How could one disagree with the opinion expressed by President Obama regarding the bonuses some Wall Street bankers have decided to pay themselves? We’re really witnessing recklessness of untold and unprecedented proportions. Those bankers’ behaviro testifies to the fact that there is a complete disconnect between modern finance and the field reality of what we call the "real" economy. But of course when things are getting tough for their girlfriends, wives and mistresses who need to change lifestyle (see the DABA Girls blog to get a feel for the utter disconnect of this crowd from real life), these guys feel the pressure to do something, no? Sadly enough a limited number of people damage the reputation of an entire profession. Most of my contacts in the world of finance are just very fine persons, working hard and decently to fulfill their mission and serve real companies with real customers and real services and real employees and real profits and real problems. They’re part of economic life, whereas the people President Obama is targeting are causing economic death and loss of confidence. If we are serious about solving the current crisis, both they and the pervert system they’ve created must be taken out of the system.
Read on for an analysis take and a video embedded.
It’s quite clear that for this sort of things to be happening in broad daylight several conditions must be logically true:
- the checks and balances described in annual reports don’t check anything and don’t balance anything. There is simply no control regardless how numerous the members of compensation committees might be or how “foolproof” their procedures are considered by both internal and external auditors
- the individuals concerned (the beneficiaries of the bonuses) are completely out of touch with real life, living in the fantasy world of board rooms with their very special kind of fauna, i.e. professional executives and board directors who make up a closed group of individuals with virtually unlimited powers and supposedly enormous responsibility as directors. Theoretically US legislation is tough on the responsibility of directors, but that seems to be valid for everyone bar those companies that are either too big to fail or too big to be controlled and punised for any wrongdoings
- the set of people who hold positions as directors of major corporations, especially banks, is too small for complacency, carelessness and tacit conspiracy not to exist: those who play the role of oversight on one board are, in another company, under the oversight of the very people they control in the first one. How can we possibly think that there is no exchange of favors even if it’s just unconscious? Those who sit on all sorts of board and eventually cover for one another. Just take a look at the Board of Citicorp, Fortis or Goldman Sachs and check out how many people are actually execs or former execs of other companies able to exert influence in ways that may not necessarily be transparent or acceptable
- there’s an unacceptable degree of collusion between senior decision makers and board members of major corporations and people who are supposed to be running government by the people and for the people. Was Cheney ever in trouble for his ties to the oil industry and Halliburton? Did anyone react when Halliburton opened its second headquarters to the United Arab Emirates under the pretense of developing is business in the “Eastern hemisphere”, but in fact in order to avoid corporate income taxes in America? How many former Goldman Sachs senior execs ended up managing public money in the US, Henri Paulson being the least competent IMHO?
- corporate governance need to be fundamentally reviewed to become more inclusive of all categories of people who work for companies. It’s also absolutely essential to force a degree of transparency on the decisions being made, their implications and their rationale, using the information provided openly to key constituencies and communities within a company to allow the companies’ people (after all they all claim it’s their most precious asset) to express a view and provide feedback on what is being done. From that perspective the governance model of German companies is a good first step.
Alex, that's why I love so much the following quote:
ReplyDeleteDisbelief in magic can force a poor soul into believing in government and business...
- Tom Robbins
take care
eric
Interesting quote indeed... However, I (perhaps foolishly) still think there's got to be another way of running things.
ReplyDeletealex
Thanks for sharing valuable information. Your blogs were helpful to tableau learners. I
ReplyDeleterequest to update the blog through step-by-step. Also, find the tableau news at
Tableau Online Course Blog.
Thank you for giving your informational blog with valuable details about this topic. I am really happy to read your article. Keep posting such wonderful info, including us...
ReplyDeleteOracle DBA Training in Chennai
oracle dba training
Advanced Excel Training in Chennai
Spark Training in Chennai
Tableau Training in Chennai
Oracle Training in Chennai
Pega Training in Chennai
Embedded System Course Chennai
Unix Training in Chennai
Oracle DBA Training in T Nagar
Oracle DBA Training in OMR
I have to agree with everything in this post. Thanks for useful sharing information.
ReplyDeleteHadoop Training in Chennai
Hadoop Training in Bangalore
Big Data Course in Coimbatore
Big data training in chennai
Big Data Hadoop Training in Chennai
Big Data Courses in Bangalore
php training in coimbatore
salesforce training in bangalore
Delhi Agra Jaipur Tour by Bus
ReplyDeleteDelhi to Jaipur Same Day Tour
Delhi One Day Tour Package
Delhi Sightseeing One Day
Delhi Sightseeing Tour by Bus
Delhi Jaipur One Day Tour Package
Haridwar, Rishikesh Tours by Volvo
I want to thank for sharing this blog, really great and informative. Share more stuff like this.
ReplyDeleteEthical Hacking course in Chennai
Ethical Hacking Training in Chennai
Hacking course
ccna course in Chennai
Salesforce Training in Chennai
Angular 7 Training in Chennai
Web Designing course in Chennai
Ethical Hacking course in Thiruvanmiyur
Ethical Hacking course in Porur
Ethical Hacking course in Adyar
Excellent blog thanks for sharing Instagram and Facebook have provided an amazing place for new brands to grow and flourish. We can find the perfect niche for your brand on the best social media platforms. Marketing through social media brings forth global audience without all these physical boundaries. Analyze and take over the competition with ease with Adhuntt Media’s digital marketing tools and strategies.
ReplyDeletedigital marketing company in chennai
Nice blog thanks for sharing Growing your own plant comes with its own challenges and responsibilities. This is why you need a plant nursery in chennai who is ready to help you out throughout the way and guide you through the hurdles of growing a plant - Enter Karuna Nursery Gardens.
ReplyDeleteplant nursery in chennai
Excellent blog thanks for sharing Buy the best beauty parlour products wholesale in Chennai at Pixies Beauty Shop. Thousands of global top-tier brands to choose from and friendly faces all over, we would love to make your Salon journey, one the world recognizes.
ReplyDeleteCosmetics Shop in Chennai
Nice post. Thanks for sharing! I want people to know just how good this information is in your article. It’s interesting content and Great work. keep it up
ReplyDeleteastrologers in india
astrology online
best astrologer in andhra pradesh
best astrology online
astrology
famous astrologer in andhra pradesh
best astrologer near me
top 10 astrologers in andhra pradesh
Good Post! Thank you so much for sharing this pretty post, it was so good to read and useful to improve my knowledge as updated one, keep blogging.
ReplyDeleteCyber Security Training Course in Chennai | Certification | Cyber Security Online Training Course | Ethical Hacking Training Course in Chennai | Certification | Ethical Hacking Online Training Course | CCNA Training Course in Chennai | Certification | CCNA Online Training Course | RPA Robotic Process Automation Training Course in Chennai | Certification | RPA Training Course Chennai | SEO Training in Chennai | Certification | SEO Online Training Course
The intuitives on the other hand know their clients, both the employer who pays them, and their product - the sales professional. salesforce certification
ReplyDeleteGet Assignment Done Online we make sure before delivery that the task is plagiarism-free
ReplyDeleteMulesoft is the Most Widely Used Integration Platform. If you want to become Mulesoft Certified Developer, attend this Best Mulesoft Training Course offered by the Unogeeks (Top Mulesoft Training Institute)
ReplyDeleteReally nice and interesting post.Keep posting.Thanks for sharing.
ReplyDeleteOracle Recruiting Cloud Training