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June 09, 2010

Bolles on Higher Mission

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Parachute certainly has been a business basic text for decades. Since Bolles has focused so squarely on "Hard Times" this time around, re-examining his prescription for starting a job-change effort is in order. His three parts of a human mission (Bolles, 248):

    1. To seek to stand hour by hour in the conscious presence of God, the One from whom your Mission is derived.
    2. To do what you can, moment by moment, day by day, step by step, to make this world a better place, following the leading and guidance of God's Spirit within you and around you.
    3. To exercise the Talent that you particularly came to Earth to use-your greatest gift, which you most delight to use,in the place or setting that God has caused to appeal to you the most, and for those purposes that God most needs to have done in the world.

Somehow, I don't think he'd mind if we each pause to consider what his statement means for us - and our teams.  

Reference

Bolles, Richard N. What Color Is Your Parachute? "Job-Hunting in Hard Times" Edition 2010. A Practical anual for Job-Hunters and Career-Changers. Ten Speed Press. 2010.

Kennedy: Take the Serious Road

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Being the younger brother and later to leave home, Teddy Kennedy formed a close relationship with his father, Joseph P. Kennedy. Teddy quotes his father suggesting how he structure his life (Kennedy, 162):

You can have a serious life or a nonserious life, Teddy. I'll still love you whichever choice you make. But if you decide to have a nonserious life, I won't have much time for you. You make up your own mind. There are too many children here who are doing things that are interesting for me to do much with you.

Teddy made his choice. He tried harder to have a serious life. He made all the errors we all know so much about. But he also made a choice to focus on what was serious. We owe him a lot for that.

Reference

Kennedy, Edward M. True Compass. A Memoir. Twelve. 2009.

May 31, 2010

How We Got In This Mess

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Phase one of a formula for disaster (Lewis): Take a thousand home mortgages. Rank them according the odds that they will successfully be repaid (and, yes, a few other things, but let's just keep things simple). Stack them up with the best ones on top and the worst ones on the bottom. Divide them into sections - tranches, in finance-speak - and sell the best ones off at a high interest rate and sell the worst ones at a lower interest rate. That's normal stuff. Now it gets interesting.

Take a thousand of the worst mortgages and divide them up the same way, only, since they're all bad anyway, don't really spend too much time figuring out which ones are the bad loans and which ones are the good loans. Pile them up and sell them the same way you did the first batch of one thousand loans.

Do you notice something? I'm sure you do. Since the second pile was composed of all bad loans, it is almost guaranteed that some will go bad. That's, basically, a given.

Now the second phase of our formula for disaster: Assume that residential housing prices will continue to rise - forever. It seems logical enough. We've got lots of history that says housing prices rise over time. We all know what happened. There was a housing bubble. Houses stopped rising in value. In fact, they crashed.

When the finance guys ran the numbers on that second pile of loans we were talking about, they estimated that the whole pile would collapse when three percent of the loans failed. Whoops. We all know what happened. Somewhere around eight percent of the loans failed. The pile of bad loans really fell down. Whoops, again.

Now, in the past, we would have just felt bad for the bond-holders and moved on.

Phase three of a formula for disaster: things get worse. Some smart person realized they could make even more money on the bad loans by insuring their holders, essentially insuring that loans would never fail at more than the three percent rate, let alone the eight percent rate. Since they were so sure of their financial numbers, they did something really smart: they leveraged their bets, big time (or maybe more than that - thirty times or so, actually). Whoops, again.

Put all this in one pot and mix and you have what we got: an almost guaranteed formula for disaster. The best part? Someone - maybe ten someones, actually - predicted all this failure and shorted the market for insurance company stocks, and bad bonds. They made billions. We lost trillions.

Ah, capitalism. Pretty cool, until it's not.

Reference

Lewis, Michael. The Big Short. Inside the Doomsday Machine. W. W. Norton & Company. 2010

May 30, 2010

Story-bound Ethics

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The press has been full of comments about the fiftieth anniversary of Harper Lee's To Kill A Mockingbird. I thought I'd pull the book from the library and give it a quick read over the Memorial Day weekend. Interestingly, my local library didn't have a copy. It did have, however, Johnson's "Casebook to Issues, Sources, and Historic Documents" about the book. Since I have never had to write a report on Mockingbird I have never become informed by a more professional point-of-view and have missed some of the nuances in the book, clearly. That being said, I spent some time considering if there are strategic considerations to the book. Atticus Finch is the lawyer we have all come to know. He is heroic, at least he was, in terms of the times the book was written (the early sixties). But, times (may) have changed. Johnson presents Freedman's (Johnson, 189) point of view that Finch did what was expected of him and wasn't terribly heroic for what he did. He would have been more heroic if he had attacked the system independently of the trial and tried to limit inequalities in the community. She rebuts Freedman with Barge's obvious opinion (Johnson, 191) that times haven't really changed and that there are still opportunities for change to occur in how all sorts of people are treated in America, or around the world (not to mention Alabama).

Just for fun, I examined the Code of Ethics for a consulting organization in Orange County that I have been a member of on-and-off for twenty years. Its Code misses entirely the community nuances of Mockingbird, remaining focused on the professional expectations of consulting, probably correctly. However, and this is where things become strategic, I'll bet each of us, in our interactions with our peers and the community, have opportunities to re-examine what is right, and maybe make a few changes.  This is close to preaching, I'll admit, but like one of my friends likes to say, "Just sayin'...".

Another book I found for the long weekend, Kennedy's Compass, talks about responsibility in this simple sentence, "People responsive to the great human condition, and who've tried to alleviate its misery-these will be the ones who join Christ in Paradise (Kennedy, 29)." Responsiveness to customers is a business condition. Responsiveness to the community is one, as well.

Association for Professional Consultants. Code of Ethics. http://www.consultapc.org/files/codeofethics.doc

Johnson, Claudia Durst. Understanding To Kill a Mockingbird. Greenwood Press. 1994.

Kennedy, Edward M. True Compass. Twelve. 2009.

Lee, Harper. To Kill a Mockingbird. HarperPerennial Modern Classics. 1960.

December 13, 2009

Satisfaction

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Want to be happier? Focus on significant actions says Goldsmith (92). Want happier employees? Forget about admonishing them to work harder. And stop with the trivial morale boosters. They don't make anyone happier. The personal keys: reduce TV; reduce web surfing; do fewer chores; exercise; spend time with people you love; challenge yourself. Focus on meaning at home and at work, not happiness; end up with more happiness. Try to figure out activities for yourself that, while they are fun to do, add meaning to your life.

Goldsmith, Marshall and Kelly Goldsmith. How Happiness Happens. Bloomberg Businessweek. 21 December 2009. 92. http://www.businessweek.com/magazine/content/09_51/b4160092992355.htm

November 27, 2009

A Recipe for Personal Success

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Jonathan Tisch talks about the way he views success as a CEO. One key point is about employee selection (well, actually three key points if you look closely): take your time to hire correctly; then train continuously; finally, recognize and reward for performance (Tisch, 70).

