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The Bloxham Voice |
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Value-led Organizations: Chapter
Summaries
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Chapter 1
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Introduction to Value-Led Organizations
A number of changes are impacting on organizations today including:
increased stakeholder activism; technological enhancements; higher
levels of personal investment; greater informational requirements;
globalization; stronger scrutiny of board practices. These changes are
creating a need for organizations to clarify their values, purposes, and
goals. There are increasing external pressures on organizations from
shareholders, regulators and employees to be value-led. It is important
that organizations understand what it means to be value-led and to seek
out a number and variety of role models. |
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Chapter 2
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What is a Value-Led Organization?
A value-led organization focuses on value. A value-led organization
manages for value. Stewardship or care is the hallmark for value
leadership. Value leadership applies to all types of organizations. The
principles of value leadership are long-standing. Being value-led is
multidimensional. Value-led organizations strive to be value-led in as
pervasive and integrative a way as possible. In reality, not all
value-led organizations are value-led in every dimension at all times. |
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Chapter 3
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The Evolution of Value Concepts for Organizations
The evolution of value concepts for organizations comes from diverse
sources. Corporate finance, risk analyses, business ethics and business
law, financial and management accounting are all important disciplines
with implications for value-led organizations. Miller, Modigliani,
Markowitz, Sharpe, Black, and Scholes are some of the pioneers of
value-related concepts in corporate finance. GM and GE were very early
adopters in the 1920s and 1950s respectively of value-based metrics and
compensation concepts. |
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Chapter 4
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The E-Dimension of Value-Led Organizations
With the advent of the Internet, value-led organizations are faced with
new issues and opportunities. Value-led organizations must carefully
weigh all aspects of e-strategy implementation. The valuation and
assessment of e-commerce benefits and costs is more complicated than
many organizations realize. Value-led organizations use the availability
of the new technology as an opportunity to address both old and new
organizational problems. |
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Chapter 5
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The Impact of Globalization on Value-Led Organizations
Assessment of culture is critical to successful implementation of global
strategies. Value-led firms establish policies on a number of dimensions
when entering foreign markets. Globalization complicates measurement
issues and these issues must be addressed to ensure good decision
making. Globalization has expanded the opportunities for value-led firms
to benefit from multiple alliances and partnerships. |
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Chapter 6
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Current and Evolving Issues for Value-Led Organizations
There are a number of controversial topics and key issues for value-led
organizations today. Board composition and board size is an area of
controversy. Value-led organizations continue to be challenged to
maximize value through diverse boards, workforces, and supplier
participation. Reward structures continue to evolve. Value-led
organizations use value-led metrics for compensation and are starting to
consider more carefully the mix of fixed and variable pay. Metrics are
continuing to evolve with human capital and options issues at the
forefront. Investor pressures continue to push organizations to be
value-led. Value-led organizations are recognizing the need for and
benefits of education in value-related topics. Value-led organizations
understand the need to provide the platform where a changing workforce
can prosper. There is much work to be done and value-led organizations
are the ones that will take up and meet the challenge. |
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Chapter 7
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Value-Led Organizations in Practice
Being value-led depends on leadership, but can only be successful if it
is embraced by every single employee in an organization. The stimulus,
and the decision which follows it, will be different, and will come at a
different time, provoke a different response, and last for a different
period, in every company. This chapter looks at the ways in which a
number of value-led companies have responded to that challenge,
exploring the examples of ten organizations, including: Prudential
Insurance; Kmart; Bank One; Honda; Halma. |
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Chapter 8
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Key Concepts and Thinkers
Value-led pioneers and organizations have developed a language which
defines value concepts. Get to grips with this lexicon through the
ExpressExec glossary in this chapter, which also covers key concepts and
key thinkers. |
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Chapter 9
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Resources for Value-Led Organizations
There are many excellent reference works which describe value-based
philosophies, processes and techniques. This chapter identifies the best
resources in books, articles, magazines, and websites on value concepts
and on value-led organizations. |
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Chapter 10
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The Steps to Making Value-Led Organizations Work
Every organization can be value-led. The steps to becoming value-led
require ethics and courage, which we call "leadership will." An
organization should reinforce its actions with the appropriate measures
and rewards. There are ten elements that make value-led organizations
work. |
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