Quotulatiousness

August 21, 2022

QotD: The “social responsibility” of the corporate executive

Filed under: Business, Law, Quotations, USA — Tags: , — Nicholas @ 01:00

In a free-enterprise, private-property system, a corporate executive is an employee of the owners of the business. He has direct responsibility to his employers. That responsibility is to conduct the business in accordance with their desires, which generally will be to make as much money as possible while conforming to their basic rules of the society, both those embodied in law and those embodied in ethical custom. Of course, in some cases his employers may have a different objective. A group of persons might establish a corporation for an eleemosynary purpose — for example, a hospital or a school. The manager of such a corporation will not have money profit as his objectives but the rendering of certain services.

In either case, the key point is that, in his capacity as a corporate executive, the manager is the agent of the individuals who own the corporation or establish the eleemosynary institution, and his primary responsibility is to them.

Needless to say, this does not mean that it is easy to judge how well he is performing his task. But at least the criterion of performance is straight-forward, and the persons among whom a voluntary contractual arrangement exists are clearly defined.

Of course, the corporate executive is also a person in his own right. As a person, he may have many other responsibilities that he recognizes or assumes voluntarily — to his family, his conscience, his feelings of charity, his church, his clubs, his city, his country. He may feel impelled by these responsibilities to devote part of his income to causes he regards as worthy, to refuse to work for particular corporations, even to leave his job, for example, to join his country’s armed forces. If we wish, we may refer to some of these responsibilities as “social responsibilities.” But in these respects he is acting as a principal, not an agent; he is spending his own money or time or energy, not the money of his employers or the time or energy he has contracted to devote to their purposes. If these are “social responsibilities,” they are the social responsibilities of individuals, not business. What does it mean to say that the corporate executive has a “social responsibility” in his capacity as businessman? If this statement is not pure rhetoric, it must mean that he is to act in some way that is not in the interest of his employers. For example, that he is to refrain from increasing the price of the product in order to contribute to the social objective of preventing inflation, even though a price increase would be in the best interests of the corporation. Or that he is to make expenditures on reducing pollution beyond the amount that is in the best interests of the corporation or that is required by law in order to contribute to the social objective of improving the environment. Or that, at the expense of corporate profits, he is to hire “hardcore” unemployed instead of better qualified available workmen to contribute to the social objective of reducing poverty.

In each of these cases, the corporate executive would be spending someone else’s money for a general social interest. Insofar as his actions in accord with his “social responsibility” reduce returns to stockholders, he is spending their money. Insofar as his actions raise the price to customers, he is spending the customers’ money. Insofar as his actions lower the wages of some employees, he is spending their money.

Milton Friedman, “The Social Responsibility of Business is to Increase its Profits”, New York Times, 1970-09-13.

August 19, 2022

The DeLorean Story

Filed under: Britain, Business, History, Technology, USA — Tags: , , , , , , , — Nicholas @ 02:00

Big Car
Published 5 Jan 2020

There’s much more to the DeLorean Motor Company than Doc’s 88mph time machine in Back to the Future. It’s a story of a playboy founder with a meteoric rise, a story of hope and regeneration in an area torn apart after a decade of fighting, and of a cocaine smuggling fall from grace. Yes, this story has it all!
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August 16, 2022

“Penguin Random House is a vampire corporation”

Filed under: Books, Business, Law, USA — Tags: , , — Nicholas @ 03:00

Belatedly, as I was away for the weekend, here’s something from the latest SHuSH newsletter on the Random Penguin court case:

At the beginning of the millennium, Random House (pre-Penguin) had revenues of $2.3 billion (all US figures) and a profit margin of 9 per cent. At the end of the aughts, it had revenues of 2.3 billion and a profit margin of 9 per cent. It was the biggest publishing company on the planet but it had ceased to grow.

Growth matters, especially to Random House’s parent company, Bertelsmann SE, a public company. People buy shares in publicly listed companies because they believe the entity will grow and produce larger profits in the future, making the share price rise and the investor happy. That is the whole game for public companies.

