Distribution Management Quotes

Trauma. It doesn't eke itself out over time. It doesn't split itself manageably into bite-sized chunks and distribute itself equally throughout your life. Trauma is all or nothing. A tsunami wave of destruction. A tornado of unimaginable awfulness that whooshes into your life - just for one key moment - and wreaks such havoc that, in just an instant, your whole world will never be the same again.

Why do you hate Indians? You know white people are are much worse, don't you? It isn't as though there's some kind of international bar you're not reaching out here. We're terrible at everything. Lasting much past forty-five. Learning more than one language. It's a miracle, actually; sickly prematurely aging worryingly inbred horsey idiots have managed to convince everyone else their way is best by no other means than firmness of manner and the tactical distribution of flags. I can't believe no one's called our bluff yet.

Your energy is a valuable resource, distribute it wisely.

Inventory is something you don't see in nature. Everything in nature has continuous present utility. Our factories and distribution centers need to be optimized such that everything in there has continuous present utility.

We created Him, yes. The Neon God is our mess. Our digital hive-mind. Our A.I.,’ said Aurora, watching the man absent-mindedly gape at the ceiling. ‘We built Him to manage our finances, our logistics, our armies, our wealth distribution…. and… and He went crazy. 'Because we filled Him with crappy commercials and stopped maintaining His morals. He’s only like this because of us, all of us. It’s His Algorithm – the one you wrote, the one you keep feeding to Him – we need to watch out for. That’s the Neon God’s soul. That’s His Justice.

Won't reparations divide us? Not any more than we are already divided. The wealth gap merely puts a number on something we feel but cannot say - that American propserity was ill-gotten and selective in its distribution. What is needed is an airing of family secrets, a settling with old ghosts. What is needed is a healing of the American psyche and the banishment of white guilt.

Some managers mistake “customer focus” to mean they must serve all customer needs or respond to every request from distribution channels.

Making a product is just an activity, making a profit on a product is the achievement.

Who the hell cares who becomes the next Ravana of institutional mismanagement? God will have to sort that out. The only perfect management is in Vaikuntha anyway.

Your cells are a country of ten thousand trillion citizens, each devoted in some intensively specific way to your overall well-being. There isn’t a thing they don’t do for you. They let you feel pleasure and form thoughts. They enable you to stand and stretch and caper. When you eat, they extract the nutrients, distribute the energy, and carry off the wastes - all those things you learned about in junior high school biology - but they also remember to make you hungry in the first place and reward you with a feeling of well-being afterward so that you won’t forget to eat again. They keep your hair growing, your ears waxed, your brain quietly purring. They manage every corner of your being. They will jump to your defence the instant you are threatened. They will unhesitatingly die for you - billions of them do so daily. And not once in all your years have you thanked even one of them.

In my Toyota interviews, when I asked what distinguishes the Toyota Way from other management approaches, the most common first response was genchi gembutsu—whether I was in manufacturing, product development, sales, distribution, or public affairs. You cannot be sure you really understand any part of any business problem unless you go and see for yourself firsthand. It is unacceptable to take anything for granted or to rely on the reports of others.

This crusading spirit of the managers and engineers, the idea of designing and manufacturing and distributing being sort of a holy war: all that folklore was cooked up by public relations and advertising men hired by managers and engineers to make big business popular in the old days, which it certainly wasn't in the beginning. Now, the engineers and managers believe with all their hearts the glorious things their forebears hired people to say about them. Yesterday's snow job becomes today's sermon.

It would probably be best if managers went to the IT department and asked that e-mail not be distributed between eight and eleven every morning. The idea that the best way to communicate with people is 24/7 is not really an idea about maximizing productivity.

Still allergic to PowerPoints and formal presentations, he insisted that the people around the table hash out issues from various vantages and the perspectives of different departments. Because he believed that Apple's great advantage was its integration of the whole widget- from design to hardware to software to content-he wanted all departments at the company to work together in parallel. The phrases he used were "deep collaboration" and "concurrent engineering." Instead of a development process in which a product would be passed sequentially from engineering to design to manufacturing to marketing and distribution, these various departments collaborated simultaneously. " Our method was to develop integrated products, and that meant our process had to be integrated and collaborative," Jobs said. This approach also applied to key hires. He would have candidates meet the top leaders-Cook, Tevanian, Schiller, Rubinstein, Ive- rather than just the managers of the department where they wanted to work. " Then we all get together without the person and talk about whether they'll fit in," Jobs said.

There are clearly many ways to more equitably share the wealth that lies beneath our feet. Ostrom was quick to point out, however, that there is no panacea for managing land and its resources well: neither the market, the commons nor the state alone can provide an infallible blueprint. Approaches to distributive land design must fit the people and the place, and may well work best when they combine all three of these approaches to provisioning.44

Meanwhile, two miles down the mine shaft, nineteen men sat in absolute darkness trying to figure out what to do. One of the groups included a man whose arm had been pinned between two timbers, and, out of earshot, the others discussed whether to amputate it or not. The man kept begging them to, but they decided against it and he eventually died. Both groups ran out of food and water and started to drink their own urine. Some used coal dust or bark from the timbers to mask the taste. Some were so hungry that they tried to eat chunks of coal as well. There was an unspoken prohibition against crying, though some men allowed themselves to quietly break down after the lamps died, and many of them avoided thinking about their families. Mostly they just thought about neutral topics like hunting. One man obsessed over the fact that he owed $1.40 for a car part and hoped his wife would pay it after he died. Almost immediately, certain men stepped into leadership roles. While there was still lamplight, these men scouted open passageways to see if they could escape and tried to dig through rockfalls that were blocking their path. When they ran out of water, one man went in search of more and managed to find a precious gallon, which he distributed to the others. These men were also instrumental in getting their fellow survivors to start drinking their own urine or trying to eat coal. Canadian psychologists who interviewed the miners after their rescue determined that these early leaders tended to lack empathy and emotional control, that they were not concerned with the opinions of others, that they associated with only one or two other men in the group, and that their physical abilities far exceeded their verbal abilities. But all of these traits allowed them to take forceful, life-saving action where many other men might not.

the market economy is based on cyclical consumption and it really doesn’t matter what is being produced, how it is being produced, or why. If demand or production slows, so too does the movement of money, and when this happens, the economy contracts, systemically reducing the standard of living for many. Ecologically, this means capitalism is structurally oblivious to humanity’s existence on a finite planet. The system wants to produce, not conserve. In fact, if you think about it, you will discover an interesting paradox to market logic: the fact that capitalism is a scarcity-based economic system that actually seeks infinite consumption. In other words, it favors a threshold of goods scarcity to secure competitive profits, theorized as a model to properly manage scarcity, optimizing resource use and distribution. Yet, at the same time, the system demands more and more human dissatisfaction and “want” in order to function and grow. It rewards consumption, with no inherent incentive to conserve anything.

So, how did these rulers manage to maintain their power, distributing surplus as they pleased, undisturbed by the majority? The answer is: by cultivating an ideology which caused the majority to believe deep in their hearts that only their rulers had the right to rule. That they lived in the best of all possible worlds. That everything was the way it was destined to be. That the situation on the ground reflected some divine order. That any opposition to them clashed with that divine power’s will, threatening to send the world spinning out of control.

Power Distance Index” (PDI). Power distance is concerned with attitudes toward hierarchy, specifically with how much a particular culture values and respects authority. To measure it, Hofstede asked questions like “How frequently, in your experience, does the following problem occur: employees being afraid to express disagreement with their managers?” To what extent do the “less powerful members of organizations and institutions accept and expect that power is distributed unequally?” How much are older people respected and feared? Are power holders entitled to special privileges?

All around the world, people have an overwhelming sense that something is broken. This is leading to record levels of populism in the United States and Europe, resurgent intolerance, and a desire to upend the existing order. The left and right cannot agree on what is wrong, but they both know that something is rotten. Capitalism has been the greatest system in history to lift people out of poverty and create wealth, but the “capitalism” we see today in the United States is a far cry from competitive markets. What we have today is a grotesque, deformed version of capitalism. Economists such as Joseph Stiglitz have referred to it as “ersatz capitalism,” where the distorted representation we see is as far away from the real thing as Disney's Pirates of the Caribbean are from real pirates. If what we have is a fake version of capitalism, what does the real thing look like? What should we have? According to the dictionary, the idealized state of capitalism is “an economic system based on the private ownership of the means of production, distribution, and exchange, characterized by the freedom of capitalists to operate or manage their property for profit in competitive conditions.

Noticing the disturbing similarity between the rhetoric surrounding "open government" and new public management, government expert Just Longo speculates that the former might be just a Trojan horse for the latter; in our excitement about the immense potential of new technologies to promote openness and transparency, we may have lost sight of the deeply political nature of the uses to which these technologies are put... In India, recent digitization of land records and their subsequent publication online, while nominally an effort to empower the weak, may have actually empowered the rich and powerful. Once the digitized records were available for the whole world to see, some enterprising businessmen discovered that many poor families had no documents to prove ownership of land. In most cases, this was not the result of some nefarious land grab; local culture, with its predominantly oral ways of doing business, pervasive corruption, and poor literacy, partly explains why no such records exist... The point here, as with most open-government schemes, is not that information shouldn't be collected or distributed; rather, it needs to be collected and distributed in full awareness of the social and cultural complexity of the institutional environment in which it is gathered.

By 1986 the CIA was spending 70 per cent of its entire operations budget funding a Muslim jihad to kill Russians. The whole campaign was managed by a bunch of Islamists who were giving the lion’s share of the US money and weapons to people who wanted to kill Americans. The US was happy to use Islam as a rallying cry. The CIA funded the printing of Korans to be distributed throughout the region, and the University of Nebraska produced primary-school textbooks, known as ‘the ABC of Jihad’, which taught children the alphabet and to count with Kalashnikovs and swords instead of apples and oranges, and were filled with images of Islamic warriors. Alphabet

There isn’t a thing they don’t do for you. They let you feel pleasure and form thoughts. They enable you to stand and stretch and caper. When you eat, they extract the nutrients, distribute the energy, and carry off the wastes—all those things you learned about in junior high school biology—but they also remember to make you hungry in the first place and reward you with a feeling of well-being afterward so that you won’t forget to eat again. They keep your hair growing, your ears waxed, your brain quietly purring. They manage every corner of your being. They will jump to your defense the instant you are threatened. They will unhesitatingly die for you—billions of them do so daily. And not once in all your years have you thanked even one of them. So

But influential business leaders were eager proponents of numbers-driven merit pay for teachers. Ross Perot, for example, pushed Dallas to implement a plan to use test scores alone to evaluate teachers and distribute pay increases. So it was ironic that private industry had, by the 1980s, mostly turned away from efforts to pay white-collar workers according to strict productivity measures, finding that such formal evaluation programs were too expensive and time-consuming to create and implement. Research showed that companies with merit pay schemes did not perform better financially than did organizations without it, nor were their employees happier. Instead, management gurus recommended that workers be judged primarily by the holistic standards of individual supervisors.

The earlier Aryan invaders of the Gangetic Plain presided over feasts of cattle, horses, goats, buffalo, and sheep. By later Vedic and early Hindu times, during the first millenium B.C., the feasts came to be managed by the priestly caste of Brahmans, who erected rituals of sacrifice around the killing of animals and distributed the meat in the name of the Aryan chiefs and war lords. After 600 B.C., when populations grew denser and domestic animals became proportionately scarcer, the eating of meat was progressively restricted until it became a monopoly of the Brahmans and their sponsors. Ordinary people struggled to conserve enough livestock to meet their own desperate requirements for milk, dung used as fuel, and transport. During this period of crisis, reformist religions arose, most prominently Buddhism and Jainism, that attempted to abolish castes and hereditary priesthoods and to outlaw the killing of animals. The masses embraced the new sects, and in the end their powerful support reclassified the cow into a sacred animal. So it appears that some of the most baffling of religious practices in history might have an ancestry passing in a straight line back to the ancient carnivorous habits of humankind. Cultural anthropologists like to stress that the evolution of religion proceeds down multiple, branching pathways. But these pathways are not infinite in number; they may not even be very numerous. It is even possible that with a more secure knowledge of human nature and ecology, the pathways can be enumerated and the directions of religious evolution in individual cultures explained with a high level of confidence.