I'd call Tisch a sophisticated manager. Part of the family that owns the Loews hotels, he could be imperious and remote. My read on his is different. I find him approachable and interested in the communities in which the Loews hotels reside, an attribute that, while it is pretty normal, is shown to be a key to the Loews success. People don't just work for Loews. They choose to be there. Choose is a good word.

Tisch has twelve tips for success (Tisch, 227):

  1. Never start a paragraph with "I." Whoops, I already broke the rules.
  2. Listen carefully: You never hear a thing when your mouth is open.
  3. Make it a win/win situation: you can't have it all-where would you keep it?
  4. Do your homework: what you don't know can hurt you.
  5. Be media savvy: Your fifteen minutes of fame is coming-are you ready?
  6. Be creative: Learn to think upside-down, inside-out, and sideways.

There are six more in the book. I choose to read this book when I was preparing a talk on partnerships. The talk was really about strategic partnerships - alliances, really - for start-up companies. There was a little bit of topic-creep going when I started this book, but I ended up happy I'd taken the time to read it. One interesting topic I'd never seen mentioned before: the Department of Labor's Workforce Investment Board. I sit on the WIB in Orange County and continue to be impressed about how useful a little bit of help can be to employers and job seekers. Tisch clearly has the same opinion.

Tisch, Jonathan M. The Power of We. Succeeding Through Partnerships. John Wiley & Sons, Inc. 2004.

July 21, 2009

Disruptive Strategy: Christensen's Little Industry

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Christensen, Clayton M. The Innovator's Dilemma. When New Technologies Cause Great Firms to Fall. Harvard Business School Press. 1997. [Chapter One. How Can Great Firms Fail? Insight from the Hard Disk Drive Industry. http://www.businessweek.com/chapter/christensen.htm ].

Christensen, Clayton M. The Innovator's Dilemma. When New Technologies Cause Great Firms to Fail. Harvard Business School Press. 1997.

Christensen, Clayton M., Jerome H. Grossman, M.D. & Jason Hwang, M.D. The Innovators Prescription. A Disruptive Solution for Health Care. McGrawHill. 2009.

Christensen, Clayton M. Disrupting Class. How Disruptive Innovation Will Change the Way the World Learns. McGrawHill. 2008.

Christensen, Clayton M. and Michael E. Raynor. The Innovator's Solution. Creating and Sustaining Successful Growth. Harvard Business School Press. 2004.

 

June 12, 2009

Richard Branson's Mantra

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The Table of Contents to Branson's book says it all (Branson):

  1. Just Do It!
  2. Have Fun!
  3. Be Bold
  4. Challenge Yourself
  5. Stand On Your Own Feet
  6. Live the Moment
  7. Value Family and Friends
  8. Have Respect
  9. Do Some Good

Not a bad list. The interesting part is that following the list - and only the list - made Branson a billionaire. 

Branson, Richard. Screw It, Let's Do It. Lessons in Life. Virgin Books. 2006.

March 31, 2009

The Latest on Success and Significance

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My friends sometimes suggest topics for reading. A few years ago, David Gentry and I discussed his views on melding success with significance for a balanced life. Feyzi Fatehi and I were discussing Jim Collins' Good to Great. Feyzi suggested a successor that he felt was more important, Porras' Success Built to Last. You'll remember that Built to Last was written by Porras and Collins. Now Porras has his follow-on tome. They talked to two hundred (at least) leaders over ten years of consulting all over the world. You have to watch carefully to make sure you pick which leader they're talking about on any given page. Once you figure it out, it works. So what's useful? Porras et al prescribe a methodology - themes really - to approach success based on their interviews. The themes: Meaning, ThoughtStyles, and ActionStyles.

Meaning focuses on passion. Love your work - have passion for it - and prosper. Work may in fact be the wrong word. It sure seems like the folks who love their work don't really feel like they're working. Warren Buffet shows up ready to play, every day. He's loving it. The passion is real.

ThoughtStyles takes it a step further. Be active in what you love, or commit suicide. That's what one example contemplated. Luckily, love won out. The focus was on realizing that a life wasted was the equivalent of suicide and, if you're going to live it, make it worth while. Courage is a big word. Realize you're in the wrong deal and have the courage to do something about it. A little bit different spin on the word courage. Now comes charisma. It shows through when you take the risk to rise above your fears and do what you are passionate about. The founders of Southwest Airlines got mad about expensive air travel and decided to fix it while having fun (Porras, 113). Fun had to wait, however, while they battled the entrenched competitors to receive a license to fly. Battles first, then fun. Expertise matters to find your way, but, ultimately the story isn't about you and your expertise. It is about the target of your passion. Teachers focus on helping poor kids at their risk. Everyone knows disadvantaged kids are impossible to spur to success - aren't they? Wrong. Passion in the teacher to make up for the lack of advantages to make success happen (Porras, 123).

Finally, ActionStyles comes next. Big goals are important. You've got to remember, Porras and Collins created BHAGS - Big Hairy Audacious Goals. How are the goals chosen - when and how, as well? Those are the questions. I feel better having read this section. If you've been reading my blog and newsletter for a while, you have to have wondered just how I chose my books. Serendipity plays a good part of it. I see an article, find out about an author mentioned in it, and off I go. Or, and this is even more serendipitous, I check-out one of the new books at the library with no knowledge of the topic or author. Successful ActionStyles folks chose a direction and discover things without a real intent. They find out things they hadn't expected to find out. Those things, connected with BHAGs, help breed success. Here's and interesting quote: "Much has been said about the need for leaders to be authentic, but Builders will tell you to be careful about what that means. Your BHAG must be 'real,' but the world doesn't want to know everything you're thinking (Porras, 170)." Have a goal. Go after it serendipitously. Keep quiet about the whys and hows. But have a real BHAG. That's easy.

Porras, Jerry, Stewart Emery and Mark Thompson. Success Built to Last. Wharton School Publishing. 2006.

February 01, 2009

Jefferson's Navy - No Arguing With Success

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While ambassador in Europe, Thomas Jefferson had met with the ambassador of Tripoli. The topic was the treatment of American sailors in the Mediterranean. The ambassador offered "temporary peace" for one price, "perpetual peace" of another, higher, price (Hitchens, 128). Jefferson was angry, to say the least, and personally vowed to do something to stop the Muslim powers slaving activities (Hitchens, 128).

In 1800, the ruler of Tripoli threatened war on the United States if his demands weren't met. Jefferson's response now that he was president? He dispatched a squadron to the Mediterranean interests. He didn't bother to tell Congress. Over four years, the US pacified the region and, during incursions into the harbor at Tripoli, retrieved American hostages and fired captured shipping (Hitchens, 134). Finally, the Marines captured the town and raised the flag providing the words for the Marine anthem "From the halls of Montezuma to the shores of Tripoli (Hitchens, 134)."

