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If the previous six values are among the values of progress in general
which must be firmly planted in a society's general cultural and
educational environment as a prerequisite for that society's development,
they are also among the most important values on which modern management
concepts are based. Thus the five values addressed by his chapter should
not be seen in isolation from the values of progress addressed earlier in
the book, as the eleven values together constitute the conceptual
framework governing work in the modern workplace.
A.
Teamwork:
In the course of the many years I spent working in an environment that was
international in the real sense of the word, bringing together as it did
thousands of people from different countries and with widely divergent
cultural backgrounds, I had many occasions to see how the concept of
teamwork is totally alien to most Egyptians. Unlike their colleagues from
Asia, notably those from Japan or China, where the spirit of teamwork is
particularly vibrant, or from other parts of the world, like Europe, which
also has a tradition of teamwork, the majority of Egyptians I worked with
found it extremely difficult to subsume their individuality in collective
endeavours as members of a team. The ego issue often led to clashes, as
each individual sought to ensure that he would get the credit for any
success and others the blame for any failure. None was prepared to have
his contribution regarded as just one component element in a collective
endeavour. In hundreds of cases, this attitude led to crisis situations,
with a disgruntled employee demanding that either he be taken off the team
or that so and so be dropped – or else! This was in stark contrast to
the attitude displayed by others belonging to different cultural
backgrounds, such as the British, Asians and Germans with whom I worked,
and only served to confirm how hard most Egyptians find it to put their
egos aside and accept thanks for a job well done when they are not singled
out for praise.
Given that modern management sciences are based on a set of fundamental
values, among the most important being teamwork, applying modern
management techniques to large numbers of Egyptians is a difficult
proposition – unless they happen to be working abroad, in which case
they have no choice but to submit docilely to the prevailing system of
work or lose their jobs. Many expatriate Egyptians succeed brilliantly in
their chosen field of expertise. All too often, however, their
individualistic streak takes over, and they attribute their success
exclusively to their own innate talents, conveniently forgetting that
these talents would not have flourished as they did had it not been for
the healthy environment which imposed on them the modern values of work
and brought out the best they had to offer.
In this connection, I recall what a professor at the California Institute
of Technology said to me at the end of 1999: "Ahmed Zeweil is, by any
standards, a prodigious scientist. But we should remember that
seventeen people working in the same institute in which he works won Nobel
prizes for their contributions to science. The moral to be drawn here is
that the 'miracle of the system' is not only equal to but surpasses the
'miracle of the individual', although both must be present at the same
time in order for the required result to be achieved." This view has
been echoed by Ahmed Zeweil himself, who never tires of praising the
'team' without which he could not have achieved what he did. The Nobel
laureate has also praised the 'working environment' in his Institute,
which he says deserves much of the credit for his 1999 Chemistry Prize.
But as members of a culture of individuals we tend to forget all aspects
of the story and focus on the individual, because for over fifty
centuries, from the time of the Pharaohs on, the Egyptian mind-set has
been conditioned by the cult of the individual. The system has no place in
our scheme of things, even though it is the primary engine for progress
and human achievement. The only mechanisms by which this defect in our
makeup can be cured are those referred to in earlier chapters of this
book, namely, leadership (as a tool of development in the short term), and
modern education (as a tool of development in the medium and long term).
The word leadership here is not just a vague and abstract term, but
denotes a modern manager formed in accordance with the requirements and
culture of modern management sciences, which make every top executive
responsible for managing work in his enterprise according to a system that
groups employees into harmonious teams whose members complement one
another, as opposed to the top executive who promotes individualism and
factionalism by requiring each person in the establishment to owe
allegiance to him personally. One of the most important tasks of a manager
formed and trained according to the spirit, culture, requirements and
techniques of modern management sciences is to foster a team spirit in his
establishment. Unfortunately, most executives in our part of the world
tend to promote a very different spirit in which employees are islands
isolated from one another and in communication only with the employer.
This is a source of personal power for the top man, but it comes at the
expense of the collective good and does nothing to promote the spirit of
teamwork that is one of the fundamental values of modern management
science.
The negative culture which prevails in our workplace derives in large part
from the virtual absence of management education, in addition to the fact
that most businesses are run by 'bosses' rather than by contemporary
executive managers. It is further encouraged and conditioned by the
culture of the Egyptian village, where for decades the 'omda', or village
headman, has maintained his grip over village affairs by ensuring that the
only channels of communication are between his constituents and himself.
