Supply Chain Management

The recent investigations by the British House of Commons into the Banking Sector crash has exposed the sheer greed and arrogance of the key players in the scandals - not least amongst them Fred Goodwin, of RBS. As the Observer newspaper reported, Goodwin's style of leadership was straight out of the classic 'Great Man' theory school of thought. His passion for instilling fear in some of the most experienced executives in the banking world and his joy at using ridicule to admonish any opposing views was legendary throughout the organization. Here's a recent quote that has been repeated widely in the business press about good ol' Sir Fred:

"a megalomaniac who cares more about size than shareholder value."

The unraveling of the economy is in large part due to the hubris of the Old Boys Club of 'inbreds' who have long dominated the financial world, yet this is what clearly brought ruin upon the International Banking Fraternity. So now maybe it's to take a leaf out of the Icelandic book:

"Iceland has turned to two women to rebuild its financial system after the banking empire built by its young, male business-schooled elite collapsed.
Elín Sigfúsdóttir and Birna Einarsdóttir are set to become chief executives of New Landsbanki and New Glitnir respectively, the nationalised banks created by the Icelandic government in the wake of the crisis.
One government minister said their appointments were an attempt to signal a new culture within the banking system."

This should be a lesson for all organizations - Bill George has written about the pervasive desire to maintain the macho culture in the Boardroom, one which in the US still sees the typical CEO as white, male and over 6'2" - it is time to look to alternative role models for leadership.