Executive Interviews: Interview with John C Camillus on Business Model Innovation
May 2009
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By Dr. Nagendra V Chowdary
John C Camillus Donald R. Beall Professor of Strategic Management, Joseph M. Katz Graduate School of Business and College of Business Administration.
Professor, can you share with our
readers your journey from IIT to DBA
(from Harvard University) to being
the Best Teacher. My professional journey has
benefited immensely from the good
advice and mentoring that I received
from my immediate family and from
professional colleagues. After I
graduated from IIT Madras, going to
IIM Ahmedabad for the postgraduate
program was more my family’s idea
than mine. And after IIMA, going to
Harvard Business School, for a
doctorate was the result of three
brilliant professors at IIMA – SK
Bhattacharyya, John Dearden and
Prafull Anubhai – shifting my
interests from production
management to the topic of
“management control.” The
specialization of “Control,” uniquely
defined in Harvard’s doctoral
program, was at the heart of general
management, combining the
disciplines of accounting,
microeconomics, behavioral sciences,
quantitative analysis and planning.
HBS values teaching and in the
doctoral program, in addition to
research, we also learned how to
write case studies and teach them
well. Returning to IIMA as the first
alumnus to join the faculty, I was
absolutely delighted to win the “Best
Teacher Award,” voted by the
students the very first year that this
award was initiated. When I joined
the University of Pittsburgh, the
lessons I learned at IIMA and at HBS
led to my receiving the Chancellor’s
Distinguished Teaching Award, the
highest award for teaching at the
University. Also, because of the
values I learned from my family, from
Jesuit priests who influenced my
thinking while at IIT-M, and from my
colleagues at IIMA, I have also been
given the Chancellor’s Distinguished
Public Service Award at the
University of Pittsburgh. What I
learned at IIMA as a student and as a faculty member has been inspiring
and life changing.
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In a recent HBR article (Strategy as a
Wicked Problem, HBR, May 2008),
you have defined strategy from a
different perspective. What is a
wicked problem? How to manage the
wickedness of strategy? Many strategic issues possess
characteristics that make them
“wicked.” “Wicked problems” are a
class of problems which have
complex, intertwined causes and are
difficult to define; where possible
solutions interact with and change
the problem; where there are many
stakeholders with different and often
conflicting priorities; where there is
limited or no precedent; and where
there is no clear-cut “right” answer.
Traditional techniques of strategic
analysis just do not work with these
problems. Employing processes that
emphasize social networks and
creative, non-deterministic variations
of traditional analytical methods are
the key to taming wicked problems. -
You have observed that
contemporary strategic-planning
processes don’t help enterprises cope
with the big problems they face. Is
that stand vindicated even further
during current financial crisis and the
ensuing problems that the companies
face? There is good reason to believe that
recent problems faced by companies
have been wicked in character and
that traditional strategic decisionmaking
processes have resulted in
dysfunctional responses. For
instance, many US companies have
ineptly focused on one key
stakeholder – the shareholder – to the
detriment of others such as
employees, customers and the
communities in which they operate.
The problems faced were complex
with many interrelated causes. The
nature and causes of the credit
crunch are unprecedented.
Traditional processes and techniques are wholly inadequate to tackle these
wicked strategic issues. For instance,
the widely-employed, simple
accounting measures of performance
such as profits and ROI and even the
more sophisticated EVA measure do
not map well onto the realities of
economic opportunity costs. These
accounting measures also ignore
relevant consequences of managerial
decisions, treating them as
“externalities.” Several such
presumed externalities actually have
an impact on organizational
performance in the immediate and
long term.
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