“More and more companies are coming to the conclusion that it’s better to be smaller and nimble than a slow-moving Leviathan,” CNNMoney declared on the heels of the ITT news.
Actually, Peter Drucker came to that conclusion more than 20 years ago, and saw a trend emerging even then. “We have moved away from the worship of size that characterized the first three quarters of the [20th] century and especially the immediate post-World War II period,” Drucker wrote in his 1989 book, The New Realities. “We are rapidly restructuring and divesting big business.
[EXPAND More]“Increasingly,” he added, “the question of the right size for a task will become a central one. Is this task best done by a bee, a hummingbird, a mouse, a deer, or an elephant? All of them are needed, but each for a different task and in a different ecology.”
In a lecture delivered two years later, Drucker used even stronger language, suggesting that “we are shifting from a world in which bigness matters to a world in which bigness is irrelevant.” He went on to say that “size is functional, and the advantages of bigness are gone with information. And so we have a very real question: How do we make this transition to a world in which yesterday’s bigness no longer helps and is actually in many cases a severe disadvantage?”
What do you think? Has bigness generally become a disadvantage for business? Will we see more corporate giants breaking themselves into pieces?[/EXPAND]