I Built This Prison: Excerpt: Once More On Looking (or Rather Not Looking) the Part


From I Built This Prison, Chapter 2. Aspirations, Hopes, and Dreams

Here is an interesting thing to consider: I never was of the correct shape and texture to fit the typical idea of a cutthroat corporate mover and shaker.  Anywhere. In the same way probably as Julia Child was not considered an acceptable choice as standard TV personality in her time. First of all, it wasn’t just the creative pursuits and liberal-arts education – which included journalism, languages, art history, theater and cinema studies, to make a short list – that were barred by the antisemitism in the Communist Russia. Any and all “executive prospects”, such as they were, were also closed for even the most persistent, academically overachieving Jews. The only thing that mattered there was that I looked Semitic and that my “Nationality”, as ethnically defined on the fifth line of a Russian passport, was “Jewish”.

I bless the moment I was accepted to America as a political refugee over three decades ago. Yet, the pertinent truth is that, even after 25 years of professional experience in NYC and the addition of MBA to the list of my degrees, I was still not recognized as a perfectly fitting executive peg here either. Ethnically looking immigrant with an accent; no Ivy-League tokens on my resume or any nepotistic cards up my sleeve – I had to break a lot of barriers to attain my positions even in the private entities, for which I worked.

Big-time HR managers and headhunters will never admit to it, but, in spite of my verifiable knowledge and expertise, they could never visually match me with formal demands and expectations of their illustrious employers/clients for the targeted positions. It’s only when I had a chance to speak with a functional key person from the hiring company directly my qualification usually prevailed over everything else, which only happened in smaller, privately held companies…

We cannot deny the simple fact that opticals play an instrumental role for all American occupations. It’s like what Aaron Sorkin wrote in his 1995 script for ‘The American President’…: “If there had been a TV in every living room sixty years ago, this country doesn’t elect a man in a wheelchair.”

Visually, people like me look most appropriate in the seclusion of labs with Bunsen burners and glass retorts, research libraries with old books and microfiche, at the desks with typewriters, at the various lecture podiums addressing a blurred audience… Not at large-scale corporate events, schmoozing, in a constant search of best-connected targets like a self-propelled torpedo… I cannot stand shellacked hair and none of my business skirts are pencil-shaped. I prefer pantsuits.

I recently mentioned this “suitable look” issue to my daughter who, God bless her, is able to look and act right in any environment imaginable. And she said very simply, “It’s unfortunate, yes. But, Mom, you never even tried to straighten your hair…” How heartbreaking is that? This is what we need to consider in order to succeed in this world? What kind of aspirations we are talking about?

Let me remind you that I am referring here only to the external perception, not the actual competence, abilities, skills, expertise. Everyone knows about a book and its cover, and still no one is willing to read. Yet, looks are truly deceiving, you know, for both covering up the rot and concealing the superpowers. A person may look like an Orthodox-Christian priest but be one of the most important hip-hop, heavy metal, and alternative rock producers of all times (This, by no means, is an abstract example – I specifically have Rick Rubin in mind. I knew who he was long before I saw his photo for the first time. It surprised me.)

Quote of The Week: Cassandra’s Curse


Quoted directly (as written) from the actual email sent today to the frustrated CFO by her CEO:

“Marina,

You are so right about the economy.  More than a half of the candidates I talked with today are looking for a job because they were laid off as the result of their companies’ downsizing or being swallowed during hostile mergers.  One of the candidates worked for the same company for 20 years, and she is now looking for an entry-level job just to get stable employment with benefits.  Amazing!  Most people don’t even know what’s going on with the economy, because they listen to lies.

LF”    

Quote of the Week: Here Is Where We Are Now with Quality Control


Truck-crash

From an actual email exchange that took place this morning (quoted as was written):

 

From a Customer to Operations Department of A_C Company:

Hi John,

Please deliver the second truckload from our current order on Monday 12/21.  Please confirm.

Customer 

 

From the Operations Department to the Customer, copying A_C Company's CEO as per protocol:

Good morning Bob,

Thanks for providing the delivery date!  We will begin to secure trucking.

