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Washington DC & New York City
Domestic Trip to Washington DC and New York City
August 2014 - Lindner Honors-PLUS Program
Itinerary:
August 9 - Arrive in Washington DC
August 10 - (My Birthday) - Free Day in Washington DC
August 11 - Visits to the Better Business Bureau and Jones Lang LaSalle
August 12 - Tour of the US Capitol, Dinner with UC Alumnus Bob Buck
August 13 - Drive to New York City
August 14 - Visits to Bloomberg HQ and JP Morgan Chase, Dinner with UC Alumnus Dick Thornburgh
August 15 - Visits to Deloitte and the Advertising Self-Regulation Council
August 16 - Free Day in New York City
August 17 - Arrive back in Cincinnati
First Stop: The Better Business Bureau
Summary
On Monday, we listened to the Better Business Bureau’s chief strategy officer, Bennie Johnson, talk about one of the world’s oldest living brands. The BBB is over 100 years old, and works to ensure that ethical and sound business practices are upheld in the marketplace. The private, non-profit organization originally morphed as a way to provide trust in advertising, but has since grown to be a leader in the consumer disputes and business growth areas today.
The BBB provides an alternative to government regulation for businesses in the form of self-regulation. Thus, they make agreements with other businesses that allow the two organizations to work together to hold each other accountable. The BBB constantly looks for ways to improve standards within organizations and show them better business practices. Businesses agree to be monitored and advised by the BBB in exchange for a BBB-certified recognition, which consumers find favorable.
The BBB is constantly working on maintaining its brand recognition among consumers. While the BBB has its hands in many different areas, it is often hard to showcase everything they do to consumers. This is one of the largest challenges and opportunities for the strategy team.
Lastly, the BBB works to discover fraudulent behavior and scams within businesses. According to Bennie, the BBB is the largest provider of scam information to the US federal government. This is an impressive feature and something worth noting as a business and consumer. The company is continuing to grow in all of these fields, on both a national and international level.
Analysis
Jeanie Barton also talked to us about the future of privacy-related issues in companies who have access to big data in today’s growing, technologically-advanced world. This topic interested me the most, because it directly affects me as a consumer today. Knowing that companies and outside organizations have access to my personal information is alarming, given the number of hackers and bad people who are out trying to steal it from them.
I admire the goals of the BBB, because they work to combat unethical practices and build a stronger, healthier marketplace for everyone. However, I question their credibility a little bit because I was not impressed with their ability to communicate their accomplishments and their lack of brand recognition among consumers. Before this visit, I did not know what the BBB did and had no idea how they could help me as a consumer. I also could not believe that a brand that’s over 100 years old would not be immediately recognized, such as Coca-Cola or P&G. I would like to see the process of how they go about assessing an organization and the benefits received by its customers. I would also like to sift through some case studies of consumers that have been positively affected by the BBB. I am sure there are many, but it was hard to quantify at this meeting.
Jones, Lang, LaSalle
Summary
In a nutshell, Jones Lang Lasalle is a large company that does “all things real estate”. It is the largest global real estate firm with 52,000 employees and over four billion dollars in annual revenue. Its lines of business include construction, corporate solutions, energy and sustainability, facilities management, investment management, lease administration, mobile engineering services, project management, real estate investment banking, strategic consulting, tenant representation, and many more.
Joe Judge, former Bearcat and manager at JLL, talked to us about how competitive the market is for real estate management companies. JLL is constantly competing with other firms in its industry, and has determined that one of its biggest challenges and opportunities is finding small ways to differentiate themselves from the rest. Teammates work on creating aesthetically-pleasing virtual tours of potential real estate for customers and go the extra mile to form relationships, too. The difference in who wins the business can be something as small as making a connection with a customer, too. Judge said that, because he graduated from UC, he is able to connect with other alumni and his degree makes him more credible as a friend and supporter of common goals. For example, if I am looking for a new building for my business and two companies are offering me the same rates and properties, I am more likely to support another Bearcat rather than the other guy.
Bill Pruttman talked to us about advice in hiring for talent. Some of his key points included good presentation skills, accounting backgrounds, and agility with programs like Excel. He also noted the significance of interpersonal skills, and how it applies to any and every position within a company. If you get hired into a position, but your skills could be better applied in another area, you should move to that area because you would be a more effective and productive contributor to the business.
