Chapter ~t<br >THE CRISIS IN MANAGEMENT:<br >ITS CAUSES<br >We are faced with a management crisiS.<br >The top 500 industrial corporations inNthe United States account<br >for more than 65 percent of corporate sales and 75 percent of<br >profits. Despite the tremendous advances these companies have<br >made in science and technology， and the economic power they<br >can muster， many of their managements are woefully behind.<br >Unless rapid improvements in management techniques are made，<br >increasing failures and decreasing productivity will result.<br > During the past ten years a large number of big and powerful<br >corporations have experienced rapid and unforseen reverses. These<br >downfalls were not precipitated by technological breakthroughs or<br >spectacular market shifts， but by various management errors that<br >were committed in the normal course of established operations.<br >The problem was summarized by J. Irwin Miller， president of<br >Cummins: "I think we ve just gone through a decade of rather<br >surprisingly bad decisions by businessmen worldwide. Some of<br >them so bad that nobody would have guessed it."<br > How much more can the stockholders， the public and the<br >government take?<br >The bad guys and the good guys<br > Consider the fate of some of our most famous billion-dollar<br >giants: AT&T， A&P， General Dynamics， Litton， Lockheed，<br > 19<br ><br >
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