When an asset at a public company does not contribute to growth it is dead weight. It needs to be fixed or jettisoned.

Bertelsmann decided to fix Random House. In 2012, it struck the richest deal in book publishing history, acquiring 53 per cent of Penguin Books, which it then merged with Random House to make the biggest publisher even bigger.

It was said at the time that the two publishers, with combined revenues of $3.9 billion, would be able to share costs, attract better talent, take more risks, offer new products, develop new markets, and otherwise innovate. Together they would have the scale to stand up to bookselling chains like Barnes & Noble and the massive digital players, Amazon and Apple.

It was a lot of hype, of course. Random House had its pick of talent, all the size it needed to negotiate with Barnes & Noble, and it would never be in the same league as Amazon. Markus Dohle, CEO of Penguin Random House, is lucky to get a mid-level account manager on the phone at Amazon.

But the deal went ahead and expectations for the new Penguin Random House were sky high. They had to be. Bertelsmann’s purchase price valued Penguin at $3.5 billion, or more than twenty times its annual profits of $171 million. Penguin Random House would have to be far more than the sum of its parts to justify that price.

Over the next several years, Bertelsmann doubled down on its bet, scooping up the remaining 47 per cent of Penguin in two separate transactions to eventually own it outright.

Did any of the anticipated magic happen?

The first full year of a combined Penguin Random House was 2014. Revenues were about $4 billion, and that’s where they’ve been ever since (leaving aside a nice bump in 2019, the year of Michelle Obama). Profits are up, which might be considered a good sign. But they didn’t grow as a result of the combined firm’s increased scale, new competitive muscle, better talent, new markets, new products, or innovations. As far as I can tell, the improved profitability was achieved the old-fashioned way: the payroll shrunk from a high of 12,800 to 10,800. Also, e-books and audiobooks improved the profitability of all publishers. And the Obamas each knocked one out of the park.

The point is that seven years down the road, Penguin Random House remained exactly the sum of its parts, minus 2000 workers. The acquisition was a big-time bust. Most of the $3.5 billion purchase price was wasted.

August 12, 2022

Apple, afterwards

Filed under: Books, Business, History, USA — Tags: , , , — Nicholas @ 05:00

In Quillette, Jonathan Kay looks at Apple after the death of Steve Jobs:

In 2004, Apple co-founder Steve Jobs asked famed author Walter Isaacson to write his biography. It’s a mark of Jobs’s hallowed place in the pantheon of American corporate titans that Isaacson, whose other subjects included Henry Kissinger, Benjamin Franklin, and Albert Einstein, would eventually say yes. While best-selling books about successful business leaders represent a popular niche, most specimens are fawning airport reads that combine hagiography with self-help advice for aspiring entrepreneurs. Isaacson’s Steve Jobs (2011), by contrast, was a serious work of literary non-fiction that exalted its subject as a once-in-a-generation technological savant, while also showing him to be a callous parent and scathing boss, not to mention a proponent of loopy “fruitarian” medical theories. (Much has been made of Jobs’s use of fringe therapies to treat the pancreatic cancer that killed him in 2011, but he also entertained the bizarre belief that his vegan diet allowed him to avoid bathing for days on end without developing body odour, a proposition vigorously disputed by co-workers.)

Tripp Mickle, a Wall Street Journal technology journalist who covered the Apple beat for five years, isn’t Walter Isaacson (few of us are); and, to his credit, doesn’t try to be. Nor does he seek to present his primary subjects — former lead Apple designer Jony Ive and incumbent chief executive Tim Cook — as world-changing visionaries on par with their departed boss. Indeed, the very title of his book — After Steve: How Apple Became a Trillion-Dollar Company and Lost Its Soul — presents Apple as existing in a state of creative denouement since Jobs’s death — a bloated (if massively profitable) corporate bureaucracy that increasingly feeds shareholders’ demands for quarterly earnings by milking subscription services such as Apple Music and iCloud instead of developing new products.

