CEO Daily Brief – Oct. 15, 2010
Do Business Leaders Trust the Tea Party? The Tea Party is an influential force in many states this election season. [...]
October 15 2010 by ChiefExecutive.net
Do Business Leaders Trust the Tea Party?
The Tea Party is an influential force in many states this election season. To businesspeople concerned about the 9 percent increase in federal spending under President Barack Obama and the Democratic-controlled House and Senate, a Tea Party-led return to fiscal austerity has undeniable appeal. That’s certainly what the leaders of this anarchic, decentralized movement are selling. But business leaders feel the Tea Party’s small-government slogans may be appealing, but its policies could throw the U.S. economy into chaos.
For more of this argument, please see the report from Bloomberg News.
Tribune Co. Executive Suspended over Companywide Suggestive E-mail
Tribune Co. Chief Innovation Officer Lee Abrams has been placed on indefinite suspension without pay by the company’s CEO, pending review of a companywide memo Abrams sent to staff Monday that spurred a rash of employee complaints. The memo linked to a video that included female nudity. Abrams apologized this week “to everyone who was offended” by the e-mail.
The incident occurred less than a week after a New York Times story that characterized Tribune management as fostering a sexist “frat house” atmosphere.
“Lee recognizes that the video was in extremely bad taste and that it offended employees,” Tribune CEO Randy Michaels said in a memo announcing the suspension. Abrams “has also apologized publicly. He reiterated those feelings again to me privately today. But, this is the kind of serious mistake that can’t be tolerated; we intend to address it promptly and forcefully.” Abrams may still face additional disciplinary action, Michaels said.
For more details from the Los Angeles Times, please click here.
Board Chairs Should Be More Like Judges
Roger Martin, dean of the Rotman School of Management at the University of Toronto, has got a new theory that is sure to raise some ire among CEOs. He argues that board chairs should be more like judges. Martin says if we could begin to see board chairs as we think of judges, and if they could increasingly act in the public interest as judges do, even when it means taking unpleasant actions, our system of democratic capitalism would be the stronger for it.
But where does that leave CEOs, as defendants always accused of wrongdoing? Is that judicious?
To read more of Martin’s argument from the Harvard Business Review, please click here.