1. Monday, May 14th, 2018
    compounding knowledge

    Some thirty-five years ago, I wrote a project report for an entrepreneurship class, dealing with the proposed creation (by me) of Idea Consultants, Inc.  Its purpose was “to provide organizations with advice on dealing with ideas and issues,” within the conceptual framework of “idea management.”

    The concept of idea management is still out there, but it’s much more common to hear about the broader notion of “knowledge management” (which yields fifty times more Google search results).  And, while knowledge management isn’t a hot topic among investment organizations, it should be.  Thus this posting.

    The best place to start investigating the concepts is a paperSSRN | “Knowledge Management in Asset Management” is the somewhat redundant title, although appropriately so. from Eduard van Gelderen and Ashby Monk.  They argued that “a skillful asset manager maintains and creates superior knowledge and knows how to apply that ... continues

  2. Saturday, March 3rd, 2018
    the culture factor

    The cover of the January-February 2018 issue of Harvard Business Review announces the theme of five pieces within it, “The Culture Factor.”Harvard Business Review | The authors are Boris Groysberg, Jeremiah Lee, Jesse Price, and J. Yo-Jud Cheng.

    As befits HBR, the content is aimed at the leaders of organizations, to aid them in analyzing and shaping culture.  So, those of you in charge at asset management organizations or investment advisory firms or institutional asset owners can apply the information to your domains.  Where would you plot your culture within this simple framework?Spencer Stuart | Two of the authors are from Spencer Stuart, which developed the concept.


    Is your assessment an accurate reflection of where the culture is today or is it more aspirational in nature?  Is the particular placement on the axes of flexibility versus stability and independence versus interdependence conducive to attaining your goals?

    For this posting, however, I want to switch ... continues

  3. Monday, January 22nd, 2018
    a cycle called yourself

    Fifty years ago, in the summer of 1968, Robert Pirsig went on a motorcycle trip with his son Chris that took them from Minnesota to California.  Six years later, Pirsig’s account of that trip, Zen and the Art of Motorcycle Maintenance (ZMM), was published, after being rejected more than a hundred times by other publishers.

    The author’s note at the beginning of the book reads:  “What follows is based on actual experience.  Although much has been changed for rhetorical purposes, it must be regarded in its essence as fact.  However, it should in no way be associated with that great body of factual information relating to orthodox Zen Buddhist practice.  It’s not very factual on motorcycles, either.”

    It’s not even really a book about Zen — there are only fifteen uses of that word, nearly half of them in one paragraph — the subtitle, “An Inquiry Into Values,” better reflects its purpose.

    Motorcycles and their maintenance ... continues

  4. Sunday, January 14th, 2018
    analysis itself

    In an earlier dispatchthe research puzzle | It was called “searching for quality.” in this series of postings inspired by Robert Pirsig’s Zen and the Art of Motorcycle Maintenance (ZMM), I wrote about his quest for Quality (with a capital Q) being the main focus of the book.  But at one point he wrote, “The subject for analysis, the patient on the table, was no longer Quality, but analysis itself.”

    You might say that this blog, soon to be ten years old, is also concerned with analysis itself.  Whether dealing with investment decision making or industry practice or the workings of organizations, its focus has been about the “how” (rather than the “what,” which is the normal fare for most financial industry commentary).  I found that ZMM gave me much to ponder in that regard.

    In this penultimate posting of the series, I’d like to emphasize a few of the ideas from the book that relate to the analytical process.

    Some of them I ... continues

  5. Tuesday, January 9th, 2018
    getting unstuck

    In Zen and the Art of Motorcycle Maintenance (ZMM), Robert Pirsig wrote about “getting unstuck” from the “gumption traps” and other impediments that prevent us from moving forward.  However the “stuckness” comes about, we need to free ourselves from it.

    Pirsig on that stuckness:  “This is the zero moment of consciousness.  Stuck.  No answer.  Honked.  Kaput.  It’s a miserable experience emotionally.  You’re losing time.  You’re incompetent.  You don’t know what you’re doing.  You should be ashamed of yourself.  You should take the machine to a real mechanic who knows how to figure these things out.”

    You’ve probably been there.  I certainly have.  Not with a motorcycle that needs fixing, but with other problems.  It’s a miserable feeling.

    I’ll return to the theme of personal change and growth in the last posting of this series on ZMM.  For now, let’s look a bit more ... continues