Anderson Center Newsletter

Vol 3, No 4October 2009

| |

Dear ,

Organizations have long been accustomed to measuring their "returns on" – or what they get back from – scarce resources. We calculate our Return on Sales ("ROS"). We compare our Return on Assets ("ROA") and Return on Equity ("ROE") to other similar organizations. We want to assess how efficiently and effectively we utilize our scarce resources.

In a world of increasing natural and financial resource scarcity and in a world where the rate of change continues to increase – from globalization and technology and from recession and the resulting stimulus and regulation – doesn't "management" itself become one of the scarcest organizational resources? Shouldn't we also be measuring, or at least in these times thinking more about, our "Return on Management" ("ROM")? Doesn't ROM come before and in part determine ROS, ROA, and ROE?

In the classic article titled "How High is Your Return on Management," Robert Simons defines "ROM" as "Productive organizational energy released" divided by "Management time and attention invested." Thinking about the ROM numerator, how can we release more productive energy in our organizations? Thinking about the ROM denominator, can we develop more people already on our team to think like resource managers (and ultimately like resource owners) and thus expand our management resource? Conceptually, can we triple the organizational energy released in the right direction by doubling management effectiveness (i.e., increase ROM to 3:2 from 1:1)?

Join other experienced participants in our Forums in thinking about ROM. Explore real–world case studies to compare and contrast organizations with low ROM and those with high ROM. Meet highly–skilled Discussion Leaders who stimulate decision making and action planning through these case studies and between and amongst these experienced participants.

The Anderson Center... Experience It!


Venita Wilkes Director	Rick Bauerly Board Chair

Succession planning is a topic that is difficult and emotionally charged... making it challenging to talk about.

The Succession Strategies Forum is a learning experience for stakeholders in private, closely-held and/or family businesses – including owners, board directors, managers, family members, and advisors – who are interested in the ownership, management and governance succession of their organization.

The forum focuses on the following learning objectives:

To provide a framework for planning and preparing for succession.

To discuss generic strategies for manager, director, and owner succession.

To surface key questions that must be answered in the planning process.

To introduce resources, advisors, and tools to assist in the planning process.

To form a network of peers facing similar challenges.

The Succession Strategies Forum is limited to twenty participants from non-competing organizations. Confidentiality is stressed, and participants aren't asked to share confidential plans or strategies. Register now for the forum February 10-12 in Owatonna, or April 19-21 in St. Cloud.

UPCOMING FORUMS:

Governance Forum – October 12-14, 2009

Managers' Forum – October 19-23, 2009

Executive Forum – November 15-20, 2009

Foundations of Marketing – November 30 - December 2, 2009

Speakers Forum – January 28, 2010

Alumni Forum – January 28, 2010

We're currently accepting registrations for our fall Forums. Brochures and registration forms are available on our website.

Our 2009-10 Forum Calendar is now available. Download a PDF version, or see our website for more information on the Anderson Center forums.

Gary Stern has been President and CEO of the Federal Reserve Bank of Minneapolis since 1985. Come to the Speakers Forum to hear his unique experiences. He is co-author of the book Too Big to Fail: The Hazards of Bank Bailouts.

To learn more about the Anderson Center and our forums, contact Venita at 320-251-3215 or venita@acmbd.org.