Page 15 - (DK) The Business Book
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INTRODUCTION 13
























        a brain attached?” Output may have   were able to make use of computers  the means to reach a mass
        increased, but so too did conflict   to help solve operational problems.   audience. Businesses had always
        between management and staff.    Human relations were not forgotten,  used advertising to inform
        Working conditions were poor and   but in management thinking,    customers about products and to
        businesses ignored the sociological   measurability returned to the fore.   persuade them to buy, but mass
        context of work—productivity                                      media provided the platform for
        mattered more than people.       Global brands                    a new, and much broader, field—
                                         The postwar period saw the       marketing. In the 1940s US
        Studying people                  growth of multinationals and     advertising executive Rosser Reeves
        In the 1920s a new influence on   conglomerates—businesses with    promoted the value of a Unique
        business thinking emerged—the    multiple and diverse interests   Selling Proposition. By the 1960s,
        Human Relations Movement of      across the globe. The war had made   marketing methods had shifted
        behavioral studies. Through the   the world seem smaller, and had   from simply telling customers about
        work of psychologists Elton Mayo   paved the way for the global brand.   products to listening to what
        and Abraham Maslow, businesses   These newly emerging global      customers wanted, and adapting
        began to recognize the value of   brands grew as a result of a media   products and services to suit that.
        human relations. Workers were no   revolution—television, magazines,   Initially, marketing had its critics.
        longer seen as simply “cogs in the   and newspapers gave businesses   In the early 1960s hype about the
        machine,” but as individuals with                                 product became more important
        unique needs. Managers still                                      than quality, and customers grew
        focused on efficiency, but realized                                dissatisfied with empty claims.
        that workers were more productive                                 This, and competition from
        when their social and emotional                                   Japanese manufacturers, had
        needs were taken care of. For the   Entrepreneurship is about     Western companies embracing a
        first time, job design, workplace    survival, which nurtures      new form of business thinking:
        environments, teamwork,                                           Total Quality Management (TQM)
                                           creative thinking. Business
        remuneration, and nonfinancial                                     and Zero Defects management.
                                           is not financial science, it’s
        benefits were all considered                                       Guided by management theorists,
                                             about trading—buying
        important to staff motivation.                                    such as W. Edwards Demming and
                                                   and selling.
           In the period following World        Anita Roddick             Philip B. Crosby, quality was seen
        War II, business practice shifted                                 as the responsibility of the entire
                                             UK entrepreneur (1942–2007)
        again. Wartime innovation had                                     company, not just those on the
        yielded significant technological                                  production line. Combining Human
        advances that could be applied                                    Relations thinking and the
        to commerce. Managers began to                                    customer-focused approach of
        utilize quantitative analysis, and                                marketing, many companies ❯❯
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