Best regards,

John

 

From the CEO to the entire Operations Department, copying The Frustrated CFO and Managing Partners:

Please find a trucker who will not spill the product, drive into the customer's gardens, or drive recklessly through their parking lot damaging their employee's car, which all happened to this valuable customer in the recent past.

CEO 

The Frustrated CFO’sTalk on International Trade Turns into Gender Equality Q&A


Business_women1If you took my absence from these pages during the past few months as an indication of my giving up on the blog, you were wrong.  This activity is important to me.  If nothing else, it lets me "talk" without being interrupted.  It's just that the time slot in my overscheduled life, usually allotted to the writing of the blog posts, had to be temporarily relinquished to an extracurricular activity of preparing for a talk I was invited to give to a professional group called Women in International Trade.

Oh, no-no-no!  I'm not talking about OWIT (the Organization of Women in International Trade), the big non-profit with global reach headquartered in Washington, DC.  This group is much smaller - sponsored by a reputable New Jersey CPA firm, it is pretty much localized to the international-commerce entities and banks (like PNC) with offices and operations in that particular state.  It's not like they don't welcome sisters-in-trade from everywhere, it's just how their network happened to develop: commercial clients of the said CPA firm, trade finance clients of the said bank, the local government bureau that deals with exports – all of them work and live in New Jersey.   

And the reality is, there are a lot of big and small international businesses located in New Jersey.  That's where you can have large office buildings that cost a fraction of what they would in Manhattan; there is plenty of open space for manufacturing and storage; there are Hudson ports that can berth oceanic freighters, etc., etc.           

Truth be told, I would never know about these particular Women in International Trade if it weren't for one of the group's member who is also one of my former trade finance bankers and a friend.  She is the one who mentioned me to the sponsoring CPA firm's Chief Growth Strategist - a force behind a lot of women initiatives in the Garden State. 

They've been inviting me to participate in various women's and co-ed business events for some time.  But I have to admit that when you live and work in Manhattan, the hassle of getting to an 8 o'clock breakfast meeting in New Jersey's Essex County makes such invitation very unattractive.  I mean you need to drive or get a limo.  You'll do it for business, of course, but for a semi-social gathering… that's a bit too much. 

Of course, your attitude totally changes when the same professional group invites you to appear for them as a speaker.  Vanity is a terrible sin – it demands constant massaging of one's ego.  That's why some of us write books that bring meager royalty, give lectures without fees, etc.  Plus, unlike the vast majority of people, I actually enjoy sharing my knowledge.  And not for narcissistic, show-off reasons – I get a kick out of recognizing to myself, "I taught her that."  So, naturally, I agreed.

After the initial invitation, I kicked a list of possible topics at the talk's organizer and we settled on two that we both agreed would be the most interesting to international-trade professionals: the position of trade finance in the value chain and KPIs specific to international commerce.  I was advised of the reglament: 1.5 hours talk and 30 min Q&A.

"Well," I thought, "If you are going to talk shop with a group of working women for 90 minutes at 8 o'clock in the morning on a Wednesday, you'd better make it engaging and gratifying," and went to work.  The rule  of thumb is that 90 minutes of talking translates into about 15,000 words.  And that's actually is not very short.

Of course, if you are the one who proposed the topic in the first place, you most likely know the subject at hand through and through; you have already developed original ideas and time-proven recommendations; your thoughts and opinions are well formulated.  And that's great, but if you are not a professional lecturer who does this sort of things all the time, you still need to outline what you want to say; you have to construct your delivery in a coherent and logical way; you must prepare an exciting Power Point presentation that would prevent your audience from getting drowsy, and use cultural references to make your points memorable.  Yeah!  If you want to impress people, it's a lot of work.  As I said, vanity – it costs you.  

The third week of January came, and there I was, in New Jersey, shaking hands with the organizers and the attendees – by all appearances a group of successful and confident women, whose statuses make it okay to be out of the office in the morning hours for the sake of this event.

I proceeded with my presentation and it went well: they paid attention, they were interested, they nodded, they offered sensible and appropriate comments, they loved my visual tricks, and they sincerely laughed at my jokes.  The time ran out.  "Do you have any questions?" I asked.  I was convinced that I've had a pretty good idea about the points of the talk that could've prompted further inquiries.

