5150 Business Strategy

Life in the Corporate Fast Lane and Still Remaining Intelligent

Archive for the tag “Hell”

I am Positive it Won’t Work or the Power of Groupthink

A long and tortured tale of a failed ERP implementation at a large architectural firm headquartered in San Francisco.

pospiss1The best moments are only available upon reflection as at the time it was a period of total lunacy in my career. Dominated by a culture so dysfunctional that it allowed $5.0 million plus to be pissed down a hole. Of course, I was painted as the dysfunctional one since, as the SF Regional manager, so astutely told me during one discussion, “You need to be positive about the ERP implementation!”, in her chirpy upbeat way. To which I replied, “OK, I am POSITIVE this implementation will fail”. How is that for being positive. This was several months into an implementation that saw us christening the project management module of the software as “Project Uranus”. Very appropriate, given that you could stick this software up “your anus” since it was never going to work.

Talk about swimming upstream, every person on the project team fell in line behind the founders son in proclaiming that the software implementation was going to be a success. This against every single indication that it was failing. A countdown clock to the “go live” date was established so everyone could eagerly await the dawning of the new day for the firm. It was a joke of huge magnitude which only I could see.

Everything was done according to the book to insure success – a focused evaluation and implementation team was formed that included outside consultants, outside accounting firm, and representatives of other firms. The consortium of outside keefe031607firms was a who’s who of the architecture industry in the United States. It was impossible to fail, or so some in upper management thought. With so much brain power, and I use the term lightly, there was no way that we could go down the wrong path. The problem was that, to a person, everyone on the implementation “team” had no facility for independent thought and/or it was not in their vested interest to buck the trend if it would be perceived negatively. The prodigal son made it clear that what he wanted is what would be chosen and implemented, regardless of whether it would work – everyone was to MAKE it work, or else. That was the environment which caused everyone to fall in line and follow each other over the cliff even though it became a forgone conclusion that the implementation was going to fail. Questioning the decision was a career limiting move or it would cost the outside consultants their fees.

I recall one meeting held in a large conference room when things were already going sideways in which everyone formed a circle to encourage openness and unity, LOL. Did I mention this firm bought into, and probably still does, buy into every management craze that happens to be in vogue. Doesn’t matter whether the latest trend works, just that we did them so we showed our intellectual prowess, again LOL. They were high on appearance but low on execution – they had not figured out that without execution the latest theories are nothing more than opiates for the masses – we are doing OK because we are doing what everyone says is right!! I digress, we are in this room in a circle and the prodigal son goes around the room one by one and asks each person to give their impression of where the project stands. Remember, this was to be his way of getting to the truth of the situation, whether his belief that things were OK could be validated by the assembled “experts”. I am standing next to one of the founders of the accounting firm we utilized at White-liesthe time, he leans over and whispers, “..this is a cluster fuck”. I nod my affirmation that, indeed, this is an exercise in stupidity as not one person uttered what was overwhelmingly the only conclusion a sane person could come to – the ERP system chosen was a complete failure and would never work. It was as clear as the nose on everyone’s face but no one wanted that nose cut off by the prodigal son, easier to go with the flow over the cliff and over they all went. All telling little white lies to keep their positions within the firm intact. Several went on to become principals in the firm when they rightly should have been terminated for gross negligence. Nothing so harsh – they were “team” players, no matter they cost the firm $5.0 million as the culture of this firm was better to go along with the dysfunctional behavior because that was part of our culture, and our culture is what got us here. Whacked.

To this day I gag every time I see quotes from senior managers of this firm, or in particular the ex-CEO, who speak authoritatively on management theory or techniques. Unless they have somehow pulled their heads out of their asses, which I doubt, their words of wisdom fall on deaf ears as experience has shown they lack the ability to execute.

Lesson Learned: without execution all the management theories are not worth the paper they are written on. Groups who are not empowered to speak freely are capable of tremendously stupid decisions. When the overpowering emphasis is on going with the flow there is real danger in going over the cliff.

