Appendix D: Managing [Part 1]

Purpose: To show students how to manage a business with financial accountability and a determination to focus on sustainability.

by Harold Geneen, with Alvin Moscow

Questions from Reading Selected Chapters

(Each student will be prepared to discuss the answers to each of the following questions in class.)

 

Introduction

 

1.      How many consecutive quarters did ITT increase its earnings over the year before?

 

2.      Complete the following: “Decide what it is you ______ ___ ___, and then start doing it.”

 

3.      Complete the following: “Geneen ran ITT with tight, ______ ____ _____, a large headquarters staff to ______ ___ _________, and, above all, _____-__-_____ ________ with the managers of ITT’s profit centers worldwide.”

 

4.      Complete the following: “He went over the major problems of each company, which were ‘___-_____’ in the monthly reports. But he also looked for _____________ because he believed all large corporations, like ITT, were __________.”

 

5.      Complete the following: “Geneen’s ______ _____ for answers in an open forum was Socratic. One question led to another. He demanded _____ and ________ backed by _______.”

 

Chapter 1: Theory G on Management

 

1.      Are management theories reliable?

 

2.      How did most successful managerial run their businesses?

 

3.      Complete the following: “___ ________ is one of the worst traps devised to ensnare the successful businessman.”

 

4.      Complete the following: “Not only would such a formula not work, it would violate everything we had built up in twenty years at ITT, which was the ______ in ___-____ management, all ________ _______ as fast as possible toward a single, ________-_______ set of goals.”

 

5.      Complete the following: “The only way I knew how to judge people at ITT was by the _______ ___ __________.”

 

6.      Complete the following: “The simple truth is that business is ______ _ ________. It follows ___ _________ ____; nor is it as predictable as machines.”

 

7.      Complete the following: “But a ________ ______ is probably most important as a means of gathering in facts.”

 

8.      Complete the following: “We learned as we went along: our bank of _______ grew richer; we become ________ and more _________ in handling more complex problems; we became more self-confident of our _________.”

 

9.      What does it mean “You keep your eye on the pot?”

 

Chapter 2: How to Run a Business

 

1.      Complete the following: “When all is said and done, a company, its chief executive, and his whole management team are judged by one criterion along---___________.”

 

2.      What did Geneen do at Raytheon? How did it perform?

 

3.      Complete the following: “I came to ITT knowing perhaps ____ ___ ________ about the company, for what I had read and been old about ITT turned out to be largely ________.”

 

4.      How did Geneen prepare himself to be comptroller at Bell & Howell in Chicago?

 

5.      Detail what did Geneen did “the first week or so” to prepare himself to assume the CEO responsibilities at ITT?

 

6.      How did the European operations function relative to the leadership of Hank Scudder?

 

7.      How did the European subsidiaries operate, before Geneen, relative to each other?

 

8.      Complete the following: “I had long believed that the primary role of a chief executive was to serve as a management team’s _________ and show his team where the ___________ were and how best to _____ ____, and finally to lead the way ______ __ ________.”

 

9.      What targets did Geneen set for ITT?

 

10.  What did Geneen mean by “quality of earnings?”

 

11.  Complete the following: “…I needed to attract to ITT the very best corporate managers and staff. I wanted men who not only were professionally capable and competent but also had the inner drive to thrive on the ____ _____, _______ _____, and ___________ thinking necessary to accomplish my idea of a bottom line.”

 

12.  Complete the following: “So, early on, I decided that if I and my headquarters team intended to monitor and oversee the European operations, I owed it to the European managers to __ ____ ___ ___ _____.”

 

13.  Why did Geneen eliminate long-range planning?

 

Chapter 3: Experience and Cash

 

Summarize the historical experience and background of Harold Geneen.