As I was scanning my daily reading pile on Friday, an interesting article caught my eye.

The Essential Hallmarks of a Good Leader.  By Jamie Dimon.  Yes, the London-Whale Jamie Dimon. 

Mr. Dimon is often criticised.  He's seen as arrogant. As an example of Wall Street excess.

Jamie Dimon. (Photo courtesy of Steve Jurvetson, Wikipedia)

What are some items from his list?

Fortitude

This attribute often is missing in leaders: they need to have a fierce resolve to act. It means driving change, fighting bureaucracy and politics, and taking ownership and responsibility.

Ability to face facts

In a cold-blooded, honest way, leaders emphasize the negatives at management meetings and focus on what can be improved (of course, it’s okay to celebrate the successes, too). All reporting must be accurate, and all relevant facts must be reported, with full disclosure and on one set of books.

Morale-building

High morale is developed through fixing problems, dealing directly and honestly with issues, earning respect and winning. It does not come from overpaying people or delivering sweet talk, which permits the avoidance of hard decision making and fosters passive-aggressive behaviors.

I'll leave you to read the rest.  Again, I thought it was spot on.

***

Ladies and gents, mark your calendars! Visit this link to see a complete line-up of NAFCU's 2014 in-person conferences. You'll be able to sign up for them soon. For now, I just wanted to get these to you to place on your calendar.  

A few months ago, I shared the 10 Irrefutable Laws of Management.  Since scribbling those thoughts down, more of those pesky "irrefutable"laws have surfaced.  Now, I could have integrated the new laws into the old list.  But that would have taken some effort.

5 laws...5 puppies. A stretch? Perhaps.  A cute photo?  Certainly. 

So, here goes...

1.  You haven't seen it all.  Experience is grand, and historical trends are wonderful.  But no matter how much experience you have, and how clear the trends develop, there will be new, unexpected things that will fill your plate.  Like yesterday, when a colleague told me that a car ran into NAFCU's building.  No joke.  Luckily no one was hurt.  Now, I could have uttered the phrase..."Now I've seen it all."  But that only would have tempted the Gods to throw another lightning bolt or two our way.  

Like I said, I wasn't kidding. 

As for trends, I always think of one of my favorite passages from one of my favorite books, A Walk in the Woods.  The author, Bill Bryson, is about to start hiking the Appalachian Trail.  Before beginning a new adventure, he always does something peculiar.  He researches everything that might kill him on the journey.  As he thought about hiking in the woods, he worried about bear attacks.  Folks tried to reassure him with trends.  Trends Mr. Bryson didn't buy. 

And how foolish must one be to be reassured by the information that no bear has killed a human in Vermont or New Hampshire in 200 years? That's not because the bears have signed a treaty, you know. There's nothing to say that they won't start a modest rampage tomorrow.

As my grandpa always said, every dog starts off not biting people.  Trends predict the future.  Until they don't. 

2.  You might not believe this, but people have good and bad days.  A colleague may be short with you. They may fire off a testy email.  Or two.  They may seem distant.  Well, stuff happens. Maybe she's having problems on the home front. Maybe one of his twins screamed the entire way from Boston to Washington, D.C, and your colleague is still dealing with the stress.  Maybe their favorite baseball team is underperforming. In any event, people have good days and bad.  Factor that into your assessment of them, and cut folks some slack. 

3.  It is very unlikely that it is always "their fault." A friend of mine had a terrible time dating women.  Every date was a disaster.  Every.  Single. One. Over a beer one evening, I casually offered up a thought: perhaps he had something to do with the problem.  If you are always in the middle of problems, and you think it is always someone else's fault...you are either very unlucky, or somewhere on the international scale of delusion.  

4.  You get what you want.  Sure, there's always trouble. But there's great stuff as well.  Like a colleague who nails a Microsoft certification.  Or a member service representative who knocks it out of the park. I find that people find what they are looking for in life.  As a manager, you will need to deal with trouble. But never forget to celebrate the good stuff that comes along as well.  And I promise you this: If you look for good stuff, you might be surprised by how much of it you find within your colleagues. 

