When times are good, we usually guess what it is we may be doing right. Often the truth is that we’re riding a wave of economic activity that rewards even the mediocre. In the first sign of a downturn, however, the mediocre fall off quickly and wonder what happened. General Motors serves as a prime example.
In setbacks and failure, by contrast, we’re better able to connect what we’ve done to the results of having done it in a certain way at a certain time with a certain set of customers or clients in a certain business climate. Yes, the lessons come at a cost. Ideally we pay just once, learn the lesson, get our card punched and go through graduation and forward to the next series of lessons. If, however, we miss the lesson, we’re bound, as history has proven, to encounter the lesson once again, usually at a higher cost than that of the earlier round.
So what’s the opportunity? Because some have a bit more time on their hands now, they can check the rear view mirror. Do this yourself. What was it about the current business climate that you didn’t anticipate? Most would say the severity or depth and the length of time of the current downswing. In many cases, if not most, there was the lack of an alternate plan, not unlike the disaster recovery plan many organizations create and update in anticipation of a natural or technological disaster. It’s sort of a worst case scenario you would put in place specifically for a sudden, steep drop in orders.
Some will learn the lessons contained in this sort of economy; others will not. Some will take advantage of the great opportunities contained in this economy; others will simply bewail their misfortune and whine away the minutes, hours, days, weeks and even months until some pundit somewhere pronounces the end of the drought.
In this time of tumult and upheaval, I remain convinced that all bets are off and both organizations and individuals are re-evaluating virtually everything in their personal and professional lives. Those on the sidelines will miss an incredibly high value series of chances. The leaders, on the other hand, will choose to adapt, to move into new areas and new ways of serving or to so refine their offerings and delivery of those offerings that they are among the first out of the gate and doing business while others are still hibernating their lives away.
Monday, March 30, 2009
Tuesday, December 2, 2008
The importance of core strength
When my midsection hurts, it’s generally due to one of two causes. The first is that Thanksgiving tradition of eating more than the body truly needs. The second is when my taskmaster at the gym, Andrew, puts me through a particularly grueling workout involving the body’s core muscle group. I’m reminded for two days afterward with each twist, turn or bend in a certain direction.
When people are able to do seemingly superhuman things physically and athletically, the body invariably is making use of its physical core, located in the abdominal section. Even the huge weight lifters, the guys with considerable girth who complete in strongest man competitions, have incredibly strong, highly developed abdominal muscles hiding just below those bulging waists.
We also have a mental and emotional core that can serve us well in business and in life, provided that we understand its function and value and proceed to develop and use it properly.
Core functionality and value
When the body’s core is strong and functioning properly, it takes first shift, if you will, in physical efforts, as illustrated in exercises such as sit ups. This protects other muscle groups, essentially relieving them of the duty at hand. When the stress is more than the core can handle, however, other muscle groups, such as those in the lower back, join in the effort. That’s when problems can and do occur.
Similarly, when our mental and emotional core is strong, it goes to work first, securing our emotional stability and keeping the ship steady as she goes. When the core, that innermost circle of how we feel about ourselves, our relationships and our basic outlook toward the world, unwanted feelings come into play and steadiness gives way to imbalance.
When people are able to do seemingly superhuman things physically and athletically, the body invariably is making use of its physical core, located in the abdominal section. Even the huge weight lifters, the guys with considerable girth who complete in strongest man competitions, have incredibly strong, highly developed abdominal muscles hiding just below those bulging waists.
We also have a mental and emotional core that can serve us well in business and in life, provided that we understand its function and value and proceed to develop and use it properly.
Core functionality and value
When the body’s core is strong and functioning properly, it takes first shift, if you will, in physical efforts, as illustrated in exercises such as sit ups. This protects other muscle groups, essentially relieving them of the duty at hand. When the stress is more than the core can handle, however, other muscle groups, such as those in the lower back, join in the effort. That’s when problems can and do occur.
Similarly, when our mental and emotional core is strong, it goes to work first, securing our emotional stability and keeping the ship steady as she goes. When the core, that innermost circle of how we feel about ourselves, our relationships and our basic outlook toward the world, unwanted feelings come into play and steadiness gives way to imbalance.
