Well, hello there my loyal reader.
Happy Sunday to you and it’s been a little while since I dove into the diabolical and fascinating world of corporate politics. So today I’m back at it, looking under the hood of what it means to slowly climb one rung after another on the infinite corporate ladder.
I’ll start by making an observation that I have seen to hold true over the years. You can either agree or disagree or dissect it in whatever manner you see fit. All the more banter and squabbling, all the merrier fun for some Christmas spirit! Muwahahaha!
Here’s my timeless observation:
The higher you climb the corporate ladder, the less you know.
Uh oh, did I just let the cat out of the bag? Hahahaha. I can just picture now all the corporate directors, VPs, presidents and CEOs cringing as they read that.
How dare Q-FI say that! In fact, it’s the opposite, the higher we climb the ladder, the more we know! We are the ones in charge! Don’t you know anything little man?
Let me throw out a small caveat first. Yes, the higher you climb the corporate ladder there are some things you know more about. You have better access to particular areas like financials and personnel decisions, but regarding the company as a whole, no, you do not.
I work on the strategy side of M&A and due to the nature of my work, not due to any kind of power or authority (well… there is a little power and authority, or I wouldn’t be in my position), I have access to information that many people with a higher pay grade than me do not. When looking at acquiring companies or divesting our own business lines/divisions, only the CEO and a select few other EVPs have knowledge of these proceedings. Everything else is treated with the strict confidentiality it deserves.
So even though division presidents and VPs are currently calling the shots in their areas of control, this illusion of authority can be very misleading. All it takes is one deal to go through that they are entirely unaware of, and they’re out of a job just the same as the entry level worker.
I say this because this is what I’ve seen. I’ve watched them come and go over the years like the replaceable widgets that they are. It’s nothing personal, it’s just business. This is the corporate revolving door, no one is safe, and only the lucky survive (and survival does come down to luck, NOT SKILL, no matter how amazing you think you are).
The second problem with the higher you climb the company ranks, is that people no longer tell you the truth. They tell you what you want to hear and what will save their job, not what is actually happening.
With your ascendant rise to the top, like the glorious supernova that you are, fending off your foes like some galactic battleship, there are some unfortunate side effects. The stench of power now dictates people’s responses toward you more than any of your actions ever will. You have become immune to this smell yourself, now that you bask in it indefinitely, but regardless, it’s the new lenses you are judged by. People treat you differently, more cautiously, smile more in your presence no matter how approachable or humble you actually are.
(Sidenote – I was planning on intertwining the topic of power in this post as well, but alas, this bad boy is already way the fuck too long, so my next piece in corporate-isms will address it as a follow-up.)
Of course, no one in that position of power wants to believe this. I mean, even I wouldn’t want to.
What a devastating shot to a bigwig ego that people are merely assuaging them like some pompous king on a throne. Simply putting up with them until the next prince in-line replaces them. Nodding and agreeing with their decisions as if they’re the smartest person in the room, while secretly counting the days until the next succession like a child counting the fingers on their hand.
Not quite the rosy picture we like to paint for ourselves, which sure as hell doesn’t make commuting into the office everyday sound so appealing.
And I hear the uproar of opposition erupting from those in power like words of molten lava spewing from a deranged volcano; grappling, wrapping and strangling logic as if it were some demon of the apocalypse…
NO NO NO Q-FI! You have it all wrong. That can’t possibly be the truth! My lieutenants have been in the trenches with me. They are allowed to speak freely. We promote open discussion and opposition. We argue opposite views of opinion and come to the right decision collectively, equally and respectively. We are a diverse group that I have handpicked without bias! We are not just coworkers; we are truly friends!
The whining reads like some bloated and mishappen mission statement found in a worthless 10K report. Empty and deceptive words that no one believes nor cares about in the slightest to check the compliance box in the next quarterly report.
America is really nothing more than a corporate graveyard, CEO legacies buried like the dead bones they have become – forgotten within a single generation. No one remembers, no one cares.
It is all an illusion – the illusion of power that blinds.