5.  Chances are, what you are stressing about is likely not a big deal. Do me a favor, and look back at the last 10 or so times when you were really stressed about some work-related problem.  Now, looking back, how many of them turned out to be career-enders?  How many of those problems brought down the ship?  My guess is that you found a way to deal with those problems.  You worked your way out of them.  You found a solution.  So...stop stressing. And start thinking about how to solve that problem. You've done it before.  You can do it again. Granted, this rule doesn't always work. Sometimes, business ideas flop. But I've found that to be the exception.  But in any event, stressing about a problem is not as effective as looking for the solution. 

***

So there you have it.  Five more irrefutable laws of management.  I hope you'll forgive the lighter post today. I needed the change of pace. I mean, a car practically tried to take us out this week. 

Have a great weekend, everyone.  

All companies do well.  Until they don't. 

Most companies form around an idea.  That idea solves a problem. And people will pay for that idea. 

But time marches on, and problems morph.  That original idea slowly becomes less valuable.  And so does the company.

But this rarely happens overnight.  It is a slow, gradual deterioration.  

Usually, companies respond to sagging sales by tightening their belt.  The work harder.  Faster.  All the while, the ground under their very feet is growing less stable.  Their idea is fading.

I've seen it over and over.  Companies refuse to change, until they see the hangman's noose.  

Once the noose is in sight, change agents spring to life.  Pending doom makes strategic decisions simple.  Change, or go away.  Issues that once paralyzed an organization are swept away in a desire to stay in business. 

If you want to see this idea in cinematic form, watch this YouTube clip.   Danny DeVito plays a character who wants to liquidate a company.  He stands before a hostile shareholder's meeting, and tells them the cold, hard truth.

We're dead. We're just not broke.

And you know the surest way to go broke?  Keep getting an increasing share of a shrinking market. Down the tubes.  Slow but sure.

You know, at one time there must have been dozens of companies making buggy whips. And I bet the last company around was the one that made the best (expletive) buggy whip you ever saw.  Now how would you have like to have been a stockholder in that company?

Too many companies wait until pending doom to make big changes. Not all, but far too many.  They drag their feet on big strategic problems until it might be too late.

What a waste.

Now, do me a favor.  Take out two pieces of paper.  

On one, sketch how your credit union would be designed if you were starting it from scratch.

On the other, write down a list of things that you'd start doing/stop doing, if pending doom were staring you in the eyes.

Now, look at the things on those sheets of paper.

What in the world are you waiting for?

Yesterday, I asked you what advice you'd give a graduating class.  And many of you responded!  Here's the advice you gave...

