Top Ten Resume Tips for Managers

The Top 10 Resume Tips for Out-of-Work Leaders

One of our loyal readers sent us an email this week that included their resume. As has likely happened to someone you know, this manager got caught up in the current economic turmoil and their position was eliminated. No notice. No severance. No clear prospects.

Since it’s too late to council our reader to adopt the absolutely necessary survival trait known as networking, we thought we’d dissect his resume (confidentially) and deliver him (and you) our Top 10 Resume Tips:

  1. Filename – Quick, take a look at the resume on your computer. Is it called “myresume.doc,” “SalesManagerResume.doc,” or simply “resume.doc?” Do you have any sense of your audience? I can guarantee that the hiring manager doesn’t want to download 50 resumes all titled “myresume.doc.” Believe it or not, it becomes hard to find the one you’re looking for when all the files are called the same thing. Additionally, when you name your resume file based on job title (like SalesManagerResume.doc), the hiring manager knows you’re probably fibbing a little because you likely have other versions that you send to other job openings (like OpsManagerResume.doc). There’s only one recommended filename structure for all resumes and here it is: Lastname.Firstname.Resume.doc. Your resume file will stand out because of its clarity to, and consideration for, the hiring manager.
  2. Software – Two words: Microsoft Word. Okay folks? While using some cheap Word knockoff is probably fine for an entry-level salesperson resume, your manager resume will look absolutely bush league if it arrives via any format other than Word. If you simply cannot afford the $80 to buy Microsoft Word, then create your resume in Word Perfect or Open Office or whatever other word processing software you can get your hands on, and “print” the document as a PDF. There are literally thousands of free PDF creators available. Start by looking here.

  3. Borrow Liberally – Why reinvent the wheel? Smart leaders are efficient and they don’t waste precious hours recreating what has already been invented elsewhere. Go online, search for resume samples, then start reading and lifting those phrases and sentences that best describe you and your abilities. Don’t lie – integrity matters – but certainly be smart enough to let someone else articulate what you really want to say about your experiences. Better yet, use your last $12 and buy a book with sample resumes and better resume tips than you’ll ever get from some crummy management blog. We highly recommend Jay Block’s 101 Best Resumes.
  4. Cover Letter – Yes, you include one. Again, if you’re applying for an entry-level gig, this is less important. The higher up you go, however, the more critical it is to have a great cover letter. Use the same tips we delivered here for your resume that you use for your cover letter. And just like that great resume, we recommend if you want a great cover letter you should invest a few bucks in a good book. Not surprisingly, we recommend Block’s 101 Best Cover Letters. If your cover letter is included in the body of an email, please remember to avoid our common email typos detailed here.
  5. Watch Your Formatting, and Check Spelling and Grammar – Yikes, we’re embarrassed to even have to write that, but we counted no less than four glaring typos and half a dozen grammatical errors in this manager’s resume. Ouch. Hard to hire someone to lead others when they appear to be unable to manage themselves. When we speak about formatting, we’re referring to how your resume lays out on a page. If you find yourself using tabs and spaces to format your paragraphs then STOP. While your resume might look great on your screen, it will likely open up as a jumbled mess on the other end. The reason this occurs is because you cannot guarantee that the hiring manager is using the same version of Word that you are using. Additionally, if you use an odd font because it looks cool, that font could be very well rendered as Courier on the other end, screwing up your beautiful formatting. The bottom line: format properly and use a standard font. If you have no idea what I’m talking about, hire a professional resume service. It might be the best $200 you ever invested.
  6. Aim High – While it’s often true that companies who are hiring leaders want to get more than they pay for, it’s especially true in a down economy. If your resume aims too low, that’s where you’ll surely end up. If you aim high, both with your resume objectives (yes, you include these) and with your description of past duties, you stand a much better chance of landing high. Be sure to make yourself and your ambitions sound as important as possible – keeping everything accurate, of course.
  7. Titles Matter More than Responsibilities – It’s sad, but true. If you were a VP at your last job, chances are you’ll be a VP on your next job. If your title was manager, you’ll likely be a manager when you land your next gig. We’re giving you this little piece of advice not to have you lie on your resume, but rather to make sure you clearly express your title in words that relay the importance of the position. Quick tip: Adding words like “division” can make a title seem more important, while allowing you to keep your integrity. For example, if you were a manager in the widgets group at ABC Company, you could list your title one of two ways: Manager, ABC Company or Widgets Division Manager, ABC Company. I don’t know about you, but I’d rather hire the latter than the former.
  8. Quantify Your Accomplishments – You didn’t “grow sales” at your last job, you “improved operating revenue by 33%.” You didn’t “cut costs,” you “discovered and enacted operational efficiencies that led to a 17% decrease in year-over-year operating expenses.” Numbers are easy to understand and will help your accomplishments stand out.
  9. Use Commanding Language – As you can read in Tip #8, there are both weak and strong ways to say anything. Use a thesaurus (quick tip: In Microsoft Word you can right-click on any word and see synonyms) to ensure you use the most powerful terms you can to describe your accomplishments. (We’re not going to bore you with a list of weak and strong words – you are a leader, after all.)
  10. References Available Upon Request – Never, ever include references on your resume if you are vying for a leadership position. Lists of references unnecessarily lengthen your resume. Additionally, you stand the chance of alienating your audience if one of your references is disliked by the hiring manager. In case you do happen to know Jack Welch – and he wants to vouch for you – ask him to write a brief letter (or, better yet, you write a letter on his behalf and ask him to sign it). You can always include these letters with your cover letter and resume.

