July 13
CEO Blog: The Rise and the Fall
The study of history has always been a fascination. The History Channel and PBS rank pretty high on my TV list, especially during the summer when all my other mindless TV shows are on hiatus. One of my interests has been with the creation, the rise and the fall of empires throughout the ages.
Empires such as Rome, Great Britain, Germany seem to have some characteristics in common that make them look powerful and mighty to the outside world, but make them flawed from within, ultimately leading to their downfall. Here are some common themes that I see in the study of the history of empires.
It’s never enough.
Empires always capture territory, conquer lands and dominate the population. They extend their borders across continents and oceans in their quest to be the dominant power in the world. After the glory of their victory has worn off, Empires have to manage, administer and control what they’ve conquered. The larger they get, the more unwieldy the Empire becomes.
It’s my way or the highway.
Empires usually feel the need to rule by fear and intimidation. The conquering empire views the people in their territories as those to be controlled, subjugated and used. After all, conquest was expensive and an empire takes money to run. It’s always up to the minions in the empire to work hard, produce for the empire and expect little for themselves. Suppressed people become unhappy people creating disorder and dysfunction within the empire.
You must be like me.
When Great Britain used its mighty navy to sail around the world and conquer foreign lands such as India and the Far East, they encountered different cultures, religions and languages. Rather than learn from these differences, they were motivated to remove as many of the culture differences as possible leaving the people to wear English coats and top hats, have afternoon tea and worship in the Anglican Church. So much effort was expended in changing what was unique and culturally ingrained that little benefit was derived from the conquest.
History shows us that most empires become unwieldy, difficult to manage, expensive to maintain, hard to control and most of them crumble. Just look at Russia, Rome, Great Britain, Nazi Germany, Alexandria…..on and on. In fact, what empire do you know that has grown by conquest is still in existence?
The study of historical empires has relevance in the corporate world as we look at the big guys who seek to dominate their markets and snap up smaller companies suppressing what was unique and special about them. Corporations can become too large, too unwieldy and too inefficient to manage. Take Bank of America or General Motors as great examples. These billion dollar organizations can breed a culture of dysfunction, treat their employees like minions expecting them to give it all to the corporation and expect little in return. They can treat the customer of the conquered company as a second-class citizen.
The conferencing industry is a great example of where empire building has created bigger companies, not necessarily better companies. At over $1 billion in revenue, InterCall has grown primarily through acquisition, yet it has created a company that has a hard time absorbing its acquisitions, managing its technology, servicing its customers and keeping itself relevant to those customers and employees that may have been much happier in a different cultural environment.
Companies (and empires) rise when they seek to expand beyond their ability to grow organically and they fall when they function like the empires of history. Suppression and intimidation are never sustainable ways to rule an empire. And don’t think for a minute that those who don’t belong to the empire quake in fear when we see you marching through the marketplace, trying to intimidate or conquer. For every Goliath, there is a David. For every Redcoat, there is a Patriot. For every Storm Trooper, there is an Ewok. For every Colonel Quaritch, there is an Avatar.
For customers who are trying to decide if bigger is really better, think about how the company got big. If they did so through conquests (acquisitions), then you have to ask yourself if they are functioning like a company or like an empire. And you have to question if you are valued as a customer or treated like a minion. Or are you better off with someone who is smaller, more flexible, more efficient and more appreciative of your business? After all, empires can rise, but most of them also fall.
Carolyn Bradfield is the CEO of Copper Conferencing, a provider of easy-to-use audio conferencing and web conferencing communication tools. Copper also provides wrap-around services including online account, invoice and recording management. You can try Copper’s great web and audio conferencing services — no obligation. Just sign up now.