Imagine my surprise when the first comment/question I've received was, "You are obviously a strong woman.  In your professional capacity, how do you handle male resistance to your authority or any other sorts of gender difficulties?" (Notice how the question was formulated: The woman had no doubt that I've encountered such obstacles ans she wanted to know how I dealt with them.)  

Slightly taken aback by the sharp shift of gears I skipped a bit, but really – just a bit.  I don't need to prepare for a gender equality discussion; I was born ready for it.  So, I briefly described my experience: the unfair treatment; the skewed perception; the idiotic remarks; the preferences given to nitwits because "they have to support their families" (many of us have to do the same); which battles I pick; what I say and how I say it; when I bite my tongue and walk away; how I lie in wait and then find a way to teach them a lesson, etc., etc.

Oh my God!  It was as if that question and my answer triggered a flood.  Apparently these women found my interpretation of the international-trade topics quite clear.  What they were confused about was why in 2015 we are still treated like second-class citizens.

At this point (the time was, obviously, running out), everyone talked fast.  Many things were mentioned: "honeys" and "sweeties," unequal raises, unreasonable promotions, difficulty of holding back the tears, female professional "ceilings," the insulting male disbelief at a good-looking woman who is also smart.  Amazingly, there were not a single person who didn't have something to add.   Nobody said, "I have no idea what you all are talking about."  You know why?  Because there were no men in the room.

One woman in her 30s who was just recently appointed to a Marketing Director position (her warpath has just began), asked me whether I was born "this tough."  Actually, I've thought about it before.  What I told her was that we (i.e. the women who want to succeed) are not born tough.  What we are born with is the ambition, the desire to be rewarded in accordance with our merits, the need to be treated as human beings regardless of our gender.  But, while we claw our ways towards whatever peaks we want to achieve, we have to acquire toughness.  We have to harden or they will eat us alive.

It is possible that I will never see most of the members of this group again, but when we were saying our goodbyes we felt like sisters.  I taught these women a thing or two about trade finance and performance analytics, and, in return, I've learned a lesson of my own:  There are no happy and satisfied women in international trade (and, I dare to extrapolate, in other business activities as well), because their ambitions and efforts are constantly curtailed on account of their gender, which is silly, irrelevant, anti-merit, and (call me an idealist) anti-American. 

You Are the Most Knowledgeable CFO EVER… How sad!


BrainiacPerspective Let me explain to the handful of readers who actually noticed my absence from these virtual pages that this is what it takes for a small business to close a $20 million three-year capital financing deal with a global bank (such as Citi):  You basically have to put your entire fucking life on hold. 

That is, of course, if you are someone like me - a CFO who rolls up her sleeves and plunges herself into the nitty-gritty of negotiating every single definition, every single term, every single condition, and every single covenant of the Term Sheet and then the  Credit Agreement in a pursuit of getting the best deal possible; someone who has the grasp of a fox terrier, who can shove pushy bankers and lawyers right back where they belong, who is not afraid of the ambiguous formulations, obscure terminology, and legal jargon.

But that's it, isn't it?  In order to be able to get exactly what you need out of any deal that involves money-holders and their supporting infrastructures you need to know your business better than anyone else and their business better than they do.  You need to speak their language and your comprehension of it must be more nuanced than theirs.  It's nothing short of a battle for the business survival, and if you don't prevail you and those who rely on you lose.  It's like in Game of Thrones: Tyrion's Champion, Prince Oberyn, mortally forfeits the battle to The Mountain, and that spells really bad news for Tywin Lannister's youngest son.  

The problem is that most corporate financial executives don't see it that way: just like many other salaried employees, they don't care to know anything beyond bare necessities and they don't feel fiscally responsible for their companies' wellbeing.  Hence, the low levels of professional awareness and circumvention of sophisticated issues is observed in most CFOs and Controllers today.  And it ends up costing employers a pretty penny in unnecessary legal, accounting, and consulting fees.

Hey, you don't have to take my word for it.  By the way, all numbers below are real and quotes are taken verbatim from various communications. 

