Category: Dealing with People

Objectivism, Part 2: Lynn Tilton – the Matriarch of Patriarch


Jessica Pressler provided the second mentioning of Ayn Rand, in her long-titled article What Does it Take For a Female Tycoon to Get Noticed Around Here? , which she contributed to New York magazine's issue on the post-crash Wall Street.  It profiles Patriarch Partners' CEO Lynn Tilton and, according to the author, this is how the powerhouse of private equity investment sees herself: as "an Ayn Rand heroine in six-inch heels."

Rightfully so.  This woman is not simply concerned with the state of American capitalism and the future that awaits us ("…I believe that there will… be violence in the streets in America," she says.  "And I think the only thing we can do to stop it is by creating employment."), but she is actually doing something about it – working very hard on trying to rebuild American manufacturing.  Moreover, she is doing that without any regard for the conventions of the phony propriety that has saturated our existence. 

Lynn Tilton destroys the stereotype of a "powerful man" as a world-savior.  A true standard-buster,  just like Ayn Rand wanted women to be, she does not make herself look like the androgynous creatures in buttoned-down suits who are allowed to enter "little boys" clubs from time to time.  She does not let herself to fit into the designated for business tycoons box either.  She refuses to hide her wealth into over-priced art rubbish other billionaires stash in their unseen drawing rooms.  Her conspicuous consumption is honest, because that should not define her.  It has nothing to do with her achievements.  

It is incredibly important to me that Ms. Tilton's  business focus lies in the same field as mine does: the proverbial backbone of the US economy – small and midsize companies.  And it makes the refusal of others to look beyond the outfits, the hair, the jewelry, the mannerism, far more painful.   Once again I am exposed to the violation of my personal absolute truth – MERIT.

Why can't people break out of their constricted mentalities? 

At art fund raising minglings, when I dissect a movie or a play, impressed people, who are paid to be in the know of those things, inevitably ask what I do for living.  I just love seeing their faces when I say, "Accounting and finance."  You see, number-crunchers are not expected to understand the high art.  It does not matter that I know more about it than they do.  On the other hand, when I was entering Economics PhD program, my wild jewfro was diminishing my scientific credibility, even though I came with 50% of my research and modeling already completed. 

Always those fucking labels, those stupid boxes.

I can easily visualize Lynn Tilton going to Harry Winston or Van Cleef & Arpels for some fabulous $250,000 necklace and people in attendance there thinking that she is some mogul's wife.  She must relish the opportunity to tell them, "I am the mogul, bitches!"

It's too bad that Ms. Tilton deals only in private equity acquisitions of distressed businesses and does not diversify into venture capital start-up investments.  I am developing a product right now that has a great potential of contributing into survival of smaller companies and complementing her quest for preserving the true capitalism.  I think we would get along handsomely.  We both know that it's what's inside your head that counts.  She is having trouble getting the respect she deserves, because we lost our meritocracy to "club membership" long time ago.    

Language Barrier


I don't know why, people still single out the US as a country of immigrants.  Just because before Columbus "found" the "New" World, this land was vastly unpopulated, and after that Europeans started moving in?  Well, people,  all over the world, migrated from one place to another through the history of humanity.  And I can assure you that Americans who can trace their origins to Mayflower and beyond, don't consider themselves immigrants.    

Of course, we have an inflow of new immigrants, and we  do lead in absolute numbers, but per capita, Australia's and Canada's immigration rates are currently three times higher than America's.  Also, there is a question of concentration.  What we should be called is a country of uneven immigration. 

There are places where people have never seen an immigrant.  I have a Turkish friend who once stopped with his half-Swedish-half-French wife in a small Midwestern town for gas and the shop-keeper called a sheriff.  100% true story. Homogeneous regions and countries scare me – they are too easy to manipulate.

I enjoy the blessed places, where you can see different faces and hear different tongues every step you take.  And it is with a great reluctance, I have to recognize the fact that the language barrier problem sometimes affects the work environment.  Well, it's rather accent barrier.   

I myself have no such problem.  Over the years I worked with people from more than 20 countries.  I pay attention and my ears got accustomed to all sorts of accents and grammatical deviations.  Unfortunately, that cannot be said about everybody.  Many times I have encountered situations of stark misunderstanding between employees of different origin.  It results in  frustration, waste of time and even errors. 