Analysis
I was surprised on how much focus was put on building relationships and doing small things for customers, rather than on expanding the business and looking at growth opportunities. A company like JLL is successful because it forms great relationships and knows how to provide great results. Most real estate companies can find good real estate and get fair prices, but going the extra mile in the customer service field can make or break a business.
However, I found it perplexing that so many real estate companies can have such similar results. In most companies, business expansion through improved quality of product and value to the customer is most important. It seems like this is an industry which has been either pushed to its limit or stuck in a certain spot to where they don’t know where to provide more tangible value to the consumer. Therefore, they have resorted to intangible value, such as building relationships and appealing to the consumers’ minds. I would imagine that many customers want to find a building and be done with it—whichever company can provide the easiest path and the most efficiency for that firm would win the business. This is not usually the case though, because all firms can provide similar tangible value. As a service business, there is more that comes along with the business than just providing and managing real estate, and this, to me, makes the industry very intriguing.
Tour of the US Capitol
Summary
Senator Rob Portman’s chief of staff, Rob Lehman, talked to us about the duties of his office and discussed government and politics as well. He mentioned various topics while answering questions but always came back to the importance of being an informed and participating citizen. Whether we realize it or not, the government directly affects each US citizen, and therefore, we have a responsibility to vote on issues and participate in discussions. The best way to become a good citizen is to make educated, informed beliefs and smart decisions based on those beliefs.
Public support for Congress today is around seven percent. (Lehman pointed out that, without friends and family, that percent would be much lower, too.) As we recover from the recession, there is always a lot of debate on how to lower the federal debt, which is higher today than it has ever been before in history. Congress seems to never accomplish anything as the two parties grow more and more divided. Tax revenues are down and entitlement program spending is up. Sixty-seven percent of government spending goes towards entitlement programs today because the baby boomer generation is retiring and the older population is growing tremendously. This creates challenges for the government as they try to find other areas to cut spending. It also does not help when international crises are producing unexpected situations, such as the current disasters in Iraq and Israel. If the government decides to intervene in these countries, the national debt could increase dramatically, unexpectedly, and Congress has another obstacle to overcome.
Portman has the constant duty of supporting his constituents in government while also doing what is best for his state and country. His goal is to put more emphasis on training and education in the future. His office often works with Senator Sherrod Brown to overcome solutions that are mutually beneficial for both parties, too.
Analysis
I thoroughly enjoyed listening to Lehman discuss his views on the future of the Republican party and his thoughts on its current perception. He noted how the party is often viewed as a lot of old, white males that have not adapted to the new national environment. One of the biggest challenges for the party is combatting this perception and showing voters and citizens that the party is open-minded and receptive to new ideas. I remember my parents talking to me about Rob Portman switching his view on same-sex marriage, going from against it to supporting it. Although many say it’s because his son is gay, I believe that he truly believes that same-sex marriage is acceptable and is willing and committed to supporting gay rights. It is this kind of forward-thinking that could push the party forward, at the very least on social issues.
If we had the chance to talk to him more, I would like to ask about the future of our country’s political parties and the potential progress that has been given up as party division grows. It seems that our infrastructure, technology, and education are trailing other countries’ such as China or Singapore, two countries which have very different political structures than ours. I wonder if he sees division getting in the way of our country’s overall advancement. I do not think we have to worry about it short term, but certainly long-term.
Bloomberg HQ
Summary
Bloomberg is the world’s leader in aggregating information and data for traders, shareholders, voters, stockholders, employees, clients, and many other people around the globe. The company has dedicated most of its resources towards bettering the “Bloomberg terminal”, a machine that provides all of the information in a concise, user-friendly technology available for purchase by companies and organizations.
The headquarters in New York City are beautiful, characterized by colorful designs, impressive architecture, free food, smiling employees, and glass walls. The company uses glass walls throughout the entire facility to emphasize the importance of transparency in the business. The elevators and floors are structured in a way that forces employees to switch floors before arriving at their desk, which encourages and allows them to interact with other individuals throughout the day.
