 |
| French workers need better managers. |
One of the benefits of being an MBA is that you get great
deals on business magazines. Over the
last year, Business Week, Crain’s Chicago Business and the Economist have
become sources of information and inspiration. Plenty of times, I receive text book examples
about how to run a business. I also
receive many more examples of how NOT to do business. I find examples of failure to be much more
instructive.
Case in point came from the November 18th issue
of the Economist. In the weekly Schumpeter column, they pointed to the French Economy and how many people
consider their workforce lazy and inept. It made me feel bad for the French office
worker. Nothing is bigger demotivation
than failure.
The nation which gave us de Gaulle, Descartes, Pasture, and Sartre
deserves a better reputation in the global economy. I also believe that the French worker has
been unfairly stereotyped. The grim reality pointed out by The Economist is
that much of the poor performance of the French can be blamed squarely on how
French businesses lead their organizations.
Unlike firms in America or Germany, who attempt to cultivate
leadership inside the firm, many French companies are led by people who get
most of their experience from civil service or academia. As explained in the article:
(snip)
“…too many big French companies rely on educational and
governmental elites rather than promoting internally according to performance
on the job. In the country’s many family firms, too, opportunity for promotion
is limited for non-family members. This overall lack of upward mobility, argues
Mr. Philippon, contributes largely to ordinary French cadres’ dissatisfaction
with corporate life. A study of seven leading economies by TNS Sofres in 2007
showed that France is unique in that middle management as well as the
lower-level workforce is largely disengaged from their companies.”
Since French workers have little if any chance to earn
promotion or additional income because of this system, they just don’t try as
hard. French business laws also make it
difficult to remove bad employees so you have the worst of all worlds for a
business; bad management and workers with no incentive to work.
I am not going to wag my finger shamefully at the
French. American business can be equally
dysfunctional. Still, it is clear to me
that France offers a great example of what happens when credentials are given
more value than experience and leadership.
The French worker deserves better than the French executive.
Until next time.