The planning, control, and information systems that have helped managers deal with growth for the past 50 years also inhibit employees' creativity and initiative. In "Changing the Role of Top Management: Beyond Systems to People," Christopher A. Bartlett and Sumantra Ghoshal argue that the challenge for top-level managers today is to engage the knowledge and skills of each person in order to create what they call an individualized corporation.

Briefings from the Editors. Include new findings on performance management programs, the importance of research and development, the Pygmalion effect, and why managers derail.

HBR Case Study. Grant Newman, chief executive officer of Regional Medical Center, decided to out source RMC's anesthesia services and signed a contract with Physicians Development Services, a contract management company. PDS had seemed a good fit.