John Chambers (Cisco CEO) - The Role of Decisiveness and Decision Essay

John domiciliate (cisco CEO) - The Role of Decisiveness and Decision Making - Essay ExampleIn October 2011, Ciscos solve income dropped by 8%, while earlier in august this year, the net income had dropped by 36%, although it subsequently on rose by only a small margin of 3.3%. Sh areholder value mental hospital is one of the to the highest degree important strategies in an organization, and should be a priority for a CEO however, house has failed tremendously. According to Rappaport (2006), executives should always make decisions that aim at maximizing value. In addition, at times, it is wiser to return the shareholders silver in dividend form, rather than using spare cash in investments that end up being destructive. Therefore, excess cash should be returned to shareholders when the value-creating opportunities are not available. In addition, an organization should focus on the activities that contribute to long-run value in the organization. Decisiveness is one of the majo r qualities of a successful chief executive policeman the act of being determined is evident in Chambers such that, despite the rise of Cisco from $1billion to $40 billion followed by the challenges in 2001, Chambers has continued to hang on in the high societys leadership. ... argues that the continuous recovery of Cisco can be attributed to the CEOs leadership skills, as he is known as an legal communicator and motivator of employees. Literature Review John Chambers, the Ciscos CEO, has faced both negative and positive remarks concerning his role in the community. The failure to persuade the public that the companys future earnings are reliable is one of the existing critics. Chambers replaced the top-down decision-making growth with the committees of executives. This strategy required most managers to spend their time in committees this absurd system was later on abandoned. According to Geothals, Sorenson, and Burns (2004, p.319), the presence of the correct information leads to informed decisions, whilst decisiveness creates room for timely actions. Nevertheless, repulsion and failure to fulfill promises in a CEO creates an atmosphere of mistrust from the employees and the customers. Therefore, an open management elan contributes to the development of trust, improved communication skills, and listening skills as well. However, ineffective communication leads to poor teamwork due to leave out of collaboration, decrease in productivity, and high levels of turnover. Decisive managers are aware that their decisions may not be effective hence, they leave room for modification, and therefore, they do not hesitate to modify their decisions once they realize that their original decisions are not effective. This is evident in Chambers case for instance, when chambers changed the companys top-down decision-making process to managers committee strategy, the new strategy proved ineffective as managers spent most of their time in committees. However, Chambers rec onsidered changing the strategy after discovering that it did not