Raider Nation – Bruce Allen Interview

Another great interview from the archives. This with Bruce Allen and was conducted during the Jon Gruden era.

scd AD

He sits at the right hand of one of the true football gods, Raiders’ owner    Al Davis.
Bruce Allen doesn’t get the publicity afforded a head coach or a high-profile NFL owner    such as Davis, but he is just as important to the Raiders organization. As the team’s    “senior assistant,” Allen handles a variety of duties for the franchise, from    negotiating player contracts and managing the team’s salary cap, to coordinating marketing    and community relations projects and answering media inquiries. The son of the late George    Allen, record-breaking coach of the Redskins, he brings a passion and work ethic to the    job only equaled by the Raiders’ new head coach, Jon Gruden.
Probably no employee, other than Davis himself, knows more about the day-to-day operations    of the Oakland Raiders than Allen. An articulate representative of the Silver and Black,    Allen spoke to Raider Nation Journal’s Randy Shillingburg on May 5 about the team’s draft    and prospects for the 1998 season. Following are excerpts from this phone interview which    probed into the inner workings of pro football’s most dynamic organization:
RS: What are you working on today, Bruce?

BA: We’re working on a number of things. We’re looking to fill out our    80-man roster and we’re also looking at some marketing and community relations activities.
RS: Which players are we looking at today? Can you tell?

BA: No, we don’t do it that way. As you know, we like to keep our    objectives quiet until they’ve been conquered.
RS: But you are talking to some players?

BA: Yes we are.
RS: Will the Raiders be active (in free agency) after June 1?

BA: If the right players become available that we feel can help us. With    our new coaching staff — they have spent an extensive amount of time implementing their    new terminology and their new schemes to our players since February. It can be difficult    for a new player to come in late in June or early July and get up to speed that quickly.    It is a complete change in terminology for us, and it’s something that needs a lot of work    and repetition. The players are still here working on it.
RS: If I would call the Raiders office about 4 o’clock in the morning, would I reach Jon    Gruden?

BA: (Laughing) If you had his direct dial, you would. Some days he gets in    late, around five.
RS: (Laughing) He’s sleeping in those days?

BA: (Laughing) Usually you can get him between four and five pretty    easily.
RS: It sounds as if he’d be a tough guy to try to keep up with.

BA: Well, he’s got so much energy, and it’s creative energy. We feel    fortunate to have landed Jon here, because he’s brought some adrenaline to the team that    has been needed.
RS: Almost everyone has alluded to the fact that returning this team to its rightful place    among the league’s elite will require a major rebuilding job. Does the team have a    timetable with a series of goals?

BA: Our timetable is to be as good as we can be each week. There is some    great history that shows quick turnarounds in this new salary cap era. We’re just going    (to) try to play one game at a time. We open with Kansas City, and Jon has all of his    focus on that game and (to) do the best we can. When the coaches came in here, they wanted    to have these early mini camps. In fact, we had one before the draft even, and they were    pleased with our talent. Offensively, we have some explosive weapons that excite the    offensive coaches, but defensively we also (have) a nucleus that can be built around with    some solid, young talent.
RS: What does Jon Gruden bring to the Raiders?

BA: He brings intelligence. He brings passion. He brings discipline, and    he brings energy.
RS: What does Bruce Allen bring to the Raiders?

BA: Definitely the passion and the ability to look at any possible    contractual problem from different angles and be able to solve it. As with everyone in the    organization, that burning desire to win.
RS: What do you think the chances are of having Charles Woodson signed before training    camp starts? Do you get the feeling that both Charles and his agents want him to be in    camp on time?

BA: Well, in talking to Charles, you feel that. There’s no way to predict    that far off. Last year, we were fortunate that Darrell Russell signed the day camp    started. He was the first of the top six draft choices to sign. None of those other draft    choices signed for, I don’t think, for another week or so. We’ll work at it and attempt to    compensate him fairly and come up with a deal. It takes two to make an agreement.
RS: What is it like to work with Jon Gruden? What are your impressions of him? Do you feel    that the team has turned around under his leadership?

