Issue 57, Winter 2009

In this issue
Cover story
- Booz & Company’s annual study of the world’s biggest corporate R&D spenders finds that most companies have stuck with their innovation programs despite the recession — and many are boosting spending to compete more effectively in the upturn.
Integrated Innovation at Pitney Bowes
In tough times, this venerable mail and documents company boosted not only its R&D spending but the creativity of its approach.What Banking Needs to Become
Regulations and consumer expectations are changing. The business models, capabilities, and practices of the financial-services industry must change with them.Fernando Flores wants to make you an offer
Having moved from political prisoner to cognitive scientist to Chilean senator, this uncompromising philosopher of communication is now educating business leaders for the world of social media.Best Business Books 2009
Our annual review: Clive Crook on The Meltdown, Charles Handy on Leadership, Phil Rosenzweig on Strategy, Ayesha Khanna and Parag Khanna on Globalization, Judith F. Samuelson on Management, Catharine P. Taylor on Marketing, Steven Levy on Technology, and James O’Toole on Biography.
Comment
On Peter Drucker’s Centennial
Why the impact of this preeminent, farsighted management writer is still so difficult to gauge.Auto Suppliers in Crisis:
1. The Coming ShakeoutThis bedrock U.S. manufacturing sector is facing consolidation, further cutbacks, and renewal.Auto Suppliers in Crisis:
2. Steps for RestructuringHow to choose which units to cut and which to keep.The Most Powerful Paths to Profits
Twelve strategies to shape a company’s destiny.Capturing the Asian Opportunity
Economic recovery in China, India, and elsewhere in the region could be the strongest source of sustained global growth for years to come.An Essential Step for Corporate Strategy
Though often missing, a formal operations strategy can guide the crucial decisions that build competitive advantage.What’s So Special about Special Ops?
The U.S. military’s elite training programs offer a model for the strategic deployment of human capital and for building effective teams.
Conversation
The Thought Leader Interview: Gretchen Daily
A leading proponent of natural capital valuation says we can build long-term prosperity by assigning prices to the ecosystems next door.There’s Salad on the Menu? Then I’ll Take the Fries
When presented with options that evoke a measure of self-control, consumers may behave in a way that contradicts their goals.Staying on Your Toes
Companies should deliberately disrupt the normal flow of work at multiple levels, because it can lead to breakthroughs for the organization.Catering to Nervous Customers
In industries that offer necessary but often undesirable services, managers must strive to understand how their services affect the stress levels of their customers.How to Donate Responsibly
After disasters, broker organizations can help corporations act quickly by matching corporate dollars to humanitarian need.How Emotions Affect Decision Making
Emotions can get in the way of rational decision making. Anger, in particular, can make employees increase their commitment to a failing plan.