Sumantra Ghoshal
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Sumantra Ghoshal (September 26th, 1948 Kolkata (India) - March 3rd, 2004 Hampstead, United Kingdom) was the founding Dean of the Indian School of Business in Hyderabad, which is jointly sponsored by the Kellogg School at Northwestern University and the London Business School. Ghoshal also co-authored Managing Across Borders: The Transnational Solution, with Christopher Bartlett, which has been listed in the Financial Times as one of the 50 most influential management books and has been translated into nine languages.
Ghoshal graduated from Delhi University with Physics major and at the Indian Institute of Social Welfare and Business Management [1] and worked for Indian Oil Corporation, rising through the management ranks before moving to the United States on a Fulbright Fellowship in 1981. There, he produced two Ph.D. dissertations at once, initially at the MIT Sloan School of Management, then also at Harvard Business School. In 1985, he joined INSEAD Business School in France and wrote a stream of influential articles and books. In 1994, he joined the London Business School. Ghoshal was a Fellow of the Advanced Institute of Management Research (AIM) in the U.K and a Professor of Strategic and International Management at the London Business School. He served as a member of The Committee of Overseers of the Harvard Business School and was the Founding Dean of the Indian School of Business in Hyderabad.
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[edit] 525 rule
He put forth the '525 rule'. The '525' rule meant that 25 per cent of a company's sales revenue should accrue from products launched during the last 5 years. He was recognised for his research and teaching on strategic, organisational and managerial issues confronting global companies.
[edit] Forms of the International Enterprise
In co-operation with Christopher Bartlett Ghoshal researched successful enterprises on international markets. They found three types of internationalization, differing in structural approach and strategic capabilities. The types were dubbed Multinational, Global and International.
| Multinational Enterprise | Global Enterprise | International Enterprise | |
| Strategic competency | responsiveness | efficiency | transfer of learning |
| Structures | lose federations of enterprises; national subsidiaries solve all operative tasks and some strategical. | tightly centralized enterprise; national subsidiaries primarily seen as distribution centres; all strategic and many operative decisions centralized | Somewhere inbetween multinational and global enterprises; some strategic areas centralized, some decentralized |
| Samples | Unilever, ITT | Exxon, Toyota | IBM, Ericsson |
Due to an ever faster changing environment, Bartlett and Ghoshal see a further need for adaptation with a drive toward a company, that masters not one, but all three of the strategic capabilities of the named types. The ideal-type thus created, they dubbed the transnational enterprise.
[edit] Books
Ghoshal published 10 books, over 70 articles and several award-winning case studies.
- The Differential Network: Organizing the Multinational Corporation for Value Creation, a book he co-authored with Nitin Nohria, won the George Terry Book Award in 1997.
- 1999 The Individualized Corporation:A Fundamentally New Approach to Management , co-authored with Christopher Bartlett, won the Igor Ansoff Award in 1997, and has been translated into seven languages.
- Managing Radical Change, won the Management Book of the Year award in India. He was described by The Economist as 'Euroguru'.
- Managing Across Borders: The Transnational Solution, a book he co-authored with Christopher Bartlett, has been listed in the Financial Times as one of the 50 most influential management books and has been translated into nine languages.
- Sep 2002 The Strategy Process: Concepts, Contexts, Cases : Global by Henry Mintzberg, Joseph Lampel, James Brian Quinn, and Sumantra Ghoshal
The Differentiated Network : Organizing Multinational Corporations for Value Creation (The Jossey-Bass Business & Management Series) by Nitin Nohria and Sumantra Ghoshal (Hardcover - Feb 19, 1997)
Sumantra Ghoshal on Management : A Force for Good by Julian Birkinshaw and Gita Piramal (Hardcover - Feb 1, 2006)
[edit] Articles
- (Jul 1, 1990) Matrix Management: Not a Structure, a Frame of Mind by Christopher A. Bartlett and Sumantra Ghoshal
[edit] Case studies
Professor Ghoshal died of a brain haemorrhage on March, 2004 at Hampstead, United Kingdom.
[edit] Awards
His last book, Managing Radical Change, won the Management Book of the Year award in India. He was described by The Economist as 'Euroguru'.
