Career Options for MBAs - Real World Advice From Industry Veterans on Investment Banking, Consulting, Global 500 Companies, Entrepreneurship and Choosing the Right Career (Bigwig Briefs)

About Aspatore

Executive Business Intelligence www.Aspatore.com Aspatore publishes only the biggest names in the business world, including C-Level leaders (CEO, CTO, CFO, COO, CMO, Partner) from over half the world's 500 largest companies and other leading executives. Aspatore publishes a highly innovative line of business intelligence brands including Inside the Minds, Bigwig Briefs, Focusbook, ExecRecs, Brainstormers, What Ifs, IdeaJournal, CareerJournal, Business Travel Bible and Aspatore Business Reviews, in addition to other best selling business books, journals and briefs. By focusing on publishing only the biggest name executives, Aspatore provides readers with proven business intelligence from industry insiders, rather than relying on the knowledge of unknown authors and analysts. Aspatore focuses on publishing traditional print books with individuals, while our portfolio companies, Corporate Publishing Group (B2B publisher) and ExecEnablers (retail business intelligence stores) focus on developing areas within the business and book publishing worlds. Aspatore is committed to providing our readers, authors, bookstores, distributors and customers with the highest quality books, journals, briefs and publishing execution available anywhere in the world.

The Bigwig Briefs Series Condensed Business Intelligence From Industry Insiders

www.BigwigBriefs.com

Bigwig Briefs features condensed business intelligence from industry insiders and are the best way for business professionals to stay on top of the most pressing issues. Bigwig Briefs features knowledge excerpts from the best selling business books published by Aspatore books, other leading business book publishers, and essays written by leading executives for inclusion in a particular brief. Bigwig Briefs is revolutionizing the business book market by providing the highest quality content in the most condensed format possible for business book readers worldwide.

B

I

G

W

I

G

B

R

I

E

F

BIGWIG BRIEFS:

CAREER OPTIONS FOR MBAS Real World Advice from Industry Veterans on Choosing the Right Career

S

Published by Aspatore Books, Inc. For information on bulk orders, sponsorship opportunities or any other questions please email [email protected]. For corrections, company/title updates, comments or any other inquiries please email [email protected]. First Printing, 2002 10 9 8 7 6 5 4 3 2 1 Copyright © 2001 by Aspatore Books, Inc. All rights reserved. Printed in the United States of America. No part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, except as permitted under Sections 107 or 108 of the United States Copyright Act, without prior written permission of the publisher. ISBN 1-58762-102-9 Library of Congress Card Number: 2001119820 Edited By Ginger Conlon Cover design by Rachel Kashon, Kara Yates Material in this book is for educational purposes only. This book is sold with the understanding that neither any of the interviewees or the publisher is engaged in rendering legal, accounting, investment, or any other professional service. This book is printed on acid free paper. The views expressed by the individuals in this book do not necessarily reflect the views shared by the companies they are employed by (or the companies mentioned in this book). The companies referenced may not be the same company that the individual works for since the publishing of this book. The views expressed by the endorsements on the cover of this book are from the book the original content appeared in and do not necessarily reflect the views shared by the companies they are employed by.

BIGWIG BRIEFS: CAREER OPTIONS FOR MBAS

CONTENTS Frank Roney, IBM, General Manager, Worldwide Business Innovation Services The Consulting Path 7 Randolph C. Blazer, KPMG Consulting, Inc., Chairman and Chief Executive Officer The Art of Consulting 11 Dr. Chuck Lucier, Booz·Allen & Hamilton, Chief Growth Officer, Senior Vice President Should You Become a Consultant? 18 Heidi Roizen, SOFTBANK Venture Capital, Partner The Best Reasons to Become a Venture Capitalist 32 Sam Colella, Versant Ventures, Managing Director Winning the Venture Capital Game 34 David Cone, Camstar, Founder and Chief Executive Officer Are You an Entrepreneur? 49 Oliver D. Cromwell, Bentley Associates L.P., Senior Managing Director The Art of Investment Banking 68 Jimmy Dunne, III, Sandler O’Neill & Partners, L.P. The Elements of a Good Investment Banker 70 Eduardo G. Mestre, Salomon Smith Barney, Vice Chairman, Chairman Investment Banking Division Successful Investment Banking 74

BIGWIG BRIEFS:

CAREER OPTIONS FOR MBAS

CAREER OPTIONS FOR MBAS 7

Frank Roney, IBM, General Manager, Worldwide Business Innovation Services The Consulting Path I’ve been in professional services for 24 years. It’s an intoxicating profession. IBM’s consultants live at the intersection of business strategy and technology execution, and it’s constantly changing in both areas. There’s never a boring day, a boring assignment, or a boring engagement. Our customers’ business designs are evolving as new applications of technologies emerge. At the core, the consulting industry is all about creating value for our customers, and ultimately for their customers. But it’s also about hard work and staying on the leading edge of change while being practical about what can and cannot be done. Today, creating value has everything to do with the transformation to e-business. In the early 1990s, as technology became a key enabler for business strategy, we saw a real acceleration of consulting around technology. It was driven by ERP systems and by the opportunity to reengineer businesses, to take out costs and become more productive and efficient. That increased throughout the 1990s, particularly around the Y2K technology changeover. With the initial emergence of the Internet and the first wave of e-business, we saw an insatiable demand for leading consulting talent – talent that could develop strategies,

8

BIGWIG BRIEFS

create new business models, and implement technologies that drive a company’s growth, increase their competitive advantage, save money, or all of the above. Then, in the past two years, we saw a surge around some very big ideas propelled by the business designs of the dotcoms. As we now know, it was short lived. The dot-coms learned the hard lesson that ideas and innovation without tangible business results isn’t going to cut it. The best consultants know how to deliver on the promise of big ideas. You have to execute. You have to marry innovation with maximizing shareholder value. The second wave of ebusiness is all about the hard work of both business innovation and technology integration. The Art of Consulting I think the art of consulting starts with the ability to understand our customers in the context of their business in their industry. I think of every customer’s enterprise as a puzzle. Our job is to both listen to the customer and to be very thoughtful. We need to decompose what we hear, assess the parts, and then reassemble them using our insight and our knowledge to help them develop their business strategy. The art is really about both good listening and having a point of view on what to do and how to do it. However, consulting must be about both ideas and execution. Because of the demand for time-to-market, consultants who can get customers into the market with fresh ideas and workable strategies faster than the competition will lead in the marketplace.

CAREER OPTIONS FOR MBAS 9

The Need for Consultants Consultants work with clients for many different reasons. Most of our customers are looking for innovation, fresh insight into their business strategies, and ways to leverage technology. They know the hot topics, and they know a number of different directions they could take, but they’re looking for specific industry thought leadership and a point of view. Wireless is a great example. They understand wireless, but they come to us to help them think through the right alternatives that will drive business results. In this sense, customers come to a consultant because they are looking for both insight and capability – whether it’s for business strategy, managing change, or implementing technologies. The ideal customer/consultant relationship is when the change agent becomes the trusted business advisor. This requires having the customer’s best interests in mind at all times. Sometimes that means saying no to the customer. Sometimes that means changing the direction of critical customer projects. Objectivity is crucial. Consultants operate best when they are held accountable for delivering on their ideas. Increasingly, our customers are saying they want not only the ideas but also the execution. Often our best customer relationships have a healthy dose of creative tension, where ideas are challenged and accountability is held paramount. We think that’s about right.

10

BIGWIG BRIEFS

Difficult Aspects of Consulting From a people perspective, the consulting profession is well known for stretching work-life balance parameters. Operating at the leading edge of business and technology change is challenging. However, in many ways, that’s what makes this profession so appealing. I don’t think this balance issue is ever going to go away. The breadth of business change in the business world and the new, emerging technologies are putting a lot of demands on consultants today. Unlike ten years ago, when you could more easily master the technology that we had at that time, the current environment requires both adept industry expertise and a much deeper technology competence than ever before. To address this need, we not only go to market by industry, but we’ve established technology centers of competence. A high premium is put on collaboration and on the sharing and reuse of assets. Our consultants compete not just on the basis of their industry, technology, or solution capability, but also through their ability to leverage their experience, expertise, and intellectual assets. It is increasingly important to innovate, share, and improve individual productivity and effectiveness by better managing what we “know.” Our ability to save, organize, and apply the extensive knowledge within IBM is key to providing distinctive value to our customers. We use knowledge management to provide our professionals with a framework that enables the reuse of insights, best practices, technical frameworks, and solutions. This knowledge sharing and reuse leads to outstanding

CAREER OPTIONS FOR MBAS 11

service that distinguishes IBM Global Services from its competitors.

