For Gwen Ifill

October 24, 2010 Dear Ms. Ifill,

Enjoyed Washington Week Friday night. It appears that few of the debates or presentations this season deal seriously with the issues we face as a nation. In many cases, as you noted in Nevada, or in the Delaware debate, the most informative part demonstrated that the candidates are laughable and, under less stressful times, would be disregarded by the electorate.

No one seems to want to ask questions like: What led to the demise of our financial systems and what can be done to repair it? The reasons are many but at the core of it is the decimation of the very laws that defined our institutions’ roles, responsibilities and limitations, which began under Reagan and continued through the first Bush administration, Bill Clinton’s eight years and George W’s two terms and had the active participation of both houses of Congress.

The Obama administration and congressional Dems started repairing the damage and met resistance from the very power structures that taxpayer money helped save and their Republican cronies. The congress should be credited with taking action, not derided as many have been. It is folly to think that we could reinstate the rules and regulations begun under FDR. In fact, we should not. Instead, new rules and regulations that reflect today’s global realities must be instituted bearing in mind the threats to an economy by unrestricted ‘market forces’.

We should ask why our military is spending over $700B annually, 46.5% of global expenditures when the second biggest spender, China, only spends 100 billion, and fifth place Russia spends only $53 billion. (See www.globalissues.org )It should be noted that the defense department themselves admit they have no idea of what they’re buying or what they’re spending.

Defense spending beyond a reasonable point is a non productive expense. That money, used on infrastructure, would be productive and result in returns on investment.

While we’re at it, we should ask why we’re spending monies on armament that does not match up with world realities.

No one asks why we are the world leader in prisons or how those costs are impacting state budgets across the nation. Everyone wants to talk about the state of the nation’s education infrastructure and calls abound for college education for all. But no one points out that the fastest growing jobs and those with the greatest numbers don’t all require college. Further, no one is willing to state that our colleges are failing because they are enrolling students who were not prepared during their first twelve years of education, and to keep those students from dropping out, they are inflating grades. The result is a workforce lacking the very critical skills their degrees imply.

No one is pointing out that IQ measurements have trended upward for decades while measurements of creativity have fallen for over ten years while leading countries are increasing in those very measurements.

No one I know has suggested that not all the lost jobs will return because they have been replaced by technology over the last two years. Jack Welch talked about this very problem in an interview with a business reporter I saw recently on the internet. I leave it to you to find it. I recall, though that he was talking about a multibillion dollar financial services company that had seen sales drop dramatically, forcing the layoff of some 13,000 of the 27,000 person workforce. When business returns, however, he anticipates only a few thousand will be called back due to improvements in process. GE is not alone. Look at the collapse of the job market in Silicon Valley and you’ll find a similar outlook.

No one is looking ahead ten years, when globally there will be another one billion mouths to feed and a huge number of additional workers, with only tens of millions of jobs for them,

No one is talking about the need for the world’s leaders to look at a new paradigm -- for what people will be doing with their time -- productively – to avoid conflicts across the globe when technology usurps their current roles.

None of the candidates has challenged us to answer such questions as what kind of country we want to be, or if our actions both domestically and throughout the world accurately reflect our espoused values.

Lastly, no one has asked the congress why they cannot gather in a semicircle, place before them one problem at a time and tackle it intelligently in a Socratic method instead of taking sides for one-upmanship while their constituents suffer.

Congress has done more positive things in these two years than in the previous eight, in spite of the economic conditions and in the face of serious, mean-spirited resistance, influenced and supported by outside corporate influences. They approved the bailout and, over the ensuing year have been paid back, with interest, by many of the companies that were saved, such as General Motors and financial companies. They extended unemployment benefits for millions of out-of-work Americans in the face of stiff opposition. Left to do their work, the monies that could be generated by repealing the tax breaks for the top two percent of income earners could extend those payments for a while longer, hopefully until some of the jobs return and people realize that they are going to have to lower their standards of living, more than likely permanently. They passed laws to rein in the greed and avarice of financial giants and they passed what is hoped to be a health care plan that, with adjustments over time will benefit all our citizens. Congress have much more to do and not so much time to do it. It is time for all hands on deck. We elected people to tackle unanticipated problems that took years to manifest and then we attack them for not resolving them in an instant. We, as citizens, need to do our part by giving the effective congressmen and women the time to do their tasks.

Joe Malgeri .

These People Are Not Your Friends

In the last two weeks leading up to the mid-term elections, over $250 million will be spent on attack ads to influence a handful of critical house and senate races. The monies are coming from corporate accounts that have no reporting requirements due to the Supreme Court's decision earlier this year.

These people are not your friends. They want to tap your anger and frustration for their own gain. Do NOT let this happen.

