I returned home with a healthy appreciation of what I had been warned to expect: powerful geographic fiefdoms with duplicate infrastructure in each country. (Of the 90,000 EMEA employees, 23,000 were in support functions!)
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I read a lot of books, but not many about business. After a twelve-hour day at the office, who would want to go home and read about someone elseās career at the office?
I think it would have been absolutely naĆÆveāas well as dangerousāif I had come into a company as complex as IBM with a plan to import a band of outsiders somehow magically to run the place better than the people who were there in the first place. Iāve entered other companies from the outside, and based on my experience, you might be able to pull that off at a small company in a relatively simple industry and under optimal conditions.
I have worked in services companies (McKinsey and American Express) and product companies (RJR Nabisco and IBM). I will state unequivocally that services businesses are much more difficult to manage.
This kind of wrenching cultural change doesnāt happen by executive fiat. As I found, I couldnāt flip a switch and alter behaviors. It was, by any measure, the hardest part of IBMās transformation, and at times I thought it couldnāt be done.
Some executives were beginning to exhibit the sort of personal leadership and commitment to change that I sought.
I needed, though, to provide support and encouragement for these risk takers. They were still surrounded by a lot of Bolsheviks who longed for the old system.