The character of the Republican Party reflects a profound change: radicalism has shifted its location and meaning. Formerly it was associated with the Left and with the use of political power to lift the standard of living and life prospects of the lower classes, of those who were disadvantaged under current distributive principles. Radicalism is now the property of those who, quaintly, call themselves “conservatives” and are called such by media commentators. In fact, pseudoconservatism is in charge of and owns the radicalizing powers that are dramatically changing, in some cases revolutionizing, the conditions of human life, of economy, politics, foreign policy, education, and the prospects of the planet. It is hard to imagine any power more radical in its determination to undo the social gains of the past century.

The vigour of a nation in its origin was in a way physical, unitary, and crude; then as aggregations increased, government advanced by a decomposition of the primitive rule, more or less skillfully managed. For example, in remote ages national strength lay in theocracy, the priest held both the sword and censer; a little later there were two priests, the pontiff and the king. To-day our society, the latest word of civilisation, has distributed power according to the number of combinations, and we come to the forces called business, thought, money, and eloquence. Authority thus divided is steadily approaching a social dissolution, with interest as its one opposing barrier. We depend no longer on either religion or physical force, but upon intellect. Can a book replace a sword? Can discussion substitute for action? That is the question'".

But I just knew, from everything that I saw, that there is no transcending the human experience. You’ve got to realize that most of us feel permanently displaced and savagely undone. Most of us try everything we can to manage our fears and our insecurities. Most of us are profoundly inhuman to ourselves and other people, and that makes us no less valuable, and no less worthy of attention and love. I didn’t transcend all this stuff, you just got to live with them, man, and there’s nothing like trying to run away from all that stuff to guarantee its supremacy. My idea is to change at least the percentage of the vote. These voices are always going to get a vote, but do they always have to have the majority of the vote? . . . You try to distribute who you are in different proportions, but the transcendence myth will just do you in, in the long run.

At such moments our life is divided, and so to speak distributed over a pair of scales, in two counterpoised pans which between them contain it all. In one there is our desire not to displease, not to appear too humble to the creature whom we love without managing to understand her, but whom we find it more convenient at times to appear almost to disregard, so that she shall not have that sense of her own indispensability which may turn her from us; in the other scale there is a feeling of pain — and one that is not localised and partial only — which cannot be set at rest unless, abandoning every thought of pleasing the woman and of making her believe that we can dispense with her, we go at once to find her. When we withdraw from the pan in which our pride lies a small quantity of the will-power which we have weakly allowed to exhaust itself with increasing

All night the fighting had been furious, with no let-up. Fur and Freedom Fighters had battled against flaming shafts with their bare paws and sand. Four lay dead and three wounded. Smoke-grimed and bleary-eyed, they had plucked burning arrows from the wood, strung them on their bows and returned them to stick blazing in the gates of Marshank. The javelin supply was depleted, one shaft being retained for each creature in the event that paw-to-paw combat would be their final stand. There were still plenty of rocks to sling, Keyla and Tullgrew taking charge of the slingers whilst Ballaw managed a frugal breakfast. The hare sat wearily against one of the sandbanks that had been shorn up either side of the cart, Rowanoak slumped beside him. Both were singed and smoke-grimed. Rowanoak drank half her water, passing the rest on to Brome, who distributed it among the wounded. The badger wiped a sandy paw across her scorched muzzle. ‘Well, Ballaw De Quincewold, what’s to report?’ The irrepressible hare wiped dust from his half-scone ration and looked up at the sky. ‘Report? Er, nothin’ much really, except that it looks like being another nice sunny day, wot!’ A flaming arrow extinguished itself in the sand close by Rowanoak. She tossed it on to a pile of other shafts waiting to be shot. ‘A nice day indeed. D’you think we’ll be around to see the sunset?’ Without waiting for an answer, she continued, ‘I wonder if that owl – Boldred, wasn’t it – I wonder if she ever managed to get through to this Martin the Warrior creature.’ Ballaw picked dried blood from a wound on his narrow chest. ‘Doesn’t look like it, does it? No, old Rowan me badger oak, I think the stage is all ours and it’ll be our duty to give the best performance we can before the curtain falls for the last time.

Qualities such as honesty, determination, and a cheerful acceptance of stress, which can all be identified through probing questionnaires and interviews, may be more important to the company in the long run than one's college grade-point average or years of "related experience." Every business is only as good as the people it brings into the organization. The corporate trainer should feel his job is the most important in the company, because it is. Exalt seniority-publicly, shamelessly, and with enough fanfare to raise goosebumps on the flesh of the most cynical spectator. And, after the ceremony, there should be some sort of permanent display so that employees passing by are continuously reminded of their own achievements and the achievements of others. The manager must freely share his expertise-not only about company procedures and products and services but also with regard to the supervisory skills he has worked so hard to acquire. If his attitude is, "Let them go out and get their own MBAs," the personnel under his authority will never have the full benefit of his experience. Without it, they will perform at a lower standard than is possible, jeopardizing the manager's own success. Should a CEO proclaim that there is no higher calling than being an employee of his organization? Perhaps not-for fear of being misunderstood-but it's certainly all right to think it. In fact, a CEO who does not feel this way should look for another company to manage-one that actually does contribute toward a better life for all. Every corporate leader should communicate to his workforce that its efforts are important and that employees should be very proud of what they do-for the company, for themselves, and, literally, for the world. If any employee is embarrassed to tell his friends what he does for a living, there has been a failure of leadership at his workplace. Loyalty is not demanded; it is created. Why can't a CEO put out his own suggested reading list to reinforce the corporate vision and core values? An attractive display at every employee lounge of books to be freely borrowed, or purchased, will generate interest and participation. Of course, the program has to be purely voluntary, but many employees will wish to be conversant with the material others are talking about. The books will be another point of contact between individuals, who might find themselves conversing on topics other than the weekend football games. By simply distributing the list and displaying the books prominently, the CEO will set into motion a chain of events that can greatly benefit the workplace. For a very cost-effective investment, management will have yet another way to strengthen the corporate message. The very existence of many companies hangs not on the decisions of their visionary CEOs and energetic managers but on the behavior of its receptionists, retail clerks, delivery drivers, and service personnel. The manager must put himself and his people through progressively challenging courage-building experiences. He must make these a mandatory group experience, and he must lead the way. People who have confronted the fear of public speaking, and have learned to master it, find that their new confidence manifests itself in every other facet of the professional and personal lives. Managers who hold weekly meetings in which everyone takes on progressively more difficult speaking or presentation assignments will see personalities revolutionized before their eyes. Command from a forward position, which means from the thick of it. No soldier will ever be inspired to advance into a hail of bullets by orders phoned in on the radio from the safety of a remote command post; he is inspired to follow the officer in front of him. It is much more effective to get your personnel to follow you than to push them forward from behind a desk. The more important the mission, the more important it is to be at the front.

There was once a businessman who was sitting by the beach in a small Brazilian village. As he sat, he saw a Brazilian fisherman rowing a small boat toward the shore having caught quite a few big fish. The businessman was impressed and asked the fisherman, “How long does it take you to catch so many fish?” The fisherman replied, “Oh, just a short while.” “Then why don’t you stay longer at sea and catch even more?” The businessman was astonished. “This is enough to feed my whole family,” the fisherman said. The businessman then asked, “So, what do you do for the rest of the day?” The fisherman replied, “Well, I usually wake up early in the morning, go out to sea and catch a few fish, then go back and play with my kids. In the afternoon, I take a nap with my wife, and [when] evening comes, I join my buddies in the village for a drink—we play guitar, sing and dance throughout the night.” The businessman offered a suggestion to the fisherman. “I am a PhD in business management. I could help you to become a more successful person. From now on, you should spend more time at sea and try to catch as many fish as possible. When you have saved enough money, you could buy a bigger boat and catch even more fish. Soon you will be able to afford to buy more boats, set up your own company, your own production plant for canned food and distribution network. By then, you will have moved out of this village and to São Paulo, where you can set up an HQ to manage your other branches.” The fisherman continues, “And after that?” The businessman laughs heartily. “After that, you can live like a king in your own house, and when the time is right, you can go public and float your shares in the Stock Exchange, and you will be rich.” The fisherman asks, “And after that?” The businessman says, “After that, you can finally retire, you can move to a house by the fishing village, wake up early in the morning, catch a few fish, then return home to play with [your] kids, have a nice afternoon nap with your wife, and when evening comes, you can join your buddies for a drink, play the guitar, sing and dance throughout the night!” The fisherman was puzzled. “Isn’t that what I am doing now?

Why hives? Despite unfortunate terms like “queen” and “worker,” hives are actually distributed, nonhierarchical systems. For a swarm of insects, the mission might be “relocate the food source,” which they carry out algorithmically through regurgitated food or pheromone secretions. But there are no managers, no directors, and no assignments from above. Planning, such as there is, is carried out in highly localized fashion by ad hoc teams operating according to their commitment to a mission. When I pressed Green about operating in some sort of organizational anarchy, he replied: “I guess it is anarchy in the sense that there’s no structural chain of command or hierarchy—no ‘government’ of sorts. But it would be a mistake to assume that it’s disordered or without structure. On the contrary, it’s very ordered and there is structure.” The difference in these organizations is how one arrives at order and structure. In traditional firms, it happens by design, that is, through some sort of command-and-control hierarchy. But at firms like Morning Star, groups of individuals create order through social networks built around circumstances and needs. It’s as if the firm had an invisible hand.

The Russian goal was to quickly harness the power of personal access that social media gives and craft metanarratives and distribute in such a way that the enemy population can be turned against their own government. Opinion polls, news coverage, and street talk can be shifted by changing the perception of the populace. Social media not only weaponizes opinion, it gives the attacker the ability to act as puppeteer for an entire foreign nation. Two Russian information warfare officers wrote a treatise describing the combat effects of weaponized news and social media: “The mass media today can stir up chaos and confusion in government and military management of any country and instill ideas of violence, treachery, and immorality, and demoralize the public. Put through this treatment, the armed forces personnel and public of any country will not be ready for active defense.”1 Additionally, the Russians make no distinction between using these activities in wartime and “peace.” The Russian Federation will deploy information warfare and propaganda persistently in a constant effort to keep adversaries off balance. When it comes to information warfare, such distinctions of peacetime and wartime fade away.

There are hundreds of examples of highly functioning commons around the world today. Some have been around for centuries, others have risen in response to economic and environmental crises, and still others have been inspired by the distributive bias of digital networks. From the seed-sharing commons of India to the Potato Park of Peru, indigenous populations have been maintaining their lands and managing biodiversity through a highly articulated set of rules about sharing and preservation. From informal rationing of parking spaces in Boston to Richard Stallman’s General Public License (GPL) for software, new commons are serving to reinstate the value of land and labor, as well as the ability of people to manage them better than markets can. In the 1990s, Elinor Ostrom, the American political scientist most responsible for reviving serious thought about commoning, studied what specifically makes a commons successful. She concluded that a commons must have an evolving set of rules about access and usage and that it must have a way of punishing transgressions. It must also respect the particular character of the resource being managed and the people who have worked with that resource the longest. Managing a fixed supply of minerals is different from managing a replenishing supply of timber. Finally, size and place matter. It’s easier for a town to manage its water supply than for the planet to establish water-sharing rules.78 In short, a commons must be bound by people, place, and rules. Contrary to prevailing wisdom, it’s not an anything-goes race to the bottom. It is simply a recognition of boundaries and limits. It’s pooled, multifaceted investment in pursuit of sustainable production. It is also an affront to the limitless expansion sought by pure capital. If anything, the notion of a commons’ becoming “enclosed” by privatization is a misnomer: privatizing a commons breaks the boundaries that protected its land and labor from pure market forces. For instance, the open-source seed-sharing networks of India promote biodiversity and fertilizer-free practices among farmers who can’t afford Western pesticides.79 They have sustained themselves over many generations by developing and adhering to a complex set of rules about how seed species are preserved, as well as how to mix crops on soil to recycle its nutrients over centuries of growing. Today, they are in battle with corporations claiming patents on these heirloom seeds and indigenous plants. So it’s not the seed commons that have been enclosed by the market at all; rather, the many-generations-old boundaries have been penetrated and dissolved by disingenuously argued free-market principles.

