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Don’t be a zombie organization — Steven SpearFrom Huffington Post Zombies are all the entertainment rage. They’re terrifying, but only if there is a mass of them in pursuit. Mindless, they keep coming despite the flame-thrower and Gatling gun fired at them. They are easy targets once they reveal themselves. Facing them are our human heroes. Outnumbered, they nevertheless prevail because they are agile and constantly learning. They adapt as they assess situations—seeing problems, developing new schemes—solving problems, to clobber the zombie hoards. It’s not just TV that has plodding zombies massed against agile, adaptive people. Organizations also display either zombie or agile hero qualities. In zombie organizations, engineers, doctors, nurses, mechanics or managers encounter problems like missing information, missing documentation, unclear assignments, missing materials or even missing colleagues. Yet, not really seeing them as abnormalities, they don’t solve them, unrelenting when something is amiss, not pausing to investigate and develop solutions. Read the full post and … Read More »The post Don’t be a zombie organization — Steven Spear appeared first on MIT Sloan Experts. Read the full post > |
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What Is the True Cost of Government-Backed Credit? — Deborah LucasFrom The Huffington Post The U.S. government is arguably the largest financial institution in the world. If you add the outstanding stock of government loans, loan guarantees, pension insurance, deposit insurance and the guarantees made by federal entities such as Fannie Mae and Freddie Mac, you get to about $18 trillion of government-backed credit. Through those activities, the government has a first-order effect on the allocation of capital and risk in the economy. The question of what those commitments cost the public is important; accurate cost assessments are necessary for informed decisions by policymakers, effective program management, and meaningful public oversight. My research and that of others has shown that if one takes a financial economics approach to answering that question — one that is consistent with the methods used by private financial institutions to evaluate such costs — it leads to significantly higher estimates than the approach currently used … Read More »The post What Is the True Cost of Government-Backed Credit? — Deborah Lucas appeared first on MIT Sloan Experts. Read the full post > |