Diversity of Expertise When Setting Up Executive Management Teams Discussed

One thing that executive management teamsexpertise they can be used to improve the
often make a mistake of is that they tried to hireefficiency in that service business.
people who will fit in well with the current team,One should never discount the need for diversity
people who think the same, perhaps have theof expertise in any corporation, at any level.
same hobbies, or have similar experiences andHowever, it is my belief, and I often recommend
have attended similar MBA schools. In someto executive management teams, that they seek
regards this is good because it helps buildout to find diversity in education, observations,
organizational capital quickly, but it is actually veryhobbies, knowledge, and expertise. It makes a
unfortunate in the long-run because there is not ahuge difference and it will help your company
diversity of expertise.make profits.
The best ideas from executive managementAre there any drawbacks? There are a few, and
teams seem to come from a cross pollination, orperhaps we should address them. One drawback
borrowing ideas that work in one industry, to useis it will take longer for the executive
them in another. The more intelligent themanagement team to get to know each other
executive management team, the more they willand build the organizational capital they need to
enjoy people with diverse experiences in business,work as a team. But this can be solved by an
or who have come from very different industries.executive retreat where each gets to know the
Someone that comes from the supply chain sideother in a more relaxed setting.
of things and perhaps, a shipping company, wouldThe other problem comes when there is an
be a very good addition to the executiveautocratic leader, which is so set in the way they
management team of a consumer wholesaledo things that they don't want to listen to the
manufacture of products. Likewise, in a largeother executives on the management team. In
service company or corporation, someone whothis case the diversity of experience is wasted,
comes from the manufacturing sector will comeand the benefits are never realized. I hope you will
with a variety of experiences, and worldlyplease consider all this.