• Today you asked if we had advice for graduates.  I was so very fortunate to be able to give a speech at my high school graduation.  I planned that from the moment I stepped in the doors of my high school my freshman year.  My goal was to be the Senior Class President for no other reason than I wanted to speak to my classmates – whom I had gone to school with since kindergarten – on that very special day.  Even given the thought I put into that speech - strangely enough, I wrote it on Sunday between church and Commencement.  That wasn’t typical of me – I normally was well ahead of task.  As I look back now, I really was ahead of task.  I worked on the speech for four years.  I just didn’t put it on paper until a couple of hours prior to speaking.  So my first piece of advice would be to recognize the work we can do every day that might not be written down, recorded, or even recognized.  That work is still very important and can do as much for us as any high profile, well-executed project or plan.
• My mother was mortified when I began my speech with “Good Afternoon.”  That was not what a speaker at Commencement was supposed to do!  It was a given that my speech should have started like this: “Graduates, faculty, parents, and honored guests……”  Well I didn’t do that.  Even so - every class reunion I have been to since that day (going on 25 years) I have had at least one classmate tell me that they remembered my speech and sometimes - even in these later years – they have thought about it.  So my next piece of advice is to blaze your own trail because it will make an impact as long as there is passion behind your motives.  Don’t throw tradition out the door, however.  There is great value in tradition.  But shake it up once and awhile and find a good balance.
• Things will never make you happy.  Spend your time fostering relationships, not acquiring possessions.
• Listen to what your grandparents and parents told you. Follow your heart, but don’t forget what they told you. There’s probably no one in the world who loves(d) you more!
• It’s hard to choose just one or two pieces of advice but I would advice a graduating class to remember that we are all human and we all make mistakes. Learn from them and try not to make the same mistake – or something even close to the same mistake – again. If someone else made the mistake, give them some slack where possible. If you were the one who made the mistake remember how you would want to be treated and treat that other person in the same manner.
• The graduation speaker was one of our teachers, Wayne Barham, a war veteran.  He told us that we should take time to “stop and smell the roses” once in a while.  I have never forgotten his words.  I can tell you that others that were there that day criticized him for his words.  They felt that a commencement speech should be rah, rah and inspiring and challenging. So here I am today 41 years later.  Wayne is also still alive.  Maybe we didn’t solve world hunger.  Maybe we didn’t discover a cure for cancer.  But I do feel that I am a better person for having taken Mr. Barham’s suggestion. In today’s fast paced world I think we all too often don’t take time to stop and smell the roses.
• (From a reader who just gave a commencement speech to a group of 4th graders.) I told the students about my mother who was born in 1911.  My mother told me and my siblings and anyone else that would listen about when she was in grade school and the teacher left the class room one day.  The teacher came back into the room a few minutes later by herself.  She told all the student that a new child would be joining their class that day.  The teacher went on to say that the new student was a black girl. (In the early 1900’s where I was from -this was a rarity.)   The teacher told the students that she expected this new girl to be treated with respect.  She expected that she would be invited to play and be a part of everything that went on in the class. If there is one thing I remember about my mother is that she treated everyone with RESPECT and DIGNITY.  I told the students that I felt that they should treat everyone with RESPECT and DIGNITY. I told them that we hear all the time about bullying in schools.  I told them that bullying comes about because we don’t treat our classmates with the respect that we should. My commencement address was probably only 2-3 minutes in length.  Will my students remember what I said?  I can only hope so.  I can tell you that the teacher had them prepare “thank you” notes for me.  The notes were prepared before I gave me speech, but I do believe, from reading these notes, that I did affect their lives in some small positive way. I will continue to promote respect and dignity at every chance I get.  
• Do not let others dictate the course of your life.  Never be afraid to try something new.  Think past your experiences and plan past your tenure.  And finally love with all your heart-- your life, and your family and your friends.
• Life is a team sport - and not everyone can be the captain; it takes groundskeepers to make the field ready and to mark the lines, it takes coaches to prepare and mentor the team, it takes the medical team to stand by ready for an injury, it takes a variety of team players to compose the team, and the water boy is probably the most important - he stands ready to run onto the field with water or a towel to provide sustenance for the team (he has to be quick about it and will probably never be acknowledged for his contribution), and cheerleaders - we can't forget them, they keep the "happy energy" going, even when it's their team losing - they have cheer and inspire the team and the crowd to keep up the fight.  So, be a team player, be a water boy, a cheerleader, a medic and maybe the captain - be mindful of what it takes to put the game on.
• I think Tim McGraw’s song (whether you are a country music fan or not) said it pretty well.  “Live like you were dying”.  Don’t always wait “until” – until we have more money, until we retire, until the kids are older, until the time is right...  You never know when you will run out of “untils” and when you do, it is too late to change anything.  Spend time with parents, relatives and friends because they won’t be around forever and while people don’t live forever, memories of them can.  Live a life that you will be able to look back on and be proud of.
• My contribution to the Graduating Class would be (words of wisdom from my mother): work at something you love.. and you’ll never work a day in your life.  When the world around you is grumbling and despairing about another day at work, you’re looking forward to the challenges that await.  But (and this is a big one), remember that no matter how much you love your work try to keep a balance in life; because on your death bed you’ll never regret not spending more time at work but rather the time not spent with family or on that never taken trip.
• Enjoy this time in your life, have fun, make mistakes and learn from each of life’s experiences.  Work hard to achieve your goals in life and in love and be happy where you are in each phase of your life.  Always be honest with yourself and with others.  Know that it’s okay to ask for a hand up but don’t look for handouts, be your own person.  Independence is self-reliance, self-responsibility, it’s empowering, it provides you with the freedom to make choices in your life, to discover and to turn dreams into reality.  And, that’s something to be proud of.
• Don't burn your bridges!

