I must be missing something!
I have been in management of companies for over 30 years, and I remember the first lesson I was taught by a wise (Scottish) Director…..’Nothing ever happens in this world, it is either made to happen, or allowed to happen’. Following from this tenet, I learnt that running a business meant making wise decisions regarding investment, stock levels, assessment of risk, justifiable trust between customers and suppliers, accountability, acceptance of errors, corporate decision-making, working in the right markets, sensible budgeting, keeping money aside for a rainy day, falling on one’s sword after major mistakes…..etc, etc
Following all these ‘rules’ would help assure a sensible business structure which should see us through times good and bad. We’ve managed reasonably-well over the last 25 years of our present business.
But when I look over what has been happening over the last year in the world-wide economy I don’t actually see many of the above principles in evidence.
And yet, when something bad happens due to woeful management, the financial leaders have to give way to political leaders to bale them out. And yet these same politicians have been pretty awful at governing the world wisely. So the individuals and tax-payers, who have trusted banks and other financial institutions with their (already-taxed) hard-earned savings, will now have to pay through the nose to bail-out the self-same companies, to have any hope of getting their money back!
Where are the Company laws about mis-management of businesses for which Directors should be held responsible. What about some compulsory seize-back of bonuses, shares, large houses and pensions which they have been taking. Will they continue as Directors for other companies, or will they just retire to live off the fat of their pensions while other mere-mortals have to survive on a Government pension (which they have already paid-for through their taxes).
No, something is very strange out there!