The rules of corporate America are clear. There is room for misinterpretation. When the top executives are displeased with a manager, the hint is unambiguous and everyone understands its significance. That said, the manager's dignity is always maintained, except in the most extreme exigencies.
When Intel Israel general manager Maxine Fassberg was unexpectedly informed by Intel Corporation (Nasdaq: INTC) that she was appointed to head Intel Israel's manufacturing operations, subordinate to Mooly Eden, the hint, at least outwardly, was clear. Execution, however, was problematic.
Top industry executives called Intel's move a "ringing slap in the face". Fassberg was responsible for Israel's largest high-tech and most impressive operation and one of the most strategic operations for Intel. Even if Intel Corporation's brass were displeased, there are unquestionably better ways of sending the message to a top manager, especially if they want Fassberg, who also serves as a corporate VP, to stick around. Ultimately, Fassberg was a successful plant manager, and that is no small thing.
Intel, the world's largest chip maker, must now make a return on a $2-3 billion investment in production lines. This requires almost 100% fab utilization. There is no room for error. But Fassberg's managerial skills, which met the operational challenge, came at a heavy cost in human relations. She is not an easy person.
For Fassberg, like at the fab she ran, there was no room for error. As she climbed the corporate ladder, the list of Intel Israel employees left on the wayside and who wanted to get rid of her grew. This may partly explain the way in which she was informed that her job was terminated.
Between the lines of Intel's announcement today, a partial picture emerges about the goings-on behind the scenes. Fassberg will continue to be responsible for Israel Israel's manufacturing operations, while strategic management, where she was reportedly less engaged, will be in the hands of Eden, who gets the post of Intel Israel president.
Today's change is mostly cosmetic. Whether or not Intel intended to push Fassberg aside, or merely to find a job for Eden, Intel's headquarters realized that Fassberg also deserved the honor and respect due to other managers at the company. We would not be surprised if Fassberg soon announces her resignation from Intel, but it will be her decision, without any official admission that Intel pushed her out.
Published by Globes [online], Israel business news - www.globes-online.com - on February 22, 2012
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