BA: Results are what turn around a team. Chemistry is an often-used    phrase. I’ve only seen teams that win that have good chemistry. That (having team    chemistry) will be when we get on the field and outscore our opponents. I don’t want to    put too much on Jon too early. But are we headed in the right direction? Absolutely.
RS: Who have been your biggest influences in football?

BA: Well, my father was probably number one and number two. After that, I    would probably say a lot of his players, who I grew up as friends to, and Al Davis. Al is    every coach’s idol in that he was a Coach of the Year, successful coach, but he ended up    owning a franchise. I don’t think — now that George Halas and Paul Brown are gone — that    we’ll ever see this again in sports. The value of the franchises has gotten near a billion    dollars.
RS: What does Al Davis bring to the Raiders? Of course we know his knowledge of the game    and all of that, but what else does he add to the team?

BA: His incredible experience at doing every facet of an organization —    working in every facet of the organization — is invaluable. His ability to see the big    picture and clearly project what our future holds is really kind of amazing. Some of the    new coaches call him Karnac. Some of the owners in the league at the last league meeting    called him E. F. Hutton. He had predicted that television income was going to double —    two years ago. Everyone sort of laughed at that and sort of thought he was just talking.    And then it happened. He has great insight and great vision. He is the person that lights    this flame in everyone around this organization. When he comes by — not intentionally and    not directly — but his burning desire to succeed motivates everyone in this place.
RS: He’s an extremely loyal person, from everything that I’ve read. He’s the type of boss    who, once you prove to him that you have the same passion, he has extreme loyalty to you.

BA: You know, it’s funny. John Madden says that if he had (only) one phone    call to make, he’d call Al Davis. He actually gives you that loyalty before you’ve entered    the Raiders organization. He won’t ever let me explain some of the things he does for    people in need, or people that are looking for assistance of some kind, whether it’s    someone in the community, or a former Raider, or a former coach who just coached in    college. His generosity would shock people.
RS: That’s what I had heard. I remember hearing a story one time that he picks up the tab    whenever he enters a restaurant and sees any of his players there.

BA: That is minor compared to some of his acts of goodwill. If anyone that    he knows is sick or their family has a problem, somehow he finds the time to research    extra medical help and help people. When my wife was going into premature labor, Al Davis    was the person calling the doctor before I even got home to take her to the hospital.
RS: (Laughing) I can just see some doctor at Cedar Sinai Hospital or the Mayo Clinic    handing the phone to another doctor: “It’s Al Davis on the line for you.”

BA: (Laughing) That’s right — making sure that we have the right doctor.    It’s incredible how widespread his generosity is, but it’s also because he believes in    people, and he likes helping people who are less fortunate — not only less fortunate in    terms of money but also less fortunate in terms of knowledge.
RS: It sounds as though you enjoy working with him.

BA: I love it. I really do. The relationship is more than just football,    although that’s the centerpiece of it. I enjoy asking him questions from World War II    history to great leaders in our world, current events, political events, propositions that    are on the ballot, and hearing his analysis of it, and then making side wagers as to which    side is going to win. I haven’t won many of them.
RS: What was it like being in the war room during the draft? What was everyone’s reaction    when Charles Woodson was available and the Raiders selected him?

BA: It was easy on the Woodson situation because we had a definite feeling    that it was either going to be Andre Wadsworth or Charles Woodson, and we were going to be    happy either way. Maneuvering and getting everybody’s opinion on who the next player we    wanted — that was exciting. And then when we were able to complete the trade with Tampa    and get Mo Collins — you would have thought it was Cinco de Mayo in the draft room. It    was a great celebration.
RS: Was it nice to not only get a great player (Collins), but also beat San Francisco to    the punch?

BA: Beating San Francisco just means that their scouts evaluated him in    the same way that we did. We know that there was a team ahead of San Francisco that was    going to draft him.
RS: Really?

