« July 2007 | Main | September 2007 »
I heard that we just completed the most stressful 2 weeks of the program. I'm cautiously optimistic. It really wasn't all that bad, although I talked to several students that pulled near all-nighters. I wish I had more time to blog right now, but I should already be asleep.
Last class in Organization Behavior, our professor presented a nice deck on decision making. This was my favorite slide. We talked about the Blink vs Think debate. The quote on the slide amused me, because I gather that what he talks about is peculiar to certain companies. I've never worked at a company where middle management made decisions mostly based on quantitative thinking. The real take away here is that people overuse their intuition in situations where intuition is not called for. It's usually not correct, and most people think they are 'special' and give it too much credit. However, sometimes, your intuition is right-on. And ultimately, correct intuition can be far more powerful than critical reasoning. It's important when to know when to seek guidance from your intuition, and when you should slow down and be very critical and methodical in your thinking. It very much depends on the problem domain and the situation.
A friend of mine works at Kershner Trading in Austin. I had a chat with him on Friday:
me: how is the credit crunch and the downtick rule change affecting traders like yourself?
halfdeadcat: oh my gawd it is so awesome
halfdeadcat: though, i've made most of my money long in the crashes
me: the market has been very volitile; i'm sure that's a good thing
halfdeadcat: get a low entry buy on a someone's panic out and flip it a few minutes later
halfdeadcat: heck yeah it is. the whole office is making bank
halfdeadcat: I've already made twice as much this month as i have every made in any previous month here
me: congratulations!!!
halfdeadcat: thanks. and august is normally the slow month
me: oh, that's right, summer slowdown
halfdeadcat: yeah. all the traders in ny head to the hamptons
halfdeadcat: it can't last though. all those manhattan trophy brides are used to 3 weeks vacation in august
halfdeadcat: all those guys aren't getting laid right now
me: lol, mind if i tell the folks in my MBA program about this and name-drop your firm?
halfdeadcat: sure
halfdeadcat: feel free if they are interested in that sort of thing
me: i would think kershner would benefit from attracting some of the best and brightest from jones
halfdeadcat: point them our way
They are always open to new people, and they are very open-minded about their backgrounds. Not everyone can trade, but good traders can come from all different walks of life. Oh, and for the math-challenged; the 4x vs. twice comes from I chatted with him halfway through the month. Could you go work for them and make 7-figures? Yeap, it is possible.
don't fall asleep while reading about financial accounting! it's not boring, i promise.
Saturday's partio was cancelled due to the Professional MBA's welcome dinner. So, a few of the EMBA students made a spontaneous trip to the Ginger Man.
I already knew this, sort-of. But the point was really hammered home in our Organization Behavior class, two weekends in a row. On average, a group decision is superior to an individual decision. This is actually one of the core values at the company that I work for. So I knew this, already. But it was nice to really see hard evidence of group decision making power in action. And the assignments were a lot of fun.
If you've never taken accounting, if you have the opportunity to read up on it in advance before you start your MBA, it will be time well spent. I sure wish I had. I studied Computer Science and Math in my undergraduate, and I've owned a few small businesses. As such, I underestimated the learning curve. It's not "rocket-surgery", as our O.B. prof says, but I feel a little behind. Fortunately, my professor, Dr. Nelson, has optional Saturday review sessions. She's great. One of my teammates, Bob, went through the accounting portion of The MBA Survival Kit, and said it really helped him. Gosh, I wish someone had told me to do that before I started the program.
as disscussed in class:
I've already written about Starbucks, and how to get more caffeine for less money at that establishment. There's really no way that you'll be able to survive an EMBA program without becoming a caffeine user (or abuser.)
We had a spirited discussion about Starbucks in Strategy class. We studied the company, I'm sure, because they are a spectacular American success story, and the poster-child of market redefinition.
One thing I learned was Starbucks makes very peppy coffee:
Excerpt from article: One study published in the Journal of Analytical Toxicology by researcher Bruce A. Goldberger of the University of Florida College of Medicine shed light on the variability of caffeine content. His research found that 16 ounces of caffeinated coffee from Starbucks had 100 milligrams more of caffeine than the same serving size from Dunkin' Donuts. The study also found that Starbucks' caffeinated breakfast blend, purchased at a Florida store, varied greatly in its caffeine content from day to day. One day, a 16-ounce cup had 259 milligrams of caffeine. Another day, the same size coffee contained 564 milligrams.
The article went on to say than many "energy drinks have less caffeine than Starbucks coffee."
It seems possible then, that the high caffeine content in Starbucks contributes both to the popularity of the brand, despite the poor 'burnt' taste. It's funny how many people dislike Starbucks but still drink their coffee. As an example, Even though it seems that Tom Hanks is a fan of Starbucks, his character in You've Got Mail, makes an amusing critique of the company:
"The whole purpose of places like Starbucks is for people with no decision-making ability whatsoever to make six decisions just to buy one cup of coffee. Short, tall, light, dark, caf, decaf, low-fat, non-fat, etc. So people who don't know what the hell they're doing or who on earth they are, can, for only $2.95, get not just a cup of coffee but an absolutely defining sense of self: Tall! Decaf! Cappuccino!"
