Out of the Crisis

W. Edwards Deming

MIT Press

Deming proved prescient as always with the 1982 publication of this book, which urged that management not be judged only by the quarterly dividend. He advised a management transformation that would protect future earnings and jobs by improving products and services. His 14 Points for Management are outlined in Chapter 2. Once transformed, the individual will "set an example; be a good listener, but will not compromise; continually teach other people; and help people move into a new philosophy without a feeling of guilt about the past."

The Practice of Management

Peter F. Drucker

Collins

Originally published in 1954, this classic was reissued by Collins in paperback in October 2006. In its Nov. 28, 2005, cover story on Drucker, BusinessWeek said, "Whether it's recognized or not, the organization and practice of management today is derived largely from the thinking of Peter Drucker. His teachings form a blueprint for every thinking leader. In a world of quick fixes and glib explanations, a world of fads and simplistic PowerPoint lessons, he understood that the job of leading people and institutions is filled with complexity. He taught generations of managers the importance of picking the best people, of focusing on opportunities and not problems, of getting on the same side of the desk as your customer, of the need to understand your competitive advantages, and to continue to refine them. He believed that talented people were the essential ingredient of every successful enterprise."

The Human Side of Enterprise

Douglas McGregor

McGraw-Hill

About this book, the immortal Drucker himself said, "With every passing year, McGregor's message becomes ever more relevant, more timely, and more important." Published in 1950, The Human Side of Enterprise reveals McGregor's Theory X and Theory Y - early applications of the principles of human psychology to business. Theory X holds that employees must be commanded and controlled, while Theory Y states that people are self-motivated and self-directed. McGregor maintained that leaders' assumptions about people would direct the way they manage, and was one of the first critical thinkers to posit that human capital could be one of an organization's most valuable assets. In his introduction to the December 2005 edition, MIT Sloan School of Management professor Joel Cutcher-Gershenfeld writes, "McGregor understood, anticipated, and helped point the way toward what may well emerge as a future model of work, organizations, and society that is rooted in core assumptions driving participative, interdependent, authentic, inventive, and productive relationships. However, the alternative, an economic 'race to the bottom' based on increasingly individualistic, control-oriented and competitive assumptions, is also a very real possibility. As we venture forth, McGregor's insights about the 'human side of enterprise' continue to be a beacon."

My Years with General Motors

Alfred Sloan

Currency

Originally published in 1964, the current version features a 1990 introduction authored by - you guessed it! - Peter Drucker. Although some readers find the volume dated, such business luminaries as Bill Gates count it among their most valued reading: "I think Alfred Sloan's My Years with General Motors is probably the best book to read if you want to read only one book about business. The issues [Sloan] dealt with in organizing and measuring, in keeping [other executives] happy, dealing with risk, understanding model years and the effect of used vehicles, and modeling his competition all in a very rational, positive way is inspiring" (from a cover blurb). David Farber, author of Sloan Rules: Alfred P. Sloan and the Triumph of General Motors, has said, "In the immediate aftermath of the Enron debacle and other corporate scandals, the story of Alfred Sloan's hardheaded, even ruthless management of General Motors makes for instructive reading. Sloan was the first celebrity CEO. He made GM into an icon of productivity, market domination, and stable profitability. Through marketplace performance and a relentless public campaign, he convinced Americans that the business corporation was the beating heart of the nation's political, cultural, and economic life and that men like him were indispensable to the nation's security and prosperity.