Data sliced sufficiently finely begin once again to tell stories. The top 1 percent of the income distribution—representing household incomes in excess of roughly $475,000—comprises only about 1.5 million households. If one adds up the numbers of vice presidents or above at S&P 1500 companies (perhaps 250,000), professionals in the finance sector, including in hedge funds, venture capital, private equity, investment banking, and mutual funds (perhaps 250,000), professionals working at the top five management consultancies (roughly 60,000), partners at law firms whose profits per partner exceed $400,000 (roughly 25,000), and specialist doctors (roughly 500,000), this yields perhaps 1 million people. These are surely not all one-percenters, but they are all plausibly parts of the top 1 percent, and this group might comprise half—a sizable share—of 1 percent households overall. At the very least, the people in these known and named jobs constitute a material, rather than just marginal or eccentric, part of the top 1 percent of the income distribution. They are also, of course, the people depicted in journalistic accounts of extreme jobs—the people who regularly cancel vacation plans, spend most of their time on the road, live in unfurnished luxury apartments, and generally subsume themselves in work, encountering their personal lives only occasionally, and as strangers.

Of all of Hofstede’s Dimensions, though, perhaps the most interesting is what he called the “Power Distance Index” (PDI). Power distance is concerned with attitudes toward hierarchy, specifically with how much a particular culture values and respects authority. To measure it, Hofstede asked questions like “How frequently, in your experience, does the following problem occur: employees being afraid to express disagreement with their managers?” To what extent do the “less powerful members of organizations and institutions accept and expect that power is distributed unequally?” How much are older people respected and feared? Are power holders entitled to special privileges? “In low–power distance index countries,” Hofstede wrote in his classic text Culture’s Consequences: power is something of which power holders are almost ashamed and they will try to underplay. I once heard a Swedish (low PDI) university official state that in order to exercise power he tried not to look powerful. Leaders may enhance their informal status by renouncing formal symbols. In (low PDI) Austria, Prime Minister Bruno Kreisky was known to sometimes take the streetcar to work. In 1974, I actually saw the Dutch (low PDI) prime minister, Joop den Uyl, on vacation with his motor home at a camping site in Portugal. Such behavior of the powerful would be very unlikely in high-PDI Belgium or France.*

The problem of distributing bathroom tissue to workers presents inherent challenges for any office management system due to the inherent unpredictability of usage—not every facility usage transaction necessitates the use of bathroom tissue, and when it is used, the amount needed (number of squares) may vary quite widely from person to person and, for a given person, from one transaction to the next. This does not even take into account the occasional use of bathroom tissue for unpredictable/creative purposes such as applying/removing cosmetics, beveragespill management, etc. For this reason, rather than trying to package bathroom tissue in small one-transaction packets (as is done with premoistened towelettes, for example), which can be wasteful in some cases and limiting in other cases, it has been traditional to package this product in bulk distribution units whose size exceeds the maximum amount of squares that an individual could conceivably use in a single transaction (barring force majeure). This reduces to a minimum the number of transactions in which the distribution unit is depleted (the roll runs out) during the transaction, a situation that can lead to emotional stress for the affected employee. However, it does present the manager with some challenges in that the distribution unit is rather bulky and must be repeatedly used by a number of different individuals if it is not to be wasted.

In exchange for some wide-ranging modifications demanded by the socialist government to the church’s 1929 concordat, Italy agreed to underwrite the remainder of the $406 million settlement.53 The changes to the concordat would have once been unthinkable. The church dropped its insistence that Roman Catholicism be the state religion. Moving forward, the state had to confirm church-annulled marriages. Parents were given the right to opt their children out of formerly mandatory religious education classes. And Rome was no longer considered a “sacred city,” a classification that had allowed the Vatican to keep out strip clubs and the porn industry. Italy even managed to get the church to relinquish control of the Jewish catacombs. “The new concordat is another example of the diminishing hold of the Roman Catholic church in civil life in Italy,” noted The New York Times.54 In return, Italy instituted an“eight-per-thousand” tax, in which 0.8 percent of the income tax paid by ordinary Italians was distributed to one of twelve religious organizations recognized by the state. During its early years, nearly 90 percent of the tax went to the Catholic Church (by 2010, the church received less than 50 percent as the tax was more equitably distributed). Not only did the tax relieve Italy of its responsibility for the $135 million annual subsidy it paid for the country’s 35,000 priests, it meant the church had a steady and reliable source of much needed income.55

Walking back through the mall to the exit nearest our part of the parking lot, we passed one shop which sold computers, printers, software, and games. It was packed with teenagers, the kind who wear wire rims and know what the new world is about. The clerks were indulgent, letting them program the computers. Two hundred yards away, near the six movie houses, a different kind of teenager shoved quarters into the space-war games, tensing over the triggers, releasing the eerie sounds of extraterrestrial combat. Any kid back in the computer store could have told the combatants that because there is no atmosphere in space, there is absolutely no sound at all. Perfect distribution: the future managers and the future managed ones. Twenty in the computer store, two hundred in the arcade. The future managers have run on past us into the thickets of CP/M, M-Basic, Cobal, Fortran, Z-80, Apples, and Worms. Soon the bosses of the microcomputer revolution will sell us preprogrammed units for each household which will provide entertainment, print out news, purvey mail-order goods, pay bills, balance accounts, keep track of expenses, and compute taxes. But by then the future managers will be over on the far side of the thickets, dealing with bubble memories, machines that design machines, projects so esoteric our pedestrian minds cannot comprehend them. It will be the biggest revolution of all, bigger than the wheel, bigger than Franklin’s kite, bigger than paper towels.

This bio-power was without question an indispensable element in the development of capitalism; the latter would not have been possible without the controlled insertion of bodies into the machinery of production and the adjustment of the phenomena of population to economic processes. But this was not all it required; it also needed the growth of both these factors, their reinforcement as well as their availability and docility; it had to have methods of power capable of optimizing forces, aptitudes, and life in general without at the same time making them more difficult to govern. If the development of the great instruments of the state, as institutions of power, ensured the maintenance of production relations, the rudiments of anatomo- and bio-politics, created in the eighteenth century as techniques of power present at every level of the social body and utilized by very diverse institutions (the family and the army, schools and the police, individual medicine and the administration of collective bodies), operated in the sphere of economic processes, their development, and the forces working to sustain them. They also acted as factors of segregation and social hierarchization, exerting their influence on the respective forces of both these movements, guaranteeing relations of domination and effects of hegemony. The adjustment of the accumulation of men to that of capital, the joining of the growth of human groups to the expansion of productive forces and the differential allocation of profit, were made possible in part by the exercise of bio-power in its many forms and modes of application. The investment of the body, its valorization, and the distributive management of its forces were at the time indispensable.

Yet the deepest and most enduring forms of cultural change nearly always occurs from the “top down.” In other words, the work of world-making and world-changing are, by and large, the work of elites: gatekeepers who provide creative direction and management within spheres of social life. Even where the impetus for change draws from popular agitation, it does not gain traction until it is embraced and propagated by elites. The reason for this, as I have said, is that culture is about how societies define reality—what is good, bad, right, wrong, real, unreal, important, unimportant, and so on. This capacity is not evenly distributed in a society, but is concentrated in certain institutions and among certain leadership groups who have a lopsided access to the means of cultural production. These elites operate in well-developed networks and powerful institutions. Over time, cultural innovation is translated and diffused. Deep-rooted cultural change tends to begin with those whose work is most conceptual and invisible and it moves through to those whose work is most concrete and visible. In a very crude formulation, the process begins with theorists who generate ideas and knowledge; moves to researchers who explore, revise, expand, and validate ideas; moves on to teachers and educators who pass those ideas on to others, then passes on to popularizers who simplify ideas and practitioners who apply those ideas. All of this, of course, transpires through networks and structures of cultural production. Cultural change is most enduring when it penetrates the structure of our imagination, frameworks of knowledge and discussion, the perception of everyday reality. This rarely if ever happens through grassroots political mobilization though grassroots mobilization can be a manifestation of deeper cultural transformation.

The 12 Principles of Permaculture Investing are: 1. Accumulate & Compound Capital: Consistently save and invest to grow your capital base over time, leveraging the power of compound interest. 2. Utilize Capital: Actively deploy your capital into productive investments that generate returns, rather than letting it sit idle. 3. Retain Maximum & Gradiented Liquidity: Maintain a balance between liquid assets (easily accessible cash) and less liquid investments, ensuring you can meet immediate needs while still investing for the long term. 4. Actively Manage Passive: While focusing on passive income sources, actively monitor and adjust your investments to optimize returns and mitigate risks. 5. Prioritize Long-Term Growth: Focus on investments that offer potential for significant growth over the long term, even if they don't provide immediate high yields. 6. Prioritize Consistent Yields: Balance your portfolio with investments that provide reliable, consistent income to support your financial needs. 7. Add Net Value to all Stakeholders: Invest in ways that benefit not only yourself but also the broader community, environment, and all parties involved. 8. Provide Authentic Data: Be transparent and honest in your financial reporting, providing accurate information to all stakeholders. 9. Collect & Utilize Authentic Data: Base your investment decisions on reliable, verified data rather than speculation or rumors. 10. Diversify Holistically: Diversify your investments across different asset classes, industries, and geographical regions to reduce risk and maximize potential returns. 11. Harvest Yields Equitably: Distribute profits fairly among all stakeholders, ensuring everyone benefits from the investment's success. 12. Reinvest Yields in Most Profitable Assets: Continuously evaluate your portfolio and reinvest profits into the most promising opportunities to further compound your growth.

recalled Stephen Crocker, a graduate student on the UCLA team who had driven up with his best friend and colleague, Vint Cerf. So they decided to meet regularly, rotating among their sites. The polite and deferential Crocker, with his big face and bigger smile, had just the right personality to be the coordinator of what became one of the digital age’s archetypical collaborative processes. Unlike Kleinrock, Crocker rarely used the pronoun I; he was more interested in distributing credit than claiming it. His sensitivity toward others gave him an intuitive feel for how to coordinate a group without trying to centralize control or authority, which was well suited to the network model they were trying to invent. Months passed, and the graduate students kept meeting and sharing ideas while they waited for some Powerful Official to descend upon them and give them marching orders. They assumed that at some point the authorities from the East Coast would appear with the rules and regulations and protocols engraved on tablets to be obeyed by the mere managers of the host computer sites. “We were nothing more than a self-appointed bunch of graduate students, and I was convinced that a corps of authority figures or grownups from Washington or Cambridge would descend at any moment and tell us what the rules were,” Crocker recalled. But this was a new age. The network was supposed to be distributed, and so was the authority over it. Its invention and rules would be user-generated. The process would be open. Though it was funded partly to facilitate military command and control, it would do so by being resistant to centralized command and control. The colonels had ceded authority to the hackers and academics. So after an especially fun gathering in Utah in early April 1967, this gaggle of graduate students, having named itself the Network Working Group, decided that it would be useful to write down some of what they had conjured up.95 And Crocker, who with his polite lack of pretense could charm a herd of hackers into consensus, was tapped for the task. He was anxious to find an approach that did not seem presumptuous. “I realized that the mere act of writing down what we were talking about could be seen as a presumption of authority and someone was going to come and yell at us—presumably some adult out of the east.

