Role of Managers Research Papers (original) (raw)

I analyze the current prevalence of the concept of shareholder value maximization in Brazil from the normative, case law, and managerial perspectives. On the normative aspect, I show that Brazilian corporate law is much closer to a balanced and socially oriented perspective for the role of managers rather than oriented towards a shareholder-centric view. An analysis of bylaws and mission statements of 150 large listed companies also shows that the vast majority does not point out the maximization of shareholders’ wealth as a core element of its identity. Around 60% of mission sentences identify customers as the main constituencies, while only 10% name shareholders as its central raison d’être. On the case law perspective, I review all 731 proceedings judged by CVM (the Brazilian Securities and Exchange Commission) from 2000 until 2014. I do not find cases where managers have been indicted for failing to maximize shareholder returns. In all instances, CVM holds that managers owe loyalty to the company as an entity and that its interests should come ahead of stockholders in case of divergence. I analyze the managerial perspective through a survey with 149 senior executives. The large majority do not agree that their mission is to maximize profits or shareholder value. This view differs somewhat in subgroups. Women have a more socially oriented approach to their role, while managers with a background in economics are more likely side with the shareholder value doctrine. However, I also note signs of moral hypocrisy from managers after observing inconsistent responses on an aggregate level to a set of five cases simulating typical corporate dilemmas. Overall, I show that Brazilian managers have great discretion, ensured by the law, company regulations and current jurisprudence, to make decisions that they deem to be socially responsible and in the best long-term interests of its companies. There is no basis other than management theories or ideological reasons, therefore, for managers to run companies in Brazil solely as money machines focused on maximizing shareholder value.

- by Alexandre Di Miceli da Silveira
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- Corporate Law, Corporate Governance, Brazil, Shareholder Value

This paper surveys the literature criticizing the view that managers should run companies aiming to create shareholder value by maximizing stock prices. Based on a multidisciplinary approach, I include empirical and theoretical papers from fields such as corporate law, management, finance, economics, business ethics, social psychology, political economy and sociology of organizations. Ten main harmful effects from the adoption of the shareholder value paradigm stand out. I also add to the literature by presenting anecdotal evidence through short business cases illustrating these adverse outcomes. Together, this growing literature provides compelling evidence that governing companies in order to maximize current stock prices might lead to severe negative consequences for all corporate constituencies, including society and shareholders themselves.

- by Wali Rehman
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- Organizational Change, Quality Improvement, Qualitative Research, Contextual Theology
- by Jan-Ake Tornroos and +1
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- Business Networks, Organizational Change, Quality Improvement, Qualitative Research

This paper uses available literature to critically evaluate two publications (Published in 2000 and 1995) in light of more recent development in the field of Business Excellence. It also explores the application of fairly new concepts of... more

- by Lore Van Gorp
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- Marketing, Organizational Change, International Business, Leadership

The concept of Kairology is derived from the ancient Greek, but largely unknown, god Kairos, whowas assumed to be in control of the right moment, or god of the more contemporary notion ofTiming.This paper is an essay about new avenues for the basis of managerial thinking and theories with atemporal focus. The paper looks specifically at the role of time and timing through event analysis inmanagement theory. First, the impact of change and stability on models and theories in managementare developed. Second the role of temporality, change aspects and timing related to contemporarybusiness environment is highlighted. Third, a perspective of new directions of managerial thinkingwith a temporal focus is developed. Fourth, proposals are made for a new research strategy andmanagerial practice. Kairology is a term denoting the theory of appropriate timing for action indifferentiated managerial situations and contexts. Traditional management theory deals withautonomous actors working in a world of organisational routines. A novel perspective should beconcerned with heteronomous actors in a world of complexity and surprises embedded in a networkof interdependencies. If this is the case we need a new management theory. Managers do in factreact to surprises as new opportunities or threats. They never do this alone; they always discuss,negotiate or experiment with new variations of actions within relevant time-space throughinteraction. Interaction is to move from heteronomy not to full autonomy, but rather to a state ofhomonomy (a neologism for the middle between autonomy and heteronomy, where relevant partnersthrough interaction have arrived to a sort of common understanding for acceptable behavior, i.e.shared rules or norms). We can say that events control man, not the other way around, as generalmanagerial thinking seems to propose. The essence of timing deals with this fact. When managersare timing correctly they can handle or understand events and event trajectories. But appropriatetiming may not be understood apriori, but only recognized aposteriori. Event analysis and timing ofacts in a stream of events can be used as a possible strategy for partial control of company destiny (apre-determined course of events often held to be an irresistible power or agency).

- by Jan-Ake Tornroos and +1
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- Business Networks, Organizational Change, Quality Improvement, Qualitative Research

In today's world of competitive business, Supply chain management has become the indispensable part of the action management dealing with business improvement and exploring the operational actions that managers and staff need to do to drive better business performance and achieve business excellence. The need of the customer is ever-changing at a galloping pace which makes an organization competitive and non-competitive based on the fulfillment of these needs. With increased supply chain management (SCM), practices, organizations are putting more emphasis on development of their human resources across chain to ensure green performance, through training and retraining of their employees. A systematic literature is reviewed and presented with this paper. The study focuses on managerial skills and abilities needed at various levels of Supply Chain.

- by Hiren Patel
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- Supply Chian Management, Role of Managers

The purpose of this article is to explore organizational learning processes by examining how companies learn to do something new, namely downsize, on the basis of a small sample of companies in Europe. In a first step, the range of... more