BA: So, it made it necessary to trade to the spot we did in order to get    Mo. But, once again, that goes into the preparation by all of our scouts and coaches, and    under Al’s leadership, making sure that we know everything there is possible to know about    a draft situation.
RS: What was the reaction when the Raiders picked up Leon Bender?

BA: We were hoping that he would last until that spot. That supplemental    pick we got from the league, we could not trade. We were concerned about the two spots    above where we were selecting. Our happiness was small when compared to the happiness once    we saw him at mini camp. He’s a big man whose explosiveness off the ball is rare.
RS: He doesn’t have the greatest 40 time, but he is apparently extremely quick.

BA: Yeah, extremely quick. Other than Wadsworth, I don’t know if there was    a quicker big man in the draft.
RS: Do you think he’ll be a star in this league if he works hard?

BA: It’s too early to say that. We have two quality defensive tackles in    Darrell Russell and Russell Maryland, but this gives us a third man in the rotation that    should be able to help us for many years to come.
RS: What was the reaction in the war room when Jon Ritchie was available?

BA: We wanted Jon, and we knew that some other people wanted Jon. We had    an offer to trade down, but the coaches were looking to grab (him) as a fullback. We    decided to take Jon right there. Many people (in the organization) feel this way probably    after the first mini camp: He was everything we were hoping he would be.
RS: Do you think he’ll be a good short-yardage runner?

BA: Oh, the great part about Jon is that he doesn’t care if he ever runs    the ball. He’s a blocking fullback who has very soft hands, which is important in Jon    Gruden’s offense. He (Ritchie) can do that (short-yardage running), yes. We were really    looking for a lead back for Napoleon (Kaufman) and Harvey (Williams).
RS: I think that one of the sentences in my column this week about Ritchie is,    “Aren’t unselfish players great?”

BA: (Laughing) Yeah.
RS: It sounds as though he doesn’t care if he gets the ball two or three times a game as    long as he has a chance to knock a couple of linebackers, a couple of defensive linemen    and a couple of cornerbacks on their ass.

BA: I don’t know if he cares about getting it that one time a game. He    said that coming in and that’s his attitude, which is refreshing.
RS: This draft was kind of an attitude adjustment. The team picked players who are a    little cocky, who have the feeling that they want to be part of a team — not so much the    individual glory or anything — but that they really enjoy being a part of a team and    making a contribution.

BA: When you look at our first three choices, they came from Michigan, the    national champion; Florida, last year’s national champion; and Washington State, this    year’s Pac-10 champion. So, we added some players who are accustomed to winning, who know    what it takes to win, and are driven to win. That’s what we’re looking for here. At the    end of last season, we knew that we could go one of two ways. We could go back into free    agency and try and pick up some players, but the players that were out there really didn’t    excite us. We felt we got the best corner in free agency in Eric Allen via trade. We    decided to concentrate and spend our money and time in the draft, and we ended up with    three high draft choices and really three first round choices. We’re as happy as we can be    about those guys.
RS: If the defense last year would have given up one less touchdown per game, which still    would not have put it among the league’s leaders or even the division leaders, the team    would have finished at 9-7. The Raiders were blown out the last few games of the year when    the season was essentially over. Do you think that an 11-5 or 12-4 season is possible or    even realistic to think about at this point?

BA: We’re not in the prediction business. As I stated, we’ve got to focus    on beating Kansas City. We play them there in a Sunday night game as our opener. The    beginning of our schedule is a wake up call for coach Gruden. Our defense was number eight    in the NFL in 1996. We finished last (for) last year and really, personnel wise, all we    did was improve it with the addition of Eric Turner and Darrell Russell. I think we need    to get some confidence back. We need to get our aggression back, and I think having (new    defensive coordinator) Willie Shaw gives us a chance to do that.
RS: Tell us a little bit about Willie Shaw. What would you like to tell Raider fans around    the world that will give them confidence that he is going to turn this defense around?