An American businessman took a vacation to a small coastal Mexican village on doctor’s orders. Unable to sleep after an urgent phone call from the office the first morning, he walked out to the pier to clear his head. A small boat with just one fisherman had docked, and inside the boat were several large yellowfin tuna. The American complimented the Mexican on the quality of his fish. “How long did it take you to catch them?” the American asked. “Only a little while,” the Mexican replied in surprisingly good English. “Why don’t you stay out longer and catch more fish?” the American then asked. “I have enough to support my family and give a few to friends,” the Mexican said as he unloaded them into a basket. “But… What do you do with the rest of your time?” The Mexican looked up and smiled. “I sleep late, fish a little, play with my children, take a siesta with my wife, Julia, and stroll into the village each evening, where I sip wine and play guitar with my amigos. I have a full and busy life, señor.” The American laughed and stood tall. “Sir, I’m a Harvard M.B.A. and can help you. You should spend more time fishing, and with the proceeds, buy a bigger boat. In no time, you could buy several boats with the increased haul. Eventually, you would have a fleet of fishing boats.” He continued, “Instead of selling your catch to a middleman, you would sell directly to the consumers, eventually opening your own cannery. You would control the product, processing, and distribution. You would need to leave this small coastal fishing village, of course, and move to Mexico City, then to Los Angeles, and eventually to New York City, where you could run your expanded enterprise with proper management. The Mexican fisherman asked, “But, señor, how long will all this take?” To which the American replied, “15-20 years, 25 tops.” “But what then, señor?” The American laughed and said, “That’s the best part. When the time is right, you would announce an IPO and sell your company stock to the public and become very rich. You would make millions.” “Millions señor? Then what?" “Then you would retire and move to a small coastal fishing village, where you would sleep late, fish a little, play with your kids, take a siesta with your wife, and stroll in to the village in the evenings where you could sip wine and play your guitar with your amigos.

The problem of distributing bathroom tissue to workers presents inherent challenges for any office management system due to the inherent unpredictability of usage—not every facility usage transaction necessitates the use of bathroom tissue, and when it is used, the amount needed (number of squares) may vary quite widely from person to person and, for a given person, from one transaction to the next. This does not even take into account the occasional use of bathroom tissue for unpredictable/creative purposes such as applying/removing cosmetics, beverage-spill management, etc.

Socialism is basically a call for greater equality in political power and the distribution of goods. It managed to rally much of the working class behind it.

As nervous systems developed, they acquired an elaborate network of peripheral probes—the peripheral nerves that are distributed to every parcel of the body’s interior and to its entire surface, as well as to specialized sensory devices that enable seeing, hearing, touching, smelling, and tasting. Nervous systems also acquired an elaborate collection of aggregated central processors in the central nervous system, conventionally called the brain.10 The latter includes (1) the spinal cord; (2) the brain stem and the closely related hypothalamus; (3) the cerebellum; (4) a number of large nuclei located above brain-stem level—in the thalamus, basal ganglia, and basal forebrain; and (5) the cerebral cortex, the most modern and sophisticated component of the system. These central processors manage learning and memory storage of signals of every possible sort and also manage the integration of these signals; they coordinate the execution of complex responses to inner states and incoming stimuli—a critical operation that includes drives, motivations, and emotions proper; and they manage the process of image manipulation that we otherwise know as thinking, imagining, reasoning, and decision making. Last, they manage the conversion of images and of their sequences into symbols and eventually into languages—coded sounds and gestures whose combinations can signify any object, quality, or action, and whose linkage is governed by a set of rules called grammar. Equipped with language, organisms can generate continuous translations of nonverbal to verbal items and build dual-track narratives of such items.

Mr. Gresham had been Prime Minister of England, as representative of the Liberal party in politics. There had come to be a split among those who should have been his followers on the terribly vexed question of the Ballot. Then Mr. Daubeny for twelve months had sat upon the throne distributing the good things of the Crown amidst Conservative birdlings, with beaks wide open and craving maws, who certainly for some years previous had not received their share of State honours or State emoluments. And Mr. Daubeny was still so sitting, to the infinite dismay of the Liberals, every man of whom felt that his party was entitled by numerical strength to keep the management of the Government within its own hands.

When dealing only with his own money, investment losses never bothered Munger much. To him it was like a losing night in a regular poker game where you knew you were one of the best players—you'd make up the difference later. But he now found that reported, temporary quotational losses in the Wheeler, Munger limited partnership accounts gave him tremendous pain. And so, by the end of 1974, he had resolved, like Buffett, to stop managing money for others in a limited partnership format. He would liquidate Wheeler, Munger after its asset value made a substantial recovery. And he would liquidate soon enough so that he would not take any general partner's override when the main investment positions were distributed. In 1975, Wheeler, Munger did make an impressive recovery with a gain of 73.2 percent, and Munger and Marshall liquidated the partnership early in 1976.

In the early days of supply chain management, manufacturing and distribution processes were insourced. Companies owned their bricks and mortar, and products were made and sold within the same region. Today’s supply chain is largely outsourced. Manufacturing

for 100 years the major labels, publishers, and studios created value in their industries by using their size to manage two forms of scarcity: scarcity in the capacity of distribution and promotion channels and scarcity in the financial and technical resources necessary to create content. The

Indeed, in many agricultural regions — including northern China, southern India (as well as the Punjab), Mexico, the western United States, parts of the Middle East, and elsewhere — water may be much more of a constraint to future food production than land, crop yield potential, or most other factors. Developing and distributing technologies and practices that improve water management is critical to sustaining the food production capability we now have, much less increasing it for the future. Water-short Israel is a front-runner in making its agricultural economy more water-efficient. Its current agricultural output could probably not have been achieved without steady advances in water management — including highly efficient drip irrigation, automated systems that apply water only when crops need it, and the setting of water allocations based on predetermined optimum water applications for each crop. The nation’s success is notable: between 1951 and 1990, Israeli farmers reduced the amount of water applied to each hectare of cropland by 36 percent. This allowed the irrigated area to more than triple with only a doubling of irrigation water use.37 Whether

The separation of mind and body that informs medical practice is also the dominant ideology in our culture. We do not often think of socio-economic structures and practices as determinants of illness or well-being. They are not usually “part of the equation.” Yet the scientific data is beyond dispute: socio-economic relationships have a profound influence on health. For example, although the media and the medical profession — inspired by pharmaceutical research — tirelessly promote the idea that next to hypertension and smoking, high cholesterol poses the greatest risk for heart disease, the evidence is that job strain is more important than all the other risk factors combined. Further, stress in general and job strain in particular are significant contributors both to high blood pressure and to elevated cholesterol levels. Economic relationships influence health because, most obviously, people with higher incomes are better able to afford healthier diets, living and working conditions and stress-reducing pursuits. Dennis Raphael, associate professor at the School of Health Policy and Management at York University in Toronto has recently published a study of the societal influences on heart disease in Canada and elsewhere. His conclusion: “One of the most important life conditions that determine whether individuals stay healthy or become ill is their income. In addition, the overall health of North American society may be more determined by the distribution of income among its members rather than the overall wealth of the society…. Many studies find that socioeconomic circumstances, rather than medical and lifestyle risk factors, are the main causes of cardiovascular disease, and that conditions during early life are especially important.” The element of control is the less obvious but equally important aspect of social and job status as a health factor. Since stress escalates as the sense of control diminishes, people who exercise greater control over their work and lives enjoy better health. This principle was demonstrated in the British Whitehall study showing that second-tier civil servants were at greater risk for heart disease than their superiors, despite nearly comparable incomes. Recognizing the multigenerational template for behaviour and for illness, and recognizing, too, the social influences that shape families and human lives, we dispense with the unhelpful and unscientific attitude of blame. Discarding blame leaves us free to move toward the necessary adoption of responsibility, a matter to be taken up when we come in the final chapters to consider healing.

In an attempt to head off such stinging and potentially damaging criticism both Rockefeller and Carnegie poured hundreds of millions of dollars into public works. In Rockefeller’s case the money went to Chicago University, the Rockefeller Institute for Medical Research (today Rockefeller University), and the General Education Board that announced it would teach children ‘to do in a perfect way the things their fathers and mothers are doing in an imperfect way’. In 1913 he and his son established the Rockefeller Foundation that remains one of the richest charitable organisations in the world. Carnegie too used his money to encourage education. His grand scheme was to fund the opening of libraries, and between 1883 and 1929 more than 2,000 were founded all over the world. In many small towns in America and in Britain, the Carnegie Library is still one of their most imposing buildings, always specially designed and built in a wide variety of architectural styles. In 1889, Carnegie wrote his Gospel of Wealth first published in America and then, at the suggestion of Gladstone, in Britain. He said that it was the duty of a man of wealth to set an example of ‘modest, unostentatious living, shunning display or extravagance’, and, once he had provided ‘moderately’ for his dependents, to set up trusts through which his money could be distributed to achieve in his judgement, ‘the most beneficial result for the community’. Carnegie believed that the huge differences between rich and poor could be alleviated if the administration of wealth was judiciously and philanthropi-cally managed by those who possessed it. Rich men should start giving away money while they lived, he said. ‘By taxing estates heavily at death, the state marks its condemnation of the selfish millionaire’s unworthy life.

I had never examined this fear of Trinidad. I had never wished to. In my novels I had only expressed this fear; and it is only now, at the moment of writing, that I am able to attempt to examine it. I knew Trinidad to be unimportant, uncreative, cynical. The only professions were those of law and medicine, because there was no need for any other; and the most successful people were commission agents, bank managers and members of the distributive trades. Power was recognized, but dignity was allowed to no one. Every person of eminence was held to be crooked and contemptible. We lived in a society which denied itself heroes.

This book is a compilation of interesting ideas that have strongly influenced my thoughts and I want to share them in a compressed form. That ideas can change your worldview and bring inspiration and the excitement of discovering something new. The emphasis is not on the technology because it is constantly changing. It is much more difficult to change the accompanying circumstances that affect the way technological solutions are realized. The chef did not invent salt, pepper and other spices. He just chooses good ingredients and uses them skilfully, so others can enjoy his art. If I’ve been successful, the book creates a new perspective for which the selection of ingredients is important, as well as the way they are smoothly and efficiently arranged together. In the first part of the book, we follow the natural flow needed to create the stimulating environment necessary for the survival of a modern company. It begins with challenges that corporations are facing, changes they are, more or less successfully, trying to make, and the culture they are trying to establish. After that, we discuss how to be creative, as well as what to look for in the innovation process. The book continues with a chapter that talks about importance of inclusion and purpose. This idea of inclusion – across ages, genders, geographies, cultures, sexual orientation, and all the other areas in which new ways of thinking can manifest – is essential for solving new problems as well as integral in finding new solutions to old problems. Purpose motivates people for reaching their full potential. This is The second and third parts of the book describes the areas that are important to support what is expressed in the first part. A flexible organization is based on IT alignment with business strategy. As a result of acceleration in the rate of innovation and technological changes, markets evolve rapidly, products’ life cycles get shorter and innovation becomes the main source of competitive advantage. Business Process Management (BPM) goes from task-based automation, to process-based automation, so automating a number of tasks in a process, and then to functional automation across multiple processes andeven moves towards automation at the business ecosystem level. Analytics brought us information and insight; AI turns that insight into superhuman knowledge and real-time action, unleashing new business models, new ways to build, dream, and experience the world, and new geniuses to advance humanity faster than ever before. Companies and industries are transforming our everyday experiences and the services we depend upon, from self-driving cars, to healthcare, to personal assistants. It is a central tenet for the disruptive changes of the 4th Industrial Revolution; a revolution that will likely challenge our ideas about what it means to be a human and just might be more transformative than any other industrial revolution we have seen yet. Another important disruptor is the blockchain - a distributed decentralized digital ledger of transactions with the promise of liberating information and making the economy more democratic. You no longer need to trust anyone but an algorithm. It brings reliability, transparency, and security to all manner of data exchanges: financial transactions, contractual and legal agreements, changes of ownership, and certifications. A quantum computer can simulate efficiently any physical process that occurs in Nature. Potential (long-term) applications include pharmaceuticals, solar power collection, efficient power transmission, catalysts for nitrogen fixation, carbon capture, etc. Perhaps we can build quantum algorithms for improving computational tasks within artificial intelligence, including sub-fields like machine learning. Perhaps a quantum deep learning network can be trained more efficiently, e.g. using a smaller training set. This is still in conceptual research domain.

underlies the Toyota Production System. At Toyota, this goes by the Japanese term genchi gembutsu, which is one of the most important phrases in the lean manufacturing vocabulary. In English, it is usually translated as a directive to “go and see for yourself” so that business decisions can be based on deep firsthand knowledge. Jeffrey Liker, who has extensively documented the “Toyota Way,” explains it this way: In my Toyota interviews, when I asked what distinguishes the Toyota Way from other management approaches, the most common first response was genchi gembutsu—whether I was in manufacturing, product development, sales, distribution, or public affairs. You cannot be sure you really understand any part of any business problem unless you go and see for yourself firsthand. It is unacceptable to

By way of introduction, let me just make a few general comments on this subject. The problem of distributing bathroom tissue to workers presents inherent challenges for any office management system due to the inherent unpredictability of usage—not every facility usage transaction necessitates the use of bathroom tissue, and when it is used, the amount needed (number of squares) may vary quite widely from person to person and, for a given person, from one transaction to the next.