Apologies for the lack of intellectual substance in this post, and the absence of salient strategic wisdom; it is early and I'm not thinking clearly yet; I'm pre-caffeinated. I suppose I should run out to Starbucks and fix that :-)
The ancient quote by Socrates, "know thyself", has nearly become a cliché, because not many people undertake a rigorous process for actually doing that. Make sure you get to know yourself better during your MBA program. Rice gives it's students a FIRO-B and a Myers-Briggs evaluation. It's great information, especially if you learn how to apply it in your work, life, and self-development. Another tool that I like, as I have already mentioned, is StrengthFinder. Here are my results from that eval:
Restorative
You love to solve problems. Whereas some are dismayed when they encounter
yet another breakdown, you can be energized by it. You enjoy the challenge
of analyzing the symptoms, identifying what is wrong, and finding the
solution. You may prefer practical problems or conceptual ones or personal
ones. You may seek out specific kinds of problems that you have met many
times before and that you are confident you can fix. Or you may feel the
greatest push when faced with complex and unfamiliar problems. Your exact
preferences are determined by your other themes and experiences. But what
is certain is that you enjoy bringing things back to life. It is a
wonderful feeling to identify the undermining factor(s), eradicate them,
and restore something to its true glory. Intuitively, you know that without
your intervention, this thing—this machine, this technique, this person,
this company—might have ceased to function. You fixed it, resuscitated it,
rekindled its vitality. Phrasing it the way you might, you saved it.
Achiever
Your Achiever theme helps explain your drive. Achiever describes a constant
need for achievement. You feel as if every day starts at zero. By the end
of the day you must achieve something tangible in order to feel good about
yourself. And by “every day” you mean every single day—workdays, weekends,
vacations. No matter how much you may feel you deserve a day of rest, if
the day passes without some form of achievement, no matter how small, you
will feel dissatisfied. You have an internal fire burning inside you. It
pushes you to do more, to achieve more. After each accomplishment is
reached, the fire dwindles for a moment, but very soon it rekindles itself,
forcing you toward the next accomplishment. Your relentless need for
achievement might not be logical. It might not even be focused. But it will
always be with you. As an Achiever you must learn to live with this whisper
of discontent. It does have its benefits. It brings you the energy you need
to work long hours without burning out. It is the jolt you can always count
on to get you started on new tasks, new challenges. It is the power supply
that causes you to set the pace and define the levels of productivity for
your work group. It is the theme that keeps you moving.
Analytical
Your Analytical theme challenges other people: “Prove it. Show me why what
you are claiming is true.” In the face of this kind of questioning some
will find that their brilliant theories wither and die. For you, this is
precisely the point. You do not necessarily want to destroy other people’s
ideas, but you do insist that their theories be sound. You see yourself as
objective and dispassionate. You like data because they are value free.
They have no agenda. Armed with these data, you search for patterns and
connections. You want to understand how certain patterns affect one
another. How do they combine? What is their outcome? Does this outcome fit
with the theory being offered or the situation being confronted? These are
your questions. You peel the layers back until, gradually, the root cause
or causes are revealed. Others see you as logical and rigorous. Over time
they will come to you in order to expose someone’s “wishful thinking” or
“clumsy thinking” to your refining mind. It is hoped that your analysis is
never delivered too harshly. Otherwise, others may avoid you when that
“wishful thinking” is their own.
Command
Command leads you to take charge. Unlike some people, you feel no
discomfort with imposing your views on others. On the contrary, once your
opinion is formed, you need to share it with others. Once your goal is set,
you feel restless until you have aligned others with you. You are not
frightened by confrontation; rather, you know that confrontation is the
first step toward resolution. Whereas others may avoid facing up to life’s
unpleasantness, you feel compelled to present the facts or the truth, no
matter how unpleasant it may be. You need things to be clear between people
and challenge them to be clear-eyed and honest. You push them to take
risks. You may even intimidate them. And while some may resent this,
labeling you opinionated, they often willingly hand you the reins. People
are drawn toward those who take a stance and ask them to move in a certain
direction. Therefore, people will be drawn to you. You have presence. You
have Command.
Learner
You love to learn. The subject matter that interests you most will be
determined by your other themes and experiences, but whatever the subject,
you will always be drawn to the process of learning. The process, more than
the content or the result, is especially exciting for you. You are
energized by the steady and deliberate journey from ignorance to
competence. The thrill of the first few facts, the early efforts to recite
or practice what you have learned, the growing confidence of a skill
mastered—this is the process that entices you. Your excitement leads you to
engage in adult learning experiences—yoga or piano lessons or graduate
classes. It enables you to thrive in dynamic work environments where you
are asked to take on short project assignments and are expected to learn a
lot about the new subject matter in a short period of time and then move on
to the next one. This Learner theme does not necessarily mean that you seek
to become the subject matter expert, or that you are striving for the
respect that accompanies a professional or academic credential. The outcome
of the learning is less significant than the “getting there.”