In the three different corporate structures I have been a part of, they all believe this. They all lap up this corporate guidance and mission statement bullshit like it was ambrosia from the business gods. In reality, it’s only the dark work of legal rhetoric from late-night high-rise corner offices and required HR government regulation fulfilment.
But as we each slowly climb the corporate rungs ourselves; we see what is really going on. We understand the truth: everyone believes what they want to believe.
No, your subordinates do not worship you on your thrown. If anything, they’ll be the first to plunge that knife in your back like Brutus to Caesar when the opportunity arises for promotion. Tread lightly my friend. For there be monsters lurking in the shadows here… most of them probably of your own making.
I’ll give you a recent story to further emphasize my point. One story of too many that all bleed together like spilt ink across a page. How I’ve stayed sane over the years, running around these circles of illogical insanity, is a debate for another day.
Back to my story, we recently had a company reorganization in which one region was split in two. Basically, we replaced one president with two new ones at a state level. Being in my corporate role, I still support both regions.
So, we’re all on a call the other day (his new management team) with this new president to help him get the lay of the land and understand the major issues his new region is facing. And you can tell he’s excited, he has his newly minted promotion in hand and can’t wait to grow EBITDA and double all the corporate metrics in his first week. He’s going to prove that he’s the man and is just chomping at the bit to make a name for himself.
And this call could not have proven to be more hilarious (I say hilarious sarcastically in the most despondent and head smacking against the wall type). It was literally the perfect example of how backwards corporate America can be.
Here’s the situation in a nutshell…
This new president is trying to transfer some employees from a different region to his own. These are employees that have applied for the new jobs, been accepted, yet he can’t figure out why the transfers haven’t taken place yet. In truth, unbeknownst to the new incoming president, these employees are coming from a region that has a tyrant president running it and a broken culture. So, all these employees want to transfer to the new president and better run region. However, the current president knows this, so he is blocking all the employee transfers.
Absolutely fucked up, right? But nonetheless, typical internal corporate sabotage and politics.
So, this poor new guy, keeps asking everyone on the call why the transfers haven’t been completed. He just doesn’t understand how it hasn’t happened by now.
And I’m cringing behind the scenes because no one on the call will tell him the truth. They all keep beating around the bush and blaming different processes and turnover as to why these transfers haven’t happened.
“Well, it’s because of this…”
“Or maybe, it was due to this…”
Absolutely, mind-blowing!
(You may be asking to yourself why your good ol’ boy Q-FI didn’t step up here and save the day? First, I’m not his direct report. Second, there are 10 other people on the call that would have killed me if I’d told the truth. Third, I know how to be quiet and save my own skin just like the best of them! Ha.)
No one will flat out tell him, “Hey, this other president is a fucking incompetent asshole and is blocking all of these moves. He’s a dick and doesn’t want any of the employees he is responsible for to leave, so out of spite, he’s holding everything up.”
Listening to this conversation go round and round like a kid on a Ferris Wheel for two hours and concluding without any result was another lesson in patience and business humility. I felt terrible for this new president who was finally getting his first real shot at company man glory, but so goes corporate politics. He’d have to learn the hard way how things work and figure it out.
But the downright absurdity was not lost on me. Multiple times I found my mind wandering and calculating the salaries of all the big wigs on the call and what these two hours just cost the company in real dollars for vetting out utter stupidity.
Yet, I understand this part of it. I’m a seasoned veteran now. I can accept that necessary evil and take the debilitating and demoralizing value destruction in stride. I’ve become desensitized and immune over the years. It’s nothing personal. This is just how business and people work.
But if you want to sum up corporate culture and everything it stands for in two words, I have never seen a better summarization than this from Indeedably:
“Acceptable incompetence.”
That is corporate America in a nutshell. That is really all you need to know. This is the gambit of king making in the United States.
Seek out your own thrown, because it’s probably more attainable than you might think.
The bar is low and power blinds.
Best of luck climbing the corporate ladder one rung at a time my friends, and finding out for yourself…
What “acceptable incompetence,” means to you.
