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Dear Friend,
Does greater pressure make organizations harder to manage, or can it actually make them better? Our latest research at the Drucker Institute offers a surprising clue. Our Data Innovation Team examined responsible-management performance across 758 of America's largest public companies. The strongest average results did not come from industries facing the fewest environmental, regulatory, and social demands. They came from some of the industries facing the greatest scrutiny. That does not prove that pressure causes better management. But it raises an important question: Can sustained scrutiny, accountability, and higher expectations help organizations become more effective? Peter Drucker understood that responsibility was not separate from management. The more consequential an institution becomes, the greater its responsibility for its impact on customers, employees, communities, and society. Perhaps pressure, under the right leadership, can become more than a burden. It can become a source of discipline and effectiveness. Daniel Martin, our chief data scientist, explores what the data tells us, and what it does not, in this month's article. Read Daniel's analysis, then tell is what you think: Does pressure make organizations better? And if you are a researcher studying organizational effectiveness, we want to hear from you to bring new questions, methods, and perspectives to our data and help us better understand what makes organizations effective. Thank you for being part of the Drucker Institute community.
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