The value of a well-developed core is manifold:
- The strong core carries the day – In a world that contains more uncertainties than it does sure things, a well-developed core helps one move through the jungle with the ability to make sound decisions. The perfect example is someone whose financial portfolio has taken a hit with the recent roller coaster performance of the stock market. The strong core would have one think through the long-term financial goals and make thoughtful decisions. The weak core might give way to knee-jerk reactions, such as the unwise choice of buying high and selling low.
- The strong core provides a valuable point of focus – In exercise, a trainer will often direct the client to “use that core” to prevent involvement of other muscle groups. In life, giving focus to the core, that bundle of beliefs, values and self-concept that no external event can touch, provides a safe haven in a tumultuous world. In short, when you’re focused on the good stuff, you see less of the bad stuff.
- The strong core provides both astonishment and comfort to others – “How do you remain so calm when your net worth is plunging by the day?” some might ask. Then they can say to themselves, “If she can keep smiling through this mess, I’d like a helping or two of that myself.”
Developing and using the muscle properly
Here are five tips for building and using your mental and emotional core properly and effectively:
- Treat the news as a contagious virus; expose yourself to it at your own risk – A steady diet of pictures and audio of horrendous events, including violence, financial disaster, even the reporting of election outcomes that didn’t go the way you’d like, can and does result in emotional indigestion and poor emotional health and energy. In addition to its intended meaning, the term “breaking news” also aptly describes the effect on one’s spirits.
- Be quiet – Some of the best exercise you can provide for your emotional and mental core is to do nothing at all. Sit quietly and allow your mind to do the same. This relieves the incessant bombardment of bad news, sales messages and the general cacophony that is the default position in modern-day society.
- Read or view something that builds – Take a break from the newspaper and read a biography of someone who rose to the occasion during tough times. A friend spent much of her Thanksgiving weekend watching the entire dramatic presentation of the life of John Adams. Do you think these are challenging times? Try starting a new country following a war for independence when everyone is still vying for influence, position and advantage in a new republic. Even if you read what some would consider escapist literature, at least you’ve made the choice rather than exposing yourself to whatever the editors and publishers deem newsworthy.
- Write those morning pages – Those who have been around me for more than a year have heard me recommend this practice ad nauseam. Julia Cameron recommends this from personal experience in her book, The Artist’s Way. Fill three pages of a notebook or tablet, handwritten, on whatever comes to mind. You can pray, journal, complain, write goals or make your to-do list for the next few days. Again, you stay within your core because you have complete control of what goes on the page.
- Get some extra rest – It goes against the grain to add sleep to your schedule when all indicators say it’s time to work harder. Nonetheless, there’s ample research to support the body’s need for additional sleep, especially during the portion of the year when nights are longer. The body’s natural rhythm ties closely to the seasons and cycles of the calendar. With extra rest and sleep, you’re likely to enjoy greater energy and be in the best possible position mentally and emotionally. Picture yourself, perhaps defiantly, saying to the world, “Is that all you’ve got?” When you’re in that space, that’s when you know that your core is fully engaged and working on your behalf.
Keeping your core strong, physically, mentally and emotionally will serve you well regardless of the period of your life or the current cycle of the economy. Implement these recommendations and you’ll find it particularly valuable in turbulent times.
Sunday, November 23, 2008
More cowbell
A classic skit from the television show “Saturday Night Live” features Will Ferrell, Christopher Walken and 1970s rock group Blue Oyster Cult. In the skit, Walken plays star-maker producer Bruce Dickinson, the group performs its best-known hit, “The Reaper,” and Ferrell accompanies with the cowbell. As they play take after take, the band objects to the added noise, while the producer insists that the tune needs “more cowbell.” After continued objections from the original artists, the producer says, “Guess what? I’ve got a fever, and the only prescription is more cowbell.”
The comic effect, of course, is the ubiquitous, unwelcome clanging sound disrupting the classic rock song. Walken and Ferrell insist on the cowbell and prevail to the complete frustration of the rock artists.
Names change, same result
Fast forward 30 years and change a few names. Producer Dickinson’s role goes to U.S. Treasury Secretary Henry Paulson. Congress steps in to handle Will Ferrell’s furious performance with the cowbell. The electorate, otherwise known as the American people, takes the role of the band, remaining convinced that the cowbell only distorts the product.
Paulson, the expert in economics and high finance, foretells the doom of America’s shaky economy and quickly prescribes a “cowbell” package of government intervention that bails out mismanaged financial institutions and naughty top executives. Adamant about the move, Paulson continues to deliver the gloom and doom message to all will listen. Everything will crash and burn, he contends, if we don't pass this emergency measure.