Autistics’ capacities are usually disharmonic, which – simply put – means they’re unevenly distributed. A person who seems to manage in everyday life may be experiencing mental problems that make life nearly unbearable. So autism isn’t necessarily a line from zero to a hundred, but rather a multidimensional vector space. Go and look that up in a maths textbook.

They measured, surveyed, and allocated whatever land had not been distributed. They built roads, bridges, fences, livestock pounds, and public landings. They exported barrel staves and imported “salt and Barbados goods on reasonable terms.” They authorized the building of a warehouse whose owner would “supply the town of Lyme with salt and certain woods upon reasonable terms,” and they prohibited the cutting of timber on common land and the “transport of the same out of the town” because “all sorts of timber grow scarce among us.” They also managed the operation of the gristmill to keep it “in repair continually for to grind the town’s corn all winter and summer,” and they decided the length of the school year, authorizing two dame schools “for teaching young children and maids to read and whatever else they may be capable of learning, either knitting or sewing.” In 1685 they decided to erect “a pair of stocks & scaffold to answer the laws within a month at the meeting house.

Se poteste scegliere tra un general manager ateo e un amish, dubito che scegliereste il secondo. E non per una questione di discriminazione religiosa, ma perché non potrebbe (pena violare il suo credo) utilizzare un computer. Il general manager ateo avrebbe un vantaggio sleale nei confronti dell’amish, un vantaggio tecnologico, così come un individuo “tecnologicamente aumentato” avrebbe un vantaggio (sleale o meno, poco importa nell’economia del nostro discorso) rispetto a un suo collega biologico.

We” was a sprawling cooperative of fanzines, underground and college radio stations, local cable access shows, mom-and-pop record stores, independent distributors and record labels, tip sheets, nightclubs and alternative venues, booking agents, bands, and fans that had been thriving for more than a decade before the mainstream took notice. Beneath the radar of the corporate behemoths, these enterprising, frankly entrepreneurial people had built an effective shadow distribution, communications, and promotion network—a cultural underground railroad. “In an age of big entertainment conglomerates/big management/big media, touring the lowest-rent rock clubs of America in an Econoline is the equivalent of fighting a ground war strategy in an age of strategic nuclear forces,

Il problema centrale, con la quasi totalità delle strategie di revenue management, è che il prezzo finale non è quasi mai la somma scientifica del valore intrinseco degli attributi unici della camera, ma – nella migliore delle ipotesi – un’approssimazione arbitraria influenzata da metriche volatili, se non addirittura da pregiudizi, stati emotivi e bias cognitivi.

Fables and Fortune Hunters An American businessman took a vacation to a small coastal Mexican village on doctor’s orders. Unable to sleep after an urgent phone call from the office the first morning, he walked out to the pier to clear his head. A small boat with just one fisherman had docked, and inside the boat were several large yellowfin tuna. The American complimented the Mexican on the quality of his fish. “How long did it take you to catch them?” the American asked. “Only a little while,” the Mexican replied in surprisingly good English. “Why don’t you stay out longer and catch more fish?” the American then asked. “I have enough to support my family and give a few to friends,” the Mexican said as he unloaded them into a basket. “But … What do you do with the rest of your time?” The Mexican looked up and smiled. “I sleep late, fish a little, play with my children, take a siesta with my wife, Julia, and stroll into the village each evening, where I sip wine and play guitar with my amigos. I have a full and busy life, señor.” The American laughed and stood tall. “Sir, I’m a Harvard M.B.A. and can help you. You should spend more time fishing, and with the proceeds, buy a bigger boat. In no time, you could buy several boats with the increased haul. Eventually, you would have a fleet of fishing boats.” He continued, “Instead of selling your catch to a middleman, you would sell directly to the consumers, eventually opening your own cannery. You would control the product, processing, and distribution. You would need to leave this small coastal fishing village, of course, and move to Mexico City, then to Los Angeles, and eventually New York City, where you could run your expanding enterprise with proper management.” The Mexican fisherman asked, “But, señor, how long will all this take?” To which the American replied, “15–20 years. 25 tops.” “But what then, señor?” The American laughed and said, “That’s the best part. When the time is right, you would announce an IPO and sell your company stock to the public and become very rich. You would make millions.” “Millions, señor? Then what?” “Then you would retire and move to a small coastal fishing village, where you would sleep late, fish a little, play with your kids, take a siesta with your wife, and stroll to the village in the evenings where you could sip wine and play your guitar with your amigos …

Content Marketing Mastery: How to Create and Promote Valuable Content Content marketing mastery refers to the advanced level of expertise and skill in creating, distributing, and managing content to attract, engage, and convert a target audience. Content marketing is a strategic marketing approach that focuses on creating valuable, relevant, and consistent content to establish and strengthen a brand's presence, build trust with the audience, and ultimately drive profitable customer actions. Content marketing is an ongoing process, and achieving mastery requires continuous learning, testing, and optimization. By consistently delivering valuable content that resonates with your target audience, you can establish a strong online presence and drive business success.

Of all organizations, it was oddly enough Wal-Mart that best recognized the complex nature of the circumstances, according to a case study from Harvard’s Kennedy School of Government. Briefed on what was developing, the giant discount retailer’s chief executive officer, Lee Scott, issued a simple edict. “This company will respond to the level of this disaster,” he was remembered to have said in a meeting with his upper management. “A lot of you are going to have to make decisions above your level. Make the best decision that you can with the information that’s available to you at the time, and, above all, do the right thing.” As one of the officers at the meeting later recalled, “That was it.” The edict was passed down to store managers and set the tone for how people were expected to react. On the most immediate level, Wal-Mart had 126 stores closed due to damage and power outages. Twenty thousand employees and their family members were displaced. The initial focus was on helping them. And within forty-eight hours, more than half of the damaged stores were up and running again. But according to one executive on the scene, as word of the disaster’s impact on the city’s population began filtering in from Wal-Mart employees on the ground, the priority shifted from reopening stores to “Oh, my God, what can we do to help these people?” Acting on their own authority, Wal-Mart’s store managers began distributing diapers, water, baby formula, and ice to residents. Where FEMA still hadn’t figured out how to requisition supplies, the managers fashioned crude paper-slip credit systems for first responders, providing them with food, sleeping bags, toiletries, and also, where available, rescue equipment like hatchets, ropes, and boots. The assistant manager of a Wal-Mart store engulfed by a thirty-foot storm surge ran a bulldozer through the store, loaded it with any items she could salvage, and gave them all away in the parking lot. When a local hospital told her it was running short of drugs, she went back in and broke into the store’s pharmacy—and was lauded by upper management for it.

Preparing agendas Agendas serve several purposes. The main ones are keeping the meeting running in the correct sequence and covering the right topics. However, another major role of the agenda is to let the meeting participants know what the meeting will be about and also what it won’t cover. If you are the person putting the agenda together and distributing it you’ll need to work closely with the chair of the meeting to make sure the agenda is correct. You’ll also need to get a list of who to circulate the agenda to, which may include some people who are not going to attend the meeting. Agendas enable attendees to prepare for a meeting and should, therefore, be circulated in good time beforehand. You need to be aware of this for your planning. Remember, the agenda is also your first step to excellent preparation. Styles of agenda As you become more experienced, you can probably draft an agenda for the meeting. Until then, either ask the chairperson for topics or request suggestions from attendees. This draft can then be agreed with the chairperson. The style of agendas can vary enormously. It is usually possible to find the agenda for a previous, similar meeting and use this format for the next meeting. If there are several items on an agenda then number them. If an individual agenda item has more than one part then consider sub-section numbers, 2.1, 2.2, 2.3 etc. Some agendas are very informal; they do not need to mention minutes of previous meetings or any other business. Below is an example of an agenda for an ad hoc meeting. From: A Manager Sent: Friday 23 July 16:47 To: All staff Subject: NEW IT SYSTEM On 30 September, a new IT system is being introduced within the department. Training will be given to all staff as the method of working will be different. In order that we can decide the best way to implement this training, I would like you to attend a brief meeting in my office at 9am on Wednesday 4th September. I expect the meeting to last about half an hour. Please let me know immediately if, for any reason, you are unable to attend. Tip: Always include the day of the week with the date, it helps avoid errors. Here is an example of a more formal agenda: EXPERT WINDOWS HEALTH AND SAFETY COMMITTEE

Account reconciliation can benefit greatly from a distributed supply-chain solution. Using a permissioned distributed ledger to track and manage the more than 25,000 vendor disputes it handles annually, IBM said in 2016 that it had cut the resolution time of those disputes down from forty-four days to ten days. Essentially, record-keeping of payments and deliveries that all can view and verify in real time allows common agreements to be reached more quickly. This isn’t a chump-change problem, either. Those disputes currently tie up $100 million in capital every year, IBM says.

In the current system, to manage the laborious process of cross-firm reconciliation, middlemen ledger-keepers have been created—clearinghouses, settlement agencies, and correspondent banks, custodial banks, and others. Those intermediaries solve some of the trust problems but they also add cost, time, and risk. In the United States, the final settlement of a trade takes two days for U.S. Treasury bonds and up to thirty days for instruments such as syndicated loans. Not only do massive errors and omissions still occur, but the time lag paralyzes literally trillions of dollars of potentially useful capital, which must wait in escrow accounts or collateral agreements until all parties have cleared their books and the trade is settled. A more efficient, real-time system would unlock those funds, sending a wall of money into the world’s markets—yes, to make bankers richer, but also to provide more credit to businesses and households. In theory, R3’s distributed ledger could achieve all that. It could unleash a tidal wave of money.

The lack of a functioning, trustful community also heightened the refugees’ fears of being abducted by the extremist organization Islamic State. Many initially refused to move to Azraq camp, and although the numbers have increased more recently, Azraq is still far below the 130,000 capacity for which it was built. It’s fitting then that this pop-up city, in real need of some functioning social capital, is now the scene of a radical experiment in new models of community governance, institution-building, and the management of resources. At the heart of that effort is blockchain technology, the decentralized ledger-keeping system that underpins the digital currency bitcoin and promises a more reliable, immediate way to trace transactions. The World Food Program (WFP), a UN agency that feeds 80 million people worldwide, is putting 10,000 Azraq refugees through a pilot that uses this system to better coordinate food distribution. In doing so, the WFP is tackling a giant administrative challenge: how to ensure, in an environment where theft is rampant and few people carry personal identifying documents, that everyone gets their fair share of food. Among those participating in this project was forty-three-year-old Najah Saleh Al-Mheimed, one of the more than 5 million Syrians forced to flee their homes as the brutal, ongoing civil war has all but destroyed their country. In early June 2015, with mounting food shortages and reports of girls being kidnapped by militias in nearby villages, Najah and her husband made the drastic decision to leave her hometown of Hasaka, where their families had lived for generations. “It was an ordeal that I pray to God no human will ever witness,” she said in an interview conducted on our behalf by WFP staffers working in the Azraq camp.

