The think-tank

Bolden Pharmaceutical, employing over 2,000 workers of all grades, welcomed its new chief executive Tim Hodges. Hodges had spent years working for petroleum companies anxiously exploring new avenues to extend their product-market scope. Hodges felt that Bolden needed the same kind of treatment and that in addition to looking for new product-market opportunities it needed to review its current operations and look for increased efficiency and savings which would help to cover the cost of new ventures.

As a first step Tim decided to set up a think-tank. The works was located close to open moorland on the Yorkshire–Lancashire border close to one of the many small towns that nestle in the valley bottoms. As part of the complex, but at a distance of roughly 400 yards from the main works, the firm owned an old house – at one time a rectory – which possessed fair-sized gardens and an open aspect over the nearby moors. Tim thought that the building would provide an admirable place to locate the think-tank.

The building was quickly refurbished to provide ample accommodation for a think-tank team. The building allowed for the creation of a well fitted out conference room with overhead projector facilities, flip charts, and an on-line desktop computer. In an open-plan office, created by knocking down the wall between two adjacent first-floor rooms, there was desk space for four people. A telephone which could take both internal and external calls was placed on each desk, along with an up-to-date PC and the basic office-type software which goes with such equipment. Tim Hodges also agreed to finance any additional special-purpose software that the team might require – up to a cost not exceeding £10,000 per annum. Secretarial support was provided by two part-time secretaries who between them covered the week 9–5 each day, Monday to Friday.

Four members of the middle-management staff were seconded to the think-tank for a twelve-month period initially. It was agreed that at the end of this period the situation would be reviewed and anyone wishing to return to their previous job would be able to do so. Temporary appointments were made to cover the work of the seconded executives during the year-long trial period. It was made clear that the seconded executives would not be available for their usual duties during this period but that they could be consulted from time to time by the temporary staff covering their work.

The team of four who made up the think-tank comprised one person with a background in the marketing operations of the company, one person from the finance and accounting area, one person from the R&D/operations area and a member of the personnel team. The job of co-ordinating the team was to be rotated on a three-monthly basis, with each person taking his or her turn at the helm.

The team were given no specific instructions as to how they should proceed with the task they had been given. Tim Hodges made it clear, however, through an internal memorandum to all members of staff – workers and managers – that the team would expect to receive full co-operation from staff at all levels in the organisation and that requests for help or information should be treated in the same way as if he himself had requested it.

Questions

The problem deputy

Bill was new to the job, and it was also his first management post. He had taken over a department of twenty people and, although he had been looking forward to his new post with great enthusiasm, after two weeks in the job he now had worries and anxieties.

His problem was Kurt. Kurt was the deputy head of department and had been with the organisation for eleven years. He was sixteen years older than Bill and secretly resented Bill’s appointment. Kurt had not been appointed head of department because the other members of the department resented his management style, and the boss of the organisation had felt that, although Kurt was an able man, the best interests of everyone would be served by appointing an outsider rather than confirming Kurt in the position of head of department.

Kurt had very strong views about his colleagues, as Bill soon found out. There was much evidence to show that most of his comments had substance to them. He spent much of his time in Bill’s office explaining why he thought most people in the department were lazy and needed ‘a good whipping’ to make them work. When Kurt was not running down his colleagues he would discuss classical music with Bill – an interest that was close to Bill’s heart. Bill was secretly pleased when Kurt went off to get on with his normal work. While he found Kurt an interesting and stimulating fellow, he did have reservations about him.

The departmental views of staff on the subject of Kurt were mixed. There was a faction that hated him and wished he would retire early. Kurt did have one or two friends, however, who were more sympathetic to his views and explained his aggressive manner away as justifiable frustration and disappointment. Bill was anxious to get off to a solid start in his new job and recognised that he lacked experience. He also felt that he needed to sort out the business of who was to be his deputy fairly quickly. Should he continue with Kurt in this role? Should he appoint someone else? Should he do without a deputy? Bill’s boss wasn’t much help in the matter. ‘Well, you have to manage with what you have,’ he said in a noncommittal way. ‘Kurt isn’t a bad bloke at heart.’

Bill felt he couldn’t think clearly in the matter. Something was causing a block to his thinking processes, and he could not get to grips with it.

Question

Tunnel vision

The drive to complete the project was on. That was until local resistance was encountered. There seemed no way of getting round the problem. The locals wanted cash to get out of the way of the highway which was to be driven through their homes – more cash than the company was prepared to offer.

‘If we pay up,’ said Joe, ‘everyone will get to know about it and everyone is going to want a cut. The project has enough on-costs. We won’t pay up.’

‘I guess we can reroute at little extra cost. It’ll mean an extra couple of miles of highway and a tunnel, but we won’t have to meet the kind of resistance the locals are putting up here. It’ll cost extra, more than we’d pay the locals, but heaven knows how much it would cost if we had to pay out to everyone who stood in our way.’ Tom smiled.

‘Sure agree with that,’ said Joe, drawing on his cigar. ‘Still, we’d better analyse the figures in depth. After all, we have to report on the change of plans to the board in due course, and they will require justification for the change. How long do you reckon it will take to get the figures?’

Tom grimaced. ‘Maybe a few days. If we have to get clearance from the board before we proceed, that could add on several weeks. Also, of course, we’d have to pay the men while they were idle. Then there is the rent on the equipment; the interest on loans . . .’

‘Hey, hang on a minute. This could cost us a lot of money. Can’t you get any rough estimates at all?’ Joe scowled.

‘Jupiter, Joe, all this takes time.’

‘But we ain’t got time. Before we know it, the locals will have wind of the fact we are up to something and we’ll have protesters, the government and the police breathing down our necks.’ Joe wasn’t pleased.

‘Well, we have to go through formal channels. The board meets once a month. The last meeting was three days ago —’ Tom was interrupted.

‘I think this calls for drastic action. There could be a big pay-off here if we just forge ahead one way or the other. Perhaps we ought just to pay up to the locals and hope for the best,’ Joe shouted.

‘I think we ought to explore the lie of the land. Get more information and find out what the locals are really up to,’ Tom said coolly.

‘Every day that passes we have fewer resources. We cannot afford to do that. Anyway, I don’t think it is necessary. What if we just let the locals cool their heels for a few days? We’ll make them sweat. Then we’ll offer them what we said we would. They’ll see sense, I’m sure,’ Joe reflected.

Question