Mark Betteridge talked to us about best interview skills and marketing yourself. One of his strongest points was to always back yourself up with facts and evidence in an interview. Joe Salvator informed us of the growing new energy finance industry and how Bloomberg is taking the lead on improving energy efficiency for companies. Investing in clean energy, according to Joe, is the future of our economy and Bloomberg is eager to begin working on it earlier than most. After him, we listened to Jill talk about mergers and acquisitions, learning that Bloomberg monitors hundreds of mergers and acquisitions every single day. Finally, Ben Zimmerman, our host, fielded the rest of our questions. Ben said that switching between companies frequently raises red flags for employers. He also said that one of the most important pieces of advice he has ever received was to show up before your boss and leave after him. I found these two discussion topics super applicable to my career path.
Analysis
Visiting Bloomberg really hit home for me, given that I had co-oped at Johnson Investment Counsel last spring and was using the Bloomberg terminal every day. Being able to learn more about the company that has had a huge impact on my job was very meaningful, and gave me a better understanding of the global market and a stronger appreciation of the company’s responsibilities and roles.
Transparency was one of their biggest points of emphasis, which I thought was very neat. The investment industry is full of non-transparency, with the wide-spread circulation of information and the potential for insider trading rampant. Never before have I seen meeting room walls made of glass, allowing everyone from the outside to see what was happening inside. This was awesome, from an architectural standpoint, but also from a more fundamental beliefs standpoint, too. The firm does a good job in motivating its employees to be ethical and transparent. It also has many structures and systems in place to keep each other accountable.
I also enjoyed learning about the new energy finance sector of Bloomberg. You do not usually think of this firm in the energy market, but they have realized the next big growth market in the world, and have taken it on full speed ahead. This vision and discipline in pursuit of a new industry is admirable and appealing as a consumer and a potential future employee of the company.
JP Morgan Chase
Summary
JPMorgan Chase is a world leader in investment banking, controlling the flow of over six trillion dollars every day around the globe, an amount equivalent to 23% of the world’s economy. With this huge responsibility comes huge challenges, but the company has been able to thrive and grow since its inception over two hundred years ago. It is a Fortune 18 company by revenue, but its profit is larger than most. In addition, eighty percent of Fortune 500 companies are customers of JPMorgan Chase, and over half of US households also use its retail banking services.
The Managing Director of Treasury Services and Cash Management, Lori Beer, spoke to us about her experiences in the investment banking and healthcare industries, JPMorgan Chase’s roles in the global marketplace, and the impact that the firm has on organizations and individuals every day. We also discussed JPMorgan Chase’s involvement in the financial crises of 2007-2008 and the ideas around “too big to fail” companies.
When JP Morgan initially founded the firm, he was the first person to begin the process of using capital to grow a business, through the steel and railroad markets in the nineteenth century. Since then, the company has made many mergers and acquisitions in its path to becoming a leader in many facets of finance and investments. JPMorgan merged with Chase in 2000.
Analysis
I found Lori Beer’s perspective on leadership and management most beneficial, especially because I think that most of the students in our class, including myself, plan to be in management and/or leadership positions within our careers. A few of her most emphatic points stood out to me:
First, make decisions based on data, not on e.o.e (egos, opinions, and emotions). This is invaluable advice because making decisions can be one the hardest parts of an important and successful career. If we want to make the best impact on our firm and on the people within it, we cannot let our personal judgments and opinions get in the way of the best interests of the company.
Second, realizing you do not know everything is the first step in building trust and completing the job successfully. If you enter a situation thinking you have all the answers, you will often mess up something really important because you failed to use the knowledge of other people in making the best decision. This also contributes to a big ego, which is detrimental when trying to work together with other people.
Third, get comfortable taking risks. Lori talked about her risk in jumping from the healthcare industry to a career in investment banking. At the time she was overwhelmed and unsure of her decision. Everyone around her was asking why she did it, confused as to how she could have taken such a big risk. However, it paid off tremendously for her company and for her own personal development.
Fourth, know people for who they are, not just what they do. If we take time to invest in relationships with our employees, we are better able to work together and produce more viable and successful solutions. Strong work relationships can make or break a career, and letting people know that you genuinely care about their personal development in critically important.
Last, while we all get overwhelmed sometimes, it is important to always think about the impact you are having on other people. Taking a deep breath and organizing your thoughts can be the first step to getting back on track and dealing with stress properly.
Deloitte
Summary
Deloitte is the most diverse Big Four accounting firm, specializing in dozens of different areas of accounting, as well as investing in corporate citizenship initiatives and governmental relationships. It has clients all over the world and works hard to sustain these client relationships and expand the current services for each one.
