From the editor.

Vats of ink are lavished annually on the subject of leadership, which is probably getting even more attention these days in the wake of ethical lapses at a rogues gallery of companies. There are eternal verities about the subject, as well as new thinking, and our cover story by Europe-based strategist and author Rowan Gibson clearly belongs to the latter school.

Gibson's well-written and unsettling piece doesn't really have one central theme but several, in addition to his four key precepts. Among those themes: linear thinking is all but meaningless in an increasingly non-linear world; great leaders are constantly tearing down the old as they build the new (so-called "creative destruction"); and a company needs something to stand for -- and stand out with -- something to differentiate itself in a cluttered competitive environment.

Douglas Carmichael, a well-known accounting professor and critic of the profession, has a powerful new platform: he is the chief auditor of the Public Company Accounting Oversight Board (PCAOB), which will largely determine regulation of the corporate auditing function. Carmichael spoke with freelance writer Bruce W. Fraser about the new job and the board, and offered some of his thoughts about domestic accounting issues.

In a highly personal piece, outgoing USEC Inc. CFO Hal Shelton reflects on his decision to step down and the larger implications of such a move for stakeholders and the markets. Shelton offers sound advice about the importance of planning and orchestrating a CFO's departure to provide the least amount of turbulence and the greatest continuity to a new regime.

Integrated gross margin management is a tool to enhance profitability. As explained by consultant John Stasz, IGMM is a process that can enhance the...