Randolph C. Blazer, KPMG Consulting, Inc., Chairman and Chief Executive Officer The Enjoyable Aspects of Consulting Although I’m charged with a variety of business responsibilities as CEO, at the end of the day, what I most enjoy and what gets my creative juices flowing is still providing direct assistance to our clients and helping our professionals solve client challenges. Clients primarily come to KPMG Consulting for two reasons: to solve a business problem or pursue a business opportunity. We provide not just analytics, but also experience and industry knowledge, as well as information systems, to support their business on an ongoing basis. Most challenges that companies face today revolve around harnessing the information they have and using it to their advantage. Being integrally involved in solving these concerns is exciting and dynamic, and it keeps me always thinking forward about the next major business and technology innovations to help our clients tackle them. Second only to working for our clients is the excitement of working with our colleagues, both inside and outside the business. At KPMG Consulting, we are a group of topnotch professionals. Throughout all levels of the organization, everyone you encounter is experienced,

12

BIGWIG BRIEFS

committed, intelligent, and eager to learn. It creates an environment that encourages you to work hard, increase your knowledge, and be truly driven toward success. We’ve created a culture that emphasizes personal responsibility for our individual growth, while at the same time focusing on each other’s success and valuing teamwork and collaboration. So, particularly once you begin to accept more responsibility and move to the management levels that help drive the business, it’s a great pleasure and a huge responsibility to bring others into the company and help ensure their success. You have to make sure that they’re mentored, developed, motivated, and trained to work with the client and that they are performing well and in the clients’ best interests. And our mentoring opportunities are enormous; you typically have very diverse teams. That’s what drives the creativity. The need for mentoring can go in all directions. We are mentors to those who report to us, those we report to who may not have all the specifics of the client’s particular needs, those who work alongside us, and our clients, who often serve key roles on our joint teams. It’s a wonderful position to be in, where you can help others grow within a company – a client’s or ours – and see them be successful. The Art of Consulting The art of consulting starts with a clear understanding of what the need is – the business problem or challenge the client is facing. You have to be experienced first so that you have a solid foundation, and you also have to know a wide range of client specifics before you can even know where

CAREER OPTIONS FOR MBAS 13

and how to start. You have to understand the client, the environment they sit in, and the competitive marketplace they operate in. You have to understand what their competitors are doing. You have to understand their culture, the state of their machinery or apparatus, and whether they’re producing goods, generating information, or providing a service. In the art of consulting, you must truly understand the client and the client’s situation. I see it as one part relationship building and one part technical analytics of the client’s current situation and needs. Once you’ve locked onto the need and the aspects of that requirement, you reach the second phase of this art, which is addressing client needs and delivering results through creative solutions and methodologies. Sometimes it involves an approach that has never been tried before. How do you develop an approach or methodology to deliver the results that the client is looking for, while providing enough specialty expertise to guide both you and the client? The third aspect of this art is the communication process that evolves when you try to keep both the client’s needs and the project methodology in lock-step as the project unfolds. As you go through a project, the need will change and become more defined. Your intended solution may begin to drive on one aspect of that need but forget the other aspects. Unless you have constant dialogue going on between those two things, need and delivery, you’re going to get out of synch. It’s a real art. Most of our projects kick off with a formal planning stage, which helps make sure roles are clearly defined, that KPMG Consulting and client team members at all levels have a

14

BIGWIG BRIEFS

clear understanding of their responsibilities and who specifically is accountable. It also ensures that background information will be provided to get us up to speed quickly and that formal communication plans are in place. We incorporate a change process and approval structure into all of our involved engagements, as well. This helps manage changes to the scope of projects and lets the client and our professionals fully understand the implications of changes across project areas and to cost and resource demands, as well as project timelines. In turn, it helps us mobilize additional personnel as needed and helps keep the project moving, instead of stalling out. The bottom line: We have to make sure that expectations are set, communications are clear, detailed and ongoing feedback is provided, onsite corrections are made, and that we keep going until we get to the result the client wants. And most important: It has to be a lasting result. The New Face of Consulting – Challenges The job of and pressures on a consultant have gotten even harder in recent years. I say that primarily because the world is running at a faster speed. We have a faster pace and probably a greater desire for results than we’ve ever had in the business world. Whether it’s getting information instantaneously via e-mail or restructuring their entire business model in six weeks, people expect immediate solutions to complex issues and are often impatient with the exploratory work that must be done to offer real solutions to complicated business needs. So our professionals really have to hit the ground running with the industry acumen and

CAREER OPTIONS FOR MBAS 15

speed with purpose that give clients confidence that their time isn’t being wasted. It serves no purpose for consultants to extend the length of client engagements and rack up fees unnecessarily. Ninety-six percent of our top clients are repeat customers because we deliver results – fast. In addition to the increased sense of urgency, clients and consultants often share a misconception that technology is the great panacea for business problems. But technology both helps and confuses the issue. Technology is an enabler for you to be an effective consultant and solve problems. We’ve had good success with automated diagnostic and assessment tools and have derived immeasurable benefit from the knowledge-sharing that our intranet permits, to name a few quick examples. But technology also confuses things because people race for technology to solve fundamental business issues. Technology can’t do that. This requires experienced people, thinking through the problems and alternatives. Another recent change that makes the profession seem a little harder is the whole theory around people – your workforce and what their professional desires and goals in life are and what their emotional attitudes are. We talk a lot about the Generation X and the “Me Too” and the “What’s in it for me” types who are not willing to put in the hard work and hours required. But this is not a theory I really subscribe to. People are still pretty good; they are dedicated to doing the right things for their clients and their colleagues. If you treat them openly and honestly, they’re going to respond the same way people did 30 years ago. We’re all rational people, and we’re all trying to be fair-

16

BIGWIG BRIEFS

minded. We have ambitions and goals, but I think we have to be clearly attentive to people’s needs. The notion of how you deal with workforce issues just seems more complicated today, when really it’s all about the same good people who have goals, and making sure those goals are understood. It’s important to make sure those goals are in lock-step with the organization, so you get a win-win. I feel pretty good about where we stand and what we’ve done to respond to our people. If you put all that together, it’s the same thing we did 30 years ago. People would say it’s the same thing they did 50 years ago. We do it a little faster now, and we’re a little more sophisticated. Our generation of consultants has pushed the bar up, and the next generation will take it to the next step, and that’s expected. Has consulting become more difficult? The answer is yes, but the fundamentals are still the same. It’s still about locking onto a client, understanding the business need, trying to find a solution to that need, communicating around that solution, and keeping it in lock-step. It’s a solution for a need. It’s still about hiring a workforce and motivating a workforce that feels like they’re going to get something as a result of delivering something to the client. It’s about facing challenges and delivering results. The Future of Consulting The fundamentals of locking on a client’s business problem are not going to change in the next decade. Clients will still

CAREER OPTIONS FOR MBAS 17

have businesses and business priorities, and they will still need information. The validity and accuracy of the information are getting faster and faster, and the way virtual organizations are created won’t significantly change. I think technology will step up the pace, adding new wrinkles and new solutions. Technology brings us closer to operating virtually and enables consulting professionals to work remotely with clients more than we ever could before. All of this enables globalization, which I think is going to be very dominant in years to come. We’re focused on the Global 2000 companies, but any company in the world is global. Either their customer base is global, or their vendor base is global. Most companies do some transactions outside their regional or national borders. We need to operate globally ourselves and assist our clients as they face similar globalization needs, helping them achieve results and success without boundaries. In the past it seemed easy to enter this profession. The perception was you put up a sign in your window that said, “I’m a consultant,” and you were in business. I don’t think that’s fair to the state of the profession. I think consulting, particularly for the global companies, is a very sophisticated business. Organizations put a lot on the line with the consultants they choose. I believe that those consulting companies that are able to deliver real value on a sustained basis will be the ones that are still here five years from now. The marketplace learned that a new technology plus a new consulting firm does not necessarily result in staying power for the firm. The staying power comes from being a

18

BIGWIG BRIEFS

sophisticated business made up of experienced people who can provide lasting results.