The first five chapters of After Steve are structured as a twinned biography, following the lives of Ive and Cook from their precocious childhoods (in England and Alabama, respectively), and on through the 2010s, when the pair jointly ran Apple (in function, if not in title) following Jobs’s death.

Timothy Donald Cook grew up in Robertsdale, a farming community located roughly halfway between Mobile, Alabama and Pensacola, Florida, the middle child of a Korean War veteran and a pharmacist’s assistant. In high school, Cook was named “most studious”, and served as the business manager for the school yearbook. “In three years of math, he had never missed a homework assignment”, reports Mickle, also noting that one teacher remembers him as “efficient and dependable”. Cook also happens to be gay, a subject that caused some awkwardness for his Methodist parents, even though Cook wouldn’t come out publicly till later in life. As a means to deflect questions, Mickle reports, Cook’s mother told drug-store coworkers that her son was dating a girl in Foley, a nearby town.

Following high-school graduation, Cook went on to study industrial engineering at Auburn University and business administration at Duke. He then gravitated to the then-burgeoning field of personal computing, quickly carving out a niche within its production and supply-management back office. At IBM and Compaq, Cook turned himself into a sort of human abacus, ruthlessly bringing reduced costs, increased efficiencies, and smaller inventories to every assembly line he set eyes on. By the time he’d arrived at Apple in 1998, Mickle reports, Cook was completely neurotic about keeping any stocked materials off the books, calling inventory, “fundamentally evil”. In time, he pioneered a process by which yellow lines were painted down the floor of Apple’s production plants, with materials on the storage side of the line remaining on suppliers’ books until the very moment they were brought to the other side for assembly.

Like Ive, Cook declined to be interviewed for After Steve. And so it is entirely possible that the man has a rich inner life that remains opaque to Mickle and the outside world more generally. But the portrait that emerges in this book is one of a fanatically dedicated workaholic who rises before 4am to begin examining spreadsheets, and thinks about little else except the fortunes of Apple Inc. during the waking hours that follow. Mickle reports a sad scene in which Cook is spotted by sympathetic strangers at a fancy Utah resort, dining alone during what appears to be a solitary vacation. We also learn that Cook’s Friday-night meetings with Apple’s operations and finance staff were sometimes called “date night with Tim” by attendees, “because it would stretch for hours into the evening, when Cook seemed to have nowhere else to be.”

August 7, 2022

Legendary British gunmaker Holland & Holland, now a Beretta subsidiary

Filed under: Britain, Business, History, Italy, Weapons — Tags: — Nicholas @ 05:00

In The Critic, Patrick Galbraith talks to the current head of the Beretta company, which took over Britain’s Holland & Holland:

On the steps up to the blue door a man in a faded red tracksuit leans on one of the stone pillars in the Monday morning sun. All down Jermyn Street windows have been thrown open and flags above shop doors hang still in the heat.

I knock three times then push a bottle of Sudafed up my nose, squeeze twice, and lick at the bitter liquid as it runs over my lip. I was 20 before I ever experienced hay fever. I was fishing somewhere I shouldn’t have been when it first hit. I’ve not enjoyed June much since.

When I get up there, Franco Gussalli Beretta is sitting in the middle of the room in a puddle of sunlight: blue suit, thick grey hair, and a trio of arrows on his big silver belt buckle, the logo of a business established by his ancestor in Lombardy almost 500 years ago.

The earliest documented order was from the Venetian Republic for 185 barrels: “296 ducats made payable to Bartolomeo Beretta”. Fifteen generations later, Franco oversees the production of 1,500 guns a day, from grenade launchers to the ubiquitous “Silver Pigeon”, probably the most popular shotgun in the world.

The current generation are aggressively acquisitive. In recent years they’ve bought a German optics firm, a Finnish rifle manufacturer, and an American company that makes replicas of the sort of weapons that won the West — my own cowboy costume has been too small for some time.

