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Business Day live:
The right strategies will only work if you have the right people

25 February 2015

In a recent article in McKinsey Quarterly John Dowdy, a director of McKinsey, and John van Reenen, an economics professor and director of the Centre for Economic Performance at the London School of Economics, argue that there is a clear link between management and productivity, market value and growth. Their argument is based on years of research on about 140,000 organisations in more than 30 countries. Here's the rub: as their research shows, managers are woefully ignorant of how good they are at managing. There was virtually no correlation between the managers' assessment of their companies' management practices and the researchers' objective assessment of those practices. In other words, people within companies charged with executing strategy are unable to assess how well they are fulfilling their primary role.

This article was published by Business Daily Live on February 25, 2015
Link to article here

Related links
John Van Reenen webpage
Productivity and Innovation Programme webpage
Management Practices and Organisational Structures research webpage

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