Any other pattern is frowned upon as a violation of the personal loyalty
they owe to his person and a direct challenge to his authority. All these
factors conspire against the adoption of the values of modern management,
including the important role assigned by contemporary management sciences
to the executive manager. Indeed, most people find it difficult to
understand just what the function of an executive manager is. On the
surface, he does not appear to do much but the truth is very different. An
executive manager can be likened to an orchestra conductor who is required
to ensure, at one and the same time, the high performance capability of
each orchestra member taken separately, and the high quality of their
collective performance as one team.
Thus in the ten years I was responsible for projects worth billions of
dollars, my days were not crowded with appointments and meetings and my
desk was not covered in paperwork, even though I was handling a daily
volume of work running into well over a hundred million dollars, while
others who were running businesses and projects amounting to less than one
percent of the volume and value of the projects for which I was
responsible were drowning in meetings, paperwork and files. I believe this
was because they spent much of their time doing work that should have been
done by others. Because they believed neither in teamwork nor in
delegating authority, they ended up spending three quarters of their time
wading through mountains of unnecessary paperwork. Despite these strenuous
efforts, however, the final results they achieved were at best mediocre
and, more often than not, disgraceful.
Disseminating a culture which values teamwork begins with the formation of
a human cadre of contemporary executive managers who understand what being
a boss entails in the modern sense of the word, not in its Pharaonic or
medieval sense, when the top man was everything and his assistants
nothing. Without an administrative revolution in this field, any attempts
to reform the working environment in our country and make it more amenable
to the notion of collective work and the spirit of teamwork are doomed to
fail, because the heads of administrative organizations have a vested
interest in maintaining the status quo so that they can continue to keep
all the reins of authority in their hands and take full credit for
whatever success is achieved.
If the development of a high-caliber human cadre of executive managers
capable of leading by example is an essential condition for development in
the short term, what is required in the medium and long term is an
educational revolution that will develop a strong work ethic in future
generations, educate them in the importance of collective work and promote
the spirit of teamwork at every stage of the educational process. Both
targets must be achieved if we are ever to move from the culture of
individualistic work inherited from Pharaonic times to the work culture
prevailing today, in which teamwork is used as a mechanism to maximize
output by drawing on the collective minds, abilities and experience of the
members making up the team.
Over two decades ago, I went to Switzerland to study the latest modern
management techniques at the International Management Institute of Geneva
University, the largest specialized institute of its kind in Europe. The
experience was a culture shock, as I found myself having to adjust to a
system of learning very different from the one I was used to. Indeed, at
first I thought I had made a mistake in registering for the course, which
cost hundreds of thousands of dollars, and that I had been misinformed
about how good the Institute was. In the academic environment where I
obtained my graduate and postgraduate degrees from an Egyptian university,
the professor was the transmitter of knowledge and the students passive
receivers. The situation was very different at the Institute, where the
professor would begin each class by bringing up a particular theme or
problem that was to be addressed by the students. These would then be
divided into working groups and each sent off to a separate room. The
groups were given a set time to study the problem, use the library for
research and come up with a report representing the collective views of
their members. All the members of the group contributed equally to the
report and then chose one amongst themselves to present it on their
behalf.
It was a technique of teaching that at first filled me with dismay, and I
wondered why we were spending so much to receive such a meager education.
But over the following weeks and months, I gradually came to realize that
it was in fact a highly sophisticated technique designed to develop
leadership qualities and produce a human cadre capable of leading the
world in every field. Contrary to the educational technique with which we
are all too familiar, and which produces submissive followers trained to
suppress their creative impulses while indulging their streak of
destructive individualism, the technique employed at the Institute
produced innovators and believers who displayed a highly developed esprit
de corps. This educational environment is what produces the best elements
in any working environment. After all, what is work but a continuation of
the early stages of education? The workplace is where the final output of
the educational system, the individual, eventually ends up, and his
performance in the workplace is as negative or positive as the education
he received.
Accordingly, collective work or teamwork is a phenomenon linked to a
society's cultural values, and some societies show a greater inclination
for teamwork than others. Two of the leading examples are China and Japan.