Certainly you're mad. So am I. But look at the things this congress did in less than two years:

They passed health care bill that will give insurance to millions of individuals and families who could not get it. Even Bill Clinton could not get that done.

They passed legislation to try to fix the collapsing financial system.

I agree the health care bill is not perfect but most provisions take years to go into effect, so there is time to amend it, not toss it. It is a baseline from which we can build.

The financial system collapsed because the legislation that kept the system whole was dismantled by a number of administrations, from Reagan to the first Bus, to Clinton and the second Bush. This congress took steps under President Obama to correct the sins of the past. Their work was, again, not perfect, but it's a step in the right direction, and they need time to make it better.

Your frustrated -- so am I. You want jobs to come back -- so do I. But Obama did not make this mess and we need to give him time to fix things. The people who are backing Christine O'Donnell in Delaware, Sharon Angle in Nevada, Rand Paul in Kentucky and Carl Palladino in New York are after more than those seats. The want to disrupt government so they can control the issues that most affect their interests. They are not concerned with your rights, or mine.

Be careful who you vote for. This time it's really dangerous. The people spending this $250 million are not your friends and they certainly don't have your best interests at heart. This is not the time to undermine the progress of the last 18 months.

The Bright Side of the Recession

Think about it!

Who cares about the collapse of ’29? You weren’t there. And while you can study it and take lessons from it, you cannot experience it.

But this one you can. This depression is your depression. And you’re feeling the pain at every turn. You’re the one who had to cut staff to the bone. You’re the one who has to manage the finances to hold things together. You’re the one who enters an empty parking lot every day and who sees the faces of your closest associates who are no longer here. You’re the one who has to figure out how to keep the ship afloat – what’s left of it – until the market returns. Well, you’re certainly learning a lot now, and there is more to learn – about opportunities you’ve never had before, opportunities that no other leaders in the history of your company ever had.


With the bulk of your employees gone, you have before you a virtually clean sheet of paper. You can redesign the entire company to prepare it for a true renaissance.

Think about it. Things are stable. You’re wounded, for sure, but you’re stable. Revenues, such as they are, are higher than expenses. You’re at a point where your sales force is pursuing every lead and you are confident that you’ll soon be closing more sales. Now, turn your attention to the things that you wish you could have done but were constrained to do by the great economy that had you running full out: things like revamping the plant, move equipment, literally, to gain greater efficiencies and slash costs; looking at your employees and asking “Do we really have the right people in the right roles?” Are there some people that we should not bring back?”

Sounds mercenary, and you are repulsed by those thoughts.

But there will never be another chance in your lifetime to recreate your company, to make it into the model for the future – and to create the team that will do it.


• Re-Think your past assumptions
• Organization structure
• Assess Jobs and Employees
• Communications/IT/Internet
• Plant and equipment
• Processes
• Affiliations
• Re-write your Future
• Make the Really Tough Decisions
• Execute

Re-Think your past assumptions

Are the markets we serve the markets we should remain in?
Are some better than others and, if so, should we be placing our bets there?
Are there other alternative markets for what we make? (If we make things for the military, can there also be a place for us in the retail market?)
If we private label, is there an opportunity for us to brand ourselves? (Orville Reddenbacher)
Have we been limiting our markets?
What are we truly good at, and where does that fit in today’s market?

Organization Structure
Are we right for the times? (Centralized vs. Decentralized)
Are we sized right?
How do we make and implement decisions?
Are we too closed?
How ‘open/transparent’ are we to customers/suppliers?
Do our internal operations support our needs
Can we do it better?


Jobs and Employees
Are some jobs obsolete?
Have we been fair to ourselves and our employees?
Have we done a global assessment of the workforce?
How do we view training and its timing?
How do we select from prospects for key jobs/critical roles?


Communications/IT/Internet
Are we ‘real-time’ in all areas?
Are we as visible to the marketplace as we need be?
Are we accessible, easy to do business with?
How fast can we share info?
Where are the silos?
Do our communications give us strategic advantages?


Plant and Equipment
How streamlined are we, really?
Can we be better?
Is it time to change out equipment?
Is outsourcing right for us instead?

Processes
Are we doing things right, or are there better ways?
Can we do things radically different?
Are we challenging ourselves enough?
Do we think like investors?

Affiliations
Are we suppliers or partners?
Can we strengthen our supplier relationships?
Can we integrate into the supplier chain?
Do we complement our customers strengths?

In an attempt to minimize my participation in the depression of 2010, I just completed a fictional novel about women realizing their power to control their own destinies. It's titled The Interview. The story takes place in the current economic/social environment, with all the attendant pressures.

