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The FORTUNE Preview Guide

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"Confessions of a CEO"

Cover Date: November 12, 2007
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COURSE CONNECTOR
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ARTICLE SUMMARIES AND QUESTIONS

"Confessions of a CEO," pp. 64-74: Dominic Orr thought he had everything he ever wanted — he was CEO of a Silicon Valley data-networking company, and his family was ensconced in a beautiful home in tiny Saratoga, California. But behind the successful facade, Orr's world was crumbling. He spent months on the road meeting with business partners and wooing clients as his company stood poised to go public. The few hours he had at home were spent answering e-mails, phoning potential hires, or reviewing marketing plans. As a result, his home life had deteriorated to the point that his 15-year-old son intentionally damaged Orr's Infiniti J30, partly out of rage, partly to get his father's attention. That was the turning point for Orr, who realized that his "ruthlessly aggressive" work temperament and all the sacrifices he made for the sake of the corporate ladder were bearing some ugly fruit in his personal life. Since then, Orr has engaged in a nine-year struggle to restore balance in his life. Along the way, his marriage ended, he dropped out of the workforce, and returned as CEO of Aruba Networks, a publicly held wireless-equipment company. But now he is that much closer to being what he calls a "complete man."

This article reveals the drastic steps a successful Silicon Valley CEO had to take in order to "get a life."

Discussion Questions:

  1. How did Dominic Orr's background help shape his hard-driving, career-oriented temperament? How did it influence his management style?

  2. What did Orr hope to gain from therapy? Why? What effects of his transformation have employees and business associates observed?

  3. In your opinion, what are the most important lessons that other executives can learn from Orr's experience? Explain your answer.

"Cisco's Display of Strength," pp. 90-102: Tech mainstay Cisco Systems, at one time the most valuable company in the world, is on the verge of an innovation renaissance. At least, that's what Cisco's ebullient CEO, John Chambers, believes, and his enthusiasm is contagious. After crashing hard in the dot-com bust, Cisco has steadily rebuilt, thanks in large part to the collaborative corporate culture Chambers has espoused. The company's latest gee-whiz product that has Chambers all abuzz is telepresence, a high-def, life-sized, Internet-based communications system that is to traditional video-conferencing what the latest big-screen surround-sound plasma extravaganza would be to a little old black-and-white set with rabbit ears. While demand for Cisco's decidedly less-flashy switches and routers remains high, Chambers wants more visibility for his company among consumers, and telepresence is at the heart of that. Other strategies include continued growth through acquisition (such as its $6.9 billion purchase of cable set-top box maker Scientific Atlanta in its biggest deal ever) and forays into corporate social networking. Of course, there are naysayers, including tech bear Fred Hickey, who sees Chambers' present optimism as eerily reminiscent of his high hopes just prior to the last tech crash. So, can Cisco pull it off? If anyone can, it's Chambers and his team.

Students take a closer look at Cisco Systems' plans to expand its reach in the tech market through cutting-edge product development and organizational realignment.

Discussion Questions:

  1. What is unique about Cisco Systems' corporate organization? How has it enabled Cisco to innovate faster and more proficiently?

  2. How have Cisco's recent innovations — telepresence, social networking — assisted the company? Do you think their impact on the wider business world will be as significant as CEO John Chambers anticipates? Explain.

  3. Define the key obstacles Cisco faces at this juncture. In your opinion, is the company sufficiently prepared to surmount them? Why or why not?

"The Making of a UPS Driver," pp. 118-129: How does a FORTUNE 500 company that relies heavily on the old-fashioned sweat and hustle of its employees deal with Generation Y? Simple. Send 'em to school. It isn't easy being a UPS driver — you're on a tight deadline, your job performance is under constant surveillance by an electronic clipboard called a DIAD ("delivery information acquisition device"), you drive a doorless truck, and you have to wear a brown uniform. For twentysomethings known better for their dexterity with technology than their loyalty or work ethic, Big Brown wouldn't seem to be the best fit, despite the plum $75,000 annual salary and generous benefits package. But rather than allow its youngest drivers to continue flunking out at record pace, UPS opted to try a whole new approach. Drivers are still expected to learn and live by UPS's "340 methods," a detailed manual of rules and routines. But instead of continuing to offer two weeks' worth of lectures to train driver candidates, UPS opened a full-service, high-tech pilot training center known as Integrad to do the job. If the facility and curriculum are successful in boosting driver retention rates, UPS has plans to launch 14 similar sites throughout the country.

In this article, students read about UPS's ambitious new driver training program targeted at the "untrainable" Generation Y.

Discussion Questions:

  1. Why are other organizations interested in the results of UPS's new management training program? How will the data acquired be useful across industries?

  2. What surprises did Stephen Jones and his research team encounter as they developed Integrad's training program and equipment? How did they incorporate their findings?

  3. According to UPS dispatch supervisor and former driver Veronica Reisinger, how will the new training format help driver candidates? In your opinion, will it ultimately lead to improved performance indicators and greater retention of young drivers? Why or why not?

"Her Space," pp. 130-138: Arianna Huffington wasn't given much chance of succeeding when she launched her eponymous online news and opinion site, the Huffington Post, in 2005. While she seemed to know everyone and to have an opinion on everything, she was variously regarded as a striver, powermonger, political opportunist, and name dropper, and easily dismissed as a shameless social climber. Ironically, those very qualities have helped Huffington and co-founders Kenny Lerer and Jonah Peretti create an influential, buzz-worthy site that has accomplished what all the big media outlets have been scrambling to do — build a true community around news content. Huffington's vast offline social network of politicos, entertainers, activists, and academics serves as the Huffington Post's contributors, blogging on the left-leaning Post about their views, causes, and beliefs. The upshot for Huffington is multifold. In addition to gaining newfound respect among those early critics, she has earned an unlikely reputation as someone who "gets" the web, and her name is showing up with increasing regularity on power rankings. Whether the Huffington Post will revolutionize news journalism for the long haul or is merely a flash in the pan remains to be seen, but it's unlikely that anyone will count out Huffington again.

Students examine the unexpected success of the Huffington Post and the influence of its founder and namesake, Arianna Huffington.

Discussion Questions:

  1. How does the Huffington Post differ from conventional news media outlets? Why has it been successful in a niche in which so many big media companies have thus far failed to flourish?

  2. What controversies has the Huffington Post encountered during its brief existence? In your opinion, were they adequately addressed? Why or why not?

  3. Do you think the Huffington Post will continue to grow and achieve sustainability? If you were CEO Betsy Morgan, what would your plan be to achieve that end?

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