-Q-FI
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So how about you? Am I being too harsh? Is “acceptable incompetence” the wrong metaphor for corporate America? What did you observe from your own journey of climbing the corporate ladder? Or were you smarter than me, and stepped off it for greener pastures to save your own sanity?
{ in·deed·a·bly } says
This one made me grin, or grimace. I haven’t decided yet.
A million years ago, I worked at a large American investment bank. Whenever a phone rang, the first thing the recipient of the call did was check the org chart to see if the caller was more important than them. If they were, the call was answered. If not, it was ignored. Same was true of emails. Made it very difficult to get anything done, as even the most trivial things required escalation.
One thing I’ve learned over the years is ignorance is often near universal. When you’re at the bottom of the heap, you receive cascaded briefings from on high. What you don’t realise is your immediate line managers know little (if any) more than you.
As you advance through the ranks, that never seems to change! Except you become the ignorant manager cascading empty messages down to your minions below.
There is always a small exclusive cadre of folks driving the organisation, everyone else are just interchangeable cogs going through the motions and making up the numbers.
Q-FI says
I’m doing a follow-up post on power soon that will be just like that org chart recipient you describe. There’s a manager in my department that is exactly the same and only responds to title. It’s nuts that he’s this way, but I find myself fascinated by it, and wondering how he ever got to that point… to just treat people like objects based on something as flippant as rank or job title. It baffles me dehumanizing people to such a low standard. But so goes the world.
I stole your “acceptable incompetence” line, because it was money. It still rings so true to me in my daily corporate rigmarole.
Thanks for dropping by and always great insights Indeedably!
Noel says
Hilarious. This hit home on a bunch of levels. I’m not an executive and have no ambition to ever become a VP, but I deal with “acceptable incompetence” all the time. People want to please their boss. It’s a way of keeping a part of their safety bubble safe. If lies or fibs can make uncomfortable conversations go away and kick the can down the road, hella people will choose this option, rather than confront a superior.
How do these exec’s steer the ship from afar? It’s like generals leading wars from afar. Orders get carried out, but there are so many layers of BS that the truth is bound to get twisted on it’s way up and down the ladder. It’s like Gen. Paulus leading the German 6th Army to its demise by refusing to retreat from Stalingrad because he was trying to please his boss…a boss who was being lied to by everyone around him. A circle of lies.
It’s sickening at times to hear a guy on the phone laughing it up with their boss and the minute they hang up they’re bad-mouthing the dude. I’m like you, just trying to survive till FI is achieved. It’s such a relief to know there’s an exit off-ramp coming up to the land of FIRE. I can’t imagine decades of having to endure this crap…but it’s par for the course.
Q-FI says
Oh yeah, Noel, I know all about people kicking the can down the road… hahaha. The common phrase of “I’ll be retired before they ever find that out,” comes up quiet often. Hahaha.
Not everything is bad, but yeah, I’ve already put in my time so this is my path to FI. Hopefully only a couple more years of heavy lifting and the market can go on a wild tear once this pandemic is done to speed up our journeys. But it’s hard seeing all of the corporate bullshit and waste when your a person that likes to rely on logic for decision making. Hahaha. That’s why I love the “acceptable incompetence” line so much.
Mr. Fate says
Good stuff here and as a former Fortune 500 senior executive, I can positively attest that all this is totally true. Makes me grateful all this nonsense is no longer a part of my life.
Nice to know I’m not the only person who has calculated the actual cost of ridiculous conference calls!
Q-FI says
I wrote this for you Mr. Fate and your evil corporate ways… hahaha. Joking. I know you would relate because you lived it. And nothing has changed since you left Mr. Fate, good ol’ corporate America is still chugging along with the same ol’ automatons tugging the line.
