Wednesday, July 1, 2020

Transformation - Renovation ???

It is easy to teach and train any pet like dogs when they are puppies. Try teaching and training a mature dog? It takes lot of pressure and pain to discipline the old dog to behave. Trading is no different and it takes lot of sweat pain and money to train old traders to change.

Due to prolong formation years each adult that are active or participating in the financial market will have anomalies. More often it is the attitude and perception that need to RESET and REFORMAT. If one can't do a complete reset or reformat the mental wiring, we end up like renovating and old house to incorporate something new and different. When this happen if not properly done, we might end up with mismatch electrical, civil structure or even insulation between the old and the new.

From my own experience and encounter, the corporate world only knows how to see and talk in the "number lingo". This is the only language that is accepted and considered to be worthy to consider. Outside this "fundamental" parameter, don't even try or bother to discuss with the circle.

The corporate world is caged in this fundamental parameters that anything beyond this is a taboo. It is the system, the years of grooming that entrench one's mind in this corner. More often than not, fundamental approach is not perfect. I would always say that ... fundamental HELPS to screen out which one are SUPPOSE to be good. Sometime it is proven to be immediate and sometime it take a long time and tolerate/bear the pain and patience.

In the manufacturing process, we are only interested in efficiency and productivity. Meaning reliability, accuracy and fast.

If the world is linear and operate in a straight line without cycle than accountants and financial folks need not wait after the purchase. The price will only go in the direction of the entry. More often this purchase or entry will take time to be proven correct. Take time means .. U R WRONG on YOUR TIMING cycle.

Until the world start to seriously open up and consider the other options, the corporate world will never escape the clutch of market cycles. Such failure to anticipate will and can cause castatrophic disaster even risking the demise of the company.

We are not lacking in academically qualified people to manage the companies. We are seriously lacking the talent of people who are both academically qualified and who can incorporate cyclical nature into the business.   

I would even go to the next level to say that the inabilities of companies to prepare for any downturn with the PhD or Prized scholar and highly qualified academic graduates sitting in the management and board levels only prove that these are anomalies and will be repeated for over 30+ years I seen this repeating.

Unfortunately we live in a world where this people rules the companies and we will see this blunders. Either we decide to understand how to track the cycle and embrace it or we will wait for the time bomb to go off sometime in the future again

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