Viewing a single comment thread. View all comments

qubedView t1_j9w9fx0 wrote

Ahh, I see. We’re at that “bleed talent from the company for short term stock gain and bail from this hot potato before it’s obvious we’re tanking” step.

There was a point in history where what was good for a company’s stock was good for the company in general. But now successful companies are shooting themselves in the foot with alarming frequency. If the stock isn’t going up, then the shareholders get angry. Doesn’t matter that the market is saturated and there is nowhere “up” left to go. The company won’t be complacent with steady massive profits and instead commit suicide just to get that last stock bump.

33

freediverx01 t1_j9ya44k wrote

This is the result of business schools churning out morons who accept the ramblings of Milton Friedman as gospel. The obscene idea that an executive’s sole duty is to maximize shareholder value (in the short term) without a second thought for customers, employees, a competitive market, or society in general.

14

jormungandrthepython t1_j9ykeie wrote

Listen to the Costco CEO talk sometimes. He constantly talks about ignoring the board when they tell him to make decisions for short term shareholder gain but long term brand/production damage.

Won’t increase the price of the hotdog or rotisserie chickens (incredible loss leaders), refuses to remove the tuition assistant programs and additional employee benefits, refused to change PTO and holiday pay.

We will see the coming days of brand deterioration. As a SWE it’s already a nightmare looking at company code where companies haven’t prioritized long term value.

My manager and I (I am a tech lead) are currently working on a huge project which will have massive benefits to our company and allow us to respond to management change requests and client needs so much faster. But we can’t tell anyone about it because the second we say we are working on it they will say “don’t focus on that, do these other 10 features because you clearly have time”. When if they give us 3 months to finish this, I could have the 10 features done in a week. Doing them now would take me 6 months…

I’m getting director buy in on some other work as well and seeing him stand up to execs is incredible “we aren’t doing that. Fire me if you want, but that’s a bad move and going to result in a crappy product and half our devs leaving”. Gives me goosebumps, but should be common place. Managers, bosses, CEOs, they are supposed to stand up to the wishy washy desires of the boards and the shareholders for the benefit of the long term success of the company. Not give in to crappy ideas because it looks good on their quarterly bonus.

13

freediverx01 t1_j9z1pyf wrote

I work in an organization with great leadership, especially at my department level. But I know from experience how rare this is in corporate America, where most middle managers and executives are only looking out for themselves and couldn’t care less about their customers, employees, or the company’s long term success beyond the next quarterly financial report.

7

Revolutionary_Lie539 t1_j9yqcyg wrote

BOD perps I mean peeps dont even do any work. How would most execs even know how to run a business?. Its just the privileged MBA party messing with workers.

4

NoiceMango t1_j9yzt7a wrote

That's the entire Country now, the thing that dictates not just the economy but our lifes.

4

BasielBob t1_j9ywqo0 wrote

>an executive’s sole duty is to maximize shareholder value (in the short term)

This is what gets you promotion or a better job opportunity.

For most C-suite people with business school background the primary duty is not to the company but to their careers.

3

freediverx01 t1_j9z2ail wrote

The problem is systemic. It’s expected that companies will often want to do the wrong thing out of greed, and the same applies to individuals. But we should have laws and regulatory oversight in place to curb these sociopathic tendencies. Instead, our system celebrates and rewards it. We have allowed the complete corruption of our political and economic systems.

5

coco_licius t1_j9zfzwl wrote

B Schools are coming around on this but it’s a reaction to what is happening in corporate America and for many it’s too late

1