History and Major Authors a. Carol Gilligan While early strains of care ethics can be detected in the writings of feminist philosophers such as Mary Wollstonecraft, Catherine and Harriet Beecher, and Charlotte Perkins, it was first most explicitly articulated by Carol Gilligan and Nel Noddings in the early s. While a graduate student at Harvard, Gilligan wrote her dissertation outlining a different path of moral development than the one described by Lawrence Kohlberg, her mentor. Kohlberg had posited that moral development progressively moves toward more universalized and principled thinking and had also found that girls, when later included in his studies, scored significantly lower than boys.
It became one of the most popular electives at the school.
This is precisely what has happened over the last several decades, converting our collective pessimism about managers into realized pathologies in management behaviors.
Managers were not to be trusted; shareholders were. It was one of the most remarkable about-faces in the history of education. And by hiring Jensen, HBS threw its lot in with the cynics.
And many of them would play a significant role in downsizing—that is to say, gutting—the traditional manufacturing and product firms that previous HBS graduates had helped build.
The corporation existed to create shareholder value; other commitments were means to that end.
It turned out that was all just posturing. Recent studies by the Aspen Institute show that when students enter business school, they believe that the purpose of a corporation is to produce goods and services for the benefit of society.
When they graduate, they believe that it is to maximize shareholder value. Jensen provided intellectual underpinning for the leveraged buyout boom in two Harvard Business Review articles during the s, arguing that the threat of being taken over—and fired—effectively created a market for corporate control, which helped executives stay focused.
He also argued that the high indebtedness engendered by leveraged buyouts forced executives to be much more focused on their operations of their companies. Twenty-two percent of the largest public companies in the United States as of had merged or been acquired bywith another 5 percent taken private.
Downsizing became the hymn song of the managerial church. Stock options as a percentage of compensation rose from 19 percent in the s to nearly 50 percent in Jensen was right that CEO compensation would rise in the case of outperformance, but he was wrong about the fact that CEOs would suddenly be at risk of being fired for underperformance.
Indeed, some would go so far as to argue that the financial view of the corporation helped create the crisis we are in now. There is no doubt that finance and financial markets are central to what public corporations do. What is less clear is that an ownership society is a workable model for prosperity and security.
But then we all sort of remembered it again. Shareholder value is a result, not a strategy…. Your main constituencies are your employees, your customers and your products. Managers and investors should not set share price increases as their overarching goal…. Short-term profits should be allied with an increase in the long-term value of a company.
Indeed, he went in the other direction, ripping into fellow members of the HBS faculty if they strayed too far from his orthodoxy. He was livid that he had been set up in front of all his colleagues to be critiqued by an outsider.
And keep in mind that the year before that, I had been president of the Business History Conference. He was much more engaged with students, those students were all going to Wall Street, and Wall Street firms were all sending money back to HBS. The net effect of it all was that agency theory rendered business history irrelevant.
But there was absolutely zero critique. Even from those who should have known better They kowtowed to Jensen. Just a decade before, he was the man with all the answers.
Byno one had any more questions for him; his ideas were bankrupt. So he asked them of himself. Business could not be treated as a science, and we would have to fall back on the wisdom of common sense. What did Michael Jensen achieve, in the end?by Gael O’Brien.
Of all the styles and types of leadership, something called authentic leadership seems the easiest to achieve – after all, who wouldn’t want to be, and come across as, the genuine article? Ethics at Harvard. In , when President Derek Bok persuaded Dennis F.
Thompson to come to Harvard, the serious study of practical ethics at colleges and universities was rare. There were, for example, no tenured ethics faculty members at the Business School, and only one Medical School professor who specialized in ethics. The early. Harvard Kennedy School Case Program is the world's largest producer and repository of case studies designed to train public leaders.
Sep 17, · Find new ideas and classic advice for global leaders from the world's best business and management experts. Signs of the boom are everywhere. Over business-ethics courses are currently taught on American campuses; fully 90 % of the nation’s business schools now provide some kind of training in the.
Nobel Prize Winner Malala Yousafzai to Receive the Gleitsman Award from the Center for Public Leadership at Harvard Kennedy School.