James Drogan

Re Conversations with Dave

Drogan’s Eighth Law: Old dogs that don't learn new tricks end up dead dogs. Darwin pointed this out. And there is sufficient evidence in any number of fields that holding to the status quo, while a seemingly comfortable position, puts one on the exit ramp.

"Right cost, right skills and right business environment" sounds pretty right to me. I think as individuals we use these rules when we acquire products and services (e.g., the best spot for a beer and conversation) and shouldn’t, therefore, get too upset when others wishing to acquire our products and services look at us in the same manner.

There is a certain naiveté on the part of those past the margin of the globalization slope. They need to be willing to do what needs to be done to get on a better wave of change.

On the other hand, and I agree with you here, the management of the human asset is generally unenlightened. The focus is invariably on cost, not value, except, of course, in the case of top executives (e.g., Nardelli) where there is no focus on cost or value. What sort of really useful talent could Home Depot acquire with $210 million?

I’m not an HR guy, of course, and perhaps this notion of valuation of the human capital has been solved. If so, it’s not obvious. I recall from my former career the importance attached to the employee development plan. However, after the plan was put in place there was little funding of time and money for, and little interest expressed by management in, executing the plan.

It seems to me that to survive, thrive, and make a difference in the world, one must be adaptable. Innovative is another useful word in this discussion. We have previously discussed that innovation and adaptability are predicated on a foundation of continuous, relevant learning. That, I think, results in a high quality asset and is not enough. That high quality asset needs to be part of an equally high quality management system.