While there are thousands of other great resume tips we could share, too many of them are too granular for a site like AskTheManager. If you can get these Top 10 Resume Tips down, you’ll be well on your way toward finding a great new career.

While we don’t often ask for advice from our readers, we’d love for you to share your resume tips with others by posting a comment below.

Sales Management Blogwatch – February 21, 2009

Sales Management Blogwatch

If it feels like it’s been months since our last Blogwatch in the Sales Management series, that’s because it has. We’ve been scouring the Web for any semblance of great blog entries to help us create a decent Blogwatch and we continued to come up empty handed.

Sure, we saw some great entries from the top Sales Management Blogs like Brad Trnavsky’s Sales Management 2.0 Blog, Nesh Thompson’s stuff on SymVolli, Ian Brodie’s Sales Excellence Blog, Karl Goldfield’s Sales Evangelist nuggets, Skip Anderson’s Selling To Consumers, Tibor Shato’s The Pipeline, and Will Fultz’ Top Sales Blog, but we weren’t getting the nice, tight posts we normally see from the unwashed masses of the Sales Management Blogosphere. We expect great things from the Sales Gurus, we just want to see what the rest of the world is writing.

Where were the amateurish posts from those who just had something to say about Sales Management? They were, for the most part, missing. Other than the gold you can always find at the blogs we mentioned above, here are the best of the Sales Management Blogs from the past several weeks:

Managing expectations: Maturity at work – Revenue Journal®
Managing your client’s expectations is one of the most important aspects in any commercial relationship, and yet it is almost universally ignored in sales training – and sales management. If you were selling this type of complex product

Tips for Sales Managers: 7 Sales Team Meeting Ideas for 2009
Books for Sales Managers. Let’s Get Real or Let’s Not Play by Mahan Khalsa and Randy Illig · ProActive Sales Management by William “Skip” Miller. Resources for Sales Managers. ES Research – Sales Training Intelligence · Sales Vault …

Total Sales Success: Raise Your Prospecting to a Whole New Level
With over 27-years of sales and sales management success, I bring a wealth of experience to the table. My goal is simple: To raise the standard for sales excellence in your company. View my complete profile …

8 Steps To Creative Sales Management : Managing Salespeople
8 Steps To Creative Sales Management was part of a recent sales management seminar we ran. The client was concerned that creativity was totally absent from his team so we ran a brief session.

Sales Training and Sales Programs for the Natural Born Seller
Sales training and sales programs can benefit even the natural born seller. Advanced sales training and sales programs get down and dirty into the specific skills that manifest excellence in sales management.

