Know When to Collaborate, and When Not To

ON JUNE 8, 2000, A. G. Lafley stepped into one of the most difficult jobs in corporate America. In San Francisco two days earlier, Lafley had received a phone call from John Pepper, former CEO of Procter & Gamble and then a board member. Would Lafley become CEO? A boardroom coup unprecedented in the 163-year-old company’s history had just taken place back at headquarters in Cincinnati.1

Only eighteen months earlier, P&G CEO Durk Jager had launched a torrent of initiatives, determined “to rip apart P&G’s insular culture and remake it from the bottom up,” as BusinessWeek put it.2 But the changes had provoked untold turmoil.3 Rather than giving employees clarity, the change overwhelmed ...

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