The sports world was a buzz yesterday with the announcement that Brian Burke (President and General Manager of the Toronto Maple Leafs) was told that his services would no longer be required.  As often is the case in these situations; code is used when making the public announcement.   At a press conference yesterday President of Maple Leaf Sports & Entertainment, Tom Ansell said the following “Brian will not have direct authority over hockey operations…We want to thank Brian for accepting his new role and staying on with our organization.“  That new role is place holder for Mr. Burke to give him time to work on his transition.  The fact of the matter is that Mr. Burke was terminated, fired, gassed, punted or any other such term that is used by all of us to describe what REALLY happened.  It doesn’t matter where your name is slotted on an org chart, being terminated is a devastating process.  Being terminated is something employees take personally.  And on termination the employee is being told that the organization is best suited to go forward without them.  How can than not be personal?  Now throw in the fact that it’s all taking place in the public eye, now that’s tough.

It’s easy to say that the public aspect of termination comes with the territory; absolutely, but there is a human element to it.  Regrettably people forget or just don’t care.  I was listening to an all-sports radio station on the way home last night and one caller into the station said, “I was praying for this to happen.”  Really?  With all things going on in the world this is what the idiot caller picked to pray for?  Ignorance aside, you can’t help but wince when someone goes through something like this in the public domain.  I feel for Mr. Burke but there’s a lesson here.  I don’t believe his termination was necessarily performance based; if it was, why now?  I think this decision was based on style versus substance.  It’s also a case of personal principals trumping corporate objectives; therein lays the challenge.  Effective leaders depend on their intuitive skills and internal compass.  But there’s a balance, and the question becomes when do you put your principals aside for the greater good?  Sometimes shareholders, the board or even employees may suggest the path chosen by the leader may not be the right one.  But ultimately the leader will decide if he/she is willing to risk their employment over principal.  As romantic as it may sound that you will never compromise your own principals, there’s the issue of pragmatism.  Is it worth winning the battle only to lose the war?

Termination is never easy.  I struggle with having to do it.  It’s a duty and responsibility that I have, and I will execute it.  But I can assure you that it’s caused me many sleepless nights.  Over the years I’ve come to accept the fact that I will never be able to truly separate the personal from the business when terminating someone.  I know that it is no consolation for the person being terminated but if there ever comes a day where I don’t consider the personal element of a termination…it’s the day I will not be able to look at myself in the mirror.

Until next time,

Cheers.

“The only thing that is constant is change.”

Welcome back all and I hope you all enjoyed the Christmas season.  I know that may be somewhat politically incorrect to evoke Christ’s name during and after the holiday season.  Here’s my view on that, oh well.  I celebrate Christmas and if I say Merry Christmas, and someone responds by saying Happy  Hanukkah or Happy Big Bang Theory Day, I won’t be offended.  So let’s dispense with political correctness of Christmas past and focus on the future.

Things to look for in 2013?
As a start who will be in charge at the Bank of Canada.  Mark Carney’s reign is coming to end by mid-year so it will be interesting to see who his replacement will be; someone with “star power”?  Or a bureaucrat who goes about his business in the shadows?  The Globe is reporting that the Finance Department is not saddened about Carney’s departure.   According to the Globe, “Though the finance minister has worked closely with Carney and had helped catapult him into the exalted job of central bank chief in 2007, the once-tight relationship deteriorated in the following years as Carney’s star power threatened to leave Ottawa’s political class in the shadows, sources said“.  How juicy, how Entertainment Tonight.  I can see how Minister Flaherty might have been a little perturbed.  The Minister is an elected official whom the voters can turn on if things don’t go according to plan.  On the other hand the head of the Bank of Canada takes no political risk and benefits from a bigger payday in another country. 

Another thing I will be watching for is the treatment of CMHC in the press. When and why did it become fashionable to treat CMHC like a Pinnate?  I get it, when you get big enough you take your blows deserved or not.  When you’re big enough you become a lightning rod (for illustration look to the dominant technology provider in the broker space, as well as the National Association).  But CMHC has been around since 1946, dedicated to home ownership in Canada, and yet now the scope of their responsibility is being questioned in the press.  By appearance this looks to be a case of fixing something that isn’t broken.   Or it could simply be a case of CMHC running up against powerful enemies who whisper sweet nothings into the ears of the press?

Of course we’ll all be watching for signs that economies, be it ours or around the world, are starting start to garner some momentum. Then again that’s old news, that watch began in 2008.  I have no doubt that 2013 will be another interesting year for all of us.  The only thing that is constant is change.

Until next time,

Cheers.