So why rehash a story we all know about already? Hitchens call all this "an unalloyed triumph for peace, and the freedom of trade from blackmail, through the exercise of planned force (Hitchens, 135)." It also enhanced our reputation (Hitchens, 135).

We can't say this wasn't planned. Jefferson had been bothered for years by the ambassador's attitude years before. When president, he did something about it. He took action. Given today's environment, taking action without telling Congress would be problematic. So, the test becomes, "What's right in the current situation?" Then you try to do right. That's what Jefferson did.

Reference

Hitchens, Christopher. Thomas Jefferson. Author of America. Atlas Books. 2005.

Obama: Role of Law, and a Good Consultant

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There are so many books on Obama's rise to power that it can get confusing. Mendell's book makes two points that are worth applying to political strategy, and perhaps personal strategy as well. Remember the role of education. Recognize that consultants do play a role.

"I just can't get things done here without a law degree. I've got to get a law degree to do anything against these guys because they've got their little loopholes and this and that. A law degree-that's the only way to work against these guys (Mendell, 82)." 

That's Obama speaking to one of his old friends from Hawaii during the period he was working as an organizer in Chicago. After three years of working organizing, Obama left for law school at Harvard. He was older and more experienced that his classmates. It showed. He worked at school, ran the Harvard Law Review, went back to Chicago, interned at a law firm, and began again. This time things worked better, and at a higher level.

In a way, Obama was lucky because in his Senate race he had a competitor who was rich and able to attract the best of consultants to talk about joining his race. Something went wrong, however. The strategist realized he didn't was to work for the rich candidate, really. He did want to work, however. Who would he work for? He chose Obama. The consultant? David Axelrod.

Axelrod's first advice went to Barack Obama - and Michelle Obama his closest advisor (Mendell, 179). The advice? "Visualize the people he had met and would be meeting on the campaign trail, to try to bring their stories to life (Mendell, 179)."

Obama wanted to succeed at the highest levels. He realized the need for more education. He leveraged the best advice he could get. Not bad strategies.

Reference

Mendell, David. Obama. From Promise to Power. Amistad. 2007.

January 16, 2009

Applying Bogle's "Enough"

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John Bogle is founder of Vanguard Group of Mutual Funds. He is hyping a book lately. The book is descriptive, not prescriptive. In Six Lessons he's usefully prescriptive:

  1. Don't just own stocks. Allocate across the spectrum.
  2. Forecasts don't do a very good job of forecasting.
  3. Superior funds eventually falter.
  4. Own the market in some type of index fund.
  5. Alternative investments are risky. If you don't understand them, don't get involved.
  6. Innovations are great - for someone else. Innovators win, not you.

Bogle's heart is in the right place. His advice is too.

Bogle, John C. Six Lessons for Investors. New York Times. 8 January 2009. A15. 

Bogle, John C. Enough. True Measures of Money, Business, and Life. John Wiley & Sons, Inc. 2009.

Applying Gladwell's "Outliers"

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Gladwell takes the time to view things from a different point of view.

  • EXPERIENCE.     There is no such thing as a hockey natural. The best players just happened to be born early in the year (Gladwell, 15).
  • PRACTICE.     The Beatles were successful because they spent hours and hours playing in clubs in Hamburg. The practice allowed them to perfect their sound (Gladwell, 35).
  • PRACTICAL INTELLIGENCE.      Geniuses don't normally produce for society unless they are shepparded along - or know how to sheppard themselves along (Gladwell, 91).
  • LEGACY.     Southerners are more likely to take offense because of their Scottish heritage (Gladwell, 161).
  • SURVIVAL.     Certain villages in Asian countries had to continuously work 360 days a year in order to survive and prosper. Certain villages in Belgium took the winter off. It ends up that the Asians are better at math because they are more persistent. It's cultural.

On first read, I didn't like some of Gladwell's observations. They felt, let's see, racist, perhaps, or observant of things that I am not comfortable with. When you are done reading the book, however, you realize you could have been Bill Gates, if only - if only - you had had ten thousand hours to fiddle with a computer program before you were twenty. You'd be rich and famous, as well. [Interesting side-bar: Gates isn't the richest person in history. John D. Rockefeller had $318.3 billion dollars; Cleopatra had $95.8; Gates had $58 billion at the peak (Gladwell, 56).]

All this is nice. It certainly can cause you to be envious if you allow it to. However, how do we help folks succeed better.

  • Want to be better at math? Work more hours practicing math. If you have kids, encouraging them to turn off the TV and turn on to studying makes a lot of sense.
  • Driving your kid all over the place to practices and events makes sense, especially during the summer. Languishing in front of the TV keeps a kid's IQ level. Practicing all summer in all sorts of ways makes him smarter (Gladwell, 258).

The facts are known. We can choose to do nothing or we can shake things up. Provide opportunity to all kids to do stuff at the opportune times and they perform better. The crucial word here is "all". Everyone, if they got a chance, would perform better. Regular kids and smart kids. Regular kids and physically perfect kids. Give them more advantages and they perform better.

Don't waste kids. Give them opportunities.

Don't waste employees. Don't let them languish. Give them opportunities to completely engage over their full work experience, get better performance. It's simple.

Gladwell, Malcolm. Outliers. The Story of Success. Little, Brown and Company. 2008.

December 04, 2008

Bobby Kennedy's Hope

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I grew up in New Jersey and am old enough to remember the day Robert Kennedy's last train passed through New Brunswick on the way from New York to Arlington National Cemetery. But I had forgotten what that day was really like until I read the Prologue of Thurston's new book. I suspect that restraining personal emotions while reading Thurston will be hard for anyone, especially those of us who lived through the times. He details what people were seeing and thinking during that last journey.

  • Since 1968, the word hope has become the oratorical equivalent of an American flag lapel pin ... (Thurston, 2).
  • His assassination on June 5, just eight-two days after he had announced his candidacy, represented not just the death of another Kennedy or a promising young leader, but the death of this hope (Thurston, 2).
  • Theodore White: It was only, however, when the funeral train that was to bear him to Washington emerged from the tunnel under the Hudson that one could grasp what kind of a man he was and what he meant to Americans (Thurston, 3).
  • Because anyone who owned an American flag had flown it or brought it, they saw flags flying at half-staff in front of factories and schools, dipped by American Legion honor guards, and waved by Cub Scouts (Thurston, 4).
  • Some of the spectators who broke into "The Battle Hymn of the Republic" as the train passed through Baltimore and Philadelphia may have been making the Kennedy-Lincoln connection as well... (Thurston, 5).

I had forgotten other things about that long ago campaign, as well. Kennedy had a heart-felt connection to the American Indian and visited incredibly poor reservations all over the country. He visited poor blacks in the Mississippi Delta and came away saddened. There is more. It's all in the book.

So, what is the strategic implication of all this?