Dr. Chuck Lucier, Booz·Allen & Hamilton, Chief Growth Officer, Senior Vice President People, Passion, and Profits The consulting business is, first and foremost, about helping people succeed – people inside client organizations, as well as people at your own firm. Intelligence, deep expertise, and analytical skills all matter, of course. But there’s no shortage of smart, analytical experts across leading firms like Booz·Allen. A firm’s success depends on the sincere desire of its consultants to help others succeed. Enjoying and enabling successes by other people has always distinguished truly great consultants. Clients, of course, come first. Booz·Allen’s market research confirms what any successful consultant knows: Senior executives select consultants whom they trust to work with them. Trust grows out of mutual success – collaborative efforts in which the consultant helps the client’s organization repeatedly achieve significant performance improvements. With all the pressure on short-term performance, executives can’t afford consultants who merely rubber-stamp their ideas. They need consultants who will listen to, understand, and empathize with their challenges; who will collaborate with them to develop and implement a successful answer. Successful consultants

CAREER OPTIONS FOR MBAS 19

combine the ability to help the client organization win with a sincere interest in helping individuals within the organization succeed. A consultant’s best clients are always those people he or she has already helped succeed. By putting the client’s needs first – those of the individual and the organization – the consultant ultimately becomes a trusted advisor. A client I’ve worked with occasionally during the past 15 years called recently and said, “I really need your help. We’re considering a major acquisition that will make or break our business. Can you be involved personally? I trust you.” It doesn’t get better than that. Helping people inside the firm matters too: The best colleagues, like the best consultants, are the people you have helped succeed. We (and other top management consulting firms) recruit truly amazing young people. The fun part is challenging people to stretch, to try to accomplish more than they think they can. In my own career, I know that I grow and learn every day. We try to stimulate rapid, continuous development in everyone at Booz·Allen. Of course, that requires time and commitment on the part of senior consultants. During the recruiting process, I make personal commitments to people we would like to hire. I promise that if they join Booz·Allen, I’ll help them grow and have the most successful possible career – whether at Booz·Allen or elsewhere. Many of my colleagues at Booz·Allen – as well as many of my clients – are people to whom I have kept that commitment.

20

BIGWIG BRIEFS

Consulting, especially strategy consulting, is an apprenticeship business: People learn consulting skills by observing great consultants and by assuming increasing levels of responsibility under the watchful eyes of experienced seniors. Helping others grow is not only fun, but it’s enlightened self-interest. Altruism didn't motivate master craftsmen in medieval guilds to take on apprentices any more that it motivates me to recruit new associates. Consultants, like the master craftsmen of old, need apprentices to help get the work done. The more skilled an apprentice becomes, the more they can do, freeing up the “experienced master” to concentrate on the most demanding tasks. The more I can help my colleagues develop superior skills, the more I can concentrate on the activities that I do best, and the more our team will succeed. Profession and Business Make no mistake: The starting point may be helping people, but consulting is a business. Like any other business, we measure our success at the bottom line. Profits matter. As it turns out, helping people is good business. Fifty years ago, Jim Allen, one of the founding partners of Booz·Allen & Hamilton, and Marvin Bower, the man who shaped McKinsey, engaged in a famous debate about the fundamental nature of consulting: a profession or a business? Bower, arguing the side of consulting as a profession, insisted that the consulting firm, like a successful law firm, should focus on doing the right things – for its clients, its people, and the development of ideas in its

CAREER OPTIONS FOR MBAS 21

industry. If the firm fulfilled the obligations of the profession, the business would take care of itself. Allen took the opposite position: Consulting, he argued, is a business. Like any successful business – like our clients, Allen argued – consulting firms must offer attractive value propositions to all of their stakeholders. They deliver short-term performance while transforming themselves for long-term success. Allen and Bower were both right. It doesn’t matter where you start – a profession doing the right thing or a business offering attractive services – the answer is the same. One of the joys of consulting is that doing the right thing is always the right thing. People matter. Profits matter. But a real understanding of the consulting industry requires the same discipline that strategy consultants bring to their client work. The Structure of the Consulting Industry The traditional segmentation of the consulting industry – strategy, operations, technology – never made sense. It confused our clients. It confused recruits. It confused consultants. As a strategist, I group large consulting firms into three segments, each with different economics based on different approaches to different sorts of problems: strategy firms, accounting consultancies, and what I call “application consultancies.” Strategy firms – McKinsey, Booz·Allen & Hamilton, Boston Consulting Group, and Bain – focus on developing

22

BIGWIG BRIEFS

unique answers to problems with the highest risk and the greatest long-term impact. Business unit strategy is the prototype. Sustained, superior profitability requires a strategy distinct from competitors, grounded in underlying economics and skillfully executed. Clients will pay premium prices to strategy consultancies that help craft and implement unique, competitively advantaged strategies. Of course, strategy consultants don’t limit themselves to business unit strategy. We tackle other strategically important problems that require unique solutions – e.g., organization, customer relationship management, and pricing strategies. Each of the large strategy firms derives the majority of its revenue from one or more of these other types of service offerings: McKinsey from overhead value analysis (overhead cost reduction), BCG from reengineering focused on winning through time-based-competition, and we at Booz·Allen, for supply-chain management and crossfunctional solutions. Strategy firms seek to work with the people inside organizations who make or support strategic decisions. A decade ago, this meant a fairly small group of people: the CEO, COO, business unit general managers (BUGMs), and strategic planners. Today, because intensifying competition and flatter organizations have pushed strategic decisions to a broader set of individuals within client organizations, we have the opportunity to work with a larger and more diverse set of people within any given organization. The accounting consultancies – Accenture, Andersen, Deloitte & Touche, and Price Waterhouse – use standard,

CAREER OPTIONS FOR MBAS 23

repeatable approaches to help clients achieve operational improvements quickly, with minimal risk and at reasonable cost. Typically involving the selection and implementation of information technology, these kinds of operational improvements require some tailoring (e.g., links to legacy systems), but focus primarily on delivering general capabilities, rather than unique solutions. The broader the scope of a given standard approach, the greater an accounting consultancy’s revenues. In some cases, the majority of revenues for these types of firms accrue from a single business problem – such as Year 2000 (i.e., computer programs unable to deal with dates after 1999) or the installation of enterprise resource planning systems, such as SAP or Baan. Outsourcing of corporate information technology departments or scale-intensive overhead functions has also been a major growth engine for these consultancies. The economics of accounting consultancies depend on standardization. Whereas strategy consultancies have, on average, about eight staff per partner, accounting consultancies have about 35 staff per partner. The low leverage ratios of strategy firms enable senior staff and partners to stay intimately involved with the details of analysis and recommendations. In contrast, the high leverage of accounting consultancies defines their economic model: The only way to provide partners with the compensation they want, and clients with the prices they expect, is by generating fewer margin dollars across a much larger number of staff. In that environment, standardization is the only way to ensure quality.