Then, last February, Beretta made their boldest move yet by buying Holland & Holland, the finest gunmaker in London. Franco is a likeable man: he speaks at twice the volume he needs to and he laughs more loudly still. He loves cars and art and boats, and he admits that the day there’s a Beretta running the business who isn’t passionate about guns will be the day it all goes bang. What Holland & Holland needs, he reckons, is innovation.

British gunmakers have been stuck in the late nineteenth century for over a hundred years now and it might just be that Franco has the coglioni to make it new. We talk for half an hour and then as I’m standing to go, Carlo walks in — nonchalant at 25, a black t-shirt, dark sunglasses and jeans. Bartolomeo’s 16 times great-grandson. Franco gestures towards him and asks if I have any questions for the boy. Carlo talks to me briefly about NFTs but then tells me the real struggle is going to be a political one. He wants to make the world understand that hunting can be part of conservation. “And do you hunt?” I ask, thinking we might swap rabbit recipes. He shakes his head and tells me that as crazy as it sounds he doesn’t get out very much: “In Italy, young people don’t hunt so much anymore.”

July 31, 2022

American publishing has a race problem, but it has an even bigger gender problem

Filed under: Books, Business, USA — Tags: , , , , , — Nicholas @ 03:00

In the latest edition of the SHuSH newsletter, Kenneth Whyte considers a recent online brouhaha featuring novelist Joyce Carol Oates and notes that while she was being dragged by the usual online mob for her perceived defence of “white” authors, an even bigger problem for the ever-diminishing number of “big” publishing houses is their gender balance:

Publishing also has a gender problem. Only 34 per cent of the Penguin Random House workforce is male.

When you eliminate the warehouse staff, that figure drops to 26 per cent.

A Lee & Low survey from 2019 put the male component of the US publishing workforce at 24 per cent and a Canadian survey (referenced in SHuSH 90) found our publishing sector is 74 per cent women and 18 per cent men. Oates’ critics, many of them women, skated over this part of the equation.

That’s not unusual. Most people in publishing skate over this part of the equation. A few years back, when it was revealed that men are just 20 per cent of the fiction reading public, the question arose, might that have something to do with the lack of men acquiring and marketing books. Hardly anyone in publishing thought so. As I noted at the time, a Random House spokesperson said the gender composition of the firm was “not an issue of concern or even much contemplation for us”. And the head of Columbia U’s publishing program asserted that “great literature transcends gender in terms of editors”. A UK literary agent attributed the gender disparity in fiction to merit: some men, she said, “just aren’t very good”.

I spoke to several agents this week to see if the agent mentioned by Oates was an anomaly. What I heard suggests not. My agents were not surprised by the assessment of the anonymous agent. One just shrugged, as in, “what’s new?”

    Whether the comments following the Oates’ tweet are valid — “it’s about time”, or “welcome to the oppressed, now you know what it feels like” — I’m probably not qualified to say. The real issue, which seems to be missed in this conversation, is that work is very often not judged by its quality but by who the author is and what the author represents. (Not a wholly new phenomenon in the world.) It is heartbreaking to see work of real talent, maybe even genius, being rejected by publishers (and I do see this in action) in favour of an author who has the right name and biometrics.

Not all of my agents agreed with Oates’ anonymous agent. One said, “It’s equally hard to sell everybody in this market. I’ve got white authors, black authors, brown authors. It’s hard to get a good deal anywhere. The consolidation in the industry is real: there are fewer editors to pitch books to than there used to be.”

This agent admits that the trend is now toward loading up on BIPOC authors but believes that will blow itself out, as all trends do, and the publishing houses will all chase after the next shiney thing. As for the situation inside publishing houses, “it’s been tough for guys as long as I’ve been in the business. Talk to the white male editors who sit on editorial boards at publishing house and they’ll tell you, it’s tough, there’s a lot of pushback from the other voices around the table.”

