From: Lyndon Nerenberg
I think AT&T's real problem was that the
post-1984 UNIX business was
run by the lawyers.
This is a common problem in many companies: executives who do not have deep
knowledge of the company's fundamental business, but rather in some support
area, rise to the top of the business, and proceeed to make bad decisions
about that business (through lack of deep understanding of the business'
fundamentals). The exact same problem arises not just with support functions,
but also with the belief in 'pure managers'.
The biggest recent example of this problem in Boeing; the people running a
business that is fundamentally an engineering business made some bad
decisions in areas that were fundamentally engineering. Car companies have
displayed this disorder too.
Which is not to say that such people _can't_ be effective leaders of such
organizations; the classic example is James Webb, who 'ran' NASA from 1961 to
1968; he was originally a lawyer. I say 'ran' NASA because Webb was smart
enough to understand the limits of his expertise, and he delegated all the
technical decisions to his chief deputy, Hugh Dryden - who had started his
career as an aeronautical scientist (a Ph.D in physics and mathematics).
Noel