Summary.
Reprint: R0701K When some managers take over a new job, they hit the ground running. They learn the ropes, get along with their bosses and subordinates, gain credibility, and ultimately master the situation. Others, however, don’t do so well. What accounts for the difference? In this article, first published in 1985, Harvard Business School professor John J. Gabarro relates the findings of two sets of field studies he conducted, covering 14 management successions. The first set was a three-year study of four newly assigned division presidents; the second consisted of ten historical case studies. The project comprised American and European organizations with sales varying from $1.2 million to $3 billion. It included turnarounds, normal situations, failures, and triumphs. According to the author, the taking-charge process follows five predictable stages: taking hold, immersion, reshaping, consolidation, and refinement. These phases are characterized by a series of alternating periods of intense learning (immersion and refinement) and action (taking hold, reshaping, and consolidation). The study’s results put to rest the myth of the all-purpose general manager who can be dropped into any situation and emerge triumphant. Understanding a situation and effecting change do not occur overnight, says Gabarro, and human variables such as managerial styles and effective working relationships make a difference.The subsidiary was in serious trouble, so top management hired a young vice president of marketing with an enviable track record in another industry and gave him carte blanche. He reorganized the marketing function using a brand management concept, restructured the sales division, and devised new marketing strategies. Margins continued to erode, however, and after nine months he lost his job.