During our visit, we listened to seven different speakers talk about everything from mergers and acquisitions, to government relations, to economical debates and more. Deloitte as a company is very influential in the global economy and marketplace. What many citizens do not realize is the importance of business in public policy reform. Companies like Deloitte send representatives and financial support to the government and to campaigns in efforts to pass legislation that aligns with the firm’s business interests. Regulation of business is one of the hottest topics in the accounting industry, because tax and audit projects from firms like Deloitte revolve around how to manage, monitor, and account for client operations and finances.
Deloitte has many lines of business, but the majority of them overlap and usually work together to accomplish projects. The firm has strong core beliefs and expresses them each year through Deloitte University and Impact Day. DU is set up in Texas as a campus where Deloitte employees can come together to share ideas and work on new projects and initiatives. Impact Day is a service-oriented tradition in which all employees take a day off work each year to serve the community, all over the globe. These two programs encourage a sense of community at Deloitte.
Analysis
Senior M&A analyst Joe Smith talked about the importance of creating and maintaining meaningful relationships in the accounting industry. To Deloitte, this is one of the best ways to differentiate yourself from other accounting firms. While it is always important to make continuous improvements to processes, operations, and financial reporting strategies, it is more important to invest in the client relationship if you want to keep their business. I found this very interesting yet oddly true, because most industries can compete based on technical skills and better services. However, the accounting industry is so streamlined that they find value in the intangible products provided. Jones Lang Lasalle takes a similar approach because the real estate investment industry is shaped similar to the accounting industry.
Philipp Willigmann is a member of Deloitte’s Consulting Services line of business, and he has traveled all over the world providing solutions for different organizations and cultures. He explained all of the complexities of solving a problem in a third-world country, dealing with economic fluctuations and the expectations of accounting consulting, and managing time and people. However, at the end of his presentation, he gave us advice of “do not grow up too fast”. In other words, he said that although it is important to be responsible and pursue a good career, we always need to remember to have fun and stay young. Going out with co-workers and doing cool things in our free-time contributes to a happier personal life and a more successful career, too. It was rewarding to hear someone talk about this, since all of the expectations and discussions throughout the week were a bit overwhelming at times.
Advertising Self-Regulatory Council
Summary:
The Advertising Self-Regulation Council (ASRC) is an umbrella organization that brings together multiple parties to settle disputes regarding honesty and integrity in the advertising industry. The process of using self-regulation is more cost-effective and productive to use than litigation, which incurs high court costs and negative publicity. It helps to maintain the balance of regulation in business, finding a medium alternative between too much regulation and not enough. Many competitor firms will submit cases about companies in an effort to keep them accountable and protect their own interests.
All cases are backed by the idea that an advertiser has to be able to provide evidence of the claims that are shown to consumers. If a company is unable to back up their claim with substantial data and evidence, the ASRC will recommend that it changes its advertisement to adjust for the fix. If the company refuses to adjust or comply with the ASRC’s recommendations, the ASRC will refer the case to the Federal Trade Commission. This gives companies a stronger incentive to comply with the ASRC, which is more gentle, flexible, and advantageous for most businesses.
The ASRC brings together the advertiser, the challenger, the National Advertising Division (NAD), and a panel of five people representing the National Advertising Regulation Board (NARB). The NARB is composed of various marketing professionals, sales representatives, and professors from around the entire country, representing diverse interests but also professional and informed opinions. The NAB prepares a case against the advertiser and presents the case to the NARB, while also allowing for the advertiser and the challenger to speak up when allowed. This discussion, which takes place at the ASRC building, can get heated at times, but always ends with the NARB coming up with a conclusion on how the advertisement should be handled.
Analysis
This process of enforcing honesty in the advertising industry was extremely interesting. I would love to sit in on one of the NARB panels while the discussion gets heated about certain advertisements! The entire process is funny because it is set up in a way in which competitors can tell on other companies if they think something is wrong. While many advertisers probably get really mad that they’ve been told on, many cases have ended up in more accurate and truthful advertising, which benefits consumers.
As I begin my co-op at Procter and Gamble this fall, my visit to the ASRC will give me a much better understanding of the importance of honesty in advertising. I will be working on a specific brand for the firm, and will likely have a project that involves analyzing or assessing an advertisement and the marketability of it. I am glad that we were able to fit this visit in last minute, because the information and case studies shown prove that integrity in marketing is extremely important. If companies make claims that they cannot back up, they fail on their promises to consumers and decrease brand credibility at the same time.