Wow.

Many thanks, everyone.  Now, on that note, let's make this weekend count!

Two of my nephews graduated high school this year.  I'm proud of what they've done, but I hope they understand that their days of learning, conquering challenges and making progress have just begun.

My hometown's graduating class of 1930. 

Quite a few famous people give commencement speeches.  Here are two good ones. 

Federal Reserve Chair Ben Bernanke gave a nice speech at Princeton. Here are a few snippets:

The poet Robert Burns once said something about the best-laid plans of mice and men ganging aft agley, whatever "agley" means. A more contemporary philosopher, Forrest Gump, said something similar about life and boxes of chocolates and not knowing what you are going to get. They were both right. Life is amazingly unpredictable; any 22-year-old who thinks he or she knows where they will be in 10 years, much less in 30, is simply lacking imagination. Look what happened to me: A dozen years ago I was minding my own business teaching Economics 101 in Alexander Hall and trying to think of good excuses for avoiding faculty meetings. Then I got a phone call . . . In case you are skeptical of Forrest Gump's insight, here's a concrete suggestion for each of the graduating seniors. Take a few minutes the first chance you get and talk to an alum participating in his or her 25th, or 30th, or 40th reunion--you know, somebody who was near the front of the P-rade. Ask them, back when they were graduating 25, 30, or 40 years ago, where they expected to be today. If you can get them to open up, they will tell you that today they are happy and satisfied in various measures, or not, and their personal stories will be filled with highs and lows and in-betweens. But, I am willing to bet, those life stories will in almost all cases be quite different, in large and small ways, from what they expected when they started out. This is a good thing, not a bad thing; who wants to know the end of a story that's only in its early chapters? Don't be afraid to let the drama play out...

I'm not going to tell you that money doesn't matter, because you wouldn't believe me anyway. In fact, for too many people around the world, money is literally a life-or-death proposition. But if you are part of the lucky minority with the ability to choose, remember that money is a means, not an end. A career decision based only on money and not on love of the work or a desire to make a difference is a recipe for unhappiness....

Nobody likes to fail but failure is an essential part of life and of learning. If your uniform isn't dirty, you haven't been in the game....

As far as I'm concerned, the Fed hasn't issued better guidance in a long time.  And there's this from Sal Khan, who addressed MIT's graduation last year.

Imagine yourself in 50 years. You’re in your early 70s, near the end of your career. You’re sitting on your couch, having just watched the State of the Union holographic address by President Kardashian.

You begin to ponder your life. The career successes, how you’ve been able to provide for your family. You’ll think of all the great moments with your family and friends. But then you start to think about all of the things you wished you had done just a little differently, your regrets. I can guess at what they might be.

Sitting in 2062, you wish that you had spent more time with your children. That you had told your spouse how much you loved them more frequently. That you could have even one more chance to hug your parents and tell them how much you appreciate them before they passed. That you could have smiled more, laughed more, danced more and created more. That you better used the gifts you were given to empower others and make the world better.