BA: Well, there are two things. One, at age 19, he was a sergeant in the    Army. Number two, the New Orleans Saints last year had the number four defense in the NFL.    Now that’s an impressive statistic, but when you couple the fact that the New Orleans    Saints had the 30th ranked offense, and turned the ball over 55 times, it almost becomes    statistically impossible to have the number four defense. That and his proven record    within our division. When he was with the Chargers, they went to the Super Bowl. Those few    points really should give people comfort and it gives us great comfort.
RS: He turns around defenses quickly. He turns vanilla-type defenses into ball-hawking    defenses that create a lot more opportunities for his offense.

BA: He does it because he has a great rapport with players, but a very    disciplined rapport. People know that he’s the coach who’s in charge. We’re pleased to    have him. If Jon is in here at four, Willie is having that second cup of coffee around    here.
RS: (Laughing) So Willie is staying overnight, too?

BA: (Laughing) Yes he is.
RS: It sounds as if things are turning around, or are in the process of turning around. I    know that people who are writing for and reading Raider Nation Journal are some of the    most rabid fans you’d ever want to meet. My second son, believe it or not, his name is    Todd Davis. I’ll just give you one guess as to who he was named after.

BA: (Laughing)
RS: Todd Christensen and Al Davis. I’ve been a Raider fan for a long time. I mean a long    time.

BA: I visited the site (Raider Nation). The reason you all got a hold of    me is that I visited the site, and I was reading (it). Our fans are the greatest. No    matter what survey the league puts out, the Raiders stand tall internationally as really    the flagship of the NFL. We spread across every race and nationality. It’s amazing to the    other teams when they see our popularity. It’s something we’re proud of, and it’s    something that we have to live up to. It’s based on the great players, and the great    coaches of the past, the ’60s, ’70s and ’80s. We know right now that we’re challenged to    live up to the greatness that has been built up here. And that’s what we fight for. We    like it. It’s a great pressure to be under.
RS: When you look at the great players, how can you not be in awe when you have Howie Long    and Ben Davidson, Willie Brown and George Atkinson, and Jim Otto. Just being around those    people, you almost have to have goose pimples anytime you see them.

BA: Al Davis received the first ever Lifetime Achievement Award from the    NFL Alumni (Association) for the way he treats former players. I believe we have 14 former    Raider players working within the organization, as well as what he’s done for players    outside the organization. And we feel that is our duty to take care of those players and    those former coaches. Coach Madden is still a consultant. Tom Flores works in our    broadcast booth. We owe them a debt of gratitude for what they’ve created, not only for    the Raiders, but for the NFL. That type of feeling is special, but when you’re standing on    the sideline in a pre-game warm up next to George Blanda, Willie Brown, Fred Biletnikoff,    and Al Davis. I don’t know where else you can do that but with the Raiders, and it’s    special.
RS: Can you tell Raider fans any scoop today, or are you going to save it for Ann Killion?

BA: (Laughing) No, I’m not gonna — I’m certainly not gonna save it for    her. We’re just going along with our business. The one great part is this off season    program — for the four years I’ve been here — has the most players involvement of any of    them. As I’m sitting here right now, I can see the offensive line out in the field. That’s    exciting.
RS: Who’s out there today?

BA: All.
RS: All?

BA: All of them, except the rookies can’t be here until June. They’re all    out there.
RS: So you’ve got Wisniewski . . .

BA: And Lincoln (Kennedy). I see (Pat) Harlow. I see Rick Cunningham. I    see Barrett Robbins. There’s Tim Kohn. (Adam) Treu. And Scott Whittaker. Everybody’s here.    And then we signed Darryl Ashmore, who was with the Redskins last year, for some depth.
RS: He was drafted originally by the Rams, wasn’t he?

BA: Yes he was.
RS: Have you seen any young players that you think that we should keep an eye on — that    maybe they have a chance to be something special?