Why Do Sales People Have Such A Bad Reputation? – Sales Management 2.0
It’s Friday evening, I’m cruising some of the blogs and other forums as I wind up the day. I saw a question posed on the Sales Best Practices board in LinkedIn. The question concerned the Reputation of Sales, asking about why do we see …

Identify and Overcome the Four Curses of Sales …
Peak performance author, columnist, trainer, speaker and radio show host for sales, management and leadership, Dave Anderson walks the talk as a leader. He has led some of the most successful retail automotive dealership in the …

How Do You Get Your Salespeople to Sell More?
The key to making the sale in this economy is to help your team stay focused on solving real customer problems and enabling them to add immediate …

20 Characteristics of a Superior Salesperson
Enthusiastically supports internal initiatives from his or her Sales Management team. 5. Focuses on the positive, staying away from gossip regarding other individuals or his or her company. 6. Is constantly in self-improvement mode …

Sales Training • Sales Scorecard for Success – Sales Techniques …
The job could be sales, management, finance or operations; it doesn’t matter. As Jim Collins states in his book Good to Great, it is about getting the right people on the bus and in the right seats. The same thing applies to you and …

Silver Bullet Selling – A Practical Guide to Consultative Selling …
sales effectiveness sales experience sales management sales preparation sales resistance sales training scoreboarding self-esteem selling service performance silver bullet solution success system transition …

Tips for Sales Managers: Top Sales Experts 2.0
Books for Sales Managers. 100 Best Sales Books of All Time · Let’s Get Real or Let’s Not Play by Mahan Khalsa and Randy Illig · ProActive Sales Management by William “Skip”

How to hit your sales target this Quarter | Managing the Salesforce
Filed under: Pipeline and Forecasting, Planning, Sales Management. How are your numbers looking one month into the quarter? We polled our network of VP Sales to see what is at the top of their dashboard for evaluating the health of the …

Incentive Compensation Survey—Take the Survey, Find Out Current …
Posted by Paul McCord under Sales Performance Management, Sales Technology Research, sales, sales management, selling | Tags: business, compensation, incentive compensation, management, sales, sales compensation, sales management, …

 

 

The Nerds are Taking Over – What The Terminator can Teach Us About Leadership

 

Skynet is Here, and the Nerds are at the Controls

(Terminator fans can probably skip the next two paragraphs, as they’re just an explanation of the havoc we can expect in our not-too-distant future.)

Skynet, for the uninformed, is a computer-based defense system, created by nerds working for the U.S. military in the 1990s. Long story short, Skynet was put in control of all of the U.S. military’s weapons and given the task of protecting Americans from all threats. Skynet was such a powerful computer program that it “learned” at an exponential rate until it became self-aware.

Skynet, which was basically created to remove the possibility of human error in the event of an enemy attack, eventually turned on the very humans it was designed to protect (it deemed them a threat when they tried to shut it down), and it decided to terminate all humans to protect its own existence.

Can You Even Spell IT?

Welcome to 2009, where instead of Cyberdyne Systems’ Skynet program, we have our various corporate IT departments protecting us from ourselves. (IT, by the way, is short for Information Technology. An oxymoron really, since no one involved with technology is ever very forthcoming with any information.)

At my company this week, our self-aware IT department blocked our regional employees from accessing our own consumer-facing websites because they were “uncategorized.” Never mind that it is the IT department’s job to categorize these sites, or that these websites have been live and accessible for ten years.

This team also blocked employees in our corporate office from accessing our advertising agency’s demo site (where we login to view details of the current marketing programs and make changes to artwork, etc.). The violation here, you ask? Not sure, though the following menacing message appeared on everyone’s screen who attempted to access the website:

“This site is blocked by Corporate Policy.

Reason for restriction: Administrative Custom List Settings”

Aha! The three big threats to our internal network security are clearly computer worms, malicious viruses and “Administrative Custom List Settings.”

While I find this just a little bit humorous today, I was not laughing during the seven hours Thursday while I jumped through hoop after hoop to get the website lifted from the banned domains’ list.




