Harvard Business Review - 2008.06.pdf

www.hbr.orgJune 2008 60 The Secrets to Successful Strategy ExecutionGary L.Neilson,Karla L.Martin,and Elizabeth Powers 72 The Next Revolution in ProductivityRic Merrifi eld,Jack Calhoun,and Dennis Stevens 84 Design ThinkingTim Brown 96 The Contradictions That Drive Toyotas SuccessHirotaka Takeuchi,Emi Osono,and Norihiko Shimizu 106 The Multiunit EnterpriseDavid A.Garvin and Lynne C.Levesque 22 FORETHOUGHT 41 HBR CASE STUDYWhy Are We Losing All Our Good People?Edward E.Lawler III 53 FIRST PERSONBusiness Basics at the Base of the PyramidVikram Akula 123 MANAGING YOURSELF How the Best of the Best Get Better and BetterGraham Jones 129 BIG PICTURE Patent SharksJoachim Henkel and Markus Reitzig 138 EXECUTIVE SUMMARIES 144 PANEL DISCUSSIONpage 60PARADOX AT TOYOTApage 96 CLARITY AT IDEOpage 84 HOW TO DELIVER ON A GREAT PLAN2008 BMW of North America,LLC.The BMW name,model names and logo are registered trademarks.iPhone is a trademark of Apple Inc.If theres a 2-do for coupes,we Text BMWHBR to 67463 to drive anX6 to your smartphone or iPhone.TXTor law just broke it.The fi rst-ever BMW X6 Sports Activity Coupe.TMIts a robust retort to all the preconceptions of what a coupe must be.The BMW X6s four doors,high ride and V-8 twin-turbo make it a coupe outlaw.The formidable power of the 300-hp inline six-cylinder twin-turbo can also test the limits.New Dynamic Performance Control technology delivers Type A personality control at every turn.And with xDrive,intelligent all-wheel drive,it can handle any turn in the weather.The BMW X6 a coupe The DOW Diamond Logo and Human Element and design are trademarks of The Dow Chemical Company 2008Life is chemistry in motion.When you look at nearly 7 billion people on the move through the eyes of the Human Element,you see the need for this to take place in a way that is safe for man and safe for the planet.Solutions to vehicle fuel efficiency,safety and emissions control have become the job of chemistry.And whether it means engineering lighter components,safer passenger environments or cleaner emissions systems,innovation at The Dow Chemical Company is not only a fundamental part of human progress.It is an elemental one.The future isnt what it used to be.Take the decline of pensions,add rising healthcare costs,factor in the changing landscape of employer retirement plansand Americas investors are facing some formidable new challenges.Whats more,theyre facing them alone.Or are they?As a company founded on serving the individual investor,our focus has always been on providing help and guidance wherever people need it.ITS NOT JUSTMONEY.ITS PEOPLES MONEY.$1.4 trillion of client assets under total fi rm and$583 billion of client assets under Schwab Institutional,both as of 12/31/2007 Schwab Earnings Release.2 million households under Schwab Investor Services,5 million accounts under Schwab Investor Services,5,500 independent advisors served by Schwab Institutional,13,000 retirement and benefi t plans served by Schwab Retirement and Corporate Services,and$148 billion of employee assets under Schwab Retirement and Corporate Services,all as of 12/31/2007.Schwab Institutional leadership among independent Registered Investment Advisors as measured by market share.Source:Cerulli Quantitative UpdateAdvisor Metrics,2007.Schwab Retirement Plan Services growth rate and industry growth rate as measured by compound annual growth rate of client assets.Sources:Cerulli Associates Quantitative UpdateRetirement Markets,2007,and Schwab Financials,20032007.Charles Schwab&Co.,Inc.and Charles Schwab Bank are separate but affi liated companies and subsidiaries of The Charles Schwab Corporation.Brokerage products are offered by Charles Schwab&Co.,Inc.,Member SIPC.Deposit products are offered by Charles Schwab Bank,Member FDIC.For more information on The Charles Schwab Corporation,please visit ITS WHERE PEOPLES MONEY IS GOING.EVERYWHERE THERES PEOPLES MONEY,CHARLES SCHWAB WILL BE THERE TO HELP.And over$1.4 trillion of it is getting our help right now.We work directly with millions of people to help manage their money.More than two million households invest with us through over fi ve million investor accounts.Wherever people choose to investvia the Internet,over the phone or through our nationwide network of branchesmore than 2,500 Investment Professionals are dedicated to managing those relationships.And whatever people need,from professional portfolio management to checking accounts through Schwab Bank,were doing what weve always donehelping individual investors look after their fi nancial well-being.We support more independent Registered Investment Advisors than anybody else.Over 5,500 independent advisors rely on us for custodial,operational and trading support.With over$583 billion in client assets,we give independent advisors the help they need so they can focus on whats best for the individual investor.Being the#1 supporter of Americas fastest-growing channel is just one more way were making sure individual in