Congress, eager to follow the recommendations of the administration’s expert, shows just how little faith it has in America’s financial system by quickly passing the largest financial rescue package ever suggested, nearly three quarters of a trillion dollars. The reasoning: if we put this money in those institutions, they’ll start working again, lending and moving money around the struggling economy.
In the meantime, citizens across the country sit shaking their heads. They wonder who’s in charge and who decides that taxpayers should be on the hook for the greed and mismanagement of some mega-banks and other financial corporations.
Several weeks later, after Congress makes sure that we keep the cowbell, top authorities are scratching their heads and complaining that taxpayer money was used to pay stockholder dividends and enhance executive compensation packages with the balance literally sitting in the bank. With few strings tied to managing the money so easily and quickly handed over from taxpayers (who seldom if ever get bailed out by the government) the banks did what banks do with cash: keep the stockholders happy and at bay, keep the top executives in place and hang onto some cash, because, as everyone knows, in a struggling economic climate, the one with the most cash wins.
The big difference? The late-night television skit was so ridiculous that it was funny. The government’s move is so ridiculous that taxpayers, themselves sweating through a tight financial stretch, laugh cynically and wonder what’s next.
The comic effect, of course, is the ubiquitous, unwelcome clanging sound disrupting the classic rock song. Walken and Ferrell insist on the cowbell and prevail to the complete frustration of the rock artists.
Names change, same result
Fast forward 30 years and change a few names. Producer Dickinson’s role goes to U.S. Treasury Secretary Henry Paulson. Congress steps in to handle Will Ferrell’s furious performance with the cowbell. The electorate, otherwise known as the American people, takes the role of the band, remaining convinced that the cowbell only distorts the product.
Paulson, the expert in economics and high finance, foretells the doom of America’s shaky economy and quickly prescribes a “cowbell” package of government intervention that bails out mismanaged financial institutions and naughty top executives. Adamant about the move, Paulson continues to deliver the gloom and doom message to all will listen. Everything will crash and burn, he contends, if we don't pass this emergency measure.
Congress, eager to follow the recommendations of the administration’s expert, shows just how little faith it has in America’s financial system by quickly passing the largest financial rescue package ever suggested, nearly three quarters of a trillion dollars. The reasoning: if we put this money in those institutions, they’ll start working again, lending and moving money around the struggling economy.
In the meantime, citizens across the country sit shaking their heads. They wonder who’s in charge and who decides that taxpayers should be on the hook for the greed and mismanagement of some mega-banks and other financial corporations.
Several weeks later, after Congress makes sure that we keep the cowbell, top authorities are scratching their heads and complaining that taxpayer money was used to pay stockholder dividends and enhance executive compensation packages with the balance literally sitting in the bank. With few strings tied to managing the money so easily and quickly handed over from taxpayers (who seldom if ever get bailed out by the government) the banks did what banks do with cash: keep the stockholders happy and at bay, keep the top executives in place and hang onto some cash, because, as everyone knows, in a struggling economic climate, the one with the most cash wins.
The big difference? The late-night television skit was so ridiculous that it was funny. The government’s move is so ridiculous that taxpayers, themselves sweating through a tight financial stretch, laugh cynically and wonder what’s next.
Saturday, November 15, 2008
Bail or trail?
Imagine a broadcast interruption on your favorite radio station. After several unpleasant tones to get your attention, you hear:
This is a test of the Emergency Bailout System.
This is only a test.
Had this been an actual economic emergency,
you would have been instructed where to tune in your area for further instructions.
“Thank heavens,” you might say to yourself. “I’m glad this was only a test.”
What’s a few hundred billion dollars among friends, anyway?
The reality, of course, is that the bailout process is in full swing. Both individuals and organizations are queuing up with their hands out, ready to accept whatever help the government will give them.
The specific reality we face is the government using taxpayer money in figures so gargantuan that they far exceed a layman’s comprehension. All this comes at a time when the country’s coffers are low from other commitments here and around the world.
All the critical measures are upside down. I’m not talking about the Dow Jones Industrials or the NASDAQ indices. The true barometers of how people will act are found in other numbers. Uncertainty and fear are high when we need them to drop. Trust and confidence are low when we need them to climb and stay high. Unless and until those happen, this severe recession will remain a product of its own doing.