Few years ago I had two employees in my analytics group – one was a woman from Ukraine and another was a man from China.  While I had no problem communicating with them, they could not understand each other.  The woman was very cautious about filling the gaps in information with her own assumptions and guesses.  Instead, she would drag him into my office, asking me to explain.  CFO, the Interpreter! 

Something needed to be done.  I thought of replacing one of them, but that's not my way of doing things.  Instead, I asked them to communicate in writing – every time they needed to say something to each other, they used IM.  Some people may think that it took away more time – not true.  They spent so much time trying to understand one another and getting me involved, my solution was actually a time-saver.  Actually, seeing the words has improved their verbal communication as well.    

I think problems like that are rooted in the lack of effort.  The two kept asking me why I didn't have problems understanding either of them.  I'd said,  "Just pay attention to expressions and emotions and it will be easier to understand."

Like in this video.  The great comedian speaks a cartoon language he invented himself.  Yet, people all over the world understand him.

 

    

    


   

Job Search: Sales Pitch Behavioral Breakdown


In "The History Boys," a play by Alan Bennett, Douglas Hector explains to his student how, once in a while, you read something that is so close to your own thinking, it makes you feel as if a friend extended a hand towards you.  Beautiful! 

Sometimes, it happens with online reading as well.

Like this article, written for The Ladders by Dan Coughlin, Understand the Mind of the Interviewer.  I really appreciated his applying fundamental concepts to a particular issue.  It targets the job search process, yet it addresses business behavior topics I frequently discuss, namely the importance of:

  • understanding people's motivations,
  • treating everyone you meet with equal respect,
  • keeping professional demeanor at all times.

Mr. Coughlin's  assessment of the interviewing process is applicable to any form of "bargaining."  Whether you are selling your professional skills and qualifications for a job position, or pitching a TV series idea, or promoting an improvement in your organization – the behavioral principles are the same.  And there are important conditions to keep in mind:  

  • you are on somebody else's turf,
  • you may interact with people who are not directly involved in the selection,
  • in the first rounds you encounter people who decide whether you can go on the next stage or not,
  • if you get recommended, you meet the final decision-makers.

Because you are on somebody else's territory, you don't know who can observe you.  When you drive through the security gate on the way in or out, you may be seen on a camera, for example. So you'd better keep your professional armor on at all times.  Don't miss that garbage can in front the building, when you throw the soda bottle on your way in – the woman having a smoke nearby might be the HR Manager. 

Many people loose their creditability by saying or doing something in the reception area.  Doormen, assistants, secretaries may have their own impact on your case.  Once, I interviewed someone: by the time he walked into my office, I already knew that he was snappy and rude with the receptionist.   Did I hire him?

The actual decision-makers who have the power to either recommend you for the next round or to hire you (buy from you, option your script, adapt your improvement proposal) are motivated to make the choice by their own sets of reasons.  Your task is to understand what those motivations are and to try to accommodate them.

The two most important stimuli are the interviewer's reputation and professional advancement.  If there is a possibility that an HR manager will look foolish for passing your candidature to a CFO, she will never do it.  On the other hand, if a creative exec reading a script thinks that showing it to the executive producer will boost his status, he will be running to his boss like an olympic athlete. 

Understand what the person sitting opposite from you wants and bring the ability to fulfill that need forward.  That's the trick.

The Frustrated CFO Takes Lessons from Karl Pilkington


Images Karl Pilkington of Ricky Gervais Show and An Idiot Abroad has nothing to do with CFOs and Controllers.  Nevertheless, his unconventional wisdom, profound understanding of how bizarre life is, and unwavering ability to stay calm, deserve recognition in this blog.  After all,  the majority of issues we discuss are related to coping with the overwhelming strangeness of our professional existence, and human behavior.   Moreover, we look for the ways to get rid of our anxiety and frustration, and Karl has a good grip on his emotions and an admirable attitude towards life.  Watch the video at the the end of this post and you will see what I am talking about.