Better Safe than Sorry

Of course, the nerd-driven event this week that clearly proved to be a sign that Skynet is upon us and is exponentially becoming self-aware, happened when one of our vendors (finally) disclosed that they had been “scrubbing” our customer email lists and destroying those that were equated with “domains that have suspicious registration and DNS configuration settings.” While I have no idea what that means in English, suffice it to say that this vendor, without direction from us, had been purging our records of valid customer email addresses because they didn’t like the way the email addresses smelled.

This vendor has potentially cost us hundreds of thousands of dollars all in the name of “data integrity.” The CEO of this company had the nerve to claim that it is better to be safe, than to be sorry.

Really? That’s what you’re going with here? No one asked you to protect us; and as it turns out, you were protecting us from nothing.

When we examined the recent email addresses they had purged (they kept a record of what they deleted in the past week), we found no malicious threats, no spammers and no breach to our data integrity. What we did discover were valid email addresses for real customers who were scheduled to be removed permanently from our database (like the hundreds or thousands before them).

The Tail Wagging the Dog

Prior to the anointment of the IT staff as Lord and Protector in the business world, we had the Admin Nazis. Those large women with cafeteria lady arms or the small, pale men who could stifle the joy of any young salesman’s first big sale with a simple and curt “paperwork’s not right; order’s rejected.”

I’m starting to miss the good old days where anyone in an administrative function believed the world revolved around them. When I was starting out in business, it was woe unto anyone on the operations side who tried to circumvent or curtail the self-important authority of an Admin Nazi. They could be very vindictive and selective in their enforcement of proper paperwork, you see.  

Back then we complained that the tail was wagging the dog; and we just lived with it because we could. As bad as the Admin Nazis were, they just made our lives suck; they didn’t actually control them.

If You’re Not Selling, then You’re Support

The only cure for the productivity-killing Admin Nazi was great leadership. Great leaders have a way of weighing inter-departmental priorities against the goal, and finding a solution that, although it doesn’t always please everyone, makes the most sense over both the short and long terms. They put administrators in their place by asking them to administrate and support the efforts of those who drive the real value for the company: those who touch our customers.

While great leadership was able to overcome the threat of the Admin Nazi in the past, it turns out that great leaders are often the ones who are allowing IT to build their version of Skynet at your company in the present. Because support for this over-protectionism comes from the top, trying to wrestle control from a nerd with network administrative rights is going to be a whole lot harder than getting Marge to accept a customer contract without the Ts crossed.

By the way, this is not the tail wagging the dog; this is the flea wagging the dog’s owner.

Your CEO is oblivious to what the real threats are or what they mean to your business, so she is forced to listen to the CIO’s version of reality. Chief Information Officers, it seems, are mostly frustrated former nerds with larger offices and tons of control.

Their power initially grew from a lack of knowledge and fear; although they gain more muscle every time some knucklehead in a cubicle downloads malware while registering for a free iPhone. Forget that the CIO’s team should have proactively ensured there were adequate protections against malicious computer code in the first place; it only takes a few hours of network outage for the CEO to give up a little more of her power to the CIO. It’s better to be safe than sorry, they’ll say.

I’ll Be Back

Cybernetic organisms aside, it’s time that leaders start asking tough questions of their CIOs and other IT department heads before we allow the nerds to give the computers all the control.

A simple “Why” can work wonders.

Every time anyone in IT appears to be protecting us from ourselves, the leader needs to ask “why?” And when IT answers the question, the leader needs to ask “and why is that important?”

Two questions is more accountability than most IT mangers can handle. They’ll either capitulate or their human-like skin will melt away, revealing their android inner self.

In case the IT manager insists on continuing with their course of action after the leader has asked the two “Why” questions, we recommend they follow up with something like “I’m not sure that’s in our best interest, can you put that request in-writing and give it to my administrative assistant Marge?”

(Marge, you see, misses her old role as an Admin Nazi.)