BA: We drafted somebody last year, Calvin Branch, who was a good college    running back, and we converted him to corner. These coaches have moved him to safety. I    don’t know if this will be his breakout year, but maybe the following year. He’ll make a    significant contribution on special teams this year. I think in another year you’re going    to see another one of these Raider projects (Branch) become a very good player.
RS: What about Scott Whittaker?

BA: Scott is battling for our starting right guard spot. He and Tim Kohn    are (competing for the starting position). I think that’s why they both are here. Each one    of them is trying to get the edge on the other, which is great. Scott has a chance to be    our starting right guard this year.
RS: That’s great. I’ve certainly enjoyed this, Bruce.

BA: Well, we’ll do it again during the season.
RS: What do you think would be the possibility of talking to either Al Davis or Jon Gruden    sometime?

BA: Jon, we’ll probably try and schedule, and I don’t think you’ll get Al.
RS: Even for a long-time Raider fan?

BA: Possibly, but he might want to do something in June. I’ll mention it    to him. Remember that there’s a guy named Larry King who calls once a month, trying to beg    to get him on also.
RS: (Laughing) Larry doesn’t get him?

BA: (Laughing) No.
RS: (Laughing) Well, let Randy Shillingburg get him.

BA: (Laughing) We’ll work on it, Randy.
RS: Thanks for talking with me, Bruce. It’s been a lot of fun.

Raider Nation – Early Adopters


Read more…

Raider Nation – Brand Identity Part 2

cheer4bEarly on I scored several major coups by enlisting the aid of various Raiderettes to the cause of Raider Nation. This drove the competition bonkers as they were driven insane by the very real speed by which Raider Nation was becoming the acknowledged leader for Raider fans on the Internet, and beyond. First they lost the coveted Raider Locker Room outlet by which the image and name of Raider Nation could be advertised daily through a brick and mortar outlet. Then they lost the battle for the very hearts of Raider fans when the Raider Nation moniker started to appear on the backs of cheerleaders – WTF, this is adding insult to injury. It was a brilliant execution of strategy aimed at making the Raider Nation brand well known and adopted as a symbol of Raider fans worldwide.

Read more…

Raider Nation Brand Identity – More to Come


Read more…

Raider Nation – Brand Identity Part 1

vellakat3OK, there may be several teasers to the real lesson of building brand identity. What is undeniable is that a product or service can fail or succeed based upon the image that consumers have in their minds.

In 1996 the internet was secondary to the traditional marketing channels that existed at the time – meet and greets with the cheerleaders!! What was becoming clear, however, is that the internet could spread news and photos on current events much faster and across a much more diverse geographical base. Instead of only fans in the San Francisco Bay Area being able to see the latest news in the local rags there was now the ability to spread this info across the globe. No one appreciated the impact of the internet in this area more than I did when it came to formulating a strategy which would propel Raider Nation to the pinnacle of success.

The photos shown here were all published on the Raider Nation website exclusively and I, in effect, became the official photographer for events that were taking place at John Vella’s Raider Locker Room. The Raider Locker Room and Raider Nation became strategic partners in spreading the Raider Nation brand. Traditional brick and mortar retail was still the predominant method of sales in 1996 but to sell to a global fan base the internet was becoming the preferred marketing and sales channel. The symbiotic relationship between most retail outlets and the internet is taken for granted now, in 1996 Raider Nation was on the cutting edge.

Read more…

WordPress Website Creation

For those who thought that WordPress was only for blogs………… Stay tuned for the new and improved ERRG website.

For an example of what can be done:



Raider Nation – The Concept in 1996

2013-03-17 16.53.04

Think back to 1996…… The internet was in its infancy and no one had yet fully tapped the true potential in the area of internet commerce. Netscape, anyone remember them?, was the dominant player in internet browsers. They spun off multiple firms that hoped to capitalize on the internet – from hosting solutions to content creation. Digital cameras were archaic and the size of a shoe box if you could afford one – think about cell phones or portable computers as a comparison for how they developed. Going from big and expensive to small and cheap in a span of ten years or less. Hard to believe but in 1996 the wave known as the internet had not yet started to crest, but all the signs were there. Internet commerce was just a glimmer in various enterprenuers minds and how to truly capitalize in this area was also on a scale of small to large – the individual with some HTML skills all the way up to those implementing grand shopping schemes. Some were spectacular failures – does anyone remember Webvan?