Let's see.  When the bankers presented us with the Term Sheet back in March, I did not get either our corporate attorneys nor independent CPAs involved at all.  The bank's credit risk group and I spent two months going back and force, until I got the document into an acceptable shape (estimated savings on legal and financial consulting fees - $50K).  As a part of the Term Sheet, I insisted on the bank's due diligence and legal expenses (changeable to us) being capped (estimated savings – $35K).  

The Citibank people, stuffed to the gills with data and reports I've provided to them during this process, kept telling the other members of my Board of Directors things like, "Oh, that Marina, she is amazing! She is the best!  She is so tough!"  They would write emails like: "Thanks, Marina.  This is very helpful, plus your expertise is tremendous!"  As if I was performing some magic tricks – I was just doing my job… thoroughly.  When the Term Sheet was signed and sent to the bank my future relationship manager asked me in confidence (referring to the owners), "Do they understand that the only reason they are getting this deal is you?"  Hmm…

After successful due diligence and final approvals from the bank's Credit Committee, the Agreement package (186 pages of documents) was emailed to me by Citi's lawyers.  The lead attorney asked me in the cover email to provide him with the contact info of my legal representation, so that lawyers could start dealing with each other directly.  I was like, "Fuck, no!" 

You see, as soon as you officially appoint a lawyer as your representative, the other side is not allowed to discuss anything directly with you.  Here's what happens:  Let's say the bankers propose an additional clause or some adjustment; they call their lawyer; their lawyer contacts my lawyer; my lawyer, who doesn't know much about the intricacies of my business and is not allowed to make any decisions on his own, delivers the request to me.  And then in the opposite direction: I formulate my response; now I have to explain to my lawyer all details in a digestible format so that he can deliver them to his legal counterpart; the latter than communicates them to the bank.  

Are you counting the connections?  We are talking quadruple billable hours on both sides!  And it's like that for every single issue and point.  I'm not doing that! I say, "Excuse me, sir, but for now you will be talking directly to me – at least until all business and financial kinks of these documents are ironed out.  Okay?"  

Professionally lawyers are just as obnoxious as doctors – they think that their diplomas make them better than other people (yet, they discuss economic matters with me as if they too had a PhD in the subject and an MBA).  So, at first the bank's attorney bristles, but, as I start beating him up on one point after another, he gets quite tamed and develops respect.  He actually says, "I hold you in high esteem," which is very nice, because the majority of these assholes don't ever want to admit that you are their equal (estimated legal fees savings – $30K).

Finally, I was satisfied with the contract and introduced my attorney into the mix.  He literally had ten comments on the legalese and after that the process turned into technical preparation of documents between the two legal firms. 
 
Total closing fees savings upon signing: $115,000. 
 
I am his client, so my attorney feels free to make a frank comment: "I have to say, you are the most knowledgeable CFO I've ever met, and I'm not even talking about your understanding of the contracts.  It's everything.  Most of the time I talk to your peers and they are like…  I'm sorry…  They don't know shit."

On the day the deal was closed one of the shareholders wrote to me: "…Your performance transcended what could reasonably have been expected from a typical CFO."  

Well, that' nice, isn't it?  Except that all these praise-singers probably think that I'm flattered by their compliments (as if I live for their approval).  But I am embarrassed: I keep thinking how all those ignorant CFOs and Controllers taint the image of my profession.  And everybody thinks that you are just like the rest of them until you prove otherwise. 

People say to me, "What difference did it make for you personally?  Did you get a deal-completion bonus?"  And some ask, "Why try so hard?  You don't even care about 'business' things as much as you do about art!"  

They are absolutely correct: Yes, some music passage, or a scene in a play, or an image, or a hand-written poem will make me cry; yet, most people with whom I work can't even imagine tears in my eyes.  And no, I didn't get an extra bonus.  And I don't consider this my personal vocation.  But the circumstances of my life made this into my paying occupation and I have to measure myself by my own standards: as long as I must waste a huge chunk of my life on making other people rich, I'd better do it to the best of my abilities.  Why other CFOs don't feel like that?  Well, everyone probably has her own story, but mostly it's that plunging-quality-of-everything effect I like to write about so much.  It's pervasive.