How to stay on the trail and off the bail
What lessons surface for individuals watching and listening? Here are a few worth considering:
Don’t promise more than you can deliver - You’re only kidding yourself when you overestimate your ability and/or willingness to deliver. You’ll soon gain a reputation as unreliable and therefore untrustworthy. Keep in mind that we judge ourselves by our intentions; others judge us by our actions. If you know you simply can’t deliver that assignment completely and effectively in 48 hours, don’t say you can or will. Instead, say when you can get it done and then make sure you do what you say you’ll do.
When you find yourself in a hole, stop digging – In a free society, it is the sum of your own choices that dictates your conditions and wellbeing or lack of it. Certainly there are influences impacting you outside of your control. You are always in control of how you respond, however, and those choices, too, help define the situation and your prognosis, your likelihood of wellness in key aspects of your life. We’ve all experienced being that person in a conversation when the very best thing you can do for yourself and all concerned is to stop talking. So stop.
Focus inside your circle – When you put most of your time, energy and effort in areas where you have control, your results, your return on investment and your mental health all have their greatest odds of improvement. To the degree that you focus on things over which you have no control, you put yourself at the mercy of the prevailing winds, whose direction and speed change willy-nilly. Stay outside of your circle and you’ll find yourself buying into conspiracy theories and the like, none of which serves you or those around you well. It’s what you do with what you have right now where you can make the highest impact and progress. This is why I strongly recommend a news fast to push the reset button on your mental and emotional health. Too much news does a mind damage. There may be studies that support this; I’m speaking from personal experience.
Take your lumps – When you’ve made a mistake, own up to it, apologize for it, make amends as soon and as fully as possible, learn the lesson (to refrain from repeating the mistake) and get on with your life. Forgive yourself regardless of whether the other party forgives you. Resolve that you’ll do better in the future. Whatever you choose to do, do not compound the mistake by doing something else that is fundamentally wrong. When government officials decided that a bailout was a better alternative than an anticipated collapse of the economy, they chose on behalf of a significant percentage of the population which would have preferred to sweat through the tough times and emerge stronger and smarter. We’re not sure whether the bailout will do as it was intended. For me, the end won’t justify the means. We’ll never know for sure how things would have gone without the bailout. I’ve moved on and recommend the same for you.
Point the finger at yourself – Since it’s always your choice of how you respond, take responsibility for your choices and get on with your life. Stop looking for people to blame for your results. Empower yourself to do what you can with what you have right where you are. If it’s a job you seek, get out and pound the pavement as you’ve never pounded it before. Talk with so many people that you get writer’s cramps from the personal thank you notes you send to those who help you along the way. There’s one thing that remains true regardless of the prevailing economic climate: those who work the hardest are eventually rewarded.
Avoid toxic conversations – If and when you find yourself in the presence of a bitter exchange on all that’s wrong with those in authority positions, promptly excuse yourself from the discussion. Walk away. The bitterness that brews in such events only serves to distract from the positive opportunities at hand. Refuse to take the bait; don’t participate.
Stay away from the victims – When you see the whiners coming, run, don’t walk in the opposite direction. The very people who will bemoan those claiming to be victims who deserve assistance will very happily assume the victim role because the outcome of the election or the status of their investments has impacted them unjustly. This sort of thinking is highly contagious and also dangerous to your mental health and emotional stability.
Sit tight, because it appears that this will be a ride to remember. In the meantime, pay close attention to what you can do in each and every situation. Above all, don’t be distracted, dismayed or depressed just because others think you should be. It’s your life, so go and live it.
Keep the faith!
John Earl Carroll
This is a test of the Emergency Bailout System.
This is only a test.
Had this been an actual economic emergency,
you would have been instructed where to tune in your area for further instructions.
“Thank heavens,” you might say to yourself. “I’m glad this was only a test.”
What’s a few hundred billion dollars among friends, anyway?
The reality, of course, is that the bailout process is in full swing. Both individuals and organizations are queuing up with their hands out, ready to accept whatever help the government will give them.
The specific reality we face is the government using taxpayer money in figures so gargantuan that they far exceed a layman’s comprehension. All this comes at a time when the country’s coffers are low from other commitments here and around the world.