 

Leadership Lessons from the Stimulus and Obama

 

The Stimulus, Obama and Leadership

Eight Hundred Billion Dollars. $800,000,000,000.00. That’s a lot of money. When combined with the $700,000,000,000.00 squandered by or scheduled to be squandered by the Troubled Asset Relief Project (TARP), we’re talking about one and a half trillion dollars. In round numbers, $1.5 trillion looks like this: $1,500,000,000,000.00.

Hard to fathom, really. To give this amount some perspective, imagine this: $1.5 trillion is larger than the gross domestic product (GDP) of Spain. If the stimulus plus the TARP were a country, they’d be the 8th largest according to International Monetary Fund’s 2007 ranking.

So why is it so easy to spend?

While the TARP has clearly not performed as intended – to free up credit markets and salvage well-run financial institutions – at least it was directed with a specific and bipartisan purpose. Virtually everyone agreed it was the right thing to do at the time. (Today, not so much.)

It’s Not a Stimulus Package, it’s Welfare

Let’s stop kidding ourselves, okay? The package the Senate passed this weekend, even though it had more than $100 billion stripped from it, is more welfare than stimulus. It’s more government spending than economic stimulus. It’s more “more of the same” than it is “change you can believe in.”

Obama Needs to Lead

We elected Barack Obama as our 44th President so that he could lead this country through one of the economically toughest times in our history. Tough times call for tough decisions, tough love and tough leadership. Obama has so far failed on all three counts.

Tough Decisions include making the right call based on what is best for America. No one doubts that Obama’s own economic advisors – using their own economic models – show greater job creation and a shorter recession if the stimulus contained more tax cuts and less welfare. So why is Obama afraid to make the tough decisions and do what’s right? Why is the stimulus package just a conglomeration of left-wing leftovers and partisan welfare projects?

Tough Love means making those who made bad decisions live with the consequences of those decisions – even when it means they’re going to suffer. Too many Americans bet on the come that their homes would continue to skyrocket in value. They were wrong and now they’re suffering.




Too bad, we say. Obama should show strong leadership and apply the principles of tough love: you need to get yourself out of any situation you agreed to put yourself into. Sorry, but that’s what’s best for the rest of us.

Tough Leadership means standing up for what’s best for America – that’s his job – and this is going to be the hardest part. Pushing through the “Nancy Pelosi Welfare Reform Act of 2009” is not showing tough leadership and it’s not change – it’s politics as usual.

Step Up, Mr. President

President Obama, that’s not why we elected you. You are not supposed to be the Pro-Socialism Puppet as Rush Limbaugh portrays you. You are supposed to stand for something more. So why are you trying so hard to push through a spending package that will do nothing to save the economy and do everything to grow the government? Are you indebted to those who got you elected? Are you just another Chicago politician?

Leadership means leading. Leading, President Obama, is about shedding the partisanship and the obligations, and doing what you know is right. Leading sometimes means losing your friends; though I can tell you that any “friend” you lose while leading, wasn’t that good of a friend to being with.

 

Young Owner, Old Manager: Who Wins in the End?

 

Questions… we get Questions

One of our readers, Anant, posted the following after reading our article from August 2008 titled The First Time Manager Dilemma, How Do You Gain Respect?:

hi, i am facing a similar problem as mentioned above with one of my older employees, the only difference is that i am the owner of my company.

Last year i joined my father’s company after finishing my engineering and have started to handle the correspondence and marketing of the company.

Initially i thought because i was a new, they treated me as like a new kid on the block and would probably fade out once i am long enough with the organization.

Most of them did change, apart from our general manager. He still thinks he is an authority over me. I didn’t mind his reactions till the time recently when my father had gone out for an industrial trip. He had asked me to get some work done before he comes, which were like level 1 jobs and could easily be done on the phone/personally meeting, nothing laborious. Its been almost 3 days since i told him and he has still not been able to complete the task. Apart from this whenever i tell him something he looks at me, giving me that expression “why is he telling me? who is he to tell me?”

