In the face of mounting and consistent pressures from the markets in the face of blunders, mistakes, bad luck, and ineptitude, there is something the Waterloo duo should learn from Italy's (but also Greece's) response to the debt crisis.
When the level of discredit comes to irremediably plaguethe leadership of an organization, there is little that can be done to correct perception. A negative cognitive frame prevails which brings out all sorts of negative images and connotations about that organization, which were previously silent.
This is what happened to Italy when former prime minister Silvio Berlusconi hit the bottom of his credibility in November 2011. Meanwhile, the entire country was ridiculed, lost prestige,
became a semi-pariah, and financial markets punished the economic management by driving the Bund/B.O.T. spread to unprecedented levels and the interest rates barely missed the 7% threshold, until Berluscon's overdue resignation came.
Now, a number of structural problems still bedevil the country, but the appointment of a new chief executive at the head of the Italian Government immediately eased the pressure, bringing those values back to normal measures, and restoring the country's image, thanks to his personal credibility.
This is the nature of the relationship between leaders and organizations.
Like Italy, RIM has collected a series of fiascoes over the past two years or more (playbook, technological upgrade, design upgrade, underestimation of competition,PR screw ups, servers breakdowns, lawsuits, among other things) and the astonishing drop in market shares. If the Waterloo duo were immune from the vanity, arrogance and entitlement they would have already passed on the helm.
This is often a problem with managers who are also founders and shareholders. They keep thinking they own the company even when it is publicly traded, employs thousands of people, and supplies governments, corporations and private customers.
However, examples of great founders-shareholders who have responsibly chosen to leave the management of their companies at some point includes Bill Gates, the late Steve Jobs,among others.
If the pursuit of personal glory and social recognition did not drive the Waterloo duo they would have already done likewise.
This is the time when Mike Lazaridis and Jim Balsillie should make the conscient and enlightened choice to step down and enjoy the perks of life as a billionaire, and perhaps endeavor in the pursuit of new challenges as they wish- something they both have already proven to be eager to do.
Refusing to do this would simply obfuscate the legacy of those who were once known as Canada's innovators.
