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Avoiding Toxic Workers Is More Profitable Than Hiring Superstars

Idea posted: January 2019
  • Leadership & Change

Avoiding a toxic worker enhances performance and costs less than replacing an average worker with a superstar — even if the superstar performs in the top 1% of employees.

Idea #729
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President Eisenhower signing of HR7786, June 1, 1954, this ceremony changed Armistice Day to Veterans Day (Source: Wikimedia Commons)

Do Soldiers Make Good CEOs?

Idea posted: March 2014
  • Leadership & Change

CEOs with past military experience are more likely to pursue more conservative corporate policies (particularly those related to finance and investment), are less likely to be involved in fraud, and are in a better position to guide a company during crises or industry downturns, according to new research based on 25 years of corporate data.

Idea #337
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Detail from a poster by Eric Frazer, for the Post Office Savings Bank, 1942 (Source: Wikimedia Commons)

How a Culture of Integrity Boosts the Bottom Line

Idea posted: May 2014
  • CSR & Governance
  • Leadership & Change

A culture of integrity adds value to the firm. Research shows that the more employees perceive top managers as trustworthy and ethical, the better the financial performance of the firm and the more attractive the firm to potential employees. 

Idea #379
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The Cheats, Valentin de Boulogne, c.1619 (Courtesy: National Gallery of Art, Washington DC)

Last Chance Cheating: A Gig Economy Challenge

Idea posted: May 2016
  • CSR & Governance
  • Leadership & Change
  • Learning & Behaviour

Because short-term or contract employees are hired for a specific period of time, they know when the end of their time with the employer is near. A new study shows that as they approach this final period, departing short-termers will often cheat the employer in some way. The reason: it’s their last chance to make a little gain at the employer’s expense. 

Idea #605
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Outsider CEOs and Strategic Change

Idea posted: November 2013
  • CSR & Governance
  • Leadership & Change

While companies in crisis bring in outsider CEOs to effect change, many of them fail. New research shows why: Outsider CEOs need corporate stability to successfully bring change to an organization.

Idea #260
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Source: Pixabay

The Unintended Consequences of Risk Averse Managers

Idea posted: October 2017
  • CSR & Governance
  • Finance
  • Leadership & Change

Risk aversion and career concerns are pushing managers to play it safe, reducing the shareholder value of their companies — and the incentive compensation structures meant to motivate managers often have the opposite effect. 

Idea #676
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Andy Murray, 2012 Olympics Gold Medalist (Source: Wikimedia)

Understanding High-Stakes High-Performers

Idea posted: January 2013
  • Strategy
  • Leadership & Change
  • Learning & Behaviour

How leaders perform when the stakes are very high or when they confront unusually high pressure depends on similar ‘critical abilities’ to the tennis players. Using data from the US Open professional tennis tournament, ‘critical abilities under pressure’ are examined to demonstrate that - what we might also refer to as ‘courage under fire’ - has a major impact on a player’s career success. Applied to the world of business this research helps us understand how leaders are likely to perform when the stakes are very high.

Idea #033
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Why Leaders Sabotage Their Own Teams

Idea posted: February 2015
  • Leadership & Change

Some leaders, afraid of losing their grip on power, will use whatever means they have to stay in their position. Their favourite strategy is to divide and conquer: they systematically prevent skilled subordinates — the greatest threats to their power — from forming alliances with other subordinates that would help push them to the top. Divide-and-conquer strategies undermine the positive, collaborative relationships that are key success factors for effective groups…but these leaders couldn't care less. 

Idea #482
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The Sleep of Reason Produces Monsters (detail), Francisco Goya (Courtesy: The Nelson-Atkins Museum of Art, Kansas City, Missouri)

Why Managers Forgive Ethical Lapses of Tired Employees

Idea posted: September 2018
  • CSR & Governance
  • Leadership & Change
  • Learning & Behaviour

Managers tend to excuse and forgive ethical lapses by employees who are fatigued or depleted, a new study shows — although if the employees brought the fatigue on themselves (such as from watching a late night sporting event rather than working late), managers are less forgiving.

Idea #715
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