All the critical measures are upside down. I’m not talking about the Dow Jones Industrials or the NASDAQ indices. The true barometers of how people will act are found in other numbers. Uncertainty and fear are high when we need them to drop. Trust and confidence are low when we need them to climb and stay high. Unless and until those happen, this severe recession will remain a product of its own doing.
How to stay on the trail and off the bail
What lessons surface for individuals watching and listening? Here are a few worth considering:
Don’t promise more than you can deliver - You’re only kidding yourself when you overestimate your ability and/or willingness to deliver. You’ll soon gain a reputation as unreliable and therefore untrustworthy. Keep in mind that we judge ourselves by our intentions; others judge us by our actions. If you know you simply can’t deliver that assignment completely and effectively in 48 hours, don’t say you can or will. Instead, say when you can get it done and then make sure you do what you say you’ll do.
When you find yourself in a hole, stop digging – In a free society, it is the sum of your own choices that dictates your conditions and wellbeing or lack of it. Certainly there are influences impacting you outside of your control. You are always in control of how you respond, however, and those choices, too, help define the situation and your prognosis, your likelihood of wellness in key aspects of your life. We’ve all experienced being that person in a conversation when the very best thing you can do for yourself and all concerned is to stop talking. So stop.
Focus inside your circle – When you put most of your time, energy and effort in areas where you have control, your results, your return on investment and your mental health all have their greatest odds of improvement. To the degree that you focus on things over which you have no control, you put yourself at the mercy of the prevailing winds, whose direction and speed change willy-nilly. Stay outside of your circle and you’ll find yourself buying into conspiracy theories and the like, none of which serves you or those around you well. It’s what you do with what you have right now where you can make the highest impact and progress. This is why I strongly recommend a news fast to push the reset button on your mental and emotional health. Too much news does a mind damage. There may be studies that support this; I’m speaking from personal experience.
Take your lumps – When you’ve made a mistake, own up to it, apologize for it, make amends as soon and as fully as possible, learn the lesson (to refrain from repeating the mistake) and get on with your life. Forgive yourself regardless of whether the other party forgives you. Resolve that you’ll do better in the future. Whatever you choose to do, do not compound the mistake by doing something else that is fundamentally wrong. When government officials decided that a bailout was a better alternative than an anticipated collapse of the economy, they chose on behalf of a significant percentage of the population which would have preferred to sweat through the tough times and emerge stronger and smarter. We’re not sure whether the bailout will do as it was intended. For me, the end won’t justify the means. We’ll never know for sure how things would have gone without the bailout. I’ve moved on and recommend the same for you.
Point the finger at yourself – Since it’s always your choice of how you respond, take responsibility for your choices and get on with your life. Stop looking for people to blame for your results. Empower yourself to do what you can with what you have right where you are. If it’s a job you seek, get out and pound the pavement as you’ve never pounded it before. Talk with so many people that you get writer’s cramps from the personal thank you notes you send to those who help you along the way. There’s one thing that remains true regardless of the prevailing economic climate: those who work the hardest are eventually rewarded.
Avoid toxic conversations – If and when you find yourself in the presence of a bitter exchange on all that’s wrong with those in authority positions, promptly excuse yourself from the discussion. Walk away. The bitterness that brews in such events only serves to distract from the positive opportunities at hand. Refuse to take the bait; don’t participate.
Stay away from the victims – When you see the whiners coming, run, don’t walk in the opposite direction. The very people who will bemoan those claiming to be victims who deserve assistance will very happily assume the victim role because the outcome of the election or the status of their investments has impacted them unjustly. This sort of thinking is highly contagious and also dangerous to your mental health and emotional stability.
Sit tight, because it appears that this will be a ride to remember. In the meantime, pay close attention to what you can do in each and every situation. Above all, don’t be distracted, dismayed or depressed just because others think you should be. It’s your life, so go and live it.
Keep the faith!
John Earl Carroll
Friday, October 3, 2008
Worrier or warrior
There's plenty to be worried about these days, isn't there?
In addition to the typical worries and concerns (How will we cover that college tuition? Will our parents' health hold steady while we address a mountain of work at work? Will our child find a suitable job out in the real world?) we now have the larger picture worries (Will this economy buckle under the weight of bad decision after bad decision? Which big bank will fail next? Will the government be able to get us out of this mess? Will someone step up and lead us into a better situation?) The concerns closer to home don't go away, of course. They just have more company now.