24

BIGWIG BRIEFS

Accounting consultancies target the CIO and other functional managers. Traditionally a very lucrative target, the CIO was the one functional executive who spent significant consulting dollars. As line managers have become more computer literate, CIOs are making fewer decisions about consultants, and the accounting consultancies are focusing more and more on business unit general managers. The third segment, the ones I call applications specialists – AT Kearney/EDS, IBM, HP, Oracle, E&Y/Cap Gemini, SAS – are the consulting divisions of hardware and software companies. For these companies, consulting supports the base business: It creates demand for their hardware or software products, increases the value that customers receive from the hardware/software, accelerates customer use of the latest releases of the hardware or software, raises the customer’s cost of switching to competitive hardware or software, and generates an additional revenue and profit stream. The typical consulting activities include selecting, installing, or applying the hardware or software – for example, SAS consultants helping a client’s marketers use the software for data mining. In addition to the three segments of “large” (more than $250 million in revenues) consultancies, a plethora of small niche players represents about half of the consulting industry’s revenues. The majority of these “firms” are single individuals – consultants who have left large firms and are now on their own or retirees who are now consulting to

CAREER OPTIONS FOR MBAS 25

their former employers. The remaining small players concentrate on one or two specialties, defined either by industry or by functional area. The principal advantages of these firms stem from their size: minimal overhead and the human scale where everyone knows everyone else. Small firms suffer three significant disadvantages. First, they suffer from “feast or famine” cycles: Individual rainmakers tend to alternate between periods of intense selling and periods of doing the work. It’s hard to maintain a balance of selling and doing. And it’s hard to pay the bills when the rainmaker is in the selling phase of the cycle. In contrast, the many rainmakers at large firms move through different cycles, ensuring better use of all of the staff. Second, small firms can’t help major corporations affect change globally, since they have neither the breadth of skills required nor the necessary geographic footprint. Since major corporations represent more than 75 percent of the consulting market, small firms can serve only a limited portion of the market. And third, small firms provide suboptimal development opportunities for people: the chance to work extensively in one area, but not the opportunity to develop the broad skills that enable a person to become a general manager. As a consequence of these disadvantages, small consulting firms experience enormous turnover: One individual may consult for two or three years and then move on to something else; another individual decides to become an independent consultant.

26

BIGWIG BRIEFS

Should You Become a Consultant? Should you become a consultant? Consulting is a weird business. Despite the industry’s best efforts, none of us has been able to effectively communicate what it’s really like to be a consultant. As a result, until you experience it, you can’t really evaluate whether you’d be successful as a consultant. Consulting firms, too, have only a limited ability to judge a potential consultant’s long-term success. Even in strategy firms, only about 15 percent of the people we hire become partners (in accounting consultancies, the proportion is much lower). We hire only people who we believe have the potential to prosper in consulting. We make relatively few hiring mistakes; most of the people we hire are successful as associates. But over the next six or seven years, 85 percent of our people decide they would be more successful or happier if they pursue a different career. With so much uncertainty, it doesn’t make much sense for any individual to try to assess his or her long-term success in consulting. Sure, the pay is good, and the opportunities for growth, excellent. But the question for most people considering consulting ought to be, “Will becoming a consultant for the next three of four years maximize my career options and employability?” The value proposition of consulting to recruits has been and will continue to be that it is the fast track to corporate senior management.

CAREER OPTIONS FOR MBAS 27

The most successful managers, both in large corporations and in start-ups, are what we call zealots: capable of simultaneously delivering today’s results, increasing the organization’s competitive advantage tomorrow, and motivating people to fulfill the future vision. In the past, corporations defined distinct roles: manager, strategist, and change agent. With today’s faster pace of change and greater demands for performance, the roles can’t be separated. A leader has to continually trade off improved performance today with changes to improve for tomorrow; since measurement and reward can’t evolve fast enough, people have to trust their leader to recognize and reward the new behaviors that are required. No company has enough zealots. Consulting, especially strategy consulting, is a more attractive career than ever. It’s the ideal place to learn the zealot’s skills. Recent research on learning suggests that it takes about 3,000 hours of practice to become a gifted amateur; 10,000 hours to become a leading professional. Interestingly, the amount of practice required is similar for a wide variety of pursuits, including golf, music, and chess. My hypothesis is that about the same amount of practice is necessary to learn skills in business. In three years, a consultant can attain “gifted amateur” status in strategy and leadership – experience that it would take two or three times as long to acquire in a corporation. Admittedly, the managerial skills of P&L management don’t develop much faster in a consulting firm than in a corporation. Since strategy consultancies are entrepreneurial, five years in a consultancy are sufficient to attain “gifted amateur” skills in management along with a “professional” level of skill in

28

BIGWIG BRIEFS

strategy and leadership – the world’s best training for a zealot. Lifestyle is the principal downside to a consulting career. Strategy consulting is unpredictable. We work on the most demanding, urgent problems – problems that clients often wait too long to address. It’s not unusual for a CEO to call and ask for a meeting on Saturday or Sunday, or to ask a team to begin immediately. The good news is that the engagements that address the client’s urgent, important issues are the most challenging and rewarding for the consultant. The bad news is that you never know when your client will call and need you immediately. Before I became a consultant, I was a college professor. As a professor, I was home with my kids every night; I coached Little League and soccer. As a consultant, I can’t commit to coaching athletic teams; there’s too much danger a client will call me away, and I won’t be able to fulfill my responsibility. We work hard to help people manage their lifestyle: We limit days away from home; an increasing proportion of our people work part-time (at all levels, including partner); we’ve created some career paths with more predictable hours and travel. But lifestyle continues to be one of the major reasons people leave consulting. The Most Difficult Part of Consulting At least for me, lifestyle isn’t the most difficult part of consulting. Lifestyle is manageable: Draw and enforce lines; be home for birthdays and anniversaries; don’t come

CAREER OPTIONS FOR MBAS 29

back from vacation; when traveling to interesting places, take your family or significant other and stay over the weekend. In other words, find ways to make the consulting lifestyle work for you. Consulting provides a host of unique experiences – take advantage of them. For me, the most difficult part of consulting is delivering tough messages to people in the firm. Since there isn’t one standard career path at Booz·Allen, we have to provide very frank feedback about what’s working and what isn’t, so that people can chart the most productive course for themselves. Most feedback sessions are very positive: Honest, constructive feedback has enormous value to the person receiving it. Even when people are leaving Booz·Allen, our dialogues are almost always very positive. The vast majority of people who leave the firm make a natural transition from consulting to general management, either because of a great offer they can’t refuse or because of a change in their desired work-life balance. That’s a happy event for them and for us; alumni are among our best clients. But it isn’t always easy. The truly painful, but very important, aspect is helping someone understand they would be more successful in a career other than consulting. I learned the importance of this early in my career. One of our smartest recent hires just couldn’t figure out the art of consulting. When I started to encourage him to look at some opportunities outside consulting, he pleaded, “Even if there’s only a one-percent chance that I’ll be successful at Booz·Allen, I want to continue to try.” Although he made significant progress during the following year, it was painfully clear that he

30

BIGWIG BRIEFS

would be much more successful as a general manager – which turned out to be true. He has become an extremely successful manager in a high-tech business. However, because I didn’t do a good job of counseling, this colleague suffered through an unnecessary year with us and delayed the start of his high-tech career. The Best Advice for a Consultant My best advice for someone in consulting is “overlap your circles.” Circles? Think of the three elements of the strategy consulting business – clients, team, and intellectual capital – as circles. New consultants assume there is a trade-off among the three circles. After all, there are only 24 hours in the day, and if I spend them all developing clients, then I don’t have time to develop ideas or a team. But that’s wrong. Sure, in theory, a strategy firm could develop all three circles using differentiated roles. “You focus on people development; I’ll bring in clients; and Susie will develop our best ideas.” In practice, no strategy firm differentiates roles in this way. Every consultant needs clients; it’s the essence of consulting. Every consultant needs ideas to find unique answers for our clients. And we all need to develop people as part of the large teams we deploy to tackle our clients’ complex, multifaceted problems. In strategy consulting, the same people are strongest in all three circles simultaneously. It’s easy to think it’s just a gift, but when we studied our most successful consultants, we found they behave in a different way than the people who

CAREER OPTIONS FOR MBAS 31

are less successful. They overlap the circles. Each action they took simultaneously contributed to developing clients, ideas, and people. For them, there was no trade-off. For example, most of the ideas we publish are stimulated by our client work. Often, we write articles with clients, deepening our relationships with them. Or we write with our teammates, helping develop their skills. Publications not only cause new clients to call us, but also stimulate the intellectual growth of our people. Offering juniors the chance to assume some of a senior’s responsibilities simultaneously provides a development opportunity for the junior and frees the senior’s time for client or idea development. While working at a client, each team educates the other teams about what they’re doing. It’s a great development opportunity for both the presenters and us in the audience. The discussion stimulates new ideas; because of their broader understanding of the client’s challenges and agenda, each team is able to add more value to their engagement. The same principle of overlapping circles also helps with work-life balance. For example, when my kids were in college, I led Booz·Allen’s recruiting at my kids’ schools. It was a win-win. The firm valued the time I spent at the universities, getting to know the faculty, making presentations, and meeting with students. But I also spent time with my kids. And when I went to the schools to visit my children, I also made the effort to meet with students or faculty.

