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Case study
Publication date: 20 January 2017

Corporate Governance at Martha Stewart Living Omnimedia: Not “A Good Thing”

James B. Shein

The case opens with Martha Stewart's 2005 release from prison following her conviction for obstructing an insider-trading investigation of her 2001 sale of personal stock…

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Abstract

The case opens with Martha Stewart's 2005 release from prison following her conviction for obstructing an insider-trading investigation of her 2001 sale of personal stock. The scandal dealt a crippling blow to the powerful Martha Stewart brand and drove results at her namesake company, Martha Stewart Living Omnimedia (MSO), deep into the red. But as owner of more than 90 percent of MSO's voting shares, Stewart continued to control the company throughout the scandal.

The company faced significant external challenges, including changing consumer preferences and mounting competition in all of its markets. Ad rates were under pressure as advertisers began fragmenting spending across multiple platforms, including the Internet and social media, where MSO was weak. New competitors were luring readers from MSO's flagship publication, Martha Stewart Living. And in its second biggest business, merchandising, retailing juggernauts such as Walmart and Target were crushing MSO's most important sales channel, Kmart. Internal challenges loomed even larger, with numerous failures of governance while the company attempted a turnaround.

This case can be used to teach either corporate governance or turnarounds.

Students will learn:

  • How control of shareholder voting rights by a founding executive can undermine corporate governance

  • The importance of independent directors and board committees

  • How company bylaws affect corporate governance

  • How to recognize and respond to early signs of stagnation

  • How to avoid management actions that can make a crisis worse

  • How weaknesses in executive leadership can push a company into crisis and foster a culture that actively prevents strategic revitalization

How control of shareholder voting rights by a founding executive can undermine corporate governance

The importance of independent directors and board committees

How company bylaws affect corporate governance

How to recognize and respond to early signs of stagnation

How to avoid management actions that can make a crisis worse

How weaknesses in executive leadership can push a company into crisis and foster a culture that actively prevents strategic revitalization

Details

Kellogg School of Management Cases, vol. no.
Type: Case Study
DOI: https://doi.org/10.1108/case.kellogg.2016.000079
ISSN: 2474-6568
Published by: Kellogg School of Management

Keywords

  • Board of Directors
  • General Management
  • Compensation
  • Corporate Governance
  • Decision making
  • Ethics
  • Leadership
  • Sarbanes-Oxley Act
  • Succession planning
  • Turnaround

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Book part
Publication date: 21 October 2014

Introduction to Methodological Issues in Biopolitics

Patrick Stewart

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Politics and the Life Sciences: The State of the Discipline
Type: Book
DOI: https://doi.org/10.1108/S2042-994020140000012002
ISBN: 978-1-78441-108-4

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Article
Publication date: 1 February 1973

Roy Hattersley, the Labour Party’s new education spokesman

Interviewed by Peter Wilby

If one wanted a convenient and unoriginal label to describe Mr Roy Hattersley, Labour's new education spokesman, one could classify him as a whizz‐kid. He is young (just…

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If one wanted a convenient and unoriginal label to describe Mr Roy Hattersley, Labour's new education spokesman, one could classify him as a whizz‐kid. He is young (just 40), bright, ambitious, full of ideas and anxious to get things done. He is a brilliant Parliamentary performer. He is tipped as a future Prime Minister and, therefore, has political weight. Edward Short, Michael Stewart, Patrick Gordon Walker — none of these worthy people, for reasons that we need not labour, could be described as whizz‐kids. Sir Edward Boyle of course, was young (39 when he became Minister of Education in 1962), bright and full of ideas. But he was not ambitious and did not have the professional politician's killer‐instinct. Mrs Thatcher, it is true, has many whizz‐kid qualities and she is certainly ambitious; but she is a woman and, in the Tory Party, it is still not acceptable for a woman to display such things too publicly.