Pareto principle? Named after an Italian economist who observed an interesting pattern of wealth distribution in nineteenth-century Italy, it’s now more commonly known as the 80/20 principle thanks to a blockbuster book by Richard Koch written in 1998. The general idea is that the majority of the results come from a minority of the causes. The key is identifying which things matter the most.

What followed became known as “the exodus.” First, a whole group of senior managers who had been part of Ron’s team—our financial officer, our data processing manager, the guy who was running our distribution centers—all walked out behind him. You can imagine how Wall Street felt about that.

This is the fly in the ointment of free-market capitalism. It cannot ensure that profits are gained in a fair way, or distributed in a fair manner. On the contrary, the craving to increase profits and production blinds people to anything that might stand in the way. When growth becomes a supreme good, unrestricted by any other ethical considerations, it can easily lead to catastrophe. Some religions, such as Christianity and Nazism, have killed millions out of burning hatred. Capitalism has killed millions out of cold indifference coupled with greed. The Atlantic slave trade did not stem from racist hatred towards Africans. The individuals who bought the shares, the brokers who sold them, and the managers of the slave-trade companies rarely thought about the Africans. Nor did the owners of the sugar plantations. Many owners lived far from their plantations, and the only information they demanded were neat ledgers of profits and losses. It is important to remember that the Atlantic slave trade was not a single aberration in an otherwise spotless record. The Great Bengal Famine, discussed in the previous chapter, was caused by a similar dynamic – the British East India Company cared more about its profits than about the lives of 10 million Bengalis. VOC’s military campaigns in Indonesia were financed by upstanding Dutch burghers who loved their children, gave to charity, and enjoyed good music and fine art, but had no regard for the suffering of the inhabitants of Java, Sumatra and Malacca. Countless other crimes and misdemeanours accompanied the growth of the modern economy in other parts of the planet.

What has carried this company so far so fast is the relationship that we, the managers, have been able to enjoy with our associates. By “associates” we mean those employees out in the stores and in the distribution centers and on the trucks who generally earn an hourly wage for all their hard work. Our relationship with the associates is a partnership in the truest sense.

However, it is important not to lose sight of exactly how the neoliberal system works. As David Harvey has demonstrated, by drawing on Karl Polanyi’s masterful work, the free market has never been incompatible with state intervention, and the management of crises is part of the neoliberal project. We therefore need to inquire into how this crisis was presented by recalling, if we take the American example, that President George W. Bush kept forcefully repeating that the foundations of the economy were solid. Then suddenly, in the fateful month of September, as if faced with the sudden surge of a more or less unexpected “economic hurricane,” he asked for $700 billion to avoid a severe economic meltdown. It was necessary to save the banks and businesses that were too big to fail. This complex crisis called for a reaction that was as fast as it was extreme, starting with $350 billion distributed by Treasury Secretary Henry Paulson, the former chairman and chief executive officer of Goldman Sachs. We should note in passing that this sort of crisis discourse recalls all of the exceptional measures put in place or intensified after September 11, 2001: the usa patriot Act, the Military Commissions Act, illegal wiretappings, extraordinary rendition, the network of secret prisons, the redefinition of torture by the Office of Legal Council, and so on. It is not by chance that this crisis was presented as a complex and uncontrollable natural phenomenon, whose severity was largely unforeseen, for it is similar to the historical logic outlined above. By naturalizing the economy and transforming it into an autonomous authority independent of the decisions made by specific agents, this historical order promotes passivity (we can only bow before forces stronger than us), the removal of responsibility (no one can be held accountable for natural phenomena), and historical nearsightedness (the situation is so critical that we must respond quickly, without wasting time by debating over distant causes: time is short!). If we were to step back and assess the overall situation, we would see numerous specters rising up in the cemetery that is neoliberalism, and we would need to begin questioning—following Polanyi—whether the very project of laissez-faire economics has ever been anything other than socialism for the rich or, more precisely, topdown class warfare enforced by state intervention

In his 2001 book, Economics as Religion, economist Robert Nelson recounted the ways in which economics came to operate in society with its own religion-like structure. Nelson argues that modern economics has operated in many ways as a secularized version of Protestant theology in which the primary evil is economics scarcity and in which deliverance from this evil (and the attainment of heaven on earth) will come through application of economic science to promote efficiency (and fairness) in production and distribution. In this worldview, economists, as technical advisors to governmental managers, serve as a new “scientific” priesthood effecting a secular salvation of human society through the application of constructivist reason, the sort of reasoning that seeks to deliberately design choices and institutions to generate what are perceived as “optimal” outcomes. Here, then, within the very discipline to which Vernon Smith has devoted his life’s work, there seems to be a persistent tendency if not to outright materialism then to a reduction of human rationality within constructivist constraints. As Smith acknowledges, “predominantly, both economists and psychologists are reluctant to allow that naive and unsophisticated agents can achieve socially optimal ends without a comprehensive understanding of the whole, as well as their individual parts, implemented by deliberate action. There is no magic.

The valuation analysis was simple—anyone could see the stock was incredibly cheap. But it had been traded below net cash for several years before the company distributed cash to shareholders. Returning the cash was the critical factor in driving excellent returns. Assuming Buffett bought the stock in 1954 at $35 and sold in 1957 (having received the $50 per share distribution and a few dollars extra in dividends) when it traded between $20 and $28, he would have more than doubled his money and earned around a 30% IRR.135 The stock didn’t work because it was cheap—it worked because management returned capital to shareholders. The other securities discussed in this book were also incredible bargains—but it took action to drive wonderful returns for shareholders.

As an algorithm the protocol is unbiased and capable of auditing, authenticating, validating, approving, and transferring integer values along a ledger that is distributed to tens of thousands of computers (called mining machines) that are located around the world. 

Distribution of reaction to change What Mr. Koenigsaecker’s diagram suggests is that only a small percentage of people in the organization (the right tail of the curve) will welcome a change effort and actively participate. Another

The lean distribution of knowledge means a more collaborative relationship between management and the workforce. Managers trust that the workers know best about their responsibilities. Workers trust that managers have the right goal and see the true relationships between the production processes.

a Harvard M.B.A. and can help you. You should spend more time fishing, and with the proceeds, buy a bigger boat. In no time, you could buy several boats with the increased haul. Eventually, you would have a fleet of fishing boats.” He continued, “Instead of selling your catch to a middleman, you would sell directly to the consumers, eventually opening your own cannery. You would control the product, processing, and distribution. You would need to leave this small coastal fishing village, of course, and move to Mexico City, then to Los Angeles, and eventually New York City, where you could run your expanding enterprise with proper management.” The Mexican fisherman asked, “But, señor, how long will all this take?” To which the American replied, “15–20 years. 25 tops.” “But what then, señor?” The American laughed and said, “That’s the best part. When the time is right, you would announce an IPO and sell your company stock to the public and become very rich. You would make millions.” “Millions, señor? Then what?” “Then you would retire and move to a small coastal fishing village, where you would sleep late, fish a little, play with your kids, take a siesta with your wife, and stroll to the village in the evenings where you could sip wine and play your guitar with your amigos …

Suppose you add another item, say, “Reengineering our widget production process.” How does that fit with the three issues you already have? This is certainly an important issue, but it isn’t a fourth point alongside the others. It falls under “Reducing the unit cost,” along with other subissues such as “Leveraging our distribution system” and “Improving our inventory management.” Why? Because all these are ways to reduce the unit cost of widgets. Putting any (or all) of them with the other three issues on the list would cause an overlap. The items in the list would no longer be mutually exclusive. Overlap represents muddled thinking by the writer and leads to confusion for the reader. Once you

The Product Owner plans, composes, distributes, and tracks work from his or her level down....

This is also what intrigued Zappos’ Hsieh about Holacracy: its promise of a safe and practical way to distribute real power and therefore allow for self-organization, through a constitutionally defined governance process. After our initial encounter, Hsieh invited me to meet his team and decided to pilot Holacracy in a small department within his organization. The pilot was successful enough that in 2013 he went on to roll out Holacracy throughout his company. I was thrilled—and just a little apprehensive. This would be by far our biggest adoption yet. How would Holacracy work at the scale of a fifteen-hundred-employee company? Would it create the self-organizing, citylike collaborative environment that Hsieh was looking for? I knew it had the potential to do exactly that in smaller organizations, so I was eager to see it play out on this bigger stage.

Chapter 3), the resulting index variables typically are continuous as well. When variables are continuous, we should not recode them as categorical variables just to use the techniques of the previous chapters. Continuous variables provide valuable information about distances between categories and often have a broader range of values than ordinal variables. Recoding continuous variables as categorical variables is discouraged because it results in a loss of information; we should use tests such as the t-test. Statistics involving continuous variables usually require more test assumptions. Many of these tests are referred to as parametric statistics; this term refers to the fact that they make assumptions about the distribution of data and also that they are used to make inferences about population parameters. Formally, the term parametric means that a test makes assumptions about the distribution of the underlying population. Parametric tests have more test assumptions than nonparametric tests, most typically that the variable is

The test statistics of a t-test can be positive or negative, although this depends merely on which group has the larger mean; the sign of the test statistic has no substantive interpretation. Critical values (see Chapter 10) of the t-test are shown in Appendix C as (Student’s) t-distribution.4 For this test, the degrees of freedom are defined as n – 1, where n is the total number of observations for both groups. The table is easy to use. As mentioned below, most tests are two-tailed tests, and analysts find critical values in the columns for the .05 (5 percent) and .01 (1 percent) levels of significance. For example, the critical value at the 1 percent level of significance for a test based on 25 observations (df = 25 – 1 = 24) is 2.797 (and 1.11 at the 5 percent level of significance). Though the table also shows critical values at other levels of significance, these are seldom if ever used. The table shows that the critical value decreases as the number of observations increases, making it easier to reject the null hypothesis. The t-distribution shows one- and two-tailed tests. Two-tailed t-tests should be used when analysts do not have prior knowledge about which group has a larger mean; one-tailed t-tests are used when analysts do have such prior knowledge. This choice is dictated by the research situation, not by any statistical criterion. In practice, two-tailed tests are used most often, unless compelling a priori knowledge exists or it is known that one group cannot have a larger mean than the other. Two-tailed testing is more conservative than one-tailed testing because the critical values of two-tailed tests are larger, thus requiring larger t-test test statistics in order to reject the null hypothesis.5 Many statistical software packages provide only two-tailed testing. The above null hypothesis (men and women do not have different mean incomes in the population) requires a two-tailed test because we do not know, a priori, which gender has the larger income.6 Finally, note that the t-test distribution approximates the normal distribution for large samples: the critical values of 1.96 (5 percent significance) and 2.58 (1 percent significance), for large degrees of freedom (∞), are identical to those of the normal distribution. Getting Started Find examples of t-tests in the research literature. T-Test Assumptions Like other tests, the t-test has test assumptions that must be met to ensure test validity. Statistical testing always begins by determining whether test assumptions are met before examining the main research hypotheses. Although t-test assumptions are a bit involved, the popularity of the t-test rests partly on the robustness of t-test conclusions in the face of modest violations. This section provides an in-depth treatment of t-test assumptions, methods for testing the assumptions, and ways to address assumption violations. Of course, t-test statistics are calculated by the computer; thus, we focus on interpreting concepts (rather than their calculation). Key Point The t-test is fairly robust against assumption violations. Four t-test test assumptions must be met to ensure test validity: One variable is continuous, and the other variable is dichotomous. The two distributions have equal variances. The observations are independent. The two distributions are normally distributed. The first assumption, that one variable is continuous and the other dichotomous,