Just as you’re thinking this, a genie appears from nowhere and says, “I have been eavesdropping on your regrets. They are valid ones. I can tell you are a good person so I am willing to give you a second chance if you really want one.” You say “Sure” and the genie snaps his fingers.

All of a sudden you find yourself right where you are sitting today. It is June 8, 2012, at Killian Court. You are in your shockingly fit and pain-free 20-something body and begin to realize that it has really happened. You really do have the chance to do it over again. To have the same career successes and deep relationships. But, now you can optimize. You can laugh more, dance more and love more. Your parents are here again so it is your chance to love them like you wished you had done the first time. You can be the source of positivity that you wished you had been the first time around.

If I had to give advice?  I'd probably tell new graduates that, as counter-intuitive as it may seem, the more you focus on others, the better off you'll be.  Focus on what your colleagues need and you'll get a head at work.  Focus on what your members need, and you'll get more success at your credit union. Focus on your famiy...you get the idea.

So, faithful readers, I ask you a favor.  What would be your advice for a graduating high school or college class?  Send me an email or leave a comment, and I'll compile the results.

Have a great weekend, everyone.

There's a relatively new television show that has hooked me.

Longmire.  

The A&E series is based on series of books by Craig Johnson.  The protagonist of the books and television series is Sheriff Walt Longmire, who serves and protects the beautiful and fictional Absaroka County, Wyoming.

                                     Photo from A&E.com

The trailer  (Youtube.com 30 seconds) for season two caught my eye recently.  As the video concludes, Sheriff Longmire exits his truck, rifle in hand.  A deputy asks if trouble is coming.  Longmire nonchalantly replies...Trouble's always coming. 

Longmire isn't complaining when he says it.  And he's not paranoid, either. Rather, he's the ultimate realist. There will be trouble coming. For Longmire.  For NAFCU. For your credit union.  I guarantee it. 

In year two of my new role at NAFCU, I'm starting to realize that there's always trouble. Problems. Threats.  I'm slowing getting used to it.

It isn't a bad thing. It is a simple fact of life.

So, trouble's coming.  The real question is this: What are you going to do about it?

***

For those of you heading to Boston this July, you might consider having a cold one at the Bell-In-Hand Tavern, which is near Faneuil Hall. It is America's oldest tavern.  Operating since 1795.  I love the place.  Any time you can mix history and an ice-cold beer...well, let's just say that works for me. 

Every business wants to innovate.  You want to stand out.  To create a "wow" factor with your customers. Or members. 

This article by Kaihan Krippendorff highlights the five personality types that kill innovation.  The scary thing is this: as much as I like innovation, I can look back in my career and remember when I fit into each category.  

What are those five types?

1. Mr. Practical
2. Mr. Obvious
3. Mr. Expert
4. Mr. What Works
5. Mr. Cog

Please read the article, but here's a taste.

Mr. Expert
After seeing a new area to explore, you team must then create potential solutions. The more possibilities they create, the greater the likelihood they will find a fourth option. But inevitably someone emerges to cut off their flow. The conversation devolves into a pattern of “What if we did this,” followed by, “We’ve tried that before.” Mr. Expert has seen it all and needs to prove it. His cup is full and cannot fit new ideas. He cannot accept the idea that a group of novices could sit down and find an elegant solution to a problem that he and his expert peers have struggled to solve for years. So, consciously or unconsciously, he won’t let that happen.

Unfortunately, I've been Mr. Expert before.  I'm not proud.  And like I said above, I've been the other four as well.  

So, here's today's homework.  Read Kaihan's article.  And before the next brainstorming meeting, look out for the five killers of innovation.  

Mr. Krippendorff himself.

Kaihan will keynote NAFCU's annual conference in Boston.  And he'll be signing his best-selling book in our Solutions Expo. I hope to see you there.  

I'll make three presentations myself, including 20 ideas in 90 minutes on July 9. 

This article points to a possible new trend for U.K. executives.

They are calling it quits.

