At most corporations if you make an acquisition and it…
“At most corporations if you make an acquisition and it turns out to be a disaster, all the paperwork and presentations that caused the dumb acquisition to be made are quickly forgotten. You've got denial, you've got everything in the world. You've got Pavlovian association tendency. Nobody even wants to even be associated with the damned thing or even mention it. At Johnson & Johnson, they make everybody revisit their old acquisitions and wade through the presentations. That is a very smart thing to do. And by the way, I do the same thing routinely.”
About This Quote
This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.
He highlights the importance of revisiting failed acquisitions to avoid repeating mistakes, using Johnson & Johnson as a model of disciplined reflection.
In simple terms: Reviewing bad deals helps prevent future errors.
Key Takeaway
Regularly review past failures to learn.
Themes
learning
accountability
corporate governance
decision making
Mood
critical
pragmatic
Type
business
educational
When to use this quote
- board meetings
- strategic reviews
- post‑mortems
Key Concepts
organizational memory
risk management
Questions to Reflect On
- How can firms institutionalize learning from failures?
- What barriers prevent honest review of past mistakes?
A Different Perspective
Organizations often ignore painful lessons.