Don’t Get Distracted By Shareholders

I’ve learned a lot from Jack Welch, especially during my tenure at GE when I first heard him say: “Deal with the world as it is, not how you’d like it to be.” Once again he’s said something that every executive should hear:

On the face of it, shareholder value is the dumbest idea in the world. Shareholder value is a result, not a strategy… Your main constituencies are your employees, your customers and your products.

Welch’s words are consistent with one of my key themes: “Don’t let profits replace purpose.” This misplaced focus on shareholder value is one of the main reasons for my new mini-book: The 6 New Management Imperatives: Leadership Skills For A Radically Changed Business Environment

The bottom line: Make shareholders happy by ignoring them

Written by 

I am an experience management transformist, helping organizations improve business results by engaging the hearts and minds of their customers, employees, and partners. My "job" is Head of the Qualtrics XM Institute. The Institute is still being established, but our goal is to help organizations around the world thrive by mastering Experience Management (XM). As part of this focus, I examine strategy, culture, interaction design, customer service, branding and leadership practices. And, as many people know, I love to speak about these topics in almost any forum. Prior to joining Qualtrics, I was managing partner of Temkin Group (leading CX research, advisory, and training firm), co-founder and chair of the Customer Experience Professionals Association (CXPA.org), and a VP at Forrester Research. I'm a fanatical student of business, so this blog provides an outlet for sharing insights from my ongoing educational journey. Check out my LinkedIn profile: www.linkedin.com/in/brucetemkin

6 thoughts on “Don’t Get Distracted By Shareholders”

  1. Hi Bruce,

    I really appreciate your comments and just want to give you a backlink.

    I will be reading your blog regularly as I develop the concept of Customer Excellence.

    Cheers

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