Two things:

  • Kennedy took some time to figure out how to come out from under the expectations placed upon him because he was a Kennedy. When we got to know him, he was indeed a different kind of Kennedy from his brother.
  • Kennedy's campaign focused on values in a way his brother's had not. While the implications for America aren't clear - let's not forget that this was a very challenging time in America's history - it is clear that Robert's differences from John would have had implications for the kind of America we all inherited.

The point?

Leaders change the tone of their organizations. If they give thoughtful guidance to their teams, if only by their carriage and tone, they will have large impacts, sometimes larger than they had expected.

Reference

Clarke, Thurston. The Last Campaign. Robert F. Kennedy and 82 Days That Inspired America. Henry Holt and Company. 2008.

November 30, 2008

Obama's First Faux Pax

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I went to a football school, I have to admit it. I remember traveling to watch our game with Florida at their homecoming and winning, 42 to 3. When we came out of the stadium, our car was covered with garbage. On top of the heap was a littering ticket. Those were the days.

This past weekend, my team lost 36 to 0 to our cross state rivals. That loss was the first one to that rival in six years. Fierce battle. Big bragging rights. Huge. One of the teams is battling for the national championship this year.

Into all this our president-elect Obama steps with an opinion: the BCS poll doesn't work.

We figured that out back when my team was undefeated against all comers a couple years ago and didn't make it into the final for the national championship.

Obama says a play-off is the way to go. He might be right.

But my advice?

Football is too divisive an issue for any president to have an opinion about.

Stick with the fumbling stock market, Mr. President-Elect. No one has an opinion on that.

Reference

Curtis, Bryan. Obama's First Fumble. New York Times. 22 November 2008. http://www.nytimes.com/2008/11/22/opinion/22curtis.html?_r=1&ref=opinion

Read the Prequel to THE Book on the Bust

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Michael Lewis likes to make predictions, or, at a minimum, examine what went wrong in financial blow-ups, and figure out who knew what to do first. 

Lewis' first book, Liar's Poker is a classic. We talked about it back in August (Mixner). Basically, the book talks about what went wrong when Salomen Brothers went from being a partnership (where the owners took a big, personal, hit if things went wrong) to a corporation (where, yes, the partners were now very rich employees, and where, yes, no one seemingly cared about what happened to the shareholders, who now held all the risks) (See Lewis, Liar's Poker).

An article in Portfolio magazine probably summarizes Lewis' next book (Lewis, The End). If you read anything about the current meltdown in the market, read this article. You're going to have to work to read the article, but every line is worth reading. The only problem is, once you've read the article, you are going to have to figure out who are you going to trust to invest your money.

Key points:

  1. Meredith Whitney forecast Citigroup's current problems on October 31, 2007 (Lewis, End, 116). She identified Steve Eisman as one of the folks who helped figure things out.
  2. Steve Eisman figured out at the end of 2004 that Greenspan's decision to lower interest rates would lead to a "terrible day of reckoning" (Lewis, End, 120). He didn't have a full handle on the situation yet.
  3. Greg Lippman at Deutsche Bank explained how Eisman could make money on his realization: don't short the stocks of financial institutions or home builders - short their sub-prime bonds (Lewis, End 120).
  4. Now Eisman, who didn't have a lot of money to invest, wanted to know which were the worst bonds of all the bonds out there. It ends up that the worst bonds were those tranches of bond financings that were rated BBB (Lewis, End, 122).
  5. Now for the kicker - Wall Street figured out how to take the BBB bonds and repackage them. When rated the new bonds were rated - get this - AAA. A wonderful transformation. Lewis doesn't use the word, but I will. See if you agree: this was a "smirk, smirk" transaction, at best (Lewis, End, 122). He calls it "smirk," - I call it corrupt.
  6. Eisman's last act in making money on the downfall of Wall Street was also insightful: He bet on the downfall of the rating institutions like Moody's (Lewis, End, 156).  

Like I said, read the article, line by line. It is totally worth the effort if you want to understand what has just happened in the markets. It may help you figure out what to do the next time someone tries to sell you a bond.

When the book comes out, read the book. I'm going to.

References

Lewis, Michael. Liar's Poker. Rising Through the Wreckage on Wall Street. Penguin Books. 1989.  

Lewis, Michael. The End. The era that defined Wall Street is finally, officially over. Conde Nast Portfolio. 114. http://www.portfolio.com/news-markets/national-news/portfolio/2008/11/11/The-End-of-Wall-Streets-Boom

Mixner, Jack. When Mortgages Were First Bundled - in 1979. Mixner Strategy blog. 25 August 2008. http://mixnerstrategy.com/blog/2008/08/when_mortgages_were_first_bund.html

October 25, 2008

Lincoln's Principled Pragmatism

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Stephen Douglas was re-elected to his third term as Illinois' Senator in 1858, beating Abraham Lincoln in a tight election. 

Douglas supported popular sovereignty, "the doctrine under which slavery in the territories was to be determined by the settlers of the region (Ecelbarger, 28)." This countered the Dred Scott v Sanford decision of 1857 which said, basically, that slavery was permitted throughout the territories. In 1854 Douglas had pushed through Congress the Kansas-Nebraska Act which repealed the Missouri Compromise "and opened territories and future states west of the Mississippi River to slavery" (Ecelbarger, 5).

Lincoln saw all this and responded in his own way. He was a member of the new Republican Party, a party which had two wings with divergent views on slavery, one abolitionist and the other supporting popular sovereignty. He saw the need, if this new party was to be a truly national party, to somehow bridge these two points of view with a third point of view that could unite the Republican Party enough for it to indeed elect the next president. While Lincoln wasn't saying it publicly yet, he wanted to be that next president.

In a speech in Chicago in March, 1859, Lincoln placed himself between the two extremes, coming out against slavery, hoping not that the states could decide individually about slavery (popular sovereignty) or that it be allowed everywhere (Dred Scott), but that it "dwindle to extinction" (Ecelbarger,29) naturally.

The real hope of Lincoln's principled pragmatism was, of course, that the nominating Republican convention for the presidential election in 1860 would realize that Douglas' ambiguous position on slavery would make him an "un-Republican" candidate for the 1860 election, leaving the field to Lincoln.

Lincoln's position between the extremes both for and against slavery ultimately won him the nomination. Pragmatism won. So did the country. Not a bad strategy.

References

Ecelbarger, Gary. The Great Comeback. How Abraham Lincoln Beat the Odds to Win the 1860 Republican Nomination. Thomas Dunne Books. 2008.

August 12, 2008

The Last Lecture

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Lots has already been said about Pausch's inspiring story. A bit of luck certainly played a part, what with a Wall Street Journal reporter paying his own way to report on the story. Charisma did as well. Pausch took the time to re-order the priorities of such lectures by addressing not only the audience, but the three children he would ultimately leave behind.