How to be a better worrier
Try these if you want to become a better worrier:
1. Pay constant attention to what worries you. If you leave these worries alone, even for a moment, they start to minimize and could even disappear. Since we can' t have that, you must make whatever you're worrying about all-consuming, to the exclusion of just about everything else. Fortunately, you have at your disposal 24/7/365 coverage to provide you with plenty to worry about.
2. Future pace all the bad things that could happen. Look out ahead and use your most negative imagination to create in your mind the dozens, hundreds or even thousands of ways that things could get even worse. That will provide plenty of fuel for your hours of worry, since you can now pull each scenario down from the shelf, one at a time, and keep asking yourself, "And what if...?"
3. Do nothing that gives you peace. If taking a walk alone in the early morning or late evening gives you a place to breathe and slow down a bit, don't do it. You can't afford even a moment's peace if you're going to be a truly gifted worrier.
4. Spend no time with those who are always positive. They just don't get the idea of the whole worry thing, so they will be roadblocks to your ability to worry on a massive scale.
5. Don't be reading anything uplifting. Whatever that is for you - the Bible, Talmud, Quran, How to Win Friends and Influence People - set it aside for the foreseeable future. Hide it if you must. Otherwise, you might be tempted to open it and gain some wisdom of the ages that would break the chain of worry.
6. Don't bother to write out your worries. Once out on the page, they wouldn't seem so worrisome and you might even feel a bit relieved. That's no way to worry.
7. Don't meditate or pray. Quiet time can be fatal to the worrier's way of doing things, so skip that time, get on with the worries of the day and forget about the possibility of centering yourself in the presence of anything but all those worries you have. Remember, you can't leave them alone, even for a minute.
Don't worry about being a great worrier. Just follow these simple tips and you'll have plenty to worry about without adding that to the list.
Keep the faith,
John Earl Carroll
In addition to the typical worries and concerns (How will we cover that college tuition? Will our parents' health hold steady while we address a mountain of work at work? Will our child find a suitable job out in the real world?) we now have the larger picture worries (Will this economy buckle under the weight of bad decision after bad decision? Which big bank will fail next? Will the government be able to get us out of this mess? Will someone step up and lead us into a better situation?) The concerns closer to home don't go away, of course. They just have more company now.
How to be a better worrier
Try these if you want to become a better worrier:
1. Pay constant attention to what worries you. If you leave these worries alone, even for a moment, they start to minimize and could even disappear. Since we can' t have that, you must make whatever you're worrying about all-consuming, to the exclusion of just about everything else. Fortunately, you have at your disposal 24/7/365 coverage to provide you with plenty to worry about.
2. Future pace all the bad things that could happen. Look out ahead and use your most negative imagination to create in your mind the dozens, hundreds or even thousands of ways that things could get even worse. That will provide plenty of fuel for your hours of worry, since you can now pull each scenario down from the shelf, one at a time, and keep asking yourself, "And what if...?"
3. Do nothing that gives you peace. If taking a walk alone in the early morning or late evening gives you a place to breathe and slow down a bit, don't do it. You can't afford even a moment's peace if you're going to be a truly gifted worrier.
4. Spend no time with those who are always positive. They just don't get the idea of the whole worry thing, so they will be roadblocks to your ability to worry on a massive scale.
5. Don't be reading anything uplifting. Whatever that is for you - the Bible, Talmud, Quran, How to Win Friends and Influence People - set it aside for the foreseeable future. Hide it if you must. Otherwise, you might be tempted to open it and gain some wisdom of the ages that would break the chain of worry.
6. Don't bother to write out your worries. Once out on the page, they wouldn't seem so worrisome and you might even feel a bit relieved. That's no way to worry.
7. Don't meditate or pray. Quiet time can be fatal to the worrier's way of doing things, so skip that time, get on with the worries of the day and forget about the possibility of centering yourself in the presence of anything but all those worries you have. Remember, you can't leave them alone, even for a minute.
Don't worry about being a great worrier. Just follow these simple tips and you'll have plenty to worry about without adding that to the list.
Keep the faith,
John Earl Carroll
Wednesday, September 24, 2008
Prosperity in the rear view mirror
Here's a question to put in perspective your feelings with the current tightening of the economy: how were you feeling 12 or 18 months ago when business seemed to be chugging right along?