The null hypothesis of normality is that the variable is normally distributed: thus, we do not want to reject the null hypothesis. A problem with statistical tests of normality is that they are very sensitive to small samples and minor deviations from normality. The extreme sensitivity of these tests implies the following: whereas failure to reject the null hypo thesis indicates normal distribution of a variable, rejecting the null hypothesis does not indicate that the variable is not normally distributed. It is acceptable to consider variables as being normally distributed when they visually appear to be so, even when the null hypothesis of normality is rejected by normality tests. Of course, variables are preferred that are supported by both visual inspection and normality tests. In Greater Depth … Box 12.1 Why Normality? The reasons for the normality assumption are twofold: First, the features of the normal distribution are well-established and are used in many parametric tests for making inferences and hypothesis testing. Second, probability theory suggests that random samples will often be normally distributed, and that the means of these samples can be used as estimates of population means. The latter reason is informed by the central limit theorem, which states that an infinite number of relatively large samples will be normally distributed, regardless of the distribution of the population. An infinite number of samples is also called a sampling distribution. The central limit theorem is usually illustrated as follows. Assume that we know the population distribution, which has only six data elements with the following values: 1, 2, 3, 4, 5, or 6. Next, we write each of these six numbers on a separate sheet of paper, and draw repeated samples of three numbers each (that is, n = 3). We

significantly different? Because the variances are equal, we read the t-test statistics from the top line, which states “equal variances assumed.” (If variances had been unequal, then we would read the test statistics from the second line, “equal variances not assumed.”). The t-test statistic for equal variances for this test is 2.576, which is significant at p = .011.13 Thus, we conclude that the means are significantly different; the 10th graders report feeling safer one year after the anger management program was implemented. Working Example 2 In the preceding example, the variables were both normally distributed, but this is not always the case. Many variables are highly skewed and not normally distributed. Consider another example. The U.S. Environmental Protection Agency (EPA) collects information about the water quality of watersheds, including information about the sources and nature of pollution. One such measure is the percentage of samples that exceed pollution limits for ammonia, dissolved oxygen, phosphorus, and pH.14 A manager wants to know whether watersheds in the East have higher levels of pollution than those in the Midwest. Figure 12.4 Untransformed Variable: Watershed Pollution An index variable of such pollution is constructed. The index variable is called “pollution,” and the first step is to examine it for test assumptions. Analysis indicates that the range of this variable has a low value of 0.00 percent and a high value of 59.17 percent. These are plausible values (any value above 100.00 percent is implausible). A boxplot (not shown) demonstrates that the variable has two values greater than 50.00 percent that are indicated as outliers for the Midwest region. However, the histograms shown in Figure 12.4 do not suggest that these values are unusually large; rather, the peak in both histograms is located off to the left. The distributions are heavily skewed.15 Because the samples each have fewer than 50 observations, the Shapiro-Wilk test for normality is used. The respective test statistics for East and Midwest are .969 (p = .355) and .931 (p = .007). Visual inspection confirms that the Midwest distribution is indeed nonnormal. The Shapiro-Wilk test statistics are given only for completeness; they have no substantive interpretation. We must now either transform the variable so that it becomes normal for purposes of testing, or use a nonparametric alternative. The second option is discussed later in this chapter. We also show the consequences of ignoring the problem. To transform the variable, we try the recommended transformations, , and then examine the transformed variable for normality. If none of these transformations work, we might modify them, such as using x⅓ instead of x½ (recall that the latter is ).16 Thus, some experimentation is required. In our case, we find that the x½ works. The new Shapiro-Wilk test statistics for East and Midwest are, respectively, .969 (p = .361) and .987 (p = .883). Visual inspection of Figure 12.5 shows these two distributions to be quite normal, indeed. Figure 12.5 Transformed Variable: Watershed Pollution The results of the t-test for the transformed variable are shown in Table

second variable, we find that Z = 2.103, p = .035. This value is larger than that obtained by the parametric test, p = .019.21 SUMMARY When analysts need to determine whether two groups have different means of a continuous variable, the t-test is the tool of choice. This situation arises, for example, when analysts compare measurements at two points in time or the responses of two different groups. There are three common t-tests, involving independent samples, dependent (paired) samples, and the one-sample t-test. T-tests are parametric tests, which means that variables in these tests must meet certain assumptions, notably that they are normally distributed. The requirement of normally distributed variables follows from how parametric tests make inferences. Specifically, t-tests have four assumptions: One variable is continuous, and the other variable is dichotomous.

Thus, multiple regression requires two important tasks: (1) specification of independent variables and (2) testing of the error term. An important difference between simple regression and multiple regression is the interpretation of the regression coefficients in multiple regression (b1, b2, b3, …) in the preceding multiple regression model. Although multiple regression produces the same basic statistics discussed in Chapter 14 (see Table 14.1), each of the regression coefficients is interpreted as its effect on the dependent variable, controlled for the effects of all of the other independent variables included in the regression. This phrase is used frequently when explaining multiple regression results. In our example, the regression coefficient b1 shows the effect of x1 on y, controlled for all other variables included in the model. Regression coefficient b2 shows the effect of x2 on y, also controlled for all other variables in the model, including x1. Multiple regression is indeed an important and relatively simple way of taking control variables into account (and much easier than the approach shown in Appendix 10.1). Key Point The regression coefficient is the effect on the dependent variable, controlled for all other independent variables in the model. Note also that the model given here is very different from estimating separate simple regression models for each of the independent variables. The regression coefficients in simple regression do not control for other independent variables, because they are not in the model. The word independent also means that each independent variable should be relatively unaffected by other independent variables in the model. To ensure that independent variables are indeed independent, it is useful to think of the distinctively different types (or categories) of factors that affect a dependent variable. This was the approach taken in the preceding example. There is also a statistical reason for ensuring that independent variables are as independent as possible. When two independent variables are highly correlated with each other (r2 > .60), it sometimes becomes statistically impossible to distinguish the effect of each independent variable on the dependent variable, controlled for the other. The variables are statistically too similar to discern disparate effects. This problem is called multicollinearity and is discussed later in this chapter. This problem is avoided by choosing independent variables that are not highly correlated with each other. A WORKING EXAMPLE Previously (see Chapter 14), the management analyst with the Department of Defense found a statistically significant relationship between teamwork and perceived facility productivity (p <.01). The analyst now wishes to examine whether the impact of teamwork on productivity is robust when controlled for other factors that also affect productivity. This interest is heightened by the low R-square (R2 = 0.074) in Table 14.1, suggesting a weak relationship between teamwork and perceived productivity. A multiple regression model is specified to include the effects of other factors that affect perceived productivity. Thinking about other categories of variables that could affect productivity, the analyst hypothesizes the following: (1) the extent to which employees have adequate technical knowledge to do their jobs, (2) perceptions of having adequate authority to do one’s job well (for example, decision-making flexibility), (3) perceptions that rewards and recognition are distributed fairly (always important for motivation), and (4) the number of sick days. Various items from the employee survey are used to measure these concepts (as discussed in the workbook documentation for the Productivity dataset). After including these factors as additional independent variables, the result shown in Table 15.1 is

eigenvalue of a factor is the sum of correlations (r) of each variable with that factor. This correlation is also called loading in factor analysis. Analysts can define (or “extract”) how many factors they wish to use, or they can define a statistical criterion (typically requiring each factor to have an eigenvalue of at least 1.0). The method of identifying factors is called principal component analysis (PCA). The results of PCA often make it difficult to interpret the factors, in which case the analyst will use rotation (a statistical technique that distributes the explained variance across factors). Rotation causes variables to load higher on one factor, and less on others, bringing the pattern of groups better into focus for interpretation. Several different methods of rotation are commonly used (for example, Varimax, Promax), but the purpose of this procedure is always to understand which variables belong together. Typically, for purposes of interpretation, factor loadings are considered only if their values are at least .50, and only these values might be shown in tables. Table 18.4 shows the result of a factor analysis. The table shows various items related to managerial professionalism, and the factor analysis identifies three distinct groups for these items. Such tables are commonly seen in research articles. The labels for each group (for example, “A. Commitment to performance”) are provided by the authors; note that the three groupings are conceptually distinct. The table also shows that, combined, these three factors account for 61.97 percent of the total variance. The table shows only loadings greater than .50; those below this value are not shown.6 Based on these results, the authors then create index variables for the three groups. Each group has high internal reliability (see Chapter 3); the Cronbach alpha scores are, respectively, 0.87, 0.83, and 0.88. This table shows a fairly typical use of factor analysis, providing statistical support for a grouping scheme. Beyond Factor Analysis A variety of exploratory techniques exist. Some seek purely to classify, whereas

SUMMARY A vast array of additional statistical methods exists. In this concluding chapter, we summarized some of these methods (path analysis, survival analysis, and factor analysis) and briefly mentioned other related techniques. This chapter can help managers and analysts become familiar with these additional techniques and increase their access to research literature in which these techniques are used. Managers and analysts who would like more information about these techniques will likely consult other texts or on-line sources. In many instances, managers will need only simple approaches to calculate the means of their variables, produce a few good graphs that tell the story, make simple forecasts, and test for significant differences among a few groups. Why, then, bother with these more advanced techniques? They are part of the analytical world in which managers operate. Through research and consulting, managers cannot help but come in contact with them. It is hoped that this chapter whets the appetite and provides a useful reference for managers and students alike. KEY TERMS   Endogenous variables Exogenous variables Factor analysis Indirect effects Loading Path analysis Recursive models Survival analysis Notes 1. Two types of feedback loops are illustrated as follows: 2. When feedback loops are present, error terms for the different models will be correlated with exogenous variables, violating an error term assumption for such models. Then, alternative estimation methodologies are necessary, such as two-stage least squares and others discussed later in this chapter. 3. Some models may show double-headed arrows among error terms. These show the correlation between error terms, which is of no importance in estimating the beta coefficients. 4. In SPSS, survival analysis is available through the add-on module in SPSS Advanced Models. 5. The functions used to estimate probabilities are rather complex. They are so-called Weibull distributions, which are defined as h(t) = αλ(λt)a–1, where a and 1 are chosen to best fit the data. 6. Hence, the SSL is greater than the squared loadings reported. For example, because the loadings of variables in groups B and C are not shown for factor 1, the SSL of shown loadings is 3.27 rather than the reported 4.084. If one assumes the other loadings are each .25, then the SSL of the not reported loadings is [12*.252 =] .75, bringing the SSL of factor 1 to [3.27 + .75 =] 4.02, which is very close to the 4.084 value reported in the table. 7. Readers who are interested in multinomial logistic regression can consult on-line sources or the SPSS manual, Regression Models 10.0 or higher. The statistics of discriminant analysis are very dissimilar from those of logistic regression, and readers are advised to consult a separate text on that topic. Discriminant analysis is not often used in public

The population is angry, frustrated, bitter—and for good reasons. For the past generation, policies have been initiated that have led to an extremely sharp concentration of wealth in a tiny sector of the population. In fact, the wealth distribution is very heavily weighted by, literally, the top tenth of one percent of the population, a fraction so small that they’re not even picked up on the census. You have to do statistical analysis just to detect them. And they have benefited enormously. This is mostly from the financial sector—hedge fund managers, CEOs of financial corporations, and so on.