Interesting points from the section entitled "Enabling the Dreams of Others" (Pausch, 104):

  • In order to help others, you have to have the time. Use time wisely.
  • Pausch sees himself as a jerk growing up in that he knew all the answers and didn't listen very well. A professor befriended him and pointed out his problem. Luckily, Pausch listened - and passed it on. He shared with his students how they rated on the "Easy to get along with scale," (Pausch, 115). When they didn't listen, or chose not to understand, he intervened. They listened to what others were saying, sometimes painfully, but modified their behavior.
  • Occasionally, people over-perform. What do you do? Applaud, yes. That's obvious. And what else? Assign a higher level task and see what happens.
  • Start something that's bigger than you. Pausch helped create Alice, the Carnegie Mellon software teaching tool. The tool will never be complete, and that's good, say Pausch. The newer versions will get better and better (Pausch, 127) much like Disney's vision for Disneyland - it's never complete, it's always changing.

Randy Pausch can be pretty direct. He certainly lived his last months with different constraints than many of us. Practicing his time management skills became vitally important to him as he juggled his new-found glamour with the reality of a loving family who obviously will miss him.

Key points for me:

  • When people over-perform, build a platform for them to shine, sometimes publicly. His classes were meant to be fun - and engaging.
  • Teams are meant to work well together. Jostle them a bit when they don't, even if it means pointing out painful facts to members who are resisting. Working together is crucial. If you're failing at that, how can you fix it, now?
  • Balancing work and family isn't as easy as some folks make it out to be. Keep trying.
  • Finally, when thanks are in order, offer them up cheerfully.

Thank you, Dr. Pausch.

Reference

Pausch, Randy. The Last Lecture. Hyperion. 2008.

July 21, 2008

Big Consulting Yields Big Data Bases

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Gallop polls have been around a long time. The beauty of their system, besides the obvious branding, is the depth of their data bases. 

Strengthsfinder 2.0 relies on those data bases to resolve personal questions I find useful.

In strategy, we sometimes perform a situation analysis - the classic SWOT - by asking four questions:

  • What are our internal strengths?
  • What are our internal weaknesses?
  • What are our external opportunities?
  • What are our external threats?

Most times, the strengths list is used to make sure that when we attack the external opportunities we have the strengths to make our strategies work.

SWOTs are really about opportunities. Getting to know your strengths - or your team's strengths - helps you address opportunities when they present themselves. Another useful point-of-view on the process says that if you focus on your strengths you're more likely to create real results. Continuous, incremental changes focusing on your strenths, drives those results (Rae-dupree).

References

Mixner, Jack. First Break All the Rules. Which Rules? http://mixnerstrategy.com/blog/2007/10/change_or_not_to_change.html [Another Gallop tool.]

Mixner, Jack. Think You're a Good Manager? http://mixnerstrategy.com/blog/2007/10/think_youre_a.html [Another Gallop tool.]

Rath, Tom. Strengthsfinder 2.0. Gallop Press. 2007.

Rae-Dupree, Janet. Can You Become a Creature of New Habits? New York Times. 3 July 2008. http://www.nytimes.com/2008/07/06/business/06unbox.html?_r=1&scp=1&sq=janet%20rae-dupree&st=cse&oref=slogin

 

Harvard vs. Berea - and Values

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As an investor, I have always marveled at the annual financial performance of the Harvard endowment. Lately, Harvard and a lot of other schools, have had to explain the use they put their huge endowments to, especially in light of the fact that they are allowed to accumulate their wealth tax-free.

Berea College in Kentucky is a little bit different. The college was founded 150 years ago to educate freed slaves and "poor white mountaineers" (Lewin). Currently it accepts only needy applicants (three member families have less than $47,000 annual income) (Berea). The interesting clincher? Every admitted student attends tuition free. Berea, because of its unique values system, has a $1.1 billion endowment, small by Harvard's $35 billion standard, but large when compared to the pool of American universities.

One last unique Berea attribute: every student has an on-campus job requiring at least ten hours per week engagement.

Certainly sounds interesting to me.

References

Berea College. http://www.berea.edu/prospectivestudents/admissioninfo/requirements.asp

Lewin, Tamar. With No Frills or Tuition, a College Draws Notice. New York Times. 21 Juy 2008. http://www.nytimes.com/2008/07/21/education/21endowments.html?_r=1&ref=education&oref=slogin

June 17, 2008

Bear Strategy

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It was pitch black. I awoke from a sound sleep, right next to a dead tree by a lake. I was in my sleeping bag, inside my one-man tent, camped next to the lake, eleven miles from my car. All alone.

I couldn’t hear anything.

Then I heard it, again. One breath from something big, about a foot from my face, just outside my tent.

In that situation you have a choice. Do nothing. Or do something. Now, that breath was enough. Adrenaline was pumping – big time – so I really didn’t really even have a choice. I was out of my sleeping bag, indeed, out of my tent, in seconds.

Then, I realized what was happening. A bear was stealing my food, every bit of it. Now I had another choice. Same choice as before, really. Do nothing. Or do something. Maybe even run. I didn’t do that. That bear had my food, after all, and I wasn’t turning back from my trip. So, what to do?

Attack the bear, of course. They used to say, make a lot of noise. Yell a lot. Pound on pots and pans. I didn’t do any of that.

I attacked the bear. With rocks. In the dark. I was camped by an old fire ring with lots of nice-sized rocks, perfect for throwing at a bear you can’t see, in the dark. So that’s what I did. Throw rocks in the dark.

And it worked. The bear only ate half my food. The rest was scattered over about a hundred yards of forest where I was able to pick up in the early morning gloom.

It was still dark, remember, so I didn’t know I’d saved my food until later, at about the same time I saw the bear amble by with a smug look on its face. It was staying just out of rock-throwing range, as it didn’t want to get hit by those perfect sized rocks, again.

How do I know I connected with the bear? When you throw a rock, a pretty big one, even in the dark, it makes a nice thud sound when it hits the ground. Most of the rocks I threw were noisy. Some were silent. Those were the ones I am assuming connected with bear, and saved my bacon, so to speak.

So I learned some lessons. Since this was twenty-five years ago, those lessons have taken some time to sink in. I tried everything to protect my food. Some of the ideas were pretty silly, I’ll tell you.

The simplest solution was invented about five years ago, and it is the solution I recommend. Carry a bear canister, an impenetrable can that bears can’t break into.

Put your food in the canister. No more bears in the dark.

Simple strategies work best, even if they take some time to figure out.

I know from experience.

June 10, 2008

The Sustainable MBA

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Developing world countries are at risk from diseases that are unprofitable for first world companies to address. Northwestern University is doing something about it. 

Faculty from three schools at Northwestern are collaborating with industry and non-profits to identify, develop new drugs or adapt existing drugs to markets that generally wouldn't be addressed (Gentile, 10). They're looking a intellectual property problems, market dynamics, governmental requirements, and distribution problems in new ways, all with the intent of actually distributing products big pharmaceutical companies may look askance at (Gentile, 11).