This behavior of his has actually ticked me off. Kindly give me a solution to handle such kind of employee – Anant, February 8, 2009

Young man (I’m going to assume you’re a young man, as Anant means “bliss” in Hindi and is traditionally a male name), it’s time for you and your GM to face several tough realities:

  1. Every generation gets overtaken by the next;
  2. Youth is the only trait a manager cannot learn;
  3. You can attract more flies with honey than vinegar;
  4. Blood is thicker than water;
  5. Money is thicker than blood; and
  6. Your written communication skills are horrendous.

1. Every Generation Gets Overtaken by the Next

It’s the circle of life my friend: It’s exciting and great when you’re young; and it sucks when you’re old. Your father’s general manager is having a tough time facing this fact… that’s expected. Your job is to make sure that you maximize short and long term profits for your father, not to make the GM feel good about himself.

If he fails to grasp this fact, he should be shown the door.

That said, you and your father’s company might be better served if you followed the advice in point number three, below.




2. Youth is the Only Trait a Manager Cannot Learn

This fact is likely killing your GM from the inside out. It eats at him everyday, and his own fear of being replaced is going to force him to do one of two things: 1) seek other employment (not likely); or 2) go into passive-aggressive mode when dealing with you (highly likely).

Until you came along, the GM was your father’s right-hand man. Today, he sees you as the greatest threat to his existence (see point number one, above). Following the advice given in point number three might help make the situation more tolerable for you (and the GM). If it fails, it’s probably time to show him the door. (Do you see a pattern emerging?)

3. You Can Attract More Flies with Honey than Vinegar

Of course, you can attract the most flies with dog shit, but we’ll forget that for a moment, because it doesn’t really fit with this whole analogy.

I think the best way to introduce this concept is to have the great Dalton (Patrick Swayze) from Road House explain it:

All you have to do is follow three simple rules.

One: never underestimate your opponent. Expect the unexpected.

Two: take it outside. Never start anything inside the bar unless it’s absolutely necessary.

And three: be nice.

…until it’s time to not be nice.

Generally every human can figure out Dalton’s numbers one and two on their own. Dalton’s tip number three, “be nice,” takes some practice.

Anant, if you want to be nice, then it’s time to become “The New Anant.” The New Anant is a guy that loves everyone and everything. He smiles are everyone (especially his GM), and nothing ever gets him down. If you become The New Anant, you are going to be so nice to the general manager that people are going to think the two of you are dating. In fact, your father may become jealous of your relationship with the GM.

Seriously, If you want to get the most out of the general manager, you need to hang on his every word. You should ask his advice on every topic (where it makes sense) and you should strive to make him the hero at every turn. If you do everything in your power to make him look good, he will (usually) work hard to prove you right. At worst, you’ll have made it incredibly hard for him to treat you poorly – his subconscience won’t allow him to be an ass; just as your subconscience will drive you to eventually like and even respect him. (If nothing else, you’ll begin to see the world as he sees it, which will give you great insight into how to manage him better.)

If this fails, show him the door.

4. Blood is Thicker than Water

At the end of the day, you can always tell your father to fire him. After all, you’re blood and he’s just an employee. This strategy is great provided a) you are ready to lead the company as the new general manager; and b) this GM really wasn’t that effective.

5. Money is Thicker than Blood

This is where things get sticky for your dad. If the GM is strong and delivers value for the company – and the two of you cannot get along – then it’s time for Anant to find a new job.

Blood is pretty thick, but money is a whole lot thicker.

Face this reality right away and begin “working” for the GM if he’s any good. If he stinks, refer to number four, above.

6. Your Written Communication Skills are Horrendous

Seriously, Anant, I know you were writing informally when you posted a comment on this blog, but it’s important to always communicate clearly and correctly in business. Business associates (like the GM), subordinates, customers and leaders of other companies will respect you more if your written communication skills are always strong.

The good news is that you already form strong ideas, you just need to put them into a written form properly. Start by writing everything in Microsoft Word first, then running the spelling and grammar checkers before you send any correspondence. Next, you may want to read our posts covering email etiquette. There might be some overall business writing tips you can take from these.