This agent also noted that the agency world is starting to break down along gender lines. Not surprisingly, literary agents are overwhelmingly white women. Increasingly, they are representing only women.

July 29, 2022

“Shrinkflation” isn’t the only way companies try to sell you less for the same price

Filed under: Business, Economics — Tags: , , , — Nicholas @ 05:00

And, as Virginia Postrel points out, “shrinkflation” does get noticed for economic statistics, unlike some of the other changes many companies are making:

Original image from www.marpat.co.uk

My latest Bloomberg Opinion column is explained well in an excellent subhead (contrary to popular assumptions, writers don’t craft the headlines or subheads that appear on their work): “Packaging less stuff for the same price doesn’t fool consumers or economists. But diminishing quality imposes equally maddening extra costs that are almost impossible to measure.” Excerpt:

    If a 16-ounce box contracts to 14 ounces and the price stays the same, I asked Bureau of Labor Statistics economist Jonathan Church, how is that recorded? “Price increase”, he said quickly. You just divide the price by 14 instead of 16 and get the price per ounce. Correcting for shrinkflation is straightforward.

    New service charges for things that used to be included in the price, from rice at a Thai restaurant to delivery of topsoil, also rarely sneak past the inflation tallies any more than they fool consumers.

    But a stealthier shrinkflation is plaguing today’s economy: declines in quality rather than quantity. Often intangible, the lost value is difficult to capture in price indexes.

    Faced with labor shortages, for example, many hotels have eliminated daily housekeeping. For the same room price, guests get less service. It’s not conceptually different from shrinking a bag of potato chips. But would the consumer price index pick up the change?

    Probably not, Church said.

This phenomenon, which Doug Johnson aptly dubbed “disqualiflation” in a Facebook comment, is widespread. One example is the four-hour airport security line I chronicled in an earlier Substack post. Another is the barely trained newbie who screws up your sandwich order — a far more common experience today than four years ago. It’s the flip side of a phenomenon I wrote about in The Substance of Style and in economics columns in the early 2000s (see here and here).

    During the 2000s and 2010s, inflation was probably overstated because of unmeasured quality increases. Now there’s the opposite phenomenon. Quality reductions have become so pervasive that even today’s scary inflation numbers are almost certainly understated.

If you can read the column at Bloomberg, please do. But if you run into the paywall, which allows a few articles a month, you can use this link to the WaPo version, which doesn’t have links.

July 28, 2022

The History of American Chip Flavors

Filed under: Business, Food, History, USA — Tags: — Nicholas @ 02:00

J.J. McCullough
Published 2 Apr 2022

The story of chips is the story of America.
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July 26, 2022

Flying Failures – Christmas Bullet (The Worst Plane Ever Built)

Filed under: Business, History, Military, USA — Tags: , , , — Nicholas @ 02:00

Ruairidh MacVeigh
Published 25 Dec 2020

Merry Christmas everyone! 😀

To coincide with this most special of holidays, in this episode of Flying Failures we will be examining the dubious history of the Christmas Bullet, a divisive little plane that could either be seen as the brainchild of a man whose ambition outweighed his abilities, or perhaps one of the greatest cons in aviation history, a con that left two planes destroyed, two test pilots dead, and the US taxpayer several million dollars out of pocket.
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July 20, 2022

The Myth of Rosie the Riveter – On the Homefront 016

Filed under: Business, Government, History, USA, WW2 — Tags: , , , , , — Nicholas @ 04:00

World War Two
Published 19 Jul 2022

With American men going off to fight the war, there are concerns about a labor shortage. Enter Rosie the Riveter. The women who answered the “We Can Do It” call and entered the factories. But did she really exist?
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July 19, 2022

Drawing the proper lessons from the massive Rogers outage earlier this month

Filed under: Business, Cancon, Government, Media, Technology — Tags: , , , , — Nicholas @ 05:00

In The Line, Matt Gurney explains the really important lesson that seems to have escaped a lot of the critics who covered the Rogers internet/cell/TV outage that took a third of the country offline for 24 hours or more:

Most of the conclusions reached after the Rogers telecommunication outage two weeks ago are wrong. Millions of people lost home internet, television and cellphone service for the better part of a day (some for much longer). For those who had all their services bundled with Rogers, this meant being entirely cut off, including from access to emergency services. It was a big deal, both in terms of lost economic productivity and for those Canadians who needed help and could not access it.

