Who Really Matters: The Core Group Theory of Power, Privilege, and Success

The book is written around a simple but powerful idea. Whatever their public stance, organisations are in fact run by and for the benefit of a core group. At best, this is the source of a dynamic that produces great benefits for all players. At worst, it leads to a primary purpose of extracting wealth from all other constituents for the benefit of members of the core group. As developed in the author's highly readable style, this deceptively simple idea produces extremely valuable insights into the dynamics that actually drive organisations and the great issues involved in ensuring that these organisations, the society in which they are embedded and the physical environment on which both depend live in reasonable harmony. (It is interesting that, almost in passing, the author deals a deathblow to the outdated notion of Adam Smith's 'invisible hand' on which the neo-conservatives still rest their political and economic philosophy.) Interestingly, the fact that the idea appears 'new' and yields a genuinely useful and sometimes surprising perspective on these great issues is itself a product of the evolution of organizations. If the same theory had been put forward when family businesses were dominant, it would have been too obvious to merit comment, (and each small enterprise would also have been governed, however imperfectly, by the 'invisible hand'). Kleiner has chosen to study organisations which: * have become so large that they are political entities rivalling many governments, and in which the study of power and its exercise has all the complexities of wider political theory * operate within a wider system of societal governance, but are able to treat with the wider government almost as independent sovereign powers - and are often large enough to challenge, change or ignore it to their own benefit * overtly reject (with a very few, very interesting exceptions) the notion of democracy within the organisation. Real power (as distinct from the often purely formal power of a Board member) is obtained and exercised through processes that are seldom transparent, not always legitimate, and therefore only very imperfectly accountable. (The parallels to a medieval court are startling, and it is a bit surprising that Machiavelli is not cited in the bibliography.) These are the organizations that dominate our global economy. Most of them are American, so it is valuable that that the study is by an author with an intimate knowledge of American business culture. The book explores three broad themes: * the nature, structure and dynamics of core groups * at the micro level, relations within the organisation - the 'ins', the 'outs' and the 'wannabes' and how they interact * at the macro level, the relationship between the organisation and wider society Most of book is an exploration of the structure and dynamics of core groups, their virtues and defects and the consequences for success and even survival of the various strengths and pathologies

According to Art Kleiner "The Customer Comes First" is one of the core lies of corporate culture. The director of research at consulting firm Dialogos says in every organization there are people who really come first, a core group that really matters. In each company the group differs. Yet every action taken by that group is undertaken with the goal of meeting the perceived needs and priorities of this group. Kleiner says core groups are not inherently evil or dysfunctional. They are the source of the organization's energy, drive and direction. The foundation of every organization is the decision. Some are made at the top; others are made at lower levels of the organization. Most are made in the midst of conflicting priorities, constraints competitors and constituents. Core groups play a critical role. By understanding who populates the core group, a collective organizational coordination is achieved. Core Groups can be large or small. They have many identities; often the identity is mixed. Among them: * A Bureaucracy - Bosses come and go; the core groups remains. * The Too Nice Organization - No one wants to admit they have power, yet one or two people influence decision making. * The Indigestible Acquisition - The deal is sealed but significant groups are not brought into the fold. * The Hidden Cabal - Quiet influencers who know how to influence the direction of people's decision making and covertly do it. * Charismatic Rainmakers * Stovepipes To determine a core group's character one must have insight into the mindset of the organizations people. Whose interests they consider when they make decisions. This is an interesting book. For those who love to get things done, corporate intrigue or simply want to survive, this book will open one's eyes to the reality of corporate culture.

Folks, I'm an Organization Development Consultant with 22 years of corporate experience spanning 3 Fortune 100 companies and a host of many smaller companies. I work internally for a major company, externally for several others. I teach Organizational Behavior online. I have a BS in Industrial Engineering, an MS in Manufacturing Management, an MA in OD and I'm 40% toward becoming a PhD in Human and Organization Development. I only lay that framework to add some credibility to this review.This book lays out THE MOST IMPORTANT CONCEPT OF THE DECADE. Remember when Senge hit the market with the Fifth Discipline? Remember when Goleman hit the market with Emotional Intelligence? Remember when Gardner taught us about intelligence? Well, if you remember them you'll remember the special "feel" you got for that work, when you read it you knew instantly that it was right.Well, Art Kleiner has done it for us again. This concept is astounding to read. If you believe as I do that BRILLIANCE comes in SIMPLE packages then you'll understand why this aerospace engineer turned People Person loves this work so well! Art lays out the concept of a Core Group that runs the organization you work for. The purpose of ANY organization is to serve the needs of the Core Group. Period. It works whether you are at Citibank or whether you are part of a sewing circle. The ones in charge call all the shots and learning the nuances of this and how to relate is what Art is all about. I've picked up SO MANY books that were a waste of my time. Not this one. Read it, confirm me in this. I use this in my coaching work, I use this in my teaching. I have been both a "victim" of this concept as well as a consummate "gamesman" at this concept all of my life. As you read this you will have story after story after story come alive for you from your past as you piece this game together. I'm telling you, this is fantastic thinking.I love to challenge my new MBA students with this work. They love to "kill me" for the work at first until they start to realize how important Art's work is. I love to needle them as they come to the realization that Art is right, that Art's work is simplistic genius. I have asked many people that I work with at a peer level to engage me in conversation regarding this concept. It makes them a little nervous because the truth is nerve wracking at times. But once they embrace it they get busy. You see, once YOU embrace it you will get busy too, you will get busy building new self help strategies that are less "touchy feel" crap and more dedicated to the attainment of your goals. Trust me, this is awesome stuff.The people who I find this work to be most valuable for are the Core Group members of any company I work with. It is important for them to know this work so they know how to analyze their own needs and how to expand their needs to include others. Where was this work when Enron was faltering? Where was this work when Arthur Anderson

