Sustaining Superior Performance: Commitments and Capabilities

Pankaj   Ghemawat; Gary P. Pisano

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Background Note | HBS Case Collection | July 1997

Sustaining Superior Performance: Commitments and Capabilities

by Pankaj Ghemawat and Gary P. Pisano

Abstract

Presents evidence on the unsustainability of many competitive advantages, reviews the typical threats to the sustainability, and discusses ways in which those threats can be combatted.

Keywords: Competitive Advantage;

Format: Print

20 pages

Educators Purchase

Citation:

Ghemawat, Pankaj, and Gary P. Pisano. "Sustaining Superior Performance: Commitments and Capabilities." Harvard Business School Background Note 798-008, July 1997.

About the Author

Gary P. Pisano

Harry E. Figgie, Jr. Professor of Business Administration
Senior Associate Dean for Faculty Development

Technology and Operations Management

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Case | HBS Case Collection | September 2019

Engineering Company Culture at Zaimella Ecuador

Francesca Gino, Gary Pisano and Mariana Cal

Keywords: company culture; organization culture; culture; strategy; management;

Citation:
Gino, Francesca, Gary Pisano, and Mariana Cal. "Engineering Company Culture at Zaimella Ecuador." Harvard Business School Case 920-015, September 2019. View Details

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Case | HBS Case Collection | August 2019

Humanistic Capitalism at Brunello Cucinelli

Francesca Gino and Gary Pisano

This case explores one company’s attempt to experiment with a different underlying model for a capitalist enterprise. Brunello Cucinelli, S.p.A. is a leading manufacturer of luxury fashion apparel. Despite being a publicly traded enterprise with annual revenues exceeding 500 million, the company follows a somewhat unique human resource and cultural model. The company’s founder, Brunello Cucinelli, has striven to create an enterprise that follows principles of what he calls “humanistic capitalism”. Human capitalism, according to Cucinelli, means pursuing growth and profitability in a “gracious way.” At the company, humanistic capitalism manifests itself in a very specific set of policies and behavioral norms. Workers are paid wages that exceed 20% of the market norms; the workday (even for senior executive) is limited to the hours of 8:30 AM to 5:30 PM; emails are not to be sent after hours or on weekends; lunch breaks are one and half hours long to allow workers to have lunch at home should they choose. There are also strong cultural norms emphasizing respect and dignity. As part of this culture, employees are expected to keep their workspaces clean; eating at desks is not permitted; water can only be drunk from cups (not bottles); speaking should be done in hushed tones so as not to disturb colleagues. None of these cultural norms, however, are explicitly described in any written documents. The company has adopted this model in both its Solomeo, Italy headquarters and in its North American headquarters located in New York City.
The case allows students to explore the strengths and weakness of this culture and human resource model. A particular focal point of the case concerns the question of whether such a model is scalable and transferable across geographies. Does this model contribute to the company’s success or is ‘humanistic capitalism’ only possible because of the company’s underlying success? Is this model sustainable? The case invites discussion of deeper issues concerning alternative models of modern capitalism.

Keywords: corporate culture; Human Resource Practices; Growth; growth strategy; motivation; values; fashion; Capitalism; Organizational Culture; Values and Beliefs; Human Resources; Management; Business Model; Policy; Behavior; Growth and Development Strategy; Luxury; Italy;

Citation:
Gino, Francesca, and Gary Pisano. "Humanistic Capitalism at Brunello Cucinelli." Harvard Business School Case 920-007, August 2019. View Details

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Supplement | HBS Case Collection | May 2019

Engineering Company Culture at Zaimella Ecuador (B)

Gary P. Pisano and Francesca Gino

Citation:
Pisano, Gary P., and Francesca Gino. "Engineering Company Culture at Zaimella Ecuador (B)." Harvard Business School Multimedia/Video Supplement 919-706, May 2019. View Details

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Sustaining Superior Performance: Commitments and Capabilities

Abstract

Citation:

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