It is difficult for over-educated and jaded people like us, who spent their lives doing what was expected, to take lessons from someone who accepts life as it comes and is not afraid to voice his unusual opinions.  Karl Pilkington possesses the truthful innocence that we either never had or lost in the early stages of our childhood through severe parental and educational brainwashing.  Nevertheless, considering how frustrated most of us are with our lives, we should definitely try.  So, here are five lessons The Frustrated CFO draws from Karl Pilkington's wisdom.  None of them are profound breakthroughs and you probably knew them to be true already.  It's just that we frequently forget these truths, while Karl lives by them.

1.  If you keep your cool and don't refuel attackers, they stop pretty quickly.  We see Ricky laughing at Karl's every sentence, calling him names, etc.  Karl just sits there with Zen calm, not even smiling, or saying anything back.  The attack dies very quickly.

2.  If you don't retaliate people's insults, you automatically get yourself on the sympathetic side of the argument.  Ricky calls Karl an idiot, an empty-headed buffoon, etc.   We never hear a single crass word back.  So, what happens?  People say that Ricky is "soooo mean"  and everyone loves Karl.

3.  If you criticize a group of people instead of attacking a particular individual representing that group, it will have a much better effect.  When you address faults of one person they get offended and stop listening.  When you speak about shortcomings in general terms, people think its not about them, but subconsciously may recognize their own traits.  Karl never says "my doctor," or refers to his local Chinese restaurant.  So, instead of attacking an employee whose lack of urgency drives you insane, or throwing accusations of oppression into someone's face, we should find a right moment to talk about laziness and bullying in general.

4.  You can speak your mind and cover up your harshest statements with innocent humor.  Of course, this one is hard – not everyone possesses a sense of humor, but I found for myself that a smile alone goes a long way when you make severe statements.

5.  This is the hardest lesson to learn.  If you manage to unclog your mind of politically correct, pre-programmed bullshit, you can unlock free-thinking abilities that you didn't suspect were inside your head. 


 

CFO Folklore: “The Servant of Two Masters”


440940251img1_mediumTwo-headed bosses are common when people work for businesses founded by relatives, which, I am sure, can be a source of fascinating undercurrents and rivalries.  I invite my readers to share relevant stories.

I, on the other hand, worked (more than once) for equal partners who were not related.  Each of the duos consisted of individuals so different, it was a miracle they stayed in business together.  As a CFO, forced into the middle of the co-owners dynamics, I was able to observe common behavioral tendencies in the bosses themselves and people around them.

Business partners' alliances are usually symbiotic.  One is an idea generator, the other is an implementer.  One is brains, the other is money.  One can close a deal in seconds, the other makes sure the company performs.  They always complement each other, or they wouldn't be in the trenches together. 

Either will squeeze all juices out of you, and yet their personalities differ just as much as their abilities.  One is usually more diplomatic, better with people, logical, frugal.  The other is brash, careless, erratic, a lavish spender.  They don't see eye to eye about the majority of business issues and frequently talk to their CFO or Controller separately, presenting contradictory positions.

260 years ago, in "The Servant of Two Masters," Carlo Goldoni depicted the delirium of working for two employers who try to find each other without knowing they live in the same hotel.  Sounds familiar?  Poor Truffaldino is so anxious, he develops a stutter.  Imagine the hilarity!  Well, at least he got double wages.  When your single-salary job depends on maneuvering two conflicting bosses, you don't feel like laughing. 

Most people end up aligning themselves with one of them.  Sometimes, it works out in a natural way: if one owner oversees Production, while another spearheads Sales and Marketing, it is obvious where VP of Ops and VP of Sales allegiances will lie.  

Even when it's not clear-cut, people have a tendency to navigate with their issues toward the boss who is perceived to be "nicer," regardless of his preparedness to make relevant decisions.  As the result, you may end up with a wrong solution, or the issue is brought to the other owner's attention anyway; only now he knows that you tried to bypass him.   Either way, you are screwed.

CFOs and Controllers should not form any alliances when they work for two partners.  When monetary matters are concerned, both must be kept in the loop.  In super-important cases, get them into the same room, whether they like it or not.  I am known for bringing bosses into the office from their summer residencies in the middle of July, when I had to.

Of course, you have to earn your right to do so with hard work and authoritative success.  You also need to be very diplomatic with both of them – either must think you prefer deal with him and inform the other out of courtesy.  It takes Machiavellian skills to boss the bosses.  Otherwise, you will end up stuttering, like poor Truffaldino.