Sustainable companies theoretically have considered their effect on the environment and are mitigating those effects whenever possible.

Northwestern's program is taking it a step farther. Students learn that, yes, companies must be profitable, and, additionally, there are ways to be profitable that address the normal short term results oriented culture while at the same time remembering that there are long term consequences of their action.

Fuel prices and the carbon footprint problems we are all becoming aware of cause us to look for business solutions to the longer term problems of carbon management for reducing green-house gasses, for instance, or the problems of orphan drugs in third world countries with great needs and little to offer in the way of profits for pharmaceutical companies.

Northwestern it taking a swing at a solution, something we all might consider in the various classes we teach and R&D efforts we lead.

Reference

Gentile, Mary. C. The 21st-Century MBA. strategy+business. http://www.strategy-business.com/media/file/sb51_08209.pdf

May 27, 2008

Truman and the Unions: When Push Comes to Shove

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Harry Truman didn't really have an easy row to hoe. Vice President to FDR, he was basically ignored for most of his term. On FDR's death things sped up - quickly. The war was ended on both fronts. The peace brought internal and external confrontations. Returning soldiers wanted normalcy. Europe needed re-building, as did Asia. Russia was expanding ominously. What to do wasn't always very obvious for Truman. Sometimes he didn't look like a very good leader.

One of the reasons Truman was Roosevelt's nominee for VP was his leadership in the Senate. When he needed to, Truman studied a subject until he was the expert on it. Truman began to impress the other Senators with his preparation and passion. His second big speech to Congress was on greed, attacking Wall Street with a New Deal slant. He had a position on civil rights before others were willing to recognize it as a problem (McCullough. 235-245). Other Senators proved their regard for Truman by appearing at fund raisers and campaign stops in a hard fought primary.

As President, Truman had his ups and downs. Finally, however, the downs were in complete control, what with the rail road strike on top of a coal strike. The union leaders weren't going to give, in fact didn't give, until Truman made up his mind to act.

Clark Clifford showed up at the White House as a speech writer (McCullough, 502), having never met Truman before or visited the White House at all. His job? Draft a speech to Congress announcing he would call out the Army and do whatever it took to break the strike. He would control the workers before he would allow them to control America. Truman had a speech all ready to go, a speech everyone said couldn't be presented. Truman was too angry. Clifford had to craft a deliverable speech that got the support of the Congress, and the workers back to work.

Ultimately, the speech was immaterial. Truman announced that the trains were going to run and coal was going to be mined. Period. The unions realized they had better get on board with the President or things would get really ugly. So they did. Everything was fine. (Full disclosure: the Senate finally decided not to support the federalization of the rail system. It was too late. The workers were back to work (McCullough, 506).)

Without Truman's willingness to be a confrontational leader, nothing would have happened. An interesting by-product of the process: Clark Clifford began a long careen in government, playing a large role early-on in the creation of the Marshall Plan (McCullough, 564).

And what are the attributes of a Truman-like leader? Listening abilities, greed averse, a knowledge of history, and, finally, the ability to conduct yourself according to your own high standards (Harvard Business Review, 48).

Reference

McCullough, David. Truman. Simon & Schuster. 1992.

Harvard Business Review. Timeless Leadership. The great leadership lessons don't change. A conversation with David McCullough. March 2008. 45.

Buchanan on Washington

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Buchanan reminds us of Washington's first commandmant of U.S. foreign policy: "The great rule of conduct for us, in regard to foreign nations, is in extending our commercial relations to have with them as little political connection as possible (Buchanan, 112).

Why forego the advantages of so peculiar a situation (namely, the distance to Europe)? Why quit our own to stand upon foreign ground? Why, by interweaving our destiny with that of any part of Europe, entangle our peace and prosperity in the toild of European Ambition, Rivalship, Interest, Humour, or Caprice?" 

Washington knew his nation had the potential to be the greatest on earth. He also knew America needed generations of peace to grow to her natural size and strength. The father of his country deemed it essential that young America stay ourt of old Europe's wars."

Buchanan and I don't see eye-to-eye on many topics. This stance, is interesting, however, and worth remembering.

Reference

Buchanan, Patrick J. Day of Reckoning. How Hubris, Ideology, and Greed Are Tearing America Apart. Thomas Dunne Books. 2007.

First Step to Innovation: Build New Habits

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Understand yourself better, innovate better. That's the premise (Rai-Dupree) for change, especially when you realize that you are:

  1. set in your ways,
  2. habits already formed, and that
  3. innovation requires you to look at things differently than you normally do.

How to do it? We train ourselves to believe we can do anything. It's not really so. The simple solution is to do more of what you're good at, not just anything.

We're all used to stretch goals, those a bit beyond comfortable goals and less demanding than stress goals. Stress yourself a bit by learning things about what you are already good in order to increase your innovation results (Rae-Dupree). Kaizen - continuous improvement - is part of the solution. Continuallly improving a simple processes leads to incremental innovation and new solutions.

So, know yourself better, continuously improve, innovate better. Where to start? Markova sets out a process starting with understanding how you process information. She suggests that first you understand how you process information, then understand how your teammates do the same thing, and then try to increase communication - and innovation - by incrementally focusing on change and improvement on the projects you are working on.

The key point in all this was the realization that we all can not be the best at everything and that better results (change and innovation, as well) comes from leveraging what you are good at while playing of your skills and those of your team.

There is a best seller in this space right now that will help us in deciding what to focus on (Buckingham). His three myths (Buckingham. 69.) about strengths are useful:

  1. As you grow, your personality changes. Nope: you become more of who you already are.
  2. You will grow in your areas of greatest weakness. Nope: you grow in your areas of greatest strength.
  3. A good team member does whatever it takes to help the team. Nope: a good team member volunteers for those task she is best at, not what the team needs.

The point? Know yourself. Know your team. Focus on strengths. Focus on incremental change. Innovate better.

Reference

Buckingham, Marcus. Go. Put Your Strengths to Work. 6 Powerful Steps to Achieve Outstanding Performance. Free Press. 2007. 

Markova, Dawna. The Open Mind. Exploring the 6 Patterns of Natural Intelligence. Conari Press. 1996.

Rae-Dupree, Janet. Unboxed:Can You Become a Creature of New Habits? New York Times. 4 May 2008. http://www.nytimes.com/2008/05/04/business/04unbox.html?_r=1&scp=1&sq=janet+rae-dupree&st=nyt&oref=slogin

May 05, 2008

Machiavellian Maneuvers

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Machiavelli said there are three ways to hold a state that previously had lived under its own laws (Machiavelli, 46):

  • Allow them to live under their own laws and force them to pay tribute.
  • Go there and live there in person.
  • Despoil it totally.

King George tried to apply Machiavelli's principals to America.

