Slip-sliding away...

I hold a Political Science degree from Indiana University. One of the things I learned was the concept of the "Slippery Slope". It's one of those things everyone thinks they know about but it's not quite what they originally thought.

Here's a quick definition: If A happens, then by a gradual series of small steps through B, C,…, X, Y, eventually Z will happen, too. Z should not happen. Therefore, A should not happen, either.

Most academics will tell you that the Slippery Slope is a fallacy--there's no way to be sure that Z will happen until it actually does. And steps B, C and so forth don't necessarily ensure that Z happens either.

But in our world right now I feel my feet falling out from under me. Today at msnbc.com there was a homepage story on Northern Trust Company, which is under fire for events surrounding NT's sponsorship of a PGA Golf Event.

The article describes the "lavish" expenditures on hotels, gifts, and concerts during the tournament. Some in Washington (16 members of Congress in particular) are insisting NT refund to the government the cost of these events because NT accepted funds as part of the Federal Bailout.

The article soft-pedals the fact that NT didn't ASK for Federal funds--it took them because of the goal of securing participation from all major banks in the US. It mentions (albeit on page 2) that NT is actually profitable--it earned $794 million in 2008.

These events were designed to reward outstanding employees and to develop new business.

The Slippery Slope is happening right in front of our eyes-and it materially impacts all of us that make our living by helping Corporate America recognize its significant stakeholders. This is serious stuff and not just grandstanding Congresspeople trying to pile on.

Where does this end? Banks and Wall Street brokerages are easy targets and they haven't done much to reduce their radar signatures. But it's a very short trip from TARP to any other company that takes Federal (or even State) funding. What happens to recognition and incentives when what has been "legitimate" business development activity becomes "extravagant"?

Will it become a PR nightmare to hold an incentive trip? Will the blood in the water cause more politicians to rail against the Robber Barons and see every form of recognition as sending the wrong message? And what of those companies that depend on these events and programs? Like you and me? What are we gonna do?

We need better-gripping shoes, that's for sure--the Slope is changing...


Pete

A case of the Yips

I'm a golfer--and one of the worst diseases you can get (besides the Shanks, which I've had bouts of from time to time) is the Yips. I'm told it's a motor issue, where the muscles in your wrists fire unexpectedly, causing putts to go off line.

Well, I've got a case of the Yips and it has nothing to do with my putting stroke. It's the Business Yips--an uncontrollable spasm that overcomes me every so often. Every time I speak with a colleague about the business, I feel it coming on--a Yip.

I hear about someone who was making their numbers but got let go anyway--Yip. I "dumb down" my forecast for the first quarter yet still struggle to make it--Yip. Clients prepare me for business that will be 5-8% lower than last year-Yip. Sooner or later I'm twitching before I actually answer the phone.

And it's so insidious--an onset can occur with the most innocent conversation. One happened the other day, when I made a snide comment to someone in my organization about "well, I have to provide SOME sort of value". Normally I laugh at my own joke and go on. But then the Yip happened--"what if I can't deliver any value? What if the company doesn't value our business?" Yip, Yip, Yip.

It took me a day to get over being "spun up" over a completely innocuous comment. THAT'S when I realized I had the Yips, and no amount of rational thought would silence them. And go along with my case of the Yips I found I had a relatively serious case of the Heebie Jeebies, and my health plan doesn't cover that--I checked.

The options are plenty. Do nothing and hope I can compensate for a Yip mid-stroke. Change my grip and how I approach the business and hope I can bypass Yips altogether. See a counselor because maybe my Yips are mental, not physical.

All may work, but for the moment I'm gonna get Zen about Yips--they're not bad, or good, they just are. To attempt to "control" them is to participate in the worst kind of folly. So, I have come to some level of acceptance of my Yips. I'm chalking it up to the uncertainty of the market (easily the most uncertain I've seen in my 20+ years of working in it).

It's time to work on those things you can influence and leave the rest to someone above our pay grade. Because once you get the Yips it's really hard to get rid of them, and today's economic situation is not the place to three-putt...


Pete