The more diverse your goals are, the greater the temptation to muddy the waters on performance.
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In March 2001, publishing executive Ann Godoff – then in her third year as president, publisher and editor-in-chief of Random House Trade Publishing Group (RHTPG) – was the subject of a gushing profile in New York Magazine. Laced with tributes from authors and peers (“She’s the real deal”, rhapsodised one Random House colleague), the article certified Godoff’s iconic status as an industry tastemaker.
Less than two years later, those glowing quotes gave way to expressions of shock and surprise when Peter Olson, CEO of Random House Inc., summarily fired Godoff. Upon hearing the news, one astonished editor could only utter, “Holy shit! Holy shit!” Olson’s reason for the termination was financial. As his announcement explained, Godoff’s unit was “the only Random House Inc. division to consistently fall short of their annual profitability targets”.
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