August 9 - Arrive in Washington DC
August 10 - (My Birthday) - Free Day in Washington DC
August 11 - Visits to the Better Business Bureau and Jones Lang LaSalle
August 12 - Tour of the US Capitol, Dinner with UC Alumnus Bob Buck
August 13 - Drive to New York City
August 14 - Visits to Bloomberg HQ and JP Morgan Chase, Dinner with UC Alumnus Dick Thornburgh
August 15 - Visits to Deloitte and the Advertising Self-Regulation Council
August 16 - Free Day in New York City
August 17 - Arrive back in Cincinnati
First Stop: The Better Business Bureau
Summary
On Monday, we listened to the Better Business Bureau’s chief strategy officer, Bennie Johnson, talk about one of the world’s oldest living brands. The BBB is over 100 years old, and works to ensure that ethical and sound business practices are upheld in the marketplace. The private, non-profit organization originally morphed as a way to provide trust in advertising, but has since grown to be a leader in the consumer disputes and business growth areas today.
The BBB provides an alternative to government regulation for businesses in the form of self-regulation. Thus, they make agreements with other businesses that allow the two organizations to work together to hold each other accountable. The BBB constantly looks for ways to improve standards within organizations and show them better business practices. Businesses agree to be monitored and advised by the BBB in exchange for a BBB-certified recognition, which consumers find favorable.
The BBB is constantly working on maintaining its brand recognition among consumers. While the BBB has its hands in many different areas, it is often hard to showcase everything they do to consumers. This is one of the largest challenges and opportunities for the strategy team.
Lastly, the BBB works to discover fraudulent behavior and scams within businesses. According to Bennie, the BBB is the largest provider of scam information to the US federal government. This is an impressive feature and something worth noting as a business and consumer. The company is continuing to grow in all of these fields, on both a national and international level.
Analysis
Jeanie Barton also talked to us about the future of privacy-related issues in companies who have access to big data in today’s growing, technologically-advanced world. This topic interested me the most, because it directly affects me as a consumer today. Knowing that companies and outside organizations have access to my personal information is alarming, given the number of hackers and bad people who are out trying to steal it from them.
I admire the goals of the BBB, because they work to combat unethical practices and build a stronger, healthier marketplace for everyone. However, I question their credibility a little bit because I was not impressed with their ability to communicate their accomplishments and their lack of brand recognition among consumers. Before this visit, I did not know what the BBB did and had no idea how they could help me as a consumer. I also could not believe that a brand that’s over 100 years old would not be immediately recognized, such as Coca-Cola or P&G. I would like to see the process of how they go about assessing an organization and the benefits received by its customers. I would also like to sift through some case studies of consumers that have been positively affected by the BBB. I am sure there are many, but it was hard to quantify at this meeting.
Jones, Lang, LaSalle
Summary
In a nutshell, Jones Lang Lasalle is a large company that does “all things real estate”. It is the largest global real estate firm with 52,000 employees and over four billion dollars in annual revenue. Its lines of business include construction, corporate solutions, energy and sustainability, facilities management, investment management, lease administration, mobile engineering services, project management, real estate investment banking, strategic consulting, tenant representation, and many more.
Joe Judge, former Bearcat and manager at JLL, talked to us about how competitive the market is for real estate management companies. JLL is constantly competing with other firms in its industry, and has determined that one of its biggest challenges and opportunities is finding small ways to differentiate themselves from the rest. Teammates work on creating aesthetically-pleasing virtual tours of potential real estate for customers and go the extra mile to form relationships, too. The difference in who wins the business can be something as small as making a connection with a customer, too. Judge said that, because he graduated from UC, he is able to connect with other alumni and his degree makes him more credible as a friend and supporter of common goals. For example, if I am looking for a new building for my business and two companies are offering me the same rates and properties, I am more likely to support another Bearcat rather than the other guy.
Bill Pruttman talked to us about advice in hiring for talent. Some of his key points included good presentation skills, accounting backgrounds, and agility with programs like Excel. He also noted the significance of interpersonal skills, and how it applies to any and every position within a company. If you get hired into a position, but your skills could be better applied in another area, you should move to that area because you would be a more effective and productive contributor to the business.