The Scheffe test is the most conservative, the Tukey test is best when many comparisons are made (when there are many groups), and the Bonferroni test is preferred when few comparisons are made. However, these post-hoc tests often support the same conclusions.3 To illustrate, let’s say the independent variable has three categories. Then, a post-hoc test will examine hypotheses for whether . In addition, these tests will also examine which categories have means that are not significantly different from each other, hence, providing homogeneous subsets. An example of this approach is given later in this chapter. Knowing such subsets can be useful when the independent variable has many categories (for example, classes of employees). Figure 13.1 ANOVA: Significant and Insignificant Differences Eta-squared (η2) is a measure of association for mixed nominal-interval variables and is appropriate for ANOVA. Its values range from zero to one, and it is interpreted as the percentage of variation explained. It is a directional measure, and computer programs produce two statistics, alternating specification of the dependent variable. Finally, ANOVA can be used for testing interval-ordinal relationships. We can ask whether the change in means follows a linear pattern that is either increasing or decreasing. For example, assume we want to know whether incomes increase according to the political orientation of respondents, when measured on a seven-point Likert scale that ranges from very liberal to very conservative. If a linear pattern of increase exists, then a linear relationship is said to exist between these variables. Most statistical software packages can test for a variety of progressive relationships. ANOVA Assumptions ANOVA assumptions are essentially the same as those of the t-test: (1) the dependent variable is continuous, and the independent variable is ordinal or nominal, (2) the groups have equal variances, (3) observations are independent, and (4) the variable is normally distributed in each of the groups. The assumptions are tested in a similar manner. Relative to the t-test, ANOVA requires a little more concern regarding the assumptions of normality and homogeneity. First, like the t-test, ANOVA is not robust for the presence of outliers, and analysts examine the presence of outliers for each group. Also, ANOVA appears to be less robust than the t-test for deviations from normality. Second, regarding groups having equal variances, our main concern with homogeneity is that there are no substantial differences in the amount of variance across the groups; the test of homogeneity is a strict test, testing for any departure from equal variances, and in practice, groups may have neither equal variances nor substantial differences in the amount of variances. In these instances, a visual finding of no substantial differences suffices. Other strategies for dealing with heterogeneity are variable transformations and the removal of outliers, which increase variance, especially in small groups. Such outliers are detected by examining boxplots for each group separately. Also, some statistical software packages (such as SPSS), now offer post-hoc tests when equal variances are not assumed.4 A Working Example The U.S. Environmental Protection Agency (EPA) measured the percentage of wetland loss in watersheds between 1982 and 1992, the most recent period for which data are available (government statistics are sometimes a little old).5 An analyst wants to know whether watersheds with large surrounding populations have

suffered greater wetland loss than watersheds with smaller surrounding populations. Most watersheds have suffered no or only very modest losses (less than 3 percent during the decade in question), and few watersheds have suffered more than a 4 percent loss. The distribution is thus heavily skewed toward watersheds with little wetland losses (that is, to the left) and is clearly not normally distributed.6 To increase normality, the variable is transformed by twice taking the square root, x.25. The transformed variable is then normally distributed: the Kolmogorov-Smirnov statistic is 0.82 (p = .51 > .05). The variable also appears visually normal for each of the population subgroups. There are four population groups, designed to ensure an adequate number of observations in each. Boxplot analysis of the transformed variable indicates four large and three small outliers (not shown). Examination suggests that these are plausible and representative values, which are therefore retained. Later, however, we will examine the effect of these seven observations on the robustness of statistical results. Descriptive analysis of the variables is shown in Table 13.1. Generally, large populations tend to have larger average wetland losses, but the standard deviations are large relative to (the difference between) these means, raising considerable question as to whether these differences are indeed statistically significant. Also, the untransformed variable shows that the mean wetland loss is less among watersheds with “Medium I” populations than in those with “Small” populations (1.77 versus 2.52). The transformed variable shows the opposite order (1.06 versus 0.97). Further investigation shows this to be the effect of the three small outliers and two large outliers on the calculation of the mean of the untransformed variable in the “Small” group. Variable transformation minimizes this effect. These outliers also increase the standard deviation of the “Small” group. Using ANOVA, we find that the transformed variable has unequal variances across the four groups (Levene’s statistic = 2.83, p = .41 < .05). Visual inspection, shown in Figure 13.2, indicates that differences are not substantial for observations within the group interquartile ranges, the areas indicated by the boxes. The differences seem mostly caused by observations located in the whiskers of the “Small” group, which include the five outliers mentioned earlier. (The other two outliers remain outliers and are shown.) For now, we conclude that no substantial differences in variances exist, but we later test the robustness of this conclusion with consideration of these observations (see Figure 13.2). Table 13.1 Variable Transformation We now proceed with the ANOVA analysis. First, Table 13.2 shows that the global F-test statistic is 2.91, p = .038 < .05. Thus, at least one pair of means is significantly different. (The term sum of squares is explained in note 1.) Getting Started Try ANOVA on some data of your choice. Second, which pairs are significantly different? We use the Bonferroni post-hoc test because relatively few comparisons are made (there are only four groups). The computer-generated results (not shown in Table 13.2) indicate that the only significant difference concerns the means of the “Small” and “Large” groups. This difference (1.26 - 0.97 = 0.29 [of transformed values]) is significant at the 5 percent level (p = .028). The Tukey and Scheffe tests lead to the same conclusion (respectively, p = .024 and .044). (It should be noted that post-hoc tests also exist for when equal variances are not assumed. In our example, these tests lead to the same result.7) This result is consistent with a visual reexamination of Figure 13.2, which shows that differences between group means are indeed small. The Tukey and

Chapter 3), the resulting index variables typically are continuous as well. When variables are continuous, we should not recode them as categorical variables just to use the techniques of the previous chapters. Continuous variables provide valuable information about distances between categories and often have a broader range of values than ordinal variables. Recoding continuous variables as categorical variables is discouraged because it results in a loss of information; we should use tests such as the t-test. Statistics involving continuous variables usually require more test assumptions. Many of these tests are referred to as parametric statistics; this term refers to the fact that they make assumptions about the distribution of data and also that they are used to make inferences about population parameters. Formally, the term parametric means that a test makes assumptions about the distribution of the underlying population. Parametric tests have more test assumptions than nonparametric tests, most typically that the variable is continuous and normally distributed (see Chapter 7). These and other test assumptions are also part of t-tests. This chapter focuses on three common t-tests: for independent samples, for dependent (paired) samples, and the one-sample t-test. For each, we provide examples and discuss test assumptions. This chapter also discusses nonparametric alternatives to t-tests, which analysts will want to consider when t-test assumptions cannot be met for their variables. As a general rule, a bias exists toward using parametric tests because they are more powerful than nonparametric tests. Nonparametric alternatives to parametric tests often transform continuous testing variables into other types of variables, such as rankings, which reduces information about them. Although nonparametric statistics are easier to use because they have fewer assumptions, parametric tests are more likely to find statistical evidence that two variables are associated; their tests often have lower p-values than nonparametric statistics.1

usually does not present much of a problem. Some analysts use t-tests with ordinal rather than continuous data for the testing variable. This approach is theoretically controversial because the distances among ordinal categories are undefined. This situation is avoided easily by using nonparametric alternatives (discussed later in this chapter). Also, when the grouping variable is not dichotomous, analysts need to make it so in order to perform a t-test. Many statistical software packages allow dichotomous variables to be created from other types of variables, such as by grouping or recoding ordinal or continuous variables. The second assumption is that the variances of the two distributions are equal. This is called homogeneity of variances. The use of pooled variances in the earlier formula is justified only when the variances of the two groups are equal. When variances are unequal (called heterogeneity of variances), revised formulas are used to calculate t-test test statistics and degrees of freedom.7 The difference between homogeneity and heterogeneity is shown graphically in Figure 12.2. Although we needn’t be concerned with the precise differences in these calculation methods, all t-tests first test whether variances are equal in order to know which t-test test statistic is to be used for subsequent hypothesis testing. Thus, every t-test involves a (somewhat tricky) two-step procedure. A common test for the equality of variances is the Levene’s test. The null hypothesis of this test is that variances are equal. Many statistical software programs provide the Levene’s test along with the t-test, so that users know which t-test to use—the t-test for equal variances or that for unequal variances. The Levene’s test is performed first, so that the correct t-test can be chosen. Figure 12.2 Equal and Unequal Variances The term robust is used, generally, to describe the extent to which test conclusions are unaffected by departures from test assumptions. T-tests are relatively robust for (hence, unaffected by) departures from assumptions of homogeneity and normality (see below) when groups are of approximately equal size. When groups are of about equal size, test conclusions about any difference between their means will be unaffected by heterogeneity. The third assumption is that observations are independent. (Quasi-) experimental research designs violate this assumption, as discussed in Chapter 11. The formula for the t-test test statistic, then, is modified to test whether the difference between before and after measurements is zero. This is called a paired t-test, which is discussed later in this chapter. The fourth assumption is that the distributions are normally distributed. Although normality is an important test assumption, a key reason for the popularity of the t-test is that t-test conclusions often are robust against considerable violations of normality assumptions that are not caused by highly skewed distributions. We provide some detail about tests for normality and how to address departures thereof. Remember, when nonnormality cannot be resolved adequately, analysts consider nonparametric alternatives to the t-test, discussed at the end of this chapter. Box 12.1 provides a bit more discussion about the reason for this assumption. A combination of visual inspection and statistical tests is always used to determine the normality of variables. Two tests of normality are the Kolmogorov-Smirnov test (also known as the K-S test) for samples with more than 50 observations and the Shapiro-Wilk test for samples with up to 50 observations. The null hypothesis of

For comparison, we use the Mann-Whitney test to compare the two samples of 10th graders discussed earlier in this chapter. The sum of ranks for the “before” group is 69.55, and for the “one year later group,” 86.57. The test statistic is significant at p = .019, yielding the same conclusion as the independent-samples t-test, p = .011. This comparison also shows that nonparametric tests do have higher levels of significance. As mentioned earlier, the Mann-Whitney test (as a nonparametric test) does not calculate the group means; separate, descriptive analysis needs to be undertaken for that information. A nonparametric alternative to the paired-samples t-test is the Wilcoxon signed rank test. This test assigns ranks based on the absolute values of these differences (Table 12.5). The signs of the differences are retained (thus, some values are positive and others are negative). For the data in Table 12.5, there are seven positive ranks (with mean rank = 6.57) and three negative ranks (with mean rank = 3.00). The Wilcoxon signed rank test statistic is normally distributed. The Wilcoxon signed rank test statistic, Z, for a difference between these values is 1.89 (p = .059 > .05). Hence, according to this test, the differences between the before and after scores are not significant. Getting Started Calculate a t-test and a Mann-Whitney test on data of your choice. Again, nonparametric tests result in larger p-values. The paired-samples t-test finds that p = .038 < .05, providing sufficient statistical evidence to conclude that the differences are significant. It might also be noted that a doubling of the data in Table 12.5 results in finding a significant difference between the before and after scores with the Wilcoxon signed rank test, Z = 2.694, p = .007. Table 12.5 Wilcoxon Signed Rank Test The Wilcoxon signed rank test can also be adapted as a nonparametric alternative to the one-sample t-test. In that case, analysts create a second variable that, for each observation, is the test value. For example, if in Table 12.5 we wish to test whether the mean of variable “before” is different from, say, 4.0, we create a second variable with 10 observations for which each value is, say, 4.0. Then using the Wilcoxon signed rank test for the “before” variable and this new,

An essential step in deciding what our business is, what it will be, and what it should be is, therefore, systematic analysis of all existing products, services, processes, markets, end uses, and distribution channels. Are they still viable? And are they likely to remain viable? Do they still give value to the customer? And are they likely to do so tomorrow? Do they still fit the realities of population and markets, of technology and economy? And if not, how can we best abandon them—or at least stop pouring in further resources and efforts? Unless these questions are being asked seriously and systematically, and unless managements are willing to act on the answers to them, the best definition of “what our business is, will be, and should be,” will remain a pious platitude. Energy will be used up in defending yesterday. No one will have the time, resources, or will to work on exploiting today, let alone to work on making tomorrow.