The problem isn’t with Rogers, though. The problem is with everyone else.

I don’t want to be misunderstood. Rogers is bad. It did have a big problem. I am not a fan. Their customer service is generally awful. Their reliability and performance is decidedly meh and the meh costs a fortune. So don’t take this column as some sort of apologia for Rogers. I am one of their customers, but I’m only one of their customers because none of the other options are much better.

But still. The lesson of two Fridays ago shouldn’t be that Rogers is bad. It also shouldn’t be that the CRTC is bad or that our politicians are spineless and that our regulators are thoroughly captured. All of those things are true, but they’re not the lesson. That wasn’t the failure of two Fridays ago. The failure of two Fridays ago was that when one of our telecom companies went down, a pretty horrifying cross-section of Canadian society had no back-up plan.

Let’s imagine an alternate universe where things in Canada simply functioned better. Close your eyes and just dream it up. You’re in a different Canada now. The CRTC is awesome. Our politicians are terrific. Rogers is an incredibly good company that is masterful at delivering services that are overwhelmingly reliable and affordably priced. Even in this increasingly far-fetched parallel timeline, no telecom company is going to bat a thousand. You will never have 100 per cent service reliability. This alternate Canada still has outages — maybe they’re rare and brief, but they’re not unheard of or impossible.

And that’s why we can’t look at what happened two weeks ago as a failure at Rogers. Obviously Rogers failed. But the real failure was a failure of imagination and planning on the behalf of millions of individuals, and a worryingly diverse set of institutions, that did not have a back-up plan.

QotD: The soul-less, dehumanizing “cube farm” (aka, “veal pens”)

Filed under: Business, Quotations, USA — Tags: , — Nicholas @ 01:00

In 2010, the psychologists Alex Haslam and Craig Knight set up an experiment in which participants were asked to perform simple administrative tasks in a variety of office spaces. They tested four different office layouts. One was stripped down: bare desk, swivel chair, pencil, paper, nothing else. The second layout was softened with pot plants and almost abstract floral images. Workers enjoyed this layout more than the minimalist one and got more and better work done there.

The third and fourth layouts were superficially similar, yet produced dramatically different outcomes. In each, workers were invited to use the same plants and pictures to decorate the space before they started work, if they wished. But in one of them, the experimenter came in after the subject had finished decorating, and then rearranged it all. The physical difference was trivial, but the impact on productivity and job satisfaction was dramatic. When workers were empowered to shape their own space, they did more and better work and felt far more content. When workers were deliberately disempowered, their work suffered and, of course, they hated it. “I wanted to hit you,” one participant later admitted.

It wasn’t the environment itself that was stressful or distracting — it was the lack of control.

Yet there is a long, dismal tradition of disempowering workers. In the 1960s, the designer Robert Propst worked with the Herman Miller company to produce “The Action Office”, a stylish system of open-plan office furniture that allowed workers to sit, stand, move around and configure the space as they wished.

Propst then watched in horror as his ideas were corrupted into cheap modular dividers, and then to cubicle farms or, as Propst described them, “barren, rathole places”. Managers had squeezed the style and the space out of the action office, but above all they had squeezed the ability of workers to make choices about the place where they spent much of their waking lives.

Tim Harford, “What Le Corbusier got right about office space”, Tim Harford, 2022-04-07.