Analysis
I was surprised on how much focus was put on building relationships and doing small things for customers, rather than on expanding the business and looking at growth opportunities. A company like JLL is successful because it forms great relationships and knows how to provide great results. Most real estate companies can find good real estate and get fair prices, but going the extra mile in the customer service field can make or break a business.
However, I found it perplexing that so many real estate companies can have such similar results. In most companies, business expansion through improved quality of product and value to the customer is most important. It seems like this is an industry which has been either pushed to its limit or stuck in a certain spot to where they don’t know where to provide more tangible value to the consumer. Therefore, they have resorted to intangible value, such as building relationships and appealing to the consumers’ minds. I would imagine that many customers want to find a building and be done with it—whichever company can provide the easiest path and the most efficiency for that firm would win the business. This is not usually the case though, because all firms can provide similar tangible value. As a service business, there is more that comes along with the business than just providing and managing real estate, and this, to me, makes the industry very intriguing.
Tour of the US Capitol
Summary
Senator Rob Portman’s chief of staff, Rob Lehman, talked to us about the duties of his office and discussed government and politics as well. He mentioned various topics while answering questions but always came back to the importance of being an informed and participating citizen. Whether we realize it or not, the government directly affects each US citizen, and therefore, we have a responsibility to vote on issues and participate in discussions. The best way to become a good citizen is to make educated, informed beliefs and smart decisions based on those beliefs.
Public support for Congress today is around seven percent. (Lehman pointed out that, without friends and family, that percent would be much lower, too.) As we recover from the recession, there is always a lot of debate on how to lower the federal debt, which is higher today than it has ever been before in history. Congress seems to never accomplish anything as the two parties grow more and more divided. Tax revenues are down and entitlement program spending is up. Sixty-seven percent of government spending goes towards entitlement programs today because the baby boomer generation is retiring and the older population is growing tremendously. This creates challenges for the government as they try to find other areas to cut spending. It also does not help when international crises are producing unexpected situations, such as the current disasters in Iraq and Israel. If the government decides to intervene in these countries, the national debt could increase dramatically, unexpectedly, and Congress has another obstacle to overcome.
Portman has the constant duty of supporting his constituents in government while also doing what is best for his state and country. His goal is to put more emphasis on training and education in the future. His office often works with Senator Sherrod Brown to overcome solutions that are mutually beneficial for both parties, too.
Analysis
I thoroughly enjoyed listening to Lehman discuss his views on the future of the Republican party and his thoughts on its current perception. He noted how the party is often viewed as a lot of old, white males that have not adapted to the new national environment. One of the biggest challenges for the party is combatting this perception and showing voters and citizens that the party is open-minded and receptive to new ideas. I remember my parents talking to me about Rob Portman switching his view on same-sex marriage, going from against it to supporting it. Although many say it’s because his son is gay, I believe that he truly believes that same-sex marriage is acceptable and is willing and committed to supporting gay rights. It is this kind of forward-thinking that could push the party forward, at the very least on social issues.
If we had the chance to talk to him more, I would like to ask about the future of our country’s political parties and the potential progress that has been given up as party division grows. It seems that our infrastructure, technology, and education are trailing other countries’ such as China or Singapore, two countries which have very different political structures than ours. I wonder if he sees division getting in the way of our country’s overall advancement. I do not think we have to worry about it short term, but certainly long-term.
Bloomberg HQ
Summary
Bloomberg is the world’s leader in aggregating information and data for traders, shareholders, voters, stockholders, employees, clients, and many other people around the globe. The company has dedicated most of its resources towards bettering the “Bloomberg terminal”, a machine that provides all of the information in a concise, user-friendly technology available for purchase by companies and organizations.
The headquarters in New York City are beautiful, characterized by colorful designs, impressive architecture, free food, smiling employees, and glass walls. The company uses glass walls throughout the entire facility to emphasize the importance of transparency in the business. The elevators and floors are structured in a way that forces employees to switch floors before arriving at their desk, which encourages and allows them to interact with other individuals throughout the day.
Mark Betteridge talked to us about best interview skills and marketing yourself. One of his strongest points was to always back yourself up with facts and evidence in an interview. Joe Salvator informed us of the growing new energy finance industry and how Bloomberg is taking the lead on improving energy efficiency for companies. Investing in clean energy, according to Joe, is the future of our economy and Bloomberg is eager to begin working on it earlier than most. After him, we listened to Jill talk about mergers and acquisitions, learning that Bloomberg monitors hundreds of mergers and acquisitions every single day. Finally, Ben Zimmerman, our host, fielded the rest of our questions. Ben said that switching between companies frequently raises red flags for employers. He also said that one of the most important pieces of advice he has ever received was to show up before your boss and leave after him. I found these two discussion topics super applicable to my career path.