32

BIGWIG BRIEFS

Whenever I feel overwhelmed by all that has to be done, I look for ways to better overlap my circles.

Heidi Roizen, SOFTBANK Venture Capital, Partner The Best Part About Being a Venture Capitalist As far as I’m concerned, I have the best job in the world. Here’s how I explained it to my 80-year-old mother a few months ago: All day long, really smart people contact me and tell me about the dreams they have for building companies. If I like the people and their dreams, I get to buy part of the company and participate in its success—and I don’t even have to spend my own money. Then, if the company is successful, I get to keep some of the returns. What could be better than this? Okay—in truth, it isn’t quite that simple. Of course, we at SOFTBANK have a huge commitment and fiduciary responsibility to the people whose money we invest—that is, the limited partners. We take great care when evaluating opportunities, and turn down 99 percent of the deals pitched to us. We do a tremendous amount of due diligence on the people, the market segment, the technology, and the competition before we invest. Once we do decide to invest, we work our butts off on the boards of these chosen companies, helping them plan, recruit, resolve conflicts, develop businesses, and conquer the myriad challenges that arise in an Internet company today. Our days are filled with

CAREER OPTIONS FOR MBAS 33

meetings, briefings, dozens of phone calls, hundreds of emails—the inflow never seems to end. So, this is not a job for the 9-to-5er. I find the daily work exhilarating. Each day my mind is stretched by new markets or by new ways to look at traditional ones. The number of “ah-has” you can have—moments of insight and inspiration—are huge in this job. You really get an opportunity to pursue your interests in each of the companies you back. Working With Entrepreneurs Instead of being with one group of people, day in and day out, for years, I get to be involved with a dozen or so teams, playing the role of a virtual team member. Though the role is more coach than player, I still cherish the victories and seek further victory in the challenges. Because my numberone goal is to invest in CEOs more capable than I am, I get to learn from these tremendous business players as we tackle problems together. This is not to say that every day is fun and easy. There are market downturns, competitors who come from nowhere with superior products, missed schedules, people who need to be fired, tragedies, unsolvable personality conflicts. People are not simple, and business can be very messy. You really have to be willing to walk in each day with your waders on, ready to get to the core of the problem and solve it—whatever it takes. Especially in the Internet economy is the maxim, “He who hesitates is creamed.”

34

BIGWIG BRIEFS

Negatives About Being a Venture Capitalist The only truly bad thing about this job is the pace. I got a business plan delivered to my home on Christmas Eve. I had people emailing me Christmas day, then angry that they didn’t get an answer in 24 hours. Every entrepreneur is in a hurry, every fundraising is urgent, every person with a dream believes his dream is the best. I get about fifty incoming requests for funding a week, as do my partners, so that is about one thousand plans a month. Out of that, we’ll fund maybe four, maybe six. So that leaves about 995 people who will walk away disappointed. That is hard for people to understand.

Sam Colella, Versant Ventures, Managing Director Agreeing to Play I remember it vividly. We were making an acquisition of a company. We had all of the leverage, and the seller needed us desperately. My vice president of business development was a very tough negotiator and had extracted more than a pound of flesh out of the seller. As president of the company, I was presented with the final documents, and the CEO of the seller company asked to spend a few moments with me in private. He gave me the best piece of advice I’ve ever received. “You’ve won me, you own me, but you’ve taken away my heart,” he said. Because he was a crucial part of the acquisition, and we wanted him and his team

CAREER OPTIONS FOR MBAS 35

probably more than his assets, I felt we hadn’t really won at all; we had actually lost. I went back to our vice president of business development and the lawyer who was working with us on the negotiations, and I asked them to figure a way of giving the seller a concession, so he and his team could leave feeling they had won also, or that they had been treated more fairly. We did come up with a compromise, and in the long run it paid off. Mastering the art of deal making in today’s marketplace isn’t merely about selling an idea or persuading your competitor to see things from your perspective. It goes much deeper. Rather, it’s about relationship management, a collaborative process of learning from others and negotiating a shared solution. For me, as a venture capitalist, the most challenging part of doing a deal is recognizing the negotiation does not stop at the funding of the company. We must be careful to preserve relationships initiated during due diligence. The conclusion of the negotiation must be at a point where all parties feel they were treated fairly, that it was a win-win for all participants, and that they can move to the next phase of building the company with a positive relationship. Connecting emotionally and treating people with respect and honesty and in a straightforward manner can help establish your credibility, earning you the negotiating power you need to succeed in today’s competitive environment. In venture capital, the art of deal making is finding a match between the skills required in the new company and the strengths of the venture capital firm and the individual

36

BIGWIG BRIEFS

venture capitalist. If there is not a match, then there will never be a successful deal. Having spent 20 years as an entrepreneur and operating executive and 17 years as a venture capitalist, I parlay my experience and knowledge into the role of company builder rather than investor. My philosophy is that if you build a great company, you will make a great rate of return. I have never considered myself a great stock picker, but I have good judgment in evaluating markets, technology, and people, and in assessing a business proposition. You never have a perfect crystal ball, but I believe it is essential to be able to hypothesize the possible road map to success. None of the dozens of companies I have invested in had all of the resources, assets, talents, or capital required for success at the time of our initial investment. As earlystage venture capitalists, we believe it’s our role to work in concert with the entrepreneurs and startup teams to obtain the necessary ingredients to build the company. Spring Training Prelude to the Deal: Due Diligence “I wish I’d known early what I had to learn late.” – Richie Ashburn Before entering into negotiations on a deal, we engage in due diligence to attempt to obtain information about the critical variables for success. Obviously, the information

CAREER OPTIONS FOR MBAS 37

acquired is imprecise and incomplete, which is one of the reasons venture capitalists assume a great deal of risk with potentially commensurate rates of return. Following is a checklist I have used over the years to help evaluate opportunities: Market Is there a need for the product or service? Is the market large, and will it grow at a substantial rate? Can the company establish a defensible market position? Can it achieve significant market share? Is there, or will there be, formidable competition? Is the sales cycle a serious hurdle? Is this a market where a young startup company can succeed? Organization Are the founders knowledgeable about their market? Do they have experience in their market? Are they innovative, experienced and success-oriented? Do they have impressive track records? Do they have a capable CEO, or will we need to recruit one in the future? At what time will we need to bring in the CEO? Is the team capable of building a large company? Products and Technology Is the concept unique? Do they have a strong intellectual property position? Will the product satisfy the market’s need? Is the R&D plan realistic and feasible? How risky is the plan? Is there proof of principle?