According to management and QM scientists, these societies show a marked
propensity for teamwork. However, it is an acquired characteristic not a
natural one, built up through their cumulative cultural experience. A
yardstick that can be used to measure the extent to which a society has
adopted the value of teamwork is the management techniques followed by
that society's governmental and economic institutions. Another is the
philosophy and technique of its educational system. The example set by the
executive leaders in society can be instrumental in developing the spirit
of teamwork. There is also a link between teamwork and the level of
democracy in society. The greater the margin of democracy, the better the
prospects of making teamwork an essential component of a society's work
ethic. In an undemocratic society, the opportunity for advancement is
restricted, and upward mobility in an organization is either slow or
nonexistent. This does not create a favourable climate for the development
of a team spirit.
What we have here is a problem for which there is no one reason and no one
cure, a multidimensional problem entailing a multilateral approach. As the
German-born American political sociologist Herbert Marcuse pointed out
thirty years ago, the theory of the unidimensionality of cause has
collapsed in all spheres of human thinking.
B.
Human Resources:
If management is the nerve centre of success in all the institutions of
advanced societies, the optimal use of human resources is the backbone on
which the success or failure of management rests. Human resource sciences
have branched out to cover many areas, such as employee recruitment,
selection, and training, performance appraisal, human resources and
organization, discovering leadership qualities and other areas related to
one of the most important fields of modern management, namely, human
resource management.
Modern human resource sciences proceed from a number of fundamental
premises, such as the belief that in every person on earth there exists a
'gap' between his actual performance and his potential performance, and
that it is one of the main tasks of management to discover that gap and
work to overcome it by placing an individual in the position best suited
to his abilities, temperament and personality within the organizational
structure on the one hand, and through constant training on the other.
Another fundamental premise is that any individual belongs to one of two
basic groups made up respectively of specialists and generalists. Both
groups are equally important and both must be present in any successful
and thriving organization.
Yet another is the need to make a basic distinction between potential and
performance. While standards and rates of performance can be raised, all
that can be done in respect of potential is to discover whether or not it
exists. One of the principal tasks of top management in modern
organizations is to discover those with a high potential early on in order
to elevate them to leading positions and to devise the required training
programmes to hone their potential and imbue it with professionalism.
Human resource sciences also attach a great deal of importance to the
issue of motivation, whether in the material or moral sense.
The role of the 'chief' in a modern establishment differs from his role in
a traditional bureaucracy, where he concentrates most of the centralized
power in his hands and, over the years, transforms his fellow workers into
an army of followers. In enterprises applying the techniques of modern
management science, which are based on delegation, he does not involve
himself in the day to day workings of the enterprise, leaving himself free
to focus on strategic planning. In a sense, his role is closer to that of
an orchestra conductor than a military leader.
While traditional bureaucracies create followers, modern management seeks
to create a cadre of human resources whose members are believers in the
mission and aims of the establishment in which they are working. The sense
of identification with the work organization is reflected in the quality
of the on-the-job performance of the true believer, who sees the job not
simply as a duty but as a medium of self-expression and a source of
personal gratification. In modern management terminology, this phenomenon
is known as "ownership", i.e. ownership of the moral returns of
success at work.
In short, modern management does not regard human resources as machines
but as the key to success or failure. As such, they are entitled to enjoy
the benefits and glory of the success they were instrumental in achieving.
According to this view, there is no more effective engine for the
advancement and success of an organization than the people working in it.
This view is not the prevailing one in underdeveloped societies, where
little attention is paid to creating an environment that encourages people
to work and give of their best. The opposite holds true in advanced
societies, where the importance of the human element in moving the wheel
of progress forward is widely recognized. The wealth of nations is not
measured in terms of their natural resources or the riches they have
amassed in the past but in the quality of their human resources. This
asset is built up through a process of planning and meticulous application
of systems designed to discover the best in people, develop their
potentialities to the full, and provide them with motivation.
C.
