Management by Missions: Connecting People to Strategy Through Purpose

Part I. Myths and realities of management

1. Is there a link between corporate culture and profit?

In this chapter we further develop the concept of organizational Unity and our initial findings with recent research about the relationship between organizational culture and long-term profitability. Four kind of cultures are identified: paternalistic, bureaucratic, aggressive and competent. The implications of the cultural types and the new demands of society are discussed.

2. Different ways of understanding an organization

In this chapter we discuss about three different logics of an organization: mechanical, organic and anthropological and their implications for management practices. This perspectives are updated with the recent theories and findings on corporate culture and purpose, as well with new an updated examples.

3. What are companies for

This chapter focuses on the role of company’s purpose and how to balance purpose with profit maximization and stakeholder interest. Recent theories and research - like Shared Value Creation or Hybrid organizations with ＂dual purposes＂- are discussed, offering examples and recommendations on how to develop purpose in the equilibrium and complementarity amongst the different ends of a company.

Part II. In search of purpose

4. Cultural problems today

In this chapter we discuss the main cultural problems of today’s organization (e.g. low levels of engagement, bad communication, low cooperation, lack of shared meaning, inefficient bureaucracy), the limits of Management by Objectives (MBO) and the need for an new management practice that overcome these limitations. This chapter is updated with recent research and findings that support our initial assumptions about the shortcomings of MBO for contemporary business and also bring to the discussion recent solution and proposals for MBO improvement.

5. The missions of a company

Pablo Cardona is a Full Professor of Managing People in Organizations at IESE Business School. He has an MBA from IESE and a PhD from UCLA. He has been teaching in schools including UCLA in the United States, IAE in Argentina, and CEIBS in China. Cardona’s consulting work ranges from organizational change to talent development and creating effective top management teams. He has developed and coordinated in-company seminars in organizations such as Abbott, Danone, Sony, Nestlé, Oracle and Roche both in Spain and in other countries.

Cardona has written and contributed to several books and has published in international research journals such as the Strategic Management Journal and presented in various international management forums such as the Academy of Management and the Strategic Management Conference. Currently he is the academic director of the Cross-cultural Research Network at IESE.

Carlos Rey is Founder of DPMC and Professor and Director of the Chair of Management by Missions and Corporate Governance at Universitat Internacional de Catalunya (UIC Barcelona).He has developed his career in the industrial sector and presently works in consultancy services. In the industrial sector, he has developed managing positions in operations, sales, purchasing and logistics in different countries (India, Mexico, United Kingdom& Spain). Before Rey joined the consultancy services, he was Managing Director of HUF España, a leading company of locking systems for the automotive industry with over 500 employees.