A handful of high-profile CEOs in the U.K. recently have resigned, and not under pressure from their boards. 

While the rising financial rewards of running a modern multinational have been well publicised, executive recruiters say the pressures of the job have also been ratcheted up in recent years, and not just because of the tough economic times.

"The reality is it's gruelling. It's really tough, and there comes a point where you don't want to do it any more," said Ian Butcher, who headhunts board-level and senior executives for MWM Consulting.

"The quarterly reporting, the governance, the regulatory aspects, it just becomes very wearing - the level of scrutiny, the pace at which things are moving, the short-term nature of how people look at any given situation. Even over the past five years these things have made CEO a tougher position to hold, and the travel that people have to undertake in these jobs - it's just something they run out of steam on."

"I just want to be master of my time for some time," said Richemont's Rupert.

For years, we've read how recent college graduates seek work-life balance.  Is that trend moving up the ladder?  Or is this story just that...a story, and not a trend.

Thoughts?

Have a great week, guys. 

I bet there is a hidden innovation or two...right in your kitchen.

Do you see it?  It is the lock tab, located at at the end of most containers of plastic wrap. I never noticed it before yesterday, when I read this article.

Say goodbye to the endless toil and frustration of the roll coming out of the box as you pull. Or the roll flopping around the box, especially as it shrinks, and floating up against the cutting blade as you pull, causing you to clutch and bend the box to hold it in place.

How many of you knew of them?  I hadn't.  Neither did Mandy, my wife.  Kate and Briggs hadn't seen them either.

It makes you wonder...does your credit union have hidden tabs?  Some innovation, product or service that you rolled out to your members...and one that many members have missed completely.

***

Ladies and gents, meet the Walkie Talkies, NAFCU's new walking club.  This is a shot of their first outing.  A while ago, we decided to promote healthy living at NAFCU, and some of my colleagues thought this up.  They'll meet a few times a week, walk, and talk.  I think they'll even track miles walked and calories burned.  If I can get my act together, I'll join them next time!

I just ran the numbers, and it cost NAFCU a grand total of $0.00 in hard dollars to roll this out.  You may recall that I wrote about the power of walking a while ago.  If you haven't seen the video about walking, you can see it here.  Powerful stuff!

***

Have a wonderful Memorial Day weekend, everyone. 

Memorial Day is a day of remembering the men and women who died while serving in the United States Armed Forces.^[2] Formerly known as Decoration Day, it originated after the American Civil War to commemorate the Union and Confederate soldiers who died in the Civil War. By the 20th century Memorial Day had been extended to honor all Americans who have died while in the military service^[3]. ...

Many people visit cemeteries and memorials, particularly to honor those who have died in military service. Many volunteers place an American flag on each grave in national cemeteries.

While at NAFCU's Board of Directors and Supervisory Committee Conference, a speaker uttered one of those simple sayings that describes a solid business practice.

"Hire hard.  And then manage easy."

It can be easy to dismiss such things.  They seem too simple.

But buried inside those six words above is a ton of wisdom.  Spend your resources finding the right employees.  And then let them do their jobs.  Sometimes, organizations do the complete opposite. 

So, a few questions about..."Hire hard.  And then manage easy." 

Do you agree?

If so, on a scale of 1 to 10, how well do you execute that idea? 

Have a great week, everyone!

***

Final member-only call-in with Fred Becker June 13
NAFCU President and CEO Fred Becker will participate in his final member-only call-in Thursday, June 13, before retiring in July.

You'll have direct access to NAFCU leadership as they deliver a "Washington Update."  Give us 45 minutes, and we'll get you up to speed. We promise.

Also participating in the call will be Executive Vice President of Government Affairs Dan Berger, General Counsel and Vice President of Regulatory Affairs Carrie Hunt, Vice President of Legislative Affairs Brad Thaler, Director of Regulatory Compliance Steve Van Beek and Chief Economist David Carrier. Although the call is free, members must register to participate.