Delegation:
Modern management science tries to utilize each person in the best
possible way. To that end, it attaches great importance to discovering
latent abilities, training and motivation, in the belief that enabling
each individual to realize his full potential and allowing the free
interplay of ideas is a source of enrichment not only for work but for
life in general. Advanced societies discarded the model of centralized
management applied for long decades in the work establishment, which some
believe they imported from the military establishment, when experience
proved that it hindered the development of individual potential. That is
why delegation has become one of the most important instruments of
successful management today. Delegation is a reflection of the values I
mentioned earlier, which lead to transforming work groups from armies of
followers to teams of believers and create an environment conducive to
innovation and creativity.
In a modern management system where top managers delegate their authority
to others, the role of the manager can be likened to that of an orchestra
leader who does not play each instrument himself but directs others to
play their best as an ensemble. In some modern establishments, the degree
of delegation is such that the manager appears to have no work at all.
This is, of course, a fallacy, as he is responsible for strategic planning
not for carrying out work that others can do as well as, and usually
better than, he can. It would be safe to say that an establishment run
according to all the values of modern management except for delegation is
doomed to fail, because delegation is the translation of all these values
into practice. However, delegation and training must go hand in hand:
delegation without training cannot hope to succeed.
D.
Marketing in the driver's seat:
The difference between countries which achieved remarkable progress in the
economic field (through manufacturing a product or providing a service
then, at a later stage, through information technology) and those which
spent billions on 'industrial arsenals' at the expense of real economic
development is that the activities of the former were focused on the end
product, i.e. on 'marketing', while the latter's activities were focused
on the initial process, i.e. on 'production'. Modern management science
recognizes that a production-driven approach can only lead to failure and
bankruptcy, while an approach that is marketing-driven is the best
guarantee of success and growth. The truth of this axiom is corroborated
by the huge discrepancy between the economies of the East European
countries (before the collapse of the eastern bloc in the nineteen
eighties), which were production-driven, and those of western Europe,
which are marketing-driven.
If management is the secret for the success (or failure) of societies in
general and economies in particular, marketing is the brains of
management, in the sense that a successful management is one whose
strategic thinking, business philosophy and internal mechanisms are
marketing-driven.
While the importance of marketing as an essential value for the successful
management of any enterprise cannot be overstated, its own success is
contingent on the adoption of other values of progress. One such value is
universality of knowledge. There can be no successful marketing in a
closed environment shut off from the outside world. How can anyone hope to
successfully market anything on a wide scale if he does not know enough
about his competitors, international markets, the demands of those markets
and the cultures of the prospective buyers of his products or services?
Another value that goes hand in hand with marketing is pluralism. How can
we have one unique model for everything (the opposite of pluralism) and
succeed in marketing, which is based on the highest objective of quality
management science, which is to meet the expectations and satisfy the
needs of the recipient of a product or service?
E.
Absolute Belief in the Effectiveness of Management:
Many are the truthful statements repeated by people without realizing
their real meaning and significance. A statement one hears very often
these days is that Egypt's main problem today is 'management'. Although
this is absolutely true, any attempt to elicit an explanation from people
who utter the statement with a great deal of assurance reveals that, more
often than not, they have no clear idea what they are talking about and
that, moreover, the word management means different things to different
people.
Still, even if they are not clear on the details, they are right in their
diagnosis: the main problem in our lives in general and our economic life
in particular is that the methods and techniques of modern management
sciences and modern marketing sciences are virtually absent from
government departments, the public sector, the private sector and all the
service sectors.
I have no doubt whatsoever that the eastern bloc, made up of the Soviet
Union and its legion of followers, collapsed at the end of the nineteen
eighties because of the absence of effective management in all sectors of
the socialist world, particularly in the economic sector, where the
absence of management led to a state of bankruptcy which brought the whole
temple of socialism crashing down.
If the collapse of the eastern bloc can be blamed in large part on poor
economic management, much of the credit for the flourishing economies of
the western world and the Asian tigers, which led to the growth of a
prosperous and dynamic middle class, can be attributed to the application
of modern and efficient management and marketing systems. It is worth
noting in this connection that efficient management is capable not only of
steering a country on the path of economic prosperity and allowing it to
reap the positive social benefits that accrue, but also of dealing with
crises and reversals. It was thanks only to sound management that the
countries of Southeast Asia and, before them, Mexico, succeeded in
overcoming their financial crises in record time, confounding the
expectations of some of our pundits who were patting themselves on the
back for having adopted a more cautious approach. The swift recovery of
the Southeast Asian and Mexican economies proves that a country with a
clear vision of where it is heading and which proceeds to implement that
vision by means of a scientific methodological approach can, when exposed
to a crisis situation that causes it to slip backwards on its chosen path,
regain its footing as long as the methodology is still in place.