It sounds like you’re well on your way to becoming a great business leader: you’ve clearly identified the major hurdles in your business and you’ve sought advice on how to rectify them – that takes guts and shows your leadership – congratulations. Please keep us posted, we’re dying to know how things work out for you.

 

NY Times Hardcover Business Best Sellers – February 2009

New York Times – Hardcover Business Best Sellers – February 2009

Unlike January’s NY Times list, the February 2009 New York Times Hardcover Business Best Sellers list begins to reveal America’s concern over the economy. While the February list is still void of credible financial survival guides, there are two “the end is near” tomes using the “D” word to (we assume) shock us into purchasing a copy.

 

Paul Krugman’s The Return of Depression Economics and the Crisis of 2008 cracks the Top 5, with The Great Depression Ahead, by Harry Dent coming in at Number 6. These gloom and doom reads come to us from a Nobel Winner (Krugman) and a man whose last book (The Next Great Bubble Boom: How to Profit from the Greatest Boom in History: 2006-2010) predicted the Dow would hit 40,000 in this year. Our conclusion: while we will read neither book, if you plan to read one, we recommend Krugman’s. (Random thought, but if my name was Harry Dent, I’d probably change it.)

 

Number 1 on the Times’ list for the third consecutive month, Outliers could be one of the best books released last year. In this great read, author Malcolm Gladwell poses the question: why do some people succeed, while those with more talent, brains and/or brawn never reach their full potential? For those of us who still think we can grow up to be anything we want, Gladwell’s challenge of our belief in the self-made man is as uncomfortable as it is depressing. Like we do with the rest of Gladwell’s work, the editors of AskTheManager highly recommend this book.

 

After Outliers, the next best read on this month’s list is Number 14’s Panic: The Story of Modern Financial Insanity, by Michael Lewis. In this book, Lewis, author of the must-read Liar’s Poker, provides great insight into many of the economic speed bumps from the last twenty-plus years, from the ‘87 stock market crash and the bursting of the Internet stock bubble, to the recent implosion of the financial markets. This book is highly recommended for any Lewis fan and for those looking for an insider’s unedited perspective into market forces.




 

The Top Five – NY Times Business Hardcover Best Sellers February 2009 (to view the entire list, follow this link):

 

This
Month

 

Last
Month

1

OUTLIERS, by Malcolm Gladwell. (Little, Brown, $27.99.) Why some people succeed — it has to do with luck and opportunities as well as talent — from the author of “Blink” and “The Tipping Point.”

1

2

HOT, FLAT, AND CROWDED, by Thomas L. Friedman. (Farrar, Straus & Giroux, $27.95.) How a green revolution can renew America, by the New York Times columnist.

3

3

THE TOTAL MONEY MAKEOVER, by Dave Ramsey (Thomas Nelson, $24.99.) Debt reduction and fiscal fitness for families, by the radio talk-show host.

8

4

THE ASCENT OF MONEY, by Niall Ferguson. (Penguin Press, $29.95.) A financial history of the world, stressing the link between politics and economics.

4

5

THE RETURN OF DEPRESSION ECONOMICS AND THE CRISIS OF 2008, by Paul Krugman. (Norton, $24.95.) The recipient of the 2008 Nobel Memorial Prize in Economics revises his earlier work from 1999 to reflect current economic crisis.

6

 

Leadership Lessons from Corporate America’s Amateur Lobbyists

Leadership and the Bully Pulpit

Michael Jackson (no, not that Michael Jackson) loves the bully pulpit. AutoNation’s Michael Jackson, we’ll call him the “non-gloved-one,” is everywhere these days. Officially, he serves as the CEO of the largest automotive dealer group in the US. Unofficially, he serves as the primary spokesperson for all curmudgeons who are good with a hammer (so they think everything is a nail).

MJ seems like a great guy – the non-gloved-one is well-spoken in an everyman sort of way – he exudes both a confidence and an “awe shucks” humility that seem genuine. Great traits for leaders.

Character (on the surface) does not appear to be his problem – Jackson, you see, is quite the character. Our issues with Mr. Jackson stem from his inability to wean himself off his love of the camera and microphone; and his incredibly narrow sense of how to fix what’s wrong with the economy.

