with strong management. 傳統的經理(我說的行政人員,以及中高層管理人員) ,無論怎樣聰明,他們將被引誘跟隨畜群通過這種無形的'體制勢在必行'的力量,如果公司乙, 丙,都是在做同樣的事情,那麼,這樣做是明智的,為經理人在公司D的盲目遵循同樣的策略。 " 嘿,可經理人的公司,丙知道一些我們不知道的" -這是思維過程的管理者公司四不要緊,這個'新'戰略,將帶大家(管理,業主和客戶)下跌之路少的盈利能力,這是從投資者的角度看,導致誤撥的資金和資源造成了較低的羅伊(股本回報率)因此巴菲特看來,為公司強有力的管理,可以抵禦詛咒的體制勢在必行。這個分析找出管理是定性性質,巴菲特用他的直覺,以確定公司的強有力的管理。

Why is Institutional Imperative relevant to implementation of IT Strategy? Well, if the managers cannot resist the temptations to ‘conform’ to everyone in the industry, then the implementation of their IT Strategy (as a matter of fact their Business Strategy) is not based on their firm’s core competency. Mindless copy-cat Strategy will lead to suboptimal results. I strongly believe that management needs to institutionalize checks and balance to evaluate if their Business Strategy (and their IT Strategy) is not formulated due to the curse of Institutional Imperative. Now, in this hyper growth globalization period, it is extremely important to be very proactive in identifying and resisting the curse of Institutional Imperative. This alone will enable the traditional managers to differentiate their products or services in the long run. 為什麼是體制勢在必行有關推行資訊科技策略呢?那麼,如果經理人不能抗拒的誘惑,以'符合' ,以每個人在工業,然後執行它們的資訊科技策略(是眾所周知的事,其實他們的業務策略) ,是不是基於憑著堅定的核心競爭力。不合情理拷貝貓策略,將導致次優的結果,我深信,管理的需要,以制度化的制衡,以評估,如果其商業策略(以及它們的IT戰略) ,是沒有制訂因詛咒體制勢在必行,現在,在這個高增長的全球化時期,這是非常重要的是要非常積極地發掘和抵制詛咒的體制勢在必行。僅此一項將使傳統的經理去分辨它們的產品或服務的長遠之計。

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