Before going any further, it might be useful here to define exactly what
success means when applied to an economic venture. This entails first
clearing up a certain ambiguity which arises from the absence of any
distinction in the Arabic language between the two notions of
administration and management, both of which are translated as 'idara' in
Arabic. In fact, the two notions are quite distinct in English. While
administration means the set of rules governing work in the workplace,
such as personnel regulations, working hours, disciplinary measures and
the like, the word management denotes something altogether different. In
essence, it is the mechanism by which an enterprise achieves its desired
goals which are, specifically realizing given economic returns, parallel
with a process of growth, by using the tools of modern marketing sciences.
Thus the economic enterprises established in countries which adopted a
system of centralized planning, the so-called command economies, could
impress us with their massive size, machinery, equipment and huge
workforce only if we look upon them from the perspective of
administration. But however impressive these factors may be, they mean
absolutely nothing from the viewpoint of modern management, where the only
criterion for success is an enterprise's ability to deploy its resources,
machinery and workforce efficiently to realize economic returns which must
not be less than the interest accruing on bank deposits.
A project which does not yield a return on investment greater than the
interest on bank deposits will inevitably reach a state of bankruptcy that
renders it incapable of performing its economic and other functions, the
most important of which is employment and the creation of new job
opportunities.
The pride with which some people continue to regard the huge enterprises
which once dominated our economic landscape and which, because of the
absence of effective management, failed to realize economic returns
greater than the interest on bank deposits, is both strange and misplaced.
What they are proud of in the final analysis is the money spent rather
than the returns on expenditure, which were in most cases extremely modest
and led to the failure of the entire experiment.
Societies which confuse the notion of management in the sense we have
explained and that of administration as the system of checks and balances
governing the workplace should understand that, for all its importance,
administration cannot be a vehicle for economic prosperity. The only way
this can be achieved is through the application of the principles,
techniques and procedures of modern management and marketing sciences.
Management, like medicine or architecture, is a profession for which
special skills and training are required. Like a doctor or architect, the
modern manager chooses his career path on the basis of personal
inclination and aptitude and then undergoes an extensive course of study
and training. Promotion to a higher rung on the administrative ladder does
not in and of itself create a modern executive manager capable of leading
and planning in order to achieve the desired targets in terms of
profitability and growth, while at the same time giving high priority to
the development of the most important element in the success of any
enterprise, its human resources.
As anyone who has had the nightmarish experience of dealing with our
bureaucracy can testify, the concept of modern management is a totally
alien one as far as all government departments are concerned.
Unfortunately, this is equally true for the economic units of both the
public and private sectors, which are run according to a bazaar mentality
having nothing to do with the spirit and mechanisms of private economic
institutions operated in accordance with the principles of modern
management, human resources and marketing sciences. Scientists in these
fields are well aware that the vast majority of private economic
establishments in Egypt today are almost totally dependent on public
relations rather than on management in the modern sense of the word.
Operating as they do in a general climate in which public relations reign
supreme, they have spared themselves the trouble of building modern
institutional systems and recruiting efficient human elements capable of
running them in accordance with the principles of sound management. On the
one hand, building such a system is a costly business; on the other,
simple minds cannot grasp its merits, especially in the context of a
business culture that venerates public relations as a short cut to power
and influence.
Unless we create a general climate that is conducive to the
introduction of modern management practices in government departments,
public sector units and the manufacturing and service establishments of
the private sector, we cannot hope to attract a significant flow of direct
foreign investments. Investors are wary of pouring money into an
environment that does not allow them to function in accordance with the
mechanisms and techniques of modern management, human resources and
marketing sciences, and it is precisely the absence of those mechanisms
that stands at the root of our deteriorating economic situation. True, we
began to address the problem ten years ago, but we need to adopt a far
more forceful approach if we are ever to transform the business
environment in this country into an investor-friendly environment governed
by the principles of modern management in all spheres of life.
Until then, repeating the slogan "Egypt's main problem is
management" without fully understanding the real significance and
implications of this diagnosis will remain nothing more than a meaningless
mantra.
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