July 11, 2022

Canadians deserve better than “core network maintenance problems” for critical cell phone and internet services

Filed under: Business, Cancon, Government, Technology — Tags: , , , , — Nicholas @ 05:00

Our internet service provider, Rogers, suffered a major network failure early on Friday morning, taking down not just wired internet services, but also cable TV, and cell phone services and causing knock-on issues that utterly disrupted many emergency 911 services, government websites, banks (including ATM and point-of-sale terminals) and many more. I subscribe to both Rogers internet and Rogers cell phone services, but fortunately my wife has a different wireless phone provider so we weren’t completely offline all of Friday and most of Saturday. Michael Geist and his family weren’t as lucky:

Like many Canadians, I spent most of the massive Rogers outage completely offline. With the benefit of hindsight, my family made a big mistake by relying on a single provider for everything: broadband, home phone, cable, and wireless services on a family plan. When everything went down, everything really went down. No dial tone, no channels, no connectivity. Work was challenging and contact with the kids shut off. It was disorienting and a reminder of our reliance on communications networks for virtually every aspect of our daily lives.

So what comes next? We cannot let this become nothing more than a “what did you do” memory alongside some nominal credit from Rogers for the inconvenience. Canada obviously has a competition problem when it comes to communications services resulting in some of the highest wireless and broadband pricing in the developed world. Purchasing more of those services as a backup – whether an extra broadband or cellphone connection – will be unaffordable to most and only exacerbate the problem. Even distributing the services among providers likely means that consumers take a financial hit as they walk away from the benefits from a market that has incentivized bundling discounts. Consumers always pay the price in these circumstances, but there are policy solutions that could reduce the risk of catastrophic outages and our reliance on a single provider for so many essential services.

First, there is a need to better understand what happened and why. Rogers CEO says the problem lies with maintenance to the core network, which caused some routers to malfunction. But that’s just tech talk. Canadians deserve answers that explain not only how this happened, but how we find ourselves in a position where malfunctioning routers at one company cause a nationwide payment system to go down, government services to be taken offline, and emergency services to be rendered inaccessible. It is one thing for my household to make a mistake, but another for Interac to do so. That means conducting an open CRTC process into this outage alongside a Parliamentary hearing on the broader issues since this is a matter that requires both regulatory and political response. There is no need to wait: these hearings must happen this month with the goal of identifying the scope and source of the problem along with potential policies that might mitigate future harms.

Neither the CRTC nor the current government has shown much inclination to challenge the big telcos. CRTC Chair Ian Scott has reversed years of a consumer-focused Commission into one more comfortable supporting the big providers, while the government has been far more interested in sabre rattling or shaking down Internet companies than taking on big telecom. Yet as we were reminded on Friday, the linkage to the availability of essential services – payments, health care, government services – runs through the telcos, not the Internet companies.

This is the second object lesson in concentrated power in a small number of government-approved hands this year. Our first wake-up call was when the government prompted chartered Canadian banks to cut off some of their customers from all financial services even though no crimes had been committed and no charges were laid. It’s not clear how many people were affected, but arbitrarily denying people access to their bank accounts and credit cards should have rung alarm bells for many people. Now, we’ve been shown how dangerous it can be to allow a very small number of companies to divide the mobile phone and internet service market between them and use the power of government to keep out potential competitors. Will enough Canadians notice?

June 23, 2022

QotD: Mis-preparing our kids for the future

Filed under: Business, Education, Quotations — Tags: , , , , — Nicholas @ 01:00

I think that’s part of the issue, with our civilization at large. You see, the world is very complicated, and people are given the impression that it’s never been this complicated — which is a lie — and know for a fact that things are changing very fast. They no more find a path, than it dissolves and crumbles under them.

We’re preparing the new generation rottenly for this, too. Look, every generation is educated according to what their grandparents thought was desirable. Which is why I had the education that would have helped an upper class Portuguese Lady in the mid 19th century to make a good marriage and shine in society. For practical purposes, other than diplomacy […] the only use for my degree was academia by the time I took it. Though business desperately needed translators, we weren’t being taught office skills, or the terminology we needed to translate science or industrial stuff. (I learned those on my own, through running into them head first, as I learn practically anything.)