Your initial response is likely to be, "Are you kidding? It was great, just great, especially by comparison to now." I'm not asking for comparison here. If you were to roll back the clock and take your emotional temperature in that different market climate, what reading would you get?
Here's where we tend to forget one key truth about any period in the never-ending cycle of economic swings: we always view periods of prosperity through our rear view mirror.
What are the implications? This means that:
Your initial response is likely to be, "Are you kidding? It was great, just great, especially by comparison to now." I'm not asking for comparison here. If you were to roll back the clock and take your emotional temperature in that different market climate, what reading would you get?
Here's where we tend to forget one key truth about any period in the never-ending cycle of economic swings: we always view periods of prosperity through our rear view mirror.
What are the implications? This means that:
- Even in the best of times, we don't realize how good we have it until we no longer have it so good.
- No matter how good the times may be, we're thinking about how conditions could be better.
- Rather than counting our blessings and taking a bit longer to do so in the good times, we're already concerned, worried or even scared that the upswing may be coming to an end.
Where's the lesson, the redeeming value here? Knowing the cycles and the feelings we attach to each, we can:
- Spend less than we earn. Period. Any other formula can cause indigestion and heartburn to the most financially savvy among us.
- Have that rainy day fund covering 12 months of living expenses to prevent panic-based decision making when times turn tough.
- Give thanks for the good times and bad, since each contains benefits and lessons for us if we just look.
- Spend more time in reflection and learn from the lessons rather than repeating the mistakes.
- Read something other than the news. Put your mind in learning mode and increase your prosperity by sharpening your mind.
- Seek timeless wisdom and counsel from a mentor or coach who can help put things in proper perspective, even if it's just as a sounding board by listening to you closely as you lay out your issues and concerns in detail.
- Spend time with people who tend to stay on a relatively flat track emotionally, who are neither too solemn in a downturn nor too giddy in the midst of prosperity. By doing so you can learn to take whatever happens in stride while you prepare to face whatever the economy will throw at you.
Keep the faith,
John Earl Carroll
Saturday, August 30, 2008
Business and wealth building
How much of your business and your career is about building wealth?
We had some discussion about this recently in our regular Wednesday morning small group focused on applying one's Christian faith in the workplace. Part of that meeting's agenda is reading the Proverbs Chapter of the Day aloud (there are 31 chapters, one for every day of the month) and this book of wisdom addresses the topic of wealth repeatedly.
Participating in the discussion, I chimed in with this: "Wealth isn't about how much you have; it's about how little you need." I'm not sure where it came from, so if you can find it somewhere, please advise so I may give its source proper credit. If it's original, so be it; I'd like to verify that if possible.
At any rate, this morning I was reading my daily Writer's Almanac from Garrison Keillor who mentioned that August 30 is Warren Buffett's birthday. Days earlier my friend and business partner Dr. Marvin Arnsdorff told of his experience in Lincoln, Nebraska, attending a event in which Mr. Buffett commented, as part of a panel of experts, on the new documentary "I.O.U.S.A." (I need to see this one.) It is estimated and widely believed that Buffett is second only to Bill and Melinda Gates among the world's highest net worth individuals/couples.
At any rate, when something as eclectic as the name Warren Buffett hits my radar screen twice, close to home and in short order, I look at that as something beyond mere coincidence, in which I don't believe, and observe and reflect on the possible significance.
So here's an excerpt of Keillor's take on the life of Buffett:
"Despite his massive wealth, (Buffett) lives relatively frugally, still residing in the home he bought in 1958 for $31,500, driving his own car, and allotting himself an annual salary from his investment company of about $100,000. In 1988, he said: 'I don't have a problem with guilt about money. The way I see it is that my money represents an enormous number of claim checks on society. It's like I have these little pieces of paper that I can turn into consumption. If I wanted to, I could hire 10,000 people to do nothing but paint my picture every day for the rest of my life. And the GNP would go up. But the utility of the product would be zilch, and I would be keeping those 10,000 people from doing AIDS research, or teaching, or nursing. I don't do that though. I don't use very many of those claim checks. There's nothing material I want very much. And I'm going to give virtually all of those claim checks to charity when my wife and I die.'"
Buffett may never make it in an episode of "Lifestyles of the Rich and Famous" because his idea of wealth isn't to flaunt as one of the haves and separate himself from the have nots. He simply doesn't fit mainstream media's stereotyped look of the wealthy. His is, however, closer to what you'll find in reading the biography of Sam Walton and others for whom wealth is simply an outgrowth of what they enjoyed doing and did very well. Sam Walton drove that same old red pickup, it is said, until his passing. Nothing flashy, nothing jet set about it.