Now think back to 1996 as the year after the Raiders had returned from Los Angeles. Oakland Raider fans from the days of Kenny Stabler, Freddie Biletnikoff, Dave Casper, etc. were riding a surge of adrenaline from their beloved team returning to where they should never have left. I happened to be one of those “old” Raider fans who looked to rekindle the glory of the Oakland Raiders but little did I know that I was about to catch the wave of the internet at just the right moment in time.  A time when fan pages were popping up anytime a fan wanted to post pictures or comments regarding the team. The majority of the sites at that time were primarily sites designed to talk about the team, the games, and trash talk with the other fans. No one had a concrete vision to combine the fan page with a concept such as Raider Nation – it did not exist.  The plethora of “Nation” sites you see now were all given birth by the success of Raider Nation. There would be no Red Sox Nation, Bachelor Nation, Niner Nation, etc. without the first website designed to capitalize on the internet and fanaticism – Raider Nation.

The official filing with the US Patent and Trademark office:


Many have come forward after the success of Raider Nation claiming to be the originators but none have the conclusive documentation being presented here to substantiate their claims. What I am presenting here is the history and origins that fueled the success of the concept known as Raider Nation. I will present the original graphics that were used to develop the Raider Nation website for which, of course, I owned the domain RaiderNation.com. Intertwined in the history will be the business lessons learned along the way.

I will take you on a journey that validated many things taught in business schools and the journey itself was an education in business that many never receive in an entire lifetime. Are you ready to rumble………..

Raider Nation – A Case Study

Coming soon – the genesis of a Nation, from concept to implementation. Below is original mock up design for t-shirt.


2013-03-17 16.53.04

Mas Tequila

What drives me to drinking…….

Those who can influence the success or failure of a business but have never run a business on their own. Generally, these folks make decisions based upon book learning where everything fits into nice little boxes. They have no clue what the true business drivers are behind the financial ratios they learned. They pontificate about debt to equity and cash flow but can’t relate that to real life outside what they have been told is acceptable. Mas Tequila.

You would be surprised that some of the worst offenders of this are in the banking or surety industry where decisions are critical to the ongoing success of a business. Too many times I have seen knee jerk decisions made based upon sterile financial analysis with no consideration given to the surrounding circumstances. According to one bank and one surety my current company should not be in business. What they failed to take into account is the environment in which the company operates. All they know is that debt to equity over 3.0 is bad and having a balance in the line of credit is equally bad. Why, you ask? They would not have a clue as to why this is bad except that someone told them it was. Mas Tequila.

Same for the auditor in Lafayette who was so convinced that management needed a wake up call regarding the accounting function of the company even though he had no clue about what really drives a business. According to him the company was on the verge of bankruptcy and he was hell bent on spreading the message. At the end of the day I fired him and we are still here better than ever. Mas Tequila.

Ask yourself why we as a country are where we are. I would put forth that one reason is that we have allowed those with limited intelligence to exert undue influence on who succeeds and who fails. In my experience there are simply too many people in positions of great power who have no clue about what they are charged with managing. It is easier to say you are the problem and deflect responsibility for their own shortcomings. To the extent everyone believes them they continue to cause businesses to fail that might have otherwise succeeded. They would have gotten the the line of credit they needed, the bonding for the big project, or the credibility needed from an intelligent audit. Mas Tequila.

Lesson learned: stand up against those of limited intelligence and expose them for what they are – those who have truly risen to their highest level of incompetence. Unfortunately, some have gotten into positions that influence the lives of others.

Post Navigation