First he tried to allow the colonists to live under their own laws and pay tribute. Taxes might be a better word. That didn't work very well, especially when he enacted taxes without including the colonists in the discussions.

He never considered living in America, but he did, of course, have a government in residence. It wasn't very effective.

Then, tribute failing and unwilling to live in America, he tried to despoil the colonies to bring them back under his control. That didn't work very well, initially, as his troops were bested in Boston.

After retreating from Boston, and landing in New York, Admiral Lord Howe sent captured American General Sullivan to address Congress in order to entice them to negotiate. John Adams accused Howe of "Machiavellian maneuvers" (McCullough, 156), namely, attempting to entice the nation back to subserviency with peace discussions when war had already been declared. None-the-less Adams, with Franklin and Rutledge, were elected to sit with Howe to listen to what he had to say. Howe's words forced Adams to realize that there was no pardon waiting him, and no freedom awaiting the colonies, if the revolutionaries lost. He - and they - would hang. After that realization, it was obvious that no negotiation was going to work and that Howe would have to despoil America to re-take control. While the British had some succeses, ultimately they had to surrender.

George failed, ultimately, as we all know. Distance, both physical and personal, caused him to fail - on all three strategies.

Modern day companies try to do better. Google might be a good case in point. The best recent quote says it all, "Usually, people want to be acquired by Google. It's always very friendly. Because they have choices, and they choose us ( BusinessWeek, 56)."

If only King George had tried a little bit harder. We might all still be British. And Google? Let's see how long their run lasts.

References

How Google Fuels Its Idea Factory. BusinessWeek. 12 May 2008. 54.

Machiavelli, Niccolo. The Prince. New American Library. 1952.

McCullough, David. John Adams. Simon & Schuster. 2001.

April 08, 2008

The Heart of Leadership

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Leadership isn't really easily defined. For me, examples work better.

GEORGE BUSH

George Bush has had a tough presidency. We all know about his approval ratings and the problems in Iraq. The press, and, indeed, the American populace, has decided that he isn't the leader they thought.

My impression has been that Bush doesn't get closely involved in the decision-making process in the various departments. One instance shows I'm wrong.

In 2006, Bush formed the Iraq Study Group. Its goal was to propose ways to proceed in Iraq. Their report was definitive in saying no new troops in Iraq (Bzdek, 402). Bush found a loop-hole, with the help of James Baker. Of the seventy-nine suggestions none said to increase troops, except on comment in a footnote on page 73 of the report: "We could, however, support a short-term redeployment or surge of American combat forces to stabilize Baghdad, or to speed up the training and equipping mission, if the U.S. commander in Iraq determines that such steps would be effective (Bzdek, 403)."

Here's the part I like: Bush didn't call the Generals to White House. He went to the Pentagon and sat with the Generals. Rumsfeld was at the meeting, along with his successor, Gates. Bush, deviating from his usual course, did the talking. He wanted an assurance that a surge would be useful if he supported it.

Basically, Bush ignored many of the suggestions of his commission's report. He asked the Generals if a surge would work. They said yes (qualifiedly). He supported their statements.

Now, the rest is history. Did he make the right decision. We'll see. Did Bush lead? Yes.

NANCY PELOSI

Nancy Pelosi grew up in a political family in Baltimore, went to school in Washington, married and moved to California, and raised a family. Only after all that did she re-enter the political fray in California. Nominated to fill an empty seat, she was re-elected and worked her way up in the House of Representatives. With the election of the Democratic congress in 2006, she ascended to the position of Speaker.

The thing I find special, as if all her accomplishments aren't special enough, is the way she stage-managed her inauguration as Speaker. Everything was normal except one thing: she wanted to emphasize the enormity of her election (being a woman and all) so she brought her grandchildren along with other House member's grandchildren with her to the rostrum to share in her celebration (Bzdek, 168).

The message was that, yes, there is a glass ceiling for women in America, and, yes, it is possible to pierce that ceiling. She did it. So can every other kid - girls especially - in America.

Bravo.

References

Bzdek, Vincent. Woman of the House. The Rise of Nancy Pelosi. Palgrave Macmillan. 2008.

Draper, Robert. Dead Certain. The Presidency of George W. Bush. Free Press. 2007.

February 21, 2008

On Jimmy Carter's Poetry

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Gaillard writes a touching synopsis of Carter's legacy. There has been some controversy, a bit of "toughing it out" to make the Carter Center happen, lots of leadership all over the world, and, surprisingly, good poetry.

Carter's mentor on poetry, Miller Williams, had this to say (Gaillard, 88), "I was impressed by what good use he made of the time [Carter and Williams spent together}, and what he was able to pick up quickly. As a poet, he is well worth reading. All his poems begin as Jimmy Carter's and end as the reader's. That's the line, I think, between an amateur and a more serious poet." 

Starts as mine. Ends up yours. Not a bad program for a gift.

Gaillard, Frye. Prophet From Plains. Jimmy Carter and His Legacy. University of Georgia Press. 2007.

February 19, 2008

Making Enrichment a Sure Thing

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It's a cliché, now, something we all are aware of: some types of American jobs are moving off-shore in record numbers. What's not a cliché, yet, is what to do about it. So let's say, just for arguement, that you had some planning to do for yourself, or, better, a young adult. What would we suggest to make your - or their - enrichment (both emotional and material) more of a sure thing?

Pink lays out a six keys to meeting the demands of the new era:

DESIGN     We used to say "form over function". Pink says, "Not just function but also design (Pink, 65)". He might have said, "The iPod succeeded for a reason."

So what's that got to do with our young person planning her future? Kindergartners know they artists. Just ask them. Second graders still like art. By sixth grade, only a few kids will admit to liking art - now they focus on learning math and language arts. The art of it all is still important. Focusing on art - and design - opens opportunities for growth in the future in occupations that will stay close to home.

STORY     We used to say, before you tried to sell anything, make sure you know all the features and benefits of the product or service you are trying to sell. Pink says, more than the features and benefits, know the story about your product - and tell it.

"So what's my product?", your young person says? "You are," is the answer. Tell your story. Enlighten it with your strengths and interests and focus it on where you want to end up.

SYMPHONY     We used to make sure our mission statements were focused on one marketplace, or even a niche within a marketplace. Pink says, forget focus, look at the big picture. Re-construct it if you have to, but remember that when you are all done, your re-constructed market niches (made up of bits and pieces from all sorts of marketplaces) need to work together, to play together, like a symphony combines bits and pieces into an "arresting new whole" (Pink, 66). Our young person will combine her interests, both right brain and left brain into new creative occupations that won't ever off-shore.

EMPATHY     I thought I knew all about Jerry Ford's Presidency until I read DeFrank's new book (http://mixnerstrategy.com/blog/2008/02/gerald_fords_scoop.html). Jerry Ford did simple things that meant a lot to Americans. When you visited his office, he got up and met you at the door. Seems simple, doesn't it? A couple steps. A little time wasted. But DeFrank got the empathy of it all in that Ford was saying something like, "We're equals. Let's do something good for America." DeFrank got the empathy of Gerald R. Ford, and re-kindled in me an understanding of what leadership really is. Our young person will need to work in a team. The best way to participate in a team - better yet, to lead a team - to show empathy to all the members of your team.