So how will your wealth be apparent when your ship comes in? Will you continue to live as you do now or will having more than you'll ever need change your lifestyle permanently? For all the silliness of "The Beverly Hillbillies" television series, the Clampett family illustrated very clearly that taking the folks out of the hills doesn't take the hills out of the folks. Buddy Ebsen's memorable character usually looked curiously at the trappings of the ultra well-to-do. Jedd Clampett always seemed to rise above and remain connected to his former way of life.
Moreover, what's stopping you right now from claming the wealth that is yours with the lifestyle that so many enjoy along with the freedoms of the United States of America? Remember, it's not how much you have (Good luck scoring near the top on that constantly moving target of conspicuous consumption!) it's how little you need to have joy, purpose and peace in your life.
Keep the faith,
John Earl Carroll
We had some discussion about this recently in our regular Wednesday morning small group focused on applying one's Christian faith in the workplace. Part of that meeting's agenda is reading the Proverbs Chapter of the Day aloud (there are 31 chapters, one for every day of the month) and this book of wisdom addresses the topic of wealth repeatedly.
Participating in the discussion, I chimed in with this: "Wealth isn't about how much you have; it's about how little you need." I'm not sure where it came from, so if you can find it somewhere, please advise so I may give its source proper credit. If it's original, so be it; I'd like to verify that if possible.
At any rate, this morning I was reading my daily Writer's Almanac from Garrison Keillor who mentioned that August 30 is Warren Buffett's birthday. Days earlier my friend and business partner Dr. Marvin Arnsdorff told of his experience in Lincoln, Nebraska, attending a event in which Mr. Buffett commented, as part of a panel of experts, on the new documentary "I.O.U.S.A." (I need to see this one.) It is estimated and widely believed that Buffett is second only to Bill and Melinda Gates among the world's highest net worth individuals/couples.
At any rate, when something as eclectic as the name Warren Buffett hits my radar screen twice, close to home and in short order, I look at that as something beyond mere coincidence, in which I don't believe, and observe and reflect on the possible significance.
So here's an excerpt of Keillor's take on the life of Buffett:
"Despite his massive wealth, (Buffett) lives relatively frugally, still residing in the home he bought in 1958 for $31,500, driving his own car, and allotting himself an annual salary from his investment company of about $100,000. In 1988, he said: 'I don't have a problem with guilt about money. The way I see it is that my money represents an enormous number of claim checks on society. It's like I have these little pieces of paper that I can turn into consumption. If I wanted to, I could hire 10,000 people to do nothing but paint my picture every day for the rest of my life. And the GNP would go up. But the utility of the product would be zilch, and I would be keeping those 10,000 people from doing AIDS research, or teaching, or nursing. I don't do that though. I don't use very many of those claim checks. There's nothing material I want very much. And I'm going to give virtually all of those claim checks to charity when my wife and I die.'"
Buffett may never make it in an episode of "Lifestyles of the Rich and Famous" because his idea of wealth isn't to flaunt as one of the haves and separate himself from the have nots. He simply doesn't fit mainstream media's stereotyped look of the wealthy. His is, however, closer to what you'll find in reading the biography of Sam Walton and others for whom wealth is simply an outgrowth of what they enjoyed doing and did very well. Sam Walton drove that same old red pickup, it is said, until his passing. Nothing flashy, nothing jet set about it.
So how will your wealth be apparent when your ship comes in? Will you continue to live as you do now or will having more than you'll ever need change your lifestyle permanently? For all the silliness of "The Beverly Hillbillies" television series, the Clampett family illustrated very clearly that taking the folks out of the hills doesn't take the hills out of the folks. Buddy Ebsen's memorable character usually looked curiously at the trappings of the ultra well-to-do. Jedd Clampett always seemed to rise above and remain connected to his former way of life.
Moreover, what's stopping you right now from claming the wealth that is yours with the lifestyle that so many enjoy along with the freedoms of the United States of America? Remember, it's not how much you have (Good luck scoring near the top on that constantly moving target of conspicuous consumption!) it's how little you need to have joy, purpose and peace in your life.
Keep the faith,
John Earl Carroll
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