Details

Education + Training, vol. 15 no. 2
Type: Research Article
DOI: https://doi.org/10.1108/eb001751
ISSN: 0040-0912

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Book part
Publication date: 21 October 2014

Politics and the Life Sciences: The State of the Discipline

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Politics and the Life Sciences: The State of the Discipline
Type: Book
DOI: https://doi.org/10.1108/S2042-994020140000012010
ISBN: 978-1-78441-108-4

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Book part
Publication date: 21 October 2014

Preface

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Politics and the Life Sciences: The State of the Discipline
Type: Book
DOI: https://doi.org/10.1108/S2042-994020140000012012
ISBN: 978-1-78441-108-4

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Article
Publication date: 1 May 1999

User categorisation of works: toward improved organisation of online catalogue displays

Allyson Carlyle

This paper examines a user categorisation of documents related to a particular literary work. Fifty study participants completed an unconstrained sorting task of documents…

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Abstract

This paper examines a user categorisation of documents related to a particular literary work. Fifty study participants completed an unconstrained sorting task of documents related to Charles Dickens’ A Christmas carol. After they had finished the sorting task, participants wrote descriptions of the attributes they used to create each group. Content analysis of these descriptions revealed categories of attributes used for grouping. Participants used physical format, audience, content description, pictorial elements, usage, and language most frequently for grouping. Many of the attributes participants used for grouping already exist in bibliographic records and may be used to cluster records related to works automatically in online catalogue displays. The attributes used by people in classifying or grouping documents related to a work may be used to guide the design of summary online catalogue work displays.

Details

Journal of Documentation, vol. 55 no. 2
Type: Research Article
DOI: https://doi.org/10.1108/EUM0000000007143
ISSN: 0022-0418

Keywords

  • Document management
  • Books
  • Bibliographic standards

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Article
Publication date: 3 August 2012

What difference does the Adult Support and Protection (Scotland) 2007 make to social work service practitioners' safeguarding practice?

Kathryn Mackay, Mary Notman, Justin McNicholl, Diane Fraser, Claire McLaughlan and Sylvia Rossi

This article seeks to explore the difference that adult support and protection legislation may have made to work with adults at risk of harm in Scotland.

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Abstract

Purpose

This article seeks to explore the difference that adult support and protection legislation may have made to work with adults at risk of harm in Scotland.

Design/methodology/approach

The article is based upon findings of a joint academic and practitioner qualitative research project that interviewed 29 social service practitioners across three local authorities.

Findings

The legislation was seen as positive, giving greater attention to adults at risk. Views about the actual difference it made to the practitioners' practice varied, and were more likely in new rather than ongoing work. Three differences were noted: duties of investigation, protection orders and improved shared responsibility within the local authority and across other agencies, but to a lesser extent NHS staff. Overall it gave effective responses, more quickly for the adults at risk. Whilst the law brought greater clarity of role, there were tensions for practitioners in balancing an adult's right to autonomy with practitioners' safeguarding responsibilities.

Originality/value

The paper demonstrates that a dedicated law can improve safeguarding practice by clarifying the role of social work practitioners and the responsibilities of other agencies. The right to request access to records and banning orders were seen as valuable new measures in safeguarding adults at risk. As such the study from the first UK country to use dedicated adult safeguarding law offers a valuable insight for policy makers, professionals and campaign groups from other countries, which might be considering similar action.

Details

The Journal of Adult Protection, vol. 14 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/14668201211256681
ISSN: 1466-8203

Keywords

  • Safeguarding
  • Adult protection
  • Legal
  • Scotland
  • Social work
  • Ethical dilemmas
  • Social care
  • Health services
  • United Kingdom
  • Legislation
  • Social services

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Book part
Publication date: 21 October 2014

Editorial Advisory Board

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Politics and the Life Sciences: The State of the Discipline
Type: Book
DOI: https://doi.org/10.1108/S2042-994020140000012015
ISBN: 978-1-78441-108-4

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Book part
Publication date: 25 September 2013

Editorial advisory board

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The world of biology and politics: Organization and research areas
Type: Book
DOI: https://doi.org/10.1108/S2042-9940(2013)0000011003
ISBN: 978-1-78190-728-3

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Book part
Publication date: 21 July 2011

Chapter 12 Curbing Corruption: An Impossible Dream?

Jon S.T. Quah

The negative consequences of corruption for a country's development have been identified in Chapter 1. Corruption is ubiquitous and is found in “all political systems, at…

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Abstract

The negative consequences of corruption for a country's development have been identified in Chapter 1. Corruption is ubiquitous and is found in “all political systems, at every level of government, and in the delivery of all scarce public goods and services” (Caiden, 1988, p. 6). Corruption is a universal problem, and governments all over the world have introduced measures to tackle this “social pandemic” which has “many faces” and is “the most challenging obstacle to economic development” (Campos & Bhargava, 2007, pp. 1–2).

Details

Curbing Corruption in Asian Countries: An Impossible Dream?
Type: Book
DOI: https://doi.org/10.1108/S0732-1317(2011)0000020019
ISBN: 978-0-85724-819-0

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