This book is fascinating on (at least) two different levels. First, it is the most useful self-help book I have ever read. Second, it is a very interesting psychological portrait of organizations, and those who run them and run from them. In this sense, it is not unlike other tales from the analyst's couch that I have read and enjoyed. Self-Help Book Who Really Matters is an effective self-help book for those of us who have trouble negotiating life in and with organizations and those who run them. Kleiner starts with the premise that certain core groups run organizations and it is only by understanding and dealing with those in these core groups that one can understand and deal with the organization. This insight was not news to me but what Kleiner does with the insight is remarkable and I learned a tremendous amount about organizations and myself thorugh Kleiner's lively case histories of organizations and those within organizations. Through the case studies, a clear picture of the psychology of the leaders (or core groups) of organizations emerges. Kleiner prompts the reader to question himself about his own past and present experiences with core groups and organizations. He also helps the reader recognize patterns within orgqanizations that indicate that the organization (or you within the organization) will be successful or his headed towards inevitable disaster. In this way, I emerged with a much clearer picture of how power operates within organizations and of my own reactions to that power and how those reactions serve (and disserve) me. I found particularly helpful his list of the differnt kinds of capital an individual could amass in order to be in a strong position vis a vis an organization -- reputational (keep your name known in the field in general); relational (friends all over); financial (you can figure that one out), etc. He then discusses what the different kinds of capital will do for you vis a vis the corporation. I also found helpful his discussion of the glass ceiling. Most women I know, including myself, have difficulty asking employers for money. Kleiner explains why asking for too much money is rarely frowned upon within orgnaizations and why waiting for the organization to give you that which you "deserve" is rarely in an individual's self interest. The book is the best and most useful self-help book I have ever read. Psychological Case Studies Are Always Fun to Read The second way in which the book is terrific is that it is essentially a psychological analysis of organizations, how they operate, who operates them and how we react to the "organization," the core group running the organization and those without the core group. I am not someone who has read much on businesses, mostly because I always thought such books are boring. This is definitely not a boring book. It puts the personal elements of business in the open and makes the business world much more accessible for liberal arts

Ever since sand box days, we have grown accustomed to observing that there is an envied "in" crowd and an "out" crowd consisting of everyone else in the group. It feels great to be in the "in" crowd and not so great otherwise. Mr. Kleiner has taken that basic characteristic of human social behavior and examined it to propose how we can improve our organizations in both the profit and nonprofit sectors of the economy. You'll read about companies mostly, but there are also government agencies, labor unions and schools in the book. The suggested improvements are aimed both at those who are in the "in" crowd and those who are attempting to influence them, whether these are part of the "out" crowd or the management consultants who are hired to assist. One of Mr. Kleiner's central theses is that most people don't know how to join or influence the "in" crowd because they don't understand how it works in their neighborhood. Who Really Matters contains 11 superb diagnostic exercises to hone your skills in "in" group analysis and influence. Almost everyone will find these exercises to be helpful.The book is vividly written. I found myself remembering dozens of "in" groups that I have observed. The examples and arguments brought me right back into those circumstances as though they still existed. Feel business books I read have that sort of visceral effect on me.Mr. Kleiner argues that management consultants have a sixth sense about the "in" crowd because that is how we add clients. I have been just as often hired by an "out" crowd as an "in" crowd, but it certainly is clear in the first few minutes which is which. I agree that most people in both crowds lack the basic skills to influence the direction of the "in" crowd in positive ways. Regardless of the topic of an assignment, I usually find myself helping my clients learn these skills. In the future, I will also suggest that clients read this book who need help in those areas.The book's central theme for reformation is one that I heartily endorse from my own research and experiences. Make the "in" crowd as inclusive as possible, establish a "noble" purpose that is practical to make the group more socially productive, and eliminate organizational pressures to do anything else. Please do realize that this book is based more on thoughtful personal observation than on deep scholarly measurement and analysis. I found many of the arguments compelling, though, simply because they resonated so strongly with my own experience. If you want to better understand more about the "in" crowd phenomenon, you will probably enjoy Dr. Jane Goodall's books about chimpanzee behavior. You'll find her observations about the chimpanzees sounds a lot like the "in" and "out" crowds.I have a few nits to pick in disagreeing with this otherwise fine book. Mr. Kleiner feels that having an organization be responsive to all stakeholders is impractical. Self interests are too greatly at odds, and reconciliation takes