I am thrilled at the results and reinforced by the feedback from those with whom I have shared it. Now comes the challenge to market it. There are so many more choices. I can find an agent, send it directly to publishers, use publish on demand services like amazon.com. I can put it on the web and hopefully drive traffic to my website. WOW! All these options.I am even considering offering it to industry trade magazines to run as a monthly serial.

There are so many ways that you and I can make money on the internet, it's mind boggling. I sat with some brainiacs last night, and with another set this morning, and my head is reeling at the possibilities. I suggest that if you are looking for a way to market your products, you go to www.thirtydaychallenge.com and sign up for their training program, which is FREE! I signed up today and completed their first day's instructions, which include establishing a twitter.com account and a few easy-to-do projects. Tomorrow I will follow the next set of directions. I'll keep you posted on my progress.
Let me ask you this: "What do you know that others don't?" Think about this in the context of the industry you're in or the service you provide.T The answer to that question could be your ticket to financial freedom and an unending supply of work. No kidding.Let me know if you want to find success in an environment where you're afraid of losing your financial nest egg and having to move in with friends or family.

The Gift Giver

Christine Reilly is a very creative woman. She employs her talents as a designer to create craft kits for sophisticated bead crafters. She is also a paid presenter.In October, she did a two day presentation/training program for the Embroiderers Guild in Birmingham, MI. She spoke to an audience of some sixty embroiderers about her twenty- plus year journey in the business and she shared many life lessons along the way.

During the day and a half training component, Christine taught her students a number of unique stitches they can now apply to their embroidered creations.

Here are some of the products for which she has kits available. You'll find more at www.fireflybead.com. You can contact Christine at firefly@fireflybead.com

Consider this

John Bridges sat quietly in a booth in the Jersey Girl restaurant, a place he’s grown accustomed to over the last few months since his schedule changed. He stared into the bright sunshine coming through the plate glass window, seemingly unaware either of its brilliance or its warmth. He barely noticed the coffee cup his hands were wrapped around. A weighty sadness lingered within him, a feeling he could not shake.

“So many people wandering around aimlessly, so much confusion, “ he thought to himself. “I am one of them. Look at us. We’re out of work, We’ve all lost our jobs and our identities. I've lost my identity. How do I get it back? How do I create a new one?

“When I had a job, I had an identity. I was my title, I had power, I had authority, I had the respect of my peers, my staff and my upper management. I had roles at home, too. I was a parent, I was a spouse, I was a provider, I was a lover.

“Now, without a job I am not the provider. I no longer have a staff, a position of power or an identity. I wonder where it went, and why. We did nothing wrong. But the job is gone, and I am lost.

“I have a harder time being the parent (sometimes I even behave like a child) and I have difficulty filling the role of spouse. My wife is all these things now. She has the only income, the kids ask her their questions about what they can and cannot have. She does her best to explain that my job is gone but they don’t get it, not really. I am a fixture.I am a house husband. I clean, do laundry and cook frozen dinners. Linda never complains but the kids miss their mother’s cooking, which is now reserved for weekends.”

In life, it’s not what happens, it’s how you deal with it. Millions of people are out of work, in the worst financial crisis since the depression. And people’s responses to this crisis are much the same as then. Some stand by silently while their homes are repossessed. Their children go off to visit relatives for an undefined period. The unknown future is met with pessimism, unlike the optimism that used to invite us forward. We dreamt of brighter futures but no more. What lies ahead scares us, and we are visited by images of calamity.

I repeat, In life, it’s not what happens, it’s how you deal with it. And there are many among us who look the recession in the eye and say, “I choose not to participate.” As you read this, you may find that you can be one of them, that you can regain your confidence and shrug off that illusion from the past, that you were your job. There is hope for you in so many diverse ways, the only way I can make it clear is to share with you examples of others who, facing similar circumstances, made conscious decisions to move ahead to a better life.

Here are some of their stories, in serial fashion over the days and months ahead. We begin with John Hinkle.

John Hinkle moved from New York to Morristown, TN. With monies he borrowed from his grandfather, he opened Hinkle’s Cart of Weenies, a hot dog stand specializing in New York hot dogs, imported from the Bronx.

That’s him on Morris Boulevard, one of the busiest roads in town. Sales vary between $200 and $1,000/day. He sets up shop six days a week from 11:00 a.m. to 3:00 p.m. Two dollar hot dogs are popular during recessionary times, and they’re in demand in good times. For five dollars, he’ll sell you a book on how he did it, the factors to consider, the equipment he uses and the sources of his products.

Could you do that? Don’t discount the idea. It may not jive with your self image but you’ll like the money – and the hours. And, as it grows and the economy turns around, you can always sell it.

Come back tomorrow, I’ll tell you about Frank. His business went bust, the victim of a Ponzi scheme. He’s teaching people how to make money in the market -- @ $2,000 per person for a week long course.