I’ll bite. There was no indication in the article of anyone with an MBA in particular being responsible for these issues. The reasoning reads as: “lots of stuff is going wrong” ==> “must be because they have management with MBAs”
Why try to make this link if it isn’t there? What if I replace MBAs with ‘foreigners’, ‘women’, ‘people who read HN’, etc?
Why do we need this? Does blaming non-technical people for the failures of management make us feel better about ourselves?
There is no reason to believe that foreigners or women contribute negatively.
The thesis that parties who have negligible expertise in a given area given charge of people with substantial expertise in that area contribute minimal or negative value seems at least arguable.
Maybe we as a society value the idea of teaching people to lead people irrespective of what those people actually do instead of elevating skilled individuals in that area because it allows us to reward all the rich peoples kids that aren't smart enough to do.
This needn't mean you automatically are unintelligent or bad at what you do. You could personally be awesome and contribute greatly to the efforts you work with/lead.
When people blame things on MBAs here, they tend to not elaborate with specifics either.
MBAs are used as straw man punching bags on HN. Anything that goes wrong with a company where there’s the perception that the “obvious technical solution” was ignored, is blamed on this nebulous cabal of MBAs, who are apparently hired in droves just to sabotage their employer. For some reason it’s totally ok to vaguely blame the business folks.
> MBAs are used as straw man punching bags on HN. Anything that goes wrong with a company where there’s the perception that the “obvious technical solution” was ignored, is blamed on this nebulous cabal of MBAs, who are apparently hired in droves just to sabotage their employer. For some reason it’s totally ok to vaguely blame the business folks.
I think you're building a bit of a straw man. I think the criticism of MBAs rests on criticism of the idea that good decisions can be made by people that chiefly have "management skill" but lack "domain skill." A lot of people believe domain skill is extremely important, and if you stuff an organization full of empowered people who only have management skill, you'll get more bad decisions. You'll also get a lot of dysfunction as they spend too much time pursing the "management ideas" they're more comfortable with, and neglect "domain ideas."
> The assumption that MBAs do not have domain experience is often incorrect. Stereotyping is supposedly frowned on in the comments here.
Obviously not. I think the critique is about MBAs who don't have domain experience and don't think they need it, because they have a generically-applicable "management skill." That ponderous specification is typically shortened to "MBAs" for brevity, since it apparently has some root in ideology that's common in business schools.
I think MBA in its usage implicit means 'with no domain experience' because otherwise there would be a reference to as their most relevant skillset in the field. If someone has domain experience they are a 'senior engineer' with the MBA only coming up if that aspect is relevant. If someone doesn't have and they make it they are just a MBA.
Here's a few concepts that came out of B-Schools/MBA land. at a grossly brief, thus over-simplified level:
* "Shareholder value" as the prime goal of management, justifying the exclusion of all other stakeholders (employees, customers, community supporting the business, country supporting the business, etc.). Few concepts have done more to damage this country and capitalism itself (note the main problem of shrinking middle class able to purchase the goods produced).
* "Manufacturing is fungible & expendable, just outsource it to the lowest-cost country". Massive damage to developed nations' economies, and national security, all to goose short-term profits. Actively destroys massive corporate value of know-how, simultaneously providing both the existing know-how and ability to generate new know-how to new competitors.
While all the MBAs thought we were exploiting the cheap Chinese labor, the Chinese were looking long terms and exploiting our myopic need for short-term profits to gain massive economic & military advantage (note the recent controversies about planted chips, among many other similar security nightmares). This will go down in history as one of the all-time great geostrategic blunders, brought to us by MBAs.
* "Invest in the stars, milk the cash cows, dump the dogs" -- breaking down your business units in this way, guarantees that the business will become a shell of its former self -- the dogs will be sold off with no regard for their potential if invested in (they may be developing key breakthrus, but not yet showing good financials), the cash cows will be starved of all potential and soon become dogs to be sold off, and maybe the stars work out or maybe they don't. Great way to kill a business. GE was financially managed -- where is it now?
* The general concept that I've seen multiple times of focusing on managing to the financials instead of managing to CREATE great value. The financials will ALWAYS look better when investment in building true value and a competitive moat is overlooked to cutting costs and goosing current sales. These numbers will look good and increase for a while, possibly years. Until they don't. At that point, the business has no hope, and is a walking zombie, unrecoverable.
So, yes if MBAs are kept in their suitable container of 1) installing good accounting practices for tracking and security of financial assets, 2) managing the profits that are made to ensure good returns, 3) optimizing operations & taxes (lease vs. buy capital assets?, etc.), then things will work out great.
But putting them in charge without also having serious domain knowledge, both on the customer/market side and on the engineering/manufacturing side -- very bad idea.
As an MBA holder and avid HN user, I take issue with that statement...