Page 135 - Harnessing the Strengths
P. 135

118   ■  Servant-Leadership in the Intercultural Practice



              This is not because shareholders are not important for
         the company. If that were true, it would be diffi cult to explain
         why Johnson & Johnson belongs to the list of companies
         that pay out the most dividends, year after year. It is because
         Robert Wood Johnson, one of the founders and a servant-
         leader, linked the specifi c goals with the diffuse general soci-
         etal responsibility, which began with patients, doctors, and
         nurses. Johnson & Johnson shows, unambiguously, that
         serving the society is the best guarantee of a sustainable profi t
         for the shareholders. Societal responsibility rewards nicely.


         General Public Versus Specialized Group

         When Michael Dell started in the computer industry at the
         end of the last century, there were only two segments in
         the market: expensive, specialized computers and simple,
         inexpensive computers. He had to decide if he wanted to
         target a small, specialized group of users, or the general
         public. The choice was to offer high-quality products for
         a limited few or to reach a larger market with a uniform
         product. This is a dilemma that lots of leaders face. One
         route requires that you sacrifi ce profi t, and the other asks
         you to sacrifi ce quality; neither is a choice that anyone can
         get really enthusiastic about. The risk of the fi rst strategy
         is that the distribution channels clog up and there is no dif-
         ference between your product and that of the competition.
         The second strategy also has risk in that the smaller niche
         markets limit the entrepreneur in their possibilities.
              Dell did not let himself get caught in the limitations of
         this dichotomy and developed his own approach: the Direct
         Selling Model. The advantage of this model is not only the
         breadth but also the depth of the approach: the personal
         character and customized design. Dell broke with the con-
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