36 Inverting the Paradox of Excellence
The downside is that organizations that rely too heavily on rules and regulations are inexible and
often suffer from a lack of motivation on the part of the employees. An overreliance on rules may
lead to difculties with customers, indifferent performance, and constant conicts among depart-
ments and functions. As rms downsize and eliminate layers of management and as the marketplace
requires greater exibility and responsiveness, increased coordination and integration of activities
across enterprise boundaries are essential. Reliance on boundaries and constraints as the primary
means of strategic control may no longer be feasible, and the use of rewards and culture to align
individual and enterprise ...