Friday, March 18, 2016

Q&A - 18/3

Jack Welch

It happens to be one of the most immutable rules of business. Soft culture matters as much as hard numbers. And if your company’s culture is to mean anything, you have to hang—publicly—those in your midst who would destroy it. It’s a grim image, we know. But the fact is, creating a healthy, high-integrity organizational culture is not puppies and rainbows. And yet, for some reason, too many leaders think a company’s values can be relegated to a five-minute conversation between HR and a new employee. Or they think culture is about picking which words—do we “honor” our customers or “respect” them?—to engrave on a plaque in the lobby. What nonsense.

An organization’s culture is not about words at all. It’s about behavior—and consequences. It’s about every single individual who manages people knowing that his or her key role is that of chief values officer, with Sarbanes-Oxley-like enforcement powers to match. It’s about knowing that at every performance review, employees are evaluated for both their numbers and their values…



But Welch's comments above contradict another post where a CEO created metrics that defined his company's goals? [this post]

That's different

In that case the CEO created a metric that defined what was important for him; it was a way of communicating his priorities to the company. He did not impose any metrics on anyone, judge people by some cookie cutter criteria. BTW; letting people "define" their own number won't work either - employees will feel limited by them, plus in today's fast-paced work environment, agility, adaptability is more important than "school work-like" measurements - noone can know what a projects will require exactly 3 months ahead, let alone 6 months or a year. Wealthfront CEO's approach is good - he defines a hard goal (number based), but his approach is also soft; nothing is mandatory, there is no straigt-jacket, but people can slowly congregate around those aims, through osmosis, and possibly through enforcing the culture.


[Paraphrasing] We will delay, block the [new nominee Garner's] Supreme Court confirmation process [..]


And you wonder how a random jackass is wreaking havoc on your party... If you do not respect the system that you are in, approach everything from a zero-sum-game mentality, by definition you create dysfunction, then naturally end up being identified with that dysfunction. Then you can't complain someone like Donald Chump rides on a wave of distrust of the "system"; a distrust that the players themselves created.

Q&A - 21/5

Question How do you empirically prove interest rates do not cause increase or decrease in GDP growth? There is a test for that Data ,...