Kids now are being educated to the dreams of the early twentieth elites: for a communitarian world with a strong central government. They’re being told this is the future and what to expect, because when that idea made it into academia, and slowly worked itself through to curriculum and expectations, that was the future everyone EXPECTED. Even conservatives thought that the future would involve central planning. They just wanted to keep a little more individual freedom with it.

I remember blowing the world of Robert’s third grade teacher apart when we informed her that no, in the future there wouldn’t be a need for MORE group work, and that all creativity wouldn’t be communal (which frankly is funny. Creativity doesn’t work that way) but that it would be more individual, probably with people working on their piece of the project miles and miles away from the rest of the “team” and having to pull their weight alone. Dan and I explained why based on tech and trends, and all the poor woman kept saying is “that’s not what we were taught.”

Our kids were prepared not only for a world that doesn’t exist, but the world that idiot intellectuals (all intellectuals are idiots. They mostly don’t know a thing of the real world or real people) thought would come about, somehow, automagically. Think of Brave New World, but everyone is happy and doesn’t need the soma. (rolls eyes.)

And then we sneer at millenials for not finding their way, when people my age, who are self-directed and battlers, and have vocations, find ourselves caught in the grinding gears of change and get our goals and work broken over and over again, and yeah, also don’t find it easier to find our way.

Talk to the kids. Help them find something they’re “meant” to do (that’s not how it works, so make sure they know there isn’t only one goal and only one vocation, but there’s almost always something that their skills and ability are useful for RIGHT NOW. And the ability to learn more to change.) If needed, hook them on multiple streams of income. Help them see it’s possible. Dispel their illusions that life was ever easy.

Sure, in the past there were people who got “the one job” and stuck to it through thick and thin to the golden watch at the end. But I don’t think they were ever the majority. And by the time I came along, you couldn’t have any loyalty to your company, because it would have none to you.

Sarah Hoyt, “Finding Your Way”, According to Hoyt, 2019-02-18.

June 22, 2022

Riding the tiger almost always ends badly for the rider

Christian Watson considers the plight of so many consciously progressive organizations as they discover that there are no limits to wokeness:

Leftists created wokeism. They claimed it was about justice, inclusion for all, diversity, equity and more, much much more. However, this ill-defined “theology” has become a self-destructive nihilism.

Now, leftist organizations are being eaten from within over the no-bounds, no-rules wokeism.

Wokeism essentially empowers any person – except straight white males – to claim grievances. There are no limits as to what can be called a “microaggression” or upon which one can claim to be harmed. With wokeism, “my truth” matters — even if it is not at all based in reality.

A recent report from The Intercept outlined the many ways leftist organizations are imploding due to this open-ended invitation for people to claim grievances. Leftist organizations found themselves mired in “Slack wars, and healing sessions, grappling with tensions over hierarchy, patriarchy, race, gender, and power.”

Some executives claim they spend “90 to 95 percent” of their time addressing office drama. They’re being forced to address issues that have nothing to do with the organization’s mission or the donors’ wishes.

Executives at the Guttmacher Institute, the American Civil Liberties Union, Sierra Club, and elsewhere are now the targets of their own employees for failing to meet their woke expectations.

Many executives have quit, leaving behind prominent positions because they simply cannot stand their employees. As one executive put it, “This is out of control. No one can be a leader in this culture. It’s not sustainable. We’re constantly being called out from the bottom.”

“I also see a pattern of … people who are not competent in their orgs getting ahead of the game by declaring that others have engaged in some kind of -ism, thereby triggering a process that protects them in that job while there’s an investigation or turmoil over it,” a separate executive stated.

That process leads to internal divisions as employees take sides. And when the woke rules are violated, no apology is ever good enough.

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