Analysis
Visiting Bloomberg really hit home for me, given that I had co-oped at Johnson Investment Counsel last spring and was using the Bloomberg terminal every day. Being able to learn more about the company that has had a huge impact on my job was very meaningful, and gave me a better understanding of the global market and a stronger appreciation of the company’s responsibilities and roles.
Transparency was one of their biggest points of emphasis, which I thought was very neat. The investment industry is full of non-transparency, with the wide-spread circulation of information and the potential for insider trading rampant. Never before have I seen meeting room walls made of glass, allowing everyone from the outside to see what was happening inside. This was awesome, from an architectural standpoint, but also from a more fundamental beliefs standpoint, too. The firm does a good job in motivating its employees to be ethical and transparent. It also has many structures and systems in place to keep each other accountable.
I also enjoyed learning about the new energy finance sector of Bloomberg. You do not usually think of this firm in the energy market, but they have realized the next big growth market in the world, and have taken it on full speed ahead. This vision and discipline in pursuit of a new industry is admirable and appealing as a consumer and a potential future employee of the company.
JP Morgan Chase
Summary
JPMorgan Chase is a world leader in investment banking, controlling the flow of over six trillion dollars every day around the globe, an amount equivalent to 23% of the world’s economy. With this huge responsibility comes huge challenges, but the company has been able to thrive and grow since its inception over two hundred years ago. It is a Fortune 18 company by revenue, but its profit is larger than most. In addition, eighty percent of Fortune 500 companies are customers of JPMorgan Chase, and over half of US households also use its retail banking services.
The Managing Director of Treasury Services and Cash Management, Lori Beer, spoke to us about her experiences in the investment banking and healthcare industries, JPMorgan Chase’s roles in the global marketplace, and the impact that the firm has on organizations and individuals every day. We also discussed JPMorgan Chase’s involvement in the financial crises of 2007-2008 and the ideas around “too big to fail” companies.
When JP Morgan initially founded the firm, he was the first person to begin the process of using capital to grow a business, through the steel and railroad markets in the nineteenth century. Since then, the company has made many mergers and acquisitions in its path to becoming a leader in many facets of finance and investments. JPMorgan merged with Chase in 2000.
Analysis
I found Lori Beer’s perspective on leadership and management most beneficial, especially because I think that most of the students in our class, including myself, plan to be in management and/or leadership positions within our careers. A few of her most emphatic points stood out to me:
First, make decisions based on data, not on e.o.e (egos, opinions, and emotions). This is invaluable advice because making decisions can be one the hardest parts of an important and successful career. If we want to make the best impact on our firm and on the people within it, we cannot let our personal judgments and opinions get in the way of the best interests of the company.
Second, realizing you do not know everything is the first step in building trust and completing the job successfully. If you enter a situation thinking you have all the answers, you will often mess up something really important because you failed to use the knowledge of other people in making the best decision. This also contributes to a big ego, which is detrimental when trying to work together with other people.
Third, get comfortable taking risks. Lori talked about her risk in jumping from the healthcare industry to a career in investment banking. At the time she was overwhelmed and unsure of her decision. Everyone around her was asking why she did it, confused as to how she could have taken such a big risk. However, it paid off tremendously for her company and for her own personal development.
Fourth, know people for who they are, not just what they do. If we take time to invest in relationships with our employees, we are better able to work together and produce more viable and successful solutions. Strong work relationships can make or break a career, and letting people know that you genuinely care about their personal development in critically important.
Last, while we all get overwhelmed sometimes, it is important to always think about the impact you are having on other people. Taking a deep breath and organizing your thoughts can be the first step to getting back on track and dealing with stress properly.
Deloitte
Summary
Deloitte is the most diverse Big Four accounting firm, specializing in dozens of different areas of accounting, as well as investing in corporate citizenship initiatives and governmental relationships. It has clients all over the world and works hard to sustain these client relationships and expand the current services for each one.