It’s Not All about the Cars, Stupid

Certainly, it’s as prudent for this Michael Jackson to advocate for the auto industry as it is for that other Michael Jackson to advocate for unsupervised slumber parties at Neverland Ranch. We get it – your shareholders benefit if the auto dealers benefit – that’s your job.




To this end, Mr. Jackson is advocating (in a big, big way) for Congress to dramatically raise the gasoline tax at a time when Americans need every penny in their collective pocket. An increase in the gasoline tax? Are you serious?

Let’s put aside whether or not a gasoline tax increase will help his industry (though we think its benefit would be dubious, at best). Raising taxes in a recession would be disastrous for the economy, driving consumers to spend less and hurting the overall economic health of all retailers (including the health of car dealers) even more.

One could argue that part of the woes his industry faces today were directly caused by the very $4 per gallon gasoline he so desperately wishes would return. Jackson’s argument – that his dealers (and manufacturers) will sell more electric and hybrid vehicles with a huge increase in the gasoline tax – is probably a sound assumption… for the short term.

Leadership is more than a Great PowerPoint Presentation

Like Al Gore’s An Inconvenient Truth, Jackson appears to be crisscrossing the country looking for converts. We are not moved.

We cannot buy-in to his assertions that increasing taxes, especially gasoline taxes, is a good idea for what ails car dealers today. Automotive retailers, unfortunately, are selling vehicles today that are built better and last longer than their predecessors. This is really no different that a few years ago, of course. In 2006, when America’s car dealers sold over 16 million new units, consumers felt good about their present and future situations. They were willing to spend $30,000 on a new car even though their current vehicle was running just fine.

Buying a car in 2006 was a discretionary event; ripe with impulses and emotions. Buying a car in 2009 is a necessity event; driven by the need to get from point A to point B. Increasing the tax on gasoline (or raising any tax for that matter) makes any major purchase a necessity event. We will only buy a new car when it becomes necessary for us to do so; and if we purchased one of the 60 million new cars sold in the last four years, we probably don’t need another just yet.

This is why Jackson is advocating a hike in the gas tax. He believes that we’ll be forced to get rid of that 2006 Hummer once and for all. Okay Mike, once we trade in the gas guzzler for a Honda Civic Hybrid out of necessity, then what?

America’s car dealers, especially AutoNation, need Americans to make discretionary purchases to thrive and survive. Discretionary purchases cannot happen without discretionary income. Increasing taxes decreases discretionary spending; decreasing taxes increases discretionary spending. Sorry to break it to you Mike, but it really is that simple.

America Needs Higher Gas Taxes

From national security and environmental perspectives, we would love nothing more than for America to be 100% energy independent. OPEC, and especially the countries that make up OPEC, concern us. America cannot, over the long term, be dependent on “third worlders” for the growth of our economy.

Once our economy stabilizes, it may make sense to raise gasoline taxes. The revenues generated from these taxes could be used to make necessary infrastructure improvements; and the higher price of fuel, as Jackson notes, will drive consumers to purchase more energy-efficient vehicles. It will also drive them to drive less. All good for the environment.

In a recent podcast available on AutomotiveNews.com, Jackson even jokes that he could eventually become a Democrat with his drive for higher taxes. Really? Hey Mike, we’re sorry to inform you that advocating higher taxes probably makes you the Chairman of the Democratic Party today. Interestingly, in this particular podcast Jackson has moved off of his stance of advocating for the immediate tax increases, and has a newly stated goal of increasing these taxes in 2011 or 2012.

Hmm, then why shout from the rooftops for these increases in 2008 and 2009? Wouldn’t Jackson’s shareholders be better served if he lobbied for something that would actually spur economic growth? Perhaps something like a tax decrease?

As much as we like him, we have to tell this Michael Jackson to stick to moon walking and leave the economic decision making to someone (anyone) more qualified. Great leaders know when to use the bully pulpit and when to avoid it. They also understand that just because someone is giving you a microphone, doesn’t mean you should speak.