Yes, trying to estimate the actual cost of conference calls is a great way to pass the time! Hahaha. You know it’s time to get a FI plan ready when you reach this level of drudgery.
freddy smidlap says
it’s a little different but similar at the same time in manufacturing. we have a little factory in buffalo which is a far cry from the real politics of corporate h.q. we’re just the red-headed stepchild and it would be very rare for anyone from our little profit machine to advance to the mecca. even with that i’ve been on the wrong end of a power play. during the 09 downturn i was booted down to the factory floor from my technical role by seniority. at the same time one of our technical sites wanted to interview me for a low level chemist j.o.b. the leadership at my plant site made sure to let me know that even if the r+d site wanted me they didn’t have to let me go. so….some short sighted person decided the corporation would be better served with me driving a forklift and dumping sludge from a little sludge dumpster to a larger one would be better than having a trained and competent chemist doing that work.
all i can say is “you win. i no longer care.” best thing that ever happened to me.
Q-FI says
That’s a good tag line Freddy.
I think the unfortunate side of power, is that unless you have someone that really understands it (with good intentions), people mostly use it as a limiting/stifling force rather than for growth or positive change. Like in your case, pettiness prevailed and it’s almost twice as hard to do any good when you have road blocks like that in place with cronyism.
Plus, stuff like that tends to chase the talent away and attract like-minded thinking.
I still have a ways to go, but I’m definitely on the tired side of watching all these childish games play out year after year. There’s nothing better to kill my motivation than watching selfish people prosper while exploiting others of lesser means and lower rank.
FullTimeFinance says
I’m sitting her chuckling quite a bit at this. As we’ve discussed you know I’m on the implementation side of m and a. I’m essentially the lead internal consultant for the company. Which means I’m the one pitching the c suite on what to do….
And each one of those pitches has to be vetted by every minor exec under the CEO before I present them. But here is the thing… not a one of those vetting understands the pitch. Minus political posturing around the wording of the pitch what the sme says goes. Sometimes the execs don’t correctly understand who the smes are or hire external consultants. But the point is the same. Somewhere in your company is a cadre of subject matter experts that all major directions start or end with. The cadre you mentioned in essence.
Q-FI says
Hahahaha… yeah, the best is trying to explain a complex topic to a division president so they can present to their boss the information but they have no fucking clue what the model is saying or can explain any assumptions. Dude, it’s classic. You’re just smiling to yourself, how do these companies stay in business with processes like these… Then you realize that you’re a part of it and you just smack your head.
These are the things that I will never miss about working for a corporation.
Katie Camel says
I wish I could tell you this nonsense existed only in corporate America, but it’s not true. Everything you write reflects the “non-profit” world of health care too. We experience all the same poor management issues (though I think ours are actually worse than anything I experienced in corporate America in NYC, nonetheless!) and transfer prevention, etc. And, yes, the higher you go, the less you know. I’d even couple that with the more degrees you attain, the less you know too, though the attitude and entitlement grows exponentially.
In my little mind, Jamie Dimon of Chase is a stellar leader. He says he keeps a running list of questions to things he wants to know. He’s on the ground, speaking to employees of every level and wants to know all the workings, problems, etc., so he can understand and improve them. I love that. I have people here telling how to do my job, it they’ve never done my job, never observed it, and have no clue how to improve it, but they rank higher. Higher ranking doesn’t preclude you from a lack of knowledge. Mostly, they don’t know what they don’t know. And it hurts all of us.
Q-FI says
No, you’re absolutely right Katie. I get lazy and when I refer to corporate America, I’m really just talking about business in general. The non-profit world is just the same as well as even small businesses. We all deal with this crap to some level daily.
A lot of people tend to think that all this BS only exists in big companies, but I look at my wife’s small dental office of 10 people and all the same political maneuvering, manipulation, bullying and poor management still exist only to a smaller scale.
I bitch a lot about my frustration, but I understand I’m a part of it and this is my means to end. There are much worse things in life to be complaining about. Hahaha… but my blog so I get to whine.
I like Dimon as well and agree. Boots on the ground leaders are important. You need to talk to all of your employees, not just the high ranking ones. Unfortunately, this is a tough skill set to find.
veronica says
Dude you sound like you need a break from your bubble. Try reading some of Joost’s and Pim’s stuff: https://corporate-rebels.com/
Q-FI says
Hahahaha… could always use a break. I’ll check out those guys – I had not heard of them. Thanks for the recommendation Veronica.