During our visit, we listened to seven different speakers talk about everything from mergers and acquisitions, to government relations, to economical debates and more. Deloitte as a company is very influential in the global economy and marketplace. What many citizens do not realize is the importance of business in public policy reform. Companies like Deloitte send representatives and financial support to the government and to campaigns in efforts to pass legislation that aligns with the firm’s business interests. Regulation of business is one of the hottest topics in the accounting industry, because tax and audit projects from firms like Deloitte revolve around how to manage, monitor, and account for client operations and finances.
Deloitte has many lines of business, but the majority of them overlap and usually work together to accomplish projects. The firm has strong core beliefs and expresses them each year through Deloitte University and Impact Day. DU is set up in Texas as a campus where Deloitte employees can come together to share ideas and work on new projects and initiatives. Impact Day is a service-oriented tradition in which all employees take a day off work each year to serve the community, all over the globe. These two programs encourage a sense of community at Deloitte.
Analysis
Senior M&A analyst Joe Smith talked about the importance of creating and maintaining meaningful relationships in the accounting industry. To Deloitte, this is one of the best ways to differentiate yourself from other accounting firms. While it is always important to make continuous improvements to processes, operations, and financial reporting strategies, it is more important to invest in the client relationship if you want to keep their business. I found this very interesting yet oddly true, because most industries can compete based on technical skills and better services. However, the accounting industry is so streamlined that they find value in the intangible products provided. Jones Lang Lasalle takes a similar approach because the real estate investment industry is shaped similar to the accounting industry.
Philipp Willigmann is a member of Deloitte’s Consulting Services line of business, and he has traveled all over the world providing solutions for different organizations and cultures. He explained all of the complexities of solving a problem in a third-world country, dealing with economic fluctuations and the expectations of accounting consulting, and managing time and people. However, at the end of his presentation, he gave us advice of “do not grow up too fast”. In other words, he said that although it is important to be responsible and pursue a good career, we always need to remember to have fun and stay young. Going out with co-workers and doing cool things in our free-time contributes to a happier personal life and a more successful career, too. It was rewarding to hear someone talk about this, since all of the expectations and discussions throughout the week were a bit overwhelming at times.
Advertising Self-Regulatory Council
Summary:
The Advertising Self-Regulation Council (ASRC) is an umbrella organization that brings together multiple parties to settle disputes regarding honesty and integrity in the advertising industry. The process of using self-regulation is more cost-effective and productive to use than litigation, which incurs high court costs and negative publicity. It helps to maintain the balance of regulation in business, finding a medium alternative between too much regulation and not enough. Many competitor firms will submit cases about companies in an effort to keep them accountable and protect their own interests.
All cases are backed by the idea that an advertiser has to be able to provide evidence of the claims that are shown to consumers. If a company is unable to back up their claim with substantial data and evidence, the ASRC will recommend that it changes its advertisement to adjust for the fix. If the company refuses to adjust or comply with the ASRC’s recommendations, the ASRC will refer the case to the Federal Trade Commission. This gives companies a stronger incentive to comply with the ASRC, which is more gentle, flexible, and advantageous for most businesses.
The ASRC brings together the advertiser, the challenger, the National Advertising Division (NAD), and a panel of five people representing the National Advertising Regulation Board (NARB). The NARB is composed of various marketing professionals, sales representatives, and professors from around the entire country, representing diverse interests but also professional and informed opinions. The NAB prepares a case against the advertiser and presents the case to the NARB, while also allowing for the advertiser and the challenger to speak up when allowed. This discussion, which takes place at the ASRC building, can get heated at times, but always ends with the NARB coming up with a conclusion on how the advertisement should be handled.
Analysis
This process of enforcing honesty in the advertising industry was extremely interesting. I would love to sit in on one of the NARB panels while the discussion gets heated about certain advertisements! The entire process is funny because it is set up in a way in which competitors can tell on other companies if they think something is wrong. While many advertisers probably get really mad that they’ve been told on, many cases have ended up in more accurate and truthful advertising, which benefits consumers.
As I begin my co-op at Procter and Gamble this fall, my visit to the ASRC will give me a much better understanding of the importance of honesty in advertising. I will be working on a specific brand for the firm, and will likely have a project that involves analyzing or assessing an advertisement and the marketability of it. I am glad that we were able to fit this visit in last minute, because the information and case studies shown prove that integrity in marketing is extremely important. If companies make claims that they cannot back up, they fail on their promises to consumers and decrease brand credibility at the same time.