38

BIGWIG BRIEFS

Business Model Are the numbers realistic and achievable? Are the margins attractive? Are they believable? What are the capital requirements of the business? Have they assessed price elasticity, margin variability, and profit potential? Operating Plan Is the strategy well-conceived? Can they articulate the strategy? Do they understand the specific tactics and tasks to execute the plan? Are the projects, in terms of resources required, time allotment, and outcomes expected, realistic? Financial Terms What are the capital needs, paths to liquidity, and timing of liquidity? What is the capital structure? What are the valuation expectations? What are the comparables? Can the company be easily financed in the future? Risks Are there killer risks? What is the risk-reward ratio? Can they articulate the major risks? We do our best to engage the team in a dialogue on all of these questions. We will also interview industry experts, potential advisors, and other experts. We do thorough reference checks on the team and try to find plenty of face time with the founders. In many cases, we will use

CAREER OPTIONS FOR MBAS 39

knowledgeable members of the organizations we have already invested in. We expect management to make formal presentations and respond to our in-depth questions during due diligence. Sometimes we may use technical experts in fields where the technology is extremely complex. Venture capitalists should prepare for negotiations and be thorough. The time of due diligence should not be rushed. Both parties must be comfortable with the facts, the situation, and how each perceives the opportunity. Taking the Field Structuring the Deal: Preparing Mentally “Good hitters don’t just go up and swing. They always have a plan. Call it an educated deduction. You visualize. You’re like a good negotiator. You know what you have, you know what he has, then you try to work it out.” – Dave Winfield You must understand the position of the entrepreneurs (or the founders) and the most important issues from their side, their passions, their visions, and where they want to end up in the long term, as well as the short term. Then you will need to determine your position on each of those items and how it relates to the total potential success of the enterprise. Laying out those issues and determining where your starting and ending points are in a negotiation are essential. You also need to assess the characteristics of the individuals you are negotiating with. Are these people who obviously like to negotiate, like to barter, like to have a give and take?

40

BIGWIG BRIEFS

Or, as in many cases I’ve seen, do they just want to hear your last and final offer? To determine the nature of the individuals, you must spend a lot of time with them before the negotiation. This is all part of evaluating whether these are people you want to work with and collaborate with in building a new company. The people we deal with in venture capital are passionate, committed, ambitious, and driven. What they want to see is the same excitement and passion they feel for their proposition. For me, that’s the starting point and the platform for being persuasive. We cannot be phony or superficial; it has to be real from the venture capitalist’s standpoint. Entrepreneurs and founders can see right through a “salesy” approach that doesn’t have a concrete basis. I discipline myself: If I cannot get excited and passionate about a prospect, then it is not the right company to invest in. That’s the key to being persuasive. In preparing for a negotiation, it is important that you set the stage by giving the other side plenty of evidence that you have done your homework, you understand the company’s prospects, you understand the technology and the market, you have done your due diligence, and you have a clear-cut vision of where this company is going and how it can succeed. Don’t make the mistake of jumping right in to valuation, terms and conditions, and the bottom line. Every negotiation must be staged, and the first stage is a recap of your conclusions regarding the business proposition. Many times I will draft a summary of our due diligence and perspective on the opportunity, showing them we have put

CAREER OPTIONS FOR MBAS 41

the energy, time, and thought into their proposition and that we have given it serious consideration. The Pitch Putting the Deal Together: Deal Negotiations “The first principle of contract negotiations is don’t remind them of what you did in the past – tell them what you’re going to do in the future.” – Stan Musial Assuming the due diligence is positive, we can begin negotiating with the founders to establish initial valuation, size of financing, magnitude of the employee stock option pool, and detailed terms and conditions. While there may be a willing buyer and seller, these negotiations can be extremely precarious. Since we will become active members of the board of directors and will be working with the entrepreneurs on a daily basis to build the company, we take special care not to damage our relationship during these deal negotiations. In all cases, there will be a bid and asking price, so negotiations will be spirited. I can honestly say I do strive for a win-win situation in every deal. I want the team to be motivated and feel they were treated fairly. However, I have a fiduciary responsibility to our investors to make certain the terms and conditions reflect the status of the startup, its risks, and its upside potential, and that it is consistent with current market conditions. These are very high-risk endeavors, with a distinct possibility that they could end up being total failures.

42

BIGWIG BRIEFS

Stealing Home Handling Risk “Any time you think you have the game conquered, the game will turn around and punch you right in the nose.” – Mike Schmidt Our business is fraught with risk. You can’t take all of the risk out of the equation as an early-stage venture capitalist. Top-tier venture capitalists anticipate only 10 percent to 15 percent of their investments will be “home runs,” and strikeouts could be as high as 20 percent to 25 percent. This fact requires venture capitalists to pay particular attention to valuation and ownership metrics and projections. We must also forecast future rounds of financing and project step-up valuations through the IPO and post-IPO. I have always felt great companies had to allow for each new investor to make a satisfactory rate of return, including those that bought on the IPO and after-market. This requires discipline in setting price-per-share targets and a constant “gut check” of the realistic assumptions for the future. Some situations exist where you structure the deal on a staged financing, where a given amount of money is invested at the front end, and then upon meeting certain milestones, additional capital is put into the company. Many times these are done on a predetermined basis, where the milestones, the price-per-share, and the amount of capital to be invested are predetermined. In many cases, we will put only enough money in to reach the milestone and then

CAREER OPTIONS FOR MBAS 43

negotiate the price and terms for the next phase. Quite often, it’s a roll of the dice. Regardless, you must have confidence in the individuals, believe in your due diligence, and be completely convinced in the capability to alter the course of action if necessary. It is rare when everything works according to the business plan, the executive summary, or the vision as originally stated by the entrepreneurs. This business is one of forever taking information, learning more, getting more information, and making adjustments throughout the life of the company. Free Agents Making the Sell: Choosing the Best “I’m not concerned with your liking or disliking me ... All I ask is that you respect me as a human being.” – Jackie Robinson The venture capital business is competitive, and the best entrepreneurs will have multiple offers. Most often, entrepreneurs do not necessarily choose the highest offer. Today the best founders are experienced and skilled and do not look just for money, but for partners who can aid them in building their company. They look for venture capitalists who have strong track records, domain knowledge, and references who speak to their abilities and contributions. These founders want to find a lead investor who can put together a syndicate to finance the companies. Syndicates can be as small as two venture capital firms, but many times

44

BIGWIG BRIEFS

they are as large as four or five firms. In the very early stages, the venture capitalist may see the deal and do it alone to round out the team or the technology, or right the business plan. These are considered to be “seed” investments. I prefer to be the lead or co-lead of most of the companies I invest in because I prefer to be active in working with the companies, using my operating experience and background. So, in approaching a negotiation, we must first sell the entrepreneur or founders that we can lead the deal and obtain the necessary financing for them through syndication or through our own funds. These discussions take place before getting into specific valuation terms and conditions. Entrepreneurs are looking for a number of characteristics in a lead venture capitalist, including investors who have “deep pockets” to invest in more than just the early rounds, but who can continue to participate in late-stage financings, up to the IPO. We leverage our position by working hard to convince the entrepreneurs and founders that we are valueadded investors and that we bring more than money to the table, and then we offer our references, track record, and industry experience as evidence. I think chemistry plays a big part in the final selection of the venture capitalist, as it does in the companies in which venture capitalists wish to invest. Founders must feel a kinship for their lead investors. At our firm, we provide entrepreneurs with our references, which is only fair since we ask them for theirs in the process period. We want them to call our portfolio companies and previous companies, as

CAREER OPTIONS FOR MBAS 45

well as industry authorities, because it is quite different from investing in a public security, where the transaction has no human element. In startup venture capital, these are very personal situations requiring bonding because you are entering into a partnership that can last for many years. The human element plays a significant role in a successful negotiation. If the founders and venture capitalists are on the same wavelength, then it becomes an easier negotiation. Three Strikes Know When to Fold ’Em “You can’t win them all.” – Connie Mack On the other hand, negotiations can also go awry. So how do you know when to walk away from the deal? Parting is usually based on your inability to reach common ground on valuation, terms, or the vision for the business. I have also walked away from deals because during the negotiation process, I saw the true colors of the opposing party. Many times you see a different side to their character, which is best to recognize early and acknowledge before you’re joined at the hips in this long and tedious process of building a company. I refuse to become involved in situations where valuation or price is the only issue. While I recognize valuation is important because it reflects ownership, there is much more to building a successful company. In the end, if you build a successful company, having a few percent more or less ownership is inconsequential to your ultimate financial

46

BIGWIG BRIEFS

rewards. I attempt to make the negotiation simple and straightforward. I will not enter into an auction. While I recognize competition, I want to invest in companies looking for the best match in their venture capitalist, not just the best price. Bottom of the Ninth, Bases Loaded Go for Broke When the final negotiations occur, they must be timely, precise, prompt, and not dragged out. I try to avoid the pingpong type of negotiation where an offer is made, a counter offer comes back, and another offer is made, and so on. Leaving the details to the lawyers, I like to establish the main issues to be resolved: Valuation (pre-money valuation) Size of the financing Post-money valuation Founder ownership position Size of the stock option pool Syndicate participation and their individual ownership requirements Liquidation provisions

CAREER OPTIONS FOR MBAS 47

Hitting a Home Run Closing the Deal “My job is to give my team a chance to win.” – Nolan Ryan I believe the win comes in a handshake when both parties are satisfied that they want to proceed to legal documents. In very few instances have I seen negotiations break down after a handshake. If you have done your preparation properly, if you have developed a rapport with the founders, the handshake is the bond. If agreement can be reached, a venture capitalist typically produces a signed term sheet, incorporating the key elements, plus a few other details, and submits it to the company for approval and signature. The company and the investors both appoint counsel to hammer out the definitive documents over the next two to three weeks, which is followed by a closing, when the money is transferred to the portfolio company. Then the fun begins! Everybody focuses on the task of building a great company. This is also the honeymoon period because everything seems to work. You have a vision. You have a plan. You have enthusiasm, and the company is well-financed.

