Posts Tagged WSJ

WSJ: New Breed of Business Gurus Rises

Today’s Wall Street Journal has an article titled “New Breed of Business Gurus Rises.” The article discusses a “ranking of influential business thinkers” that “was compiled by Thomas H. Davenport” and “H. James Wilson.” The two researchers use a technique that merges Google search results, Lexis Nexis citations, and academic citations. The top five, from a pre-selected list of 110 people, are Gary Hamel, Thomas L. Friedman, Bill Gates, Malcolm Gladwell, and Howard Gardner.

I would like to know more about the methodology behind the ranking, but I’m skeptical about its quality. For example, Thomas Friedman writes a popular newspaper column that touches on many topics outside of management. I don’t see how a count of his Google hits has much bearing on his management ideas. The article says that the book “What’s the Big Idea?”, written by Davenport and Wilson, contains more information on the methodology, so perhaps the authors account for such issues.

Not to pick the article apart, but it uses this quote to emphasize how managers are tapping into new sources of ideas: “Susan Flygare, a sales-strategy executive at Blue Cross and Blue Shield of Minnesota who has attended speeches by a Harvard-educated stand-up comic, as well as by Messrs. Gladwell and Hamel.” Unless Mrs. Flygare is hinting she saw Conan O’Brien, the h-bomb seems irrelevant.

I am interested in the general topic of mining citations and internet references for influential people within a specific domain of expertise. It would be fun to create a website that returned an ordered list of gurus for any given domain or topic. Perhaps a site like that exists. If so, please point me to it.

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WSJ: David Einhorn

Yesterday I read a friendly feature article about David Einhorn in the WSJ. The article, titled “A New Face Of Hedge Funds Isn’t Shy”, runs alongside a color photo of Einhorn wearing a lucky sweatshirt while he stands among poker tables during a break at the 2006 WSOP. The authors touch upon statements that he’s made as an activist investor, some of his charitable actions, and his avant guard working style.

Einhorn has recently ruffled some feathers by criticizing regulatory organizations such as the SEC. He makes the point that regulators don’t have sufficient incentives to properly scrutinize corporations. For example, he’s quoted as saying “The SEC is run by a corporate advocate, not an investor advocate, so investors are getting a false sense of security.”

I learned a little (emphasize little) about corporate oversight when I prepared for the Series 7 and Series 63. My studies left me with the impression that regulations are largely motivated by periodic financial crises, when Congress is pushed to take legislative action by their screaming constituents. This methodology seems flawed and error-prone. We’re seeing it right now with calls to take action in this credit crisis. I’d like to learn more about the details of corporate oversight because it touches on the intersection of finance and politics.

I also liked the article’s description of Einhorn’s working style. It says that he takes afternoon naps and is usually home in time to have dinner with his family. I envy that working style because I think it engenders a healthy, relaxed style of thinking. I personally know that winning poker players bring that attitude to the table. My guess is that Einhorn’s working style has played an important role in his success on Wall Street and at the poker table.

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