LAUGH     My daughter and I used to practice laughing at the dinner table. She thought I was nuts. So did my wife. Pink says laughing is a big part health and professional growth. He says the best CEOs make people laugh more that CEOs who just manage. I'm going to try it more. If you see me laughing in a meeting - and trying to make you laugh -  you'll know why. And our young person, what should she do? Don't forget to laugh - and motivate others to laugh as well - as you work your way up the ladder. When you get closer to the top, laughter will serve you just as well as it did on the way up, maybe better.

MEANING     My good friend David Gentry used to talk about the continuum from success to significance. Pink's word for significance is meaning. Without having something important to work for, just why are we doing what we are doing in the first place? We all get a choice in what we decide to do. A job with meaning is likely to be a part of the fabric of the community and less likely to be moved elsewhere. High touch jobs like nursing, art (in marketing, for instance), and design aren't going anywhere. Treated properly, they're highly meaningful, as well.

So, what are the possibilities? Think creative, not analytical. Think people, not immediate solutions. Spend more time on things you wouldn't normally consider. Don't become a cliché. And don't let the young people in your life become clichés as well.

Pink, Daniel H. A Whole New Mind. Moving from the Information Age to the Conceptual Age. Riverhead Books. 2005.

The Gerald Ford Scoop

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The big revelation in DeFrank's book was that Gerald R. Ford had a pretty good idea he would succeed Richard Nixon as President pretty early in his term as Vice President.

The real revelation that we already knew? Jerry Ford was a kind-hearted, absolutely dedicated American who luckily was in the right place to receive the Vice Presidency at a time when we needed him most.

While I had forgotten it, his memoir's title sums it all up: A Time to Heal. 

DeFrank, Thomas M. Write It When I'm Gone. Remarkable Off-The-Record Conversations With Gerald R. Ford. G. P. Putnam's Sons. 2007.

February 13, 2008

Peter Jennings' Legacy

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Paul Friedman on Peter Jennings:

"The important legacy, as far as I am concerned, is that he achieved this body of work with class, with dignity, with fairness. He never pandered. He never pulled any tricks or stunts the way you see other people doing. He never intentionally made himself more important that the story.... He always considered the story the most important thing-getting the story and describing it skillfully (Darnton, 292)." 

Darnton, Kate, Kayce Freed Jennings & Lynn Sherr. Peter Jennings. A Reporter's Life. PublicAffairs. 2007.

January 28, 2008

On Case Studies and MBA Programs

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Harvard Business School case studies don't work as well as they could because they give everything away too quickly. They're dense, comprehensive, conclusive and don't require collaboration to solve. A better way? Don't "present the solution until students have grappled with issues on their own (Gloeckler, 66)." See a video of the CEO presenting her problem. Receive minimal backup paperwork. Discuss solutions. Hypothesize possible solutions. Make a proposal. Then see a second video with the CEO's solution. Decide if there were better ways to solve the problem.

If you provide old-way case studies, teach your students to how to prepare for class. At least two readings of each case study with prep on the problems found before class makes sense. After class, summarize findings and begin the cycle again on the next case. Identify and analyze key problems. Generate alternatives. Make recommendations for action (Rondstadt).

Want to re-do your MBA program? Forget the classic silos like finance, accounting, marketing and operations. Think customer, competitor, investor, employee and shareholder (Pellet). Sophistication is another step. Stanford, a "richer" school, is able to provide three different levels based on students' experience. Emphasize leadership, ethics and global institutions and environment to create "global leaders".

How to make a speech into a case study?

  • Present the basic facts in a pre-discussion summary.
  • Hand out a written document of less than a page summarizing the presentation. Discuss alternatives.
  • Now, break into small groups. Amongst the groups discuss key points, ways you have solved the problem in the past, suggest alternatives, posit questions for future discussion, and reach agreement on the best way to proceed.
  • Reform as a group to hear the CEO's actual action plan and results.
  • Discuss as a group alternatives to the CEO's method. Include the "woulda, shoulda, coulda" possibilities.
  • Maybe, convince the CEO of her errors. Finally, plan to ask the CEO to present to your group again in six months to check back on how things are going.

And how to make a case study a basis for discussion to drive strategy at your company?

  • Much like a speech, come prepared with a statement of the current situation.
  • Use the current situation like a straw man. Tear it up. Make changes. Suggest new strategies.
  • Decide which new strategies make sense. Remember, you can't do everything.
  • For the few strategies you chose, create some sort of action plan.
  • Report back to the group your plan, and actions toward the plan.
  • As time proceeds, report on results - often.
  • The tendency is to forget your plan as you focus on the day-to-day tasks that hit your desk.
  • Wrong. Focus on the strategy daily. Sometimes, let the day-to-day stuff wait.

Gloeckler, Geoff. The Case Against Case Studies. BusinessWeek. 4 February 2008. http://www.businessweek.com/magazine/content/08_05/b4069066093267.htm?chan=search 

Pellet, Jennifer. Fixing the Flawed MBA. Chief Executive. http://www.chiefexecutive.net/ME2/dirmod.asp?sid=&nm=&type=Publishing&mod=Publications%3A%3AArticle&mid=8F3A7027421841978F18BE895F87F791&tier=4&id=55372CF344D746869D4BE7AD57BA84F4

Ronstadt, Robert. The Art of Case Analysis. A Guide to the Diagnosis of Business Situations. Lord Publishing, Inc. 1988.

January 20, 2008

To Lipitor - Or Not To Lipitor

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Good article on whether statins, even though they reduce LDLs, make for healty hearts.

You decide.

Carey, John. Do Cholesterol Drugs Do Any Good? BusinessWeek. 17 January 2008. http://www.businessweek.com/magazine/content/08_04/b4068052092994.htm?chan=top+news_top+news+index_best+of+bw

January 14, 2008

Self-publishing Sources

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Self publishing sources:

Blurb. Real books. Made by you. http://www.blurb.com/home/3

Create your masterpiece and then call attention to yourself. http://www.lulu.com/

https://www.createspace.com/Products/BooksOnDemand.jsp?ref=256590

January 08, 2008

New Elixirs

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How much omega-3 supplement to receive impacts on heart disease, Alzheimer's and depression? Looks like one gram a day helps heart disease, two grams helps arthritis, and one-half gram a day - or more - helps brain health. Supplements seem to work as well as pharmaceuticals. All were mercury free (Stipp, D2). 

Stipp, David. Fish-Oil Doses Can Be Hard To Swallow. Wall Street Journal. 8 January 2008. D1. http://online.wsj.com/article/SB119975627038373627.html?mod=pj_main_hs_coll