48

BIGWIG BRIEFS

Winning the Pennant Keeping the Deal Together “If things don’t come easy, there is no premium on effort. There should be joy in the chase, zest in the pursuit.” – Branch Rickey The advice I find myself telling my team most often is to always remember the venture capital business is a service business. We are here to service the entrepreneurs, our portfolio companies, and our investors. As a service company, we pay attention to the needs of others. We must be open and forthright in how we bargain, consistent in what we say and write, and empathetic in how we treat each other. Each investment must be viewed as if it were your own company. It is a huge undertaking, an immense amount of work, an undertaking in which you will spend many hours and years, so you must be passionate about it. You must believe in it. You must not have doubts. You really have to be convinced this is something you want to put your time into. Yes, you are investing money, but it is your crucial time that is the limiting item. At the end of the day, deal making requires insight, preparation, compromise, and persistence. The successful deal maker adequately visualizes both sides’ needs and requirements, listens with empathy to try to understand, asserts a position by demonstrating its benefits to everyone feeling its impact, and through this honest and direct approach, creates a “win-win” proposition for all parties involved.

CAREER OPTIONS FOR MBAS 49

David Cone, Camstar, Founder & Chief Executive Officer Are You an Entrepreneur? The rapid ascension of today’s high-tech leaders has contributed to a misconception of what it is really like to be an entrepreneur. While overnight successes are captivating stories, many of these rags-to-riches tales distort the important role that entrepreneurs have always played in American business. So much focus is placed on those few men and women who have created empires that many people overlook entrepreneurs who are around them every day – local software programmers and developers, dentists, custom machine shops, bakeries, and other small businesses. Businesses like these are being run by people who provide valuable products and services to the community. While the entrepreneurial spirit today has become associated with technology and venture capital, one must always remember that a new business can emerge from anywhere. My background is in computers and software, so readers should not think that I am turning my back on the very things that have allowed me to experience a tremendous amount of personal growth and satisfaction. The exact opposite is true. Creating my own business in these challenging and complex arenas has provided me with a greater appreciation for what every businessperson goes through in their quest to achieve success and build something of value. My goal is to offer some insights from

50

BIGWIG BRIEFS

my personal experiences to those who are thinking about striking out on their own. Entrepreneurs face far too many unexpected challenges and blind curves on their journeys. Hopefully, my experiences can help travelers create recognizable landmarks for their own business roadmaps. Entrepreneur Self-Assessment There are three simple but extremely important considerations the aspiring entrepreneur should consider before jumping into a new endeavor: Do you like to do whatever it is you’re going to be doing? Are you good at it? Will people pay you to do it? When starting a new venture, many people are unprepared for how all-encompassing the business becomes. You alone are now responsible for making decisions, growing the business, attracting customers, planning and execution. Almost every hour of the day is spent considering what happens next to make the business grow. Putting this kind of pressure on oneself should really only be considered if you are confident that you will enjoy the challenges that will undoubtedly appear. Achievement will only come with the ultimate level of engagement and commitment. Merely saying a potential business is “okay” will not be enough. Whatever avenue you’re considering must stimulate you while simultaneously allowing some measure of satisfaction.

CAREER OPTIONS FOR MBAS 51

Having a particular skill or talent is important, for these skills and talents ultimately become your company’s product. One of the most critical things at the formation stage of the business is accurately gauging how many potential customers will want to use your product. Having a demonstrable expertise and ability to do something or make something better than others is the best method for ensuring that customers will come and the business will generate revenue. While the customers may not come as quickly as you would like them to at first, consistently delivering the highest quality products and services provides the greatest chance for long-term success. The success of your business in the long-run depends on creating a consistent chain of customers, most of whom will find you through referrals and references. Seizing Opportunities and Gaining Traction Opportunity comes in different sizes and shapes. Being able to recognize an opportunity and capitalize on it is a crucial aspect of building a business. My company evolved from working with a single client who asked for help in getting its internal manufacturing and business systems installed and functioning. This single client started me in the consulting business, and from this opportunity I was able to start branching out and developing a reputation as someone who could rapidly solve complex manufacturing problems using emerging technology. One of the keys to gaining early traction for my business was working with a large partner. As an early-stage entrepreneur, you should not be afraid of partnering with the

52

BIGWIG BRIEFS

bigger fish in your industry, particularly if you can take on small parts of something that they don’t want to do. I worked with IBM’s Business Partner program and got involved with IBM salespeople who were starting to do more work with outside software vendors and implementation consultants. When they had a local customer who needed implementation assistance, IBM salespeople would come to me because I understood how these new high-technology manufacturers worked. My consulting engagements had exposed me to the emerging technologies of that time and I had extensive experience working with companies on solving the problems they encountered in the tracking and management of their manufacturing processes. At this stage, introductions to prospective customers were incredibly important. Not only did I build professional contacts for down the road, I was able to work with them and get their insights on the types of solutions they needed for solving their business problems. For the early-stage entrepreneur, having this access to real customers is critical, for it allows you to design services and create solutions for real problems and increases your odds of success dramatically. Rather than finding a theoretical solution for a possible problem, you create a solution that people already need. First Customers and Building Your Business While every stage of developing a business presents new obstacles, I maintain that convincing those first few

CAREER OPTIONS FOR MBAS 53

customers to believe in your business will be one of the most difficult challenges an entrepreneur will face. When you are just starting out, you are not selling a company so much as you are selling yourself and trying to convince customers to believe in your ability to solve their problems. You need to have a compelling vision to share with them, and you need to listen. You do not need to have all of the answers for every potential customer at this point. However, if you have the answers to the problems of the first customers, you can use the experience of working with them to develop the solutions for those problems that will come up in the future. Your first customers are a vital resource in so many ways. My first customers helped to fund the development of my first software product, much like a contemporary venture capitalist would. During my consulting engagements, I had begun to notice a set of common needs and started to design a product to solve those problems. At this stage, I did not have the capital to design products full-time, so I had to find potential customers who would believe I knew what I was doing and would pay me for my design efforts. I approached these customers with a proposition. They would help to fund the creation of the software that would address their needs. In exchange for their trust and funds, they would get a functioning solution, their investments returned, and, in some cases, the potential for royalties from future software deployments. Fortunately, these early clients saw that our solutions could quickly and cost-effectively solve their problems. Their capital allowed me to hire programmers and construct that

54

BIGWIG BRIEFS

initial system. (Our company’s current chief technical officer was one of those early programmers.) We created prototypes and rolled them out to our new and existing customers. With each successful deployment, we would find another customer who would allow us to develop the product further and improve on what we had already done. While this strategy may be more difficult to execute in today’s economy, entrepreneurs should still consider how they can make those first customers feel like a part of the business. Building relationships and trust with customers is particularly critical at these early stages of your business, and should also be the foundation of your long-term business plans. Attracting and Keeping Long-term Customers Your goal in attracting and keeping customers is to solve existing, real-world problems and repeatedly execute those solutions in varying circumstances. Too many companies try to create a theoretical answer to a theoretical problem and then end up trying to convince people that they might have this problem. In my experience, this approach rarely works. Today’s customers have immediate needs. To be successful, you need the ability to really listen to what their problems are and provide a solution. If customers are not clear or cannot express what they need, you must ask questions and suggest solutions that help bring out that need. Frame the problem in terms and issues that they can understand and problems that you can solve. Assimilate what you have learned from all of your previous

CAREER OPTIONS FOR MBAS 55

engagements and customers into your new products or services. Each new customer should help you evolve your business and your solution to the problem. As I mentioned above, customers can also be your first set of seed capital, as their willingness to pay for a solution may enable you to actually build the initial prototype. Look to your customers for feedback – many times they can point out problem areas you might not have foreseen and save you valuable time and energy. They are your business’ lifeblood and should be treated as an ally. Every action you’re contemplating should be based on how you are best meeting their needs. Successful Management Techniques Delegate One of the hardest things for an entrepreneur is to delegate authority, but it is absolutely necessary as your business grows. Don’t try to do everything yourself, for you’ll have neither the time, knowledge, or expertise to handle all of the issues thrown at you. Only you know your skills and limitations, and when you need help. But you still have to let others provide that help. For example, I found that I had the idea for the software, but that it was time consuming and cost prohibitive to code and program it myself. I hired contract programmers, mapped out what I wanted, and they did the rest. I was able to maintain the company’s early cash flow through sales and consulting efforts while getting the product developed much more rapidly.

56

BIGWIG BRIEFS

Remain in the Real World Develop your product, service, or solution around realworld problems and real-world customers. As we have seen over the past several years, too many people tried to solve theoretical problems by putting people in a room, creating a project and then trying to apply that to customers. I call this phenomenon “blue sky development.” Sustaining a successful business cannot be predicated upon convincing people that they may have a particular problem and that you may have a solution. Customers quickly see when they have been sold something useless and the word quickly gets out. Take the time to research and listen to potential customers. If your product is not addressing their needs, take the time to go back and look for ways to respond to those needs. Keep Focused Another technique that hurts many entrepreneurs is the knee-jerk response. Too many companies end up focusing on what everyone else is doing without looking at how their own business can change. Markets are dynamic and evolving, so change is always going to occur. You will see new competitors emerge, new technologies develop, and new markets come into play. Keeping your business moving forward depends on having a consistent plan and sticking with it. You should be focused on managing what you do and keeping that vision moving forward. I am not saying that you ignore what’s going on around you. Instead, spend the time to understand how your market might be changing and what is causing it to change. Rather than following

CAREER OPTIONS FOR MBAS 57

every move of your competition, think about what will happen next and create a plan to move your business smoothly in a direction that can take advantage of opportunities without sacrificing the time and investments you have already made. Building Long-term Value Creating a usable and repeatable architecture is crucial in the software industry, but the same logic applies to any business. The common denominator is finding and solving the problems that your customers need solutions for. The most successful businesses I have seen are anchored around this theme and fill in the details around it. Businesses built for the long-term will focus on creating the greatest customer value. These companies are the ones that have developed a comprehensive solution that can meet a number of needs within that problem set. While custom problems can be solved, these companies have developed a solution that can also address as-yet unanticipated problems that might normally appear in similar situations. The broader the solution you can create, the more customers can come to you. The challenge for the entrepreneur is to manage that process so that solutions don’t go too far down one path so as to be unusable in other environments. My business plan has always been to create a flexible product that answers many needs and solves many problems, even if it takes a little longer to build and costs a little more. What my company has done is create a solution and product that appeals to a

58

BIGWIG BRIEFS

broader audience and gives me more flexibility in meeting changing market demands. Determining and Maintaining Your Focus One of the challenges I faced early on in my entrepreneurial career was deciding what type of business I was in – was I a consultant/services provider, or was I making a product? There is a completely different mindset in a pure services organization than in a product company. While both are devoted to providing solutions to customers’ problems, the consulting organization is focused on building an organization with proven methodologies for solving similar problems. In a leadership role, you have to be focused on ensuring that your company remains centered around this area of expertise, since your customers will be coming to you because of your reputation for solving these particular issues. Customers also pay you for services as you provide them, meaning that you have less up-front expenses and your cash flow depends on the time it takes to complete an engagement. As the manager, you will also be very focused on developing new customers and selling your services. Product companies are also focused on solving customer problems, but their answers are developed in a completely different manner. Product companies are still attempting to develop standardized solutions for solving similar types of problems, but there is much more risk involved. While consultants get paid as they go along, product companies are developing products that they hope to get paid for in the future. Therefore, if you’re making a product, you have to

CAREER OPTIONS FOR MBAS 59

invest in research and development and a sales force to generate customers. You must create a support organization to assist your customers and ensure that the product is performing as you said it would. Obviously, for a product company, there is increased risk and an increased need for investment. Creating the first product and getting customers is a formidable challenge, but executives must also be looking to the future. Product companies have to continuously enhance, particularly in the software industry. With computer hardware or other durable goods, once a product is completed, engineers and the company move onto another product or a next generation. Software has a more fluid business structure. Software developers must be constantly enhancing and improving, because a product is really never “done.” Software makers have to incorporate new technologies and make software usable in emerging environments. Software companies also have to design solutions that customers can easily integrate with existing legacy systems. Making the decision to become a product company was not made overnight. For almost six years, our business was 50 percent consulting and 50 percent software product development. During that time, we were simultaneously working on two parallel paths, developing customized solutions for our customers’ particular problems while also seeking to create a standard solution that would solve the majority of the problems our customers were encountering. However, there came a time when I realized that the greater potential existed in developing the product rather than in performing the services. I saw that the market was changing

60

BIGWIG BRIEFS

for software, and that standardized products were going to be essential for companies seeking to solve expensive problems in a short period of time. While businesses would still need consulting services for choosing and deploying solutions, if we devoted more time and capital to strengthening our solutions, we would have the opportunity to gain a leadership position in a rapidly emerging marketplace. That decision was a calculated risk, but I realized that we had a great advantage compared to our competition: we had spent a considerable amount of time within our market and achieved a formidable level of expertise. If our product efforts did not develop as quickly as we hoped, we could return to consulting to provide capital. Fortunately, we had developed a tangible product that companies responded to, allowing us to remain focused on developing and improving that solution for a wider market and extending our business footprint. Building the Business Once we decided we were in the business of producing software, gaining market share and acceptance while producing a reliable and powerful product was our early business strategy. We constantly revisited our internal and external constituencies and solicited their perceptions on where the market was headed. By maintaining these open channels of communication, we were quickly able to reassess our goals and address concerns before they reached a critical stage. In addition, these constant conversations kept us focused on our core business: providing software that solved the real-world problems of manufacturers. We never

CAREER OPTIONS FOR MBAS 61

pretended that we did anything above and beyond that, but we constantly looked for ways to do that better than anyone else. Because we are a software company, building the business required us to constantly gauge what technological innovations were impacting our customers. As our business grew, the challenge was no one knew which emerging operating platforms would become the industry standard. We relied on being compatible with our customer’s hardware and that hardware was going to change in a very significant way. We had to talk with our current and potential customers and gauge where they were putting their resources and then decide how we could best maximize our opportunity. Fortunately, we chose to devote our efforts to a system that became accepted throughout manufacturing, but it just as easily could have gone the other way. For me, the difference is that we listened to our customers and looked for ways that we could work with them in developing solutions that they would be most likely to use. With the advent of the Internet, we again turned to our customers and looked for ways we could work with them to take advantage of this powerful technology. While many companies made pie-in-the-sky promises about what they could do using the Internet, we realized that our customers did not want to hear about visions and dreams: they wanted to see repetitive, demonstrated success. Again, we developed solutions that we heard our customers needed and we worked with them to ensure that our improvements and innovations were useful and necessary, and not just made for the sake of adding a few bells and whistles.

62

BIGWIG BRIEFS

Generating and Maintaining Business Momentum Momentum in business is an overstated term. There is no such thing as a straight rising line of profit and