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04.11.2013

“There was not enough Beitz!” Do we need more Managers like Berthold Beitz?

Observations on the occasion of the discussion event “Berthold Beitz – a biography of the century,” held on 11 September 2013 at the catholic academy DIE WOLFSBURG in Mülheim an der Ruhr.

It was an exciting evening, when Joachim Käppner gave a talk at the WOLFSBURG and discussed with the guests who came to the event focusing on Berthold Beitz. Joachim Käppner is journalist of the Süddeutsche Zeitung, and in 2010, he published the biography “Berthold Beitz.” In the course of the evening, the question was raised, “as to whether there was too much Beitz at ThyssenKrupp?” to which Käppner replied, “There was not enough Beitz.”

This is a remarkable statement and a distinct hint. As corporate and HR developer I was “obsessed” by this key statement, which lead to some questions:

What had made Berthold Beitz so successful? What was his philosophy and what were his principles? What has made him outstanding and why did he become such an esteemed role model and much-honoured “man of the century?” These aspects are interesting to us with regard to:

leadership ethics,

the responsible managers and executives,

shaping the future of organisations,

shaping corporate cultures,

realising corporate strategies.

If we combine current thematic and activity fields in HR and management development with statements and information on Berthold Beitz, we obtain the following keystones and opposites:

Social responsibility – Human capital

The mission of Berthold Beitz was his promise to Alfred Krupp. Krupp took care of the company’s  continuance and maintained the Krupp ideals, which were characterised by social responsibility and the cooperation of staff and owner. All of this was in line with Beitz’ own principles. “The ability to build consensus within the organisation is no burden to him but a question of common sense.”1) Even Hannelore Kraft acknowledged Beitz’ efforts for a “smoothly working social partnership” at his funeral service. To Beitz, there was no class society and no „from top to down.” He also communicated to the ordinary workers that they were important for the company, had career opportunities and that their efforts would pay off.

Moral – Capital

”The fulfilment of moral duty has priority over improving one’s own prosperity,” as formulated Helmut Schmidt in the preface to the Beitz biography of Käppner. Berthold Beitz was a person with high moral standards and Prussian discipline. Gluttony as well as the greed for power and money were unknown to him, moreover, he considered the big cashing in by top managers to be socially and morally condemnable. ”He always looked further than to the next predicting of stock quotations with a pendulum.”2)

Instinct – Management tools

Beitz was a man of action, thus he neither liked the expression “manager” nor the managerial language. He followed his own moral compass and his gut instinct. “My instinct is my most important advisor,” Beitz said and, “When I enter a room, I know with a certainty of 80 per cent how the negotiations will be progressing.”

Courage – Power

Berthold Beitz felt comfortable on the navigating bridge, not because the centre of power was located there, but because he had the power to take far-reaching decisions. Therefore, he enjoyed quoting the greatest statesman of Greece, Pericles, “The secret of happiness is freedom, and the secret of freedom is courage.”

To Joachim Käppner, the Beitz biographer, the Pericles quotation was tailor-made for the Krupp manager. “His path through life shows what a human being can achieve, who takes advantage of the freedom to act with courage and responsibility.”3)

“... more courage, more sense of responsibility, more Beitz”

Drive, social action, sense of responsibility and courage seem to have been basic personality traits of Berthold Beitz. It was not without reason that our Federal President Joachim Gauck, wished junior managers and executives, “more courage, more sense of responsibility, more Beitz” on the occasion of the funeral service for Berthold Beitz.

This is where the problem lies: not enough Beitz – more Beitz! What kind of Beitz-inherent characteristics do managers need today, and does his concept still work in present times? In fact, many of the principles of Berthold Beitz seem to be still valuable and even necessary in today’s business culture.

Finally, we are asking ourselves how much and how „Beitz” can be integrated into the training for managing directors, project managers, executives and HR managers? It is now clear that Berthold Beitz was not the “last Krupp,” as he was occasionally called, but the “last Beitz,” as he always used to correct. It is our duty to find and to shape “much Beitz” throughout this century – and to think his significance again as opportunity by enabling human beings to tangibly and conceivably experience this significance in the keystones of organisations.

  1. Käppner, Joachim, Berthold Beitz Die Biografie, Piper Munich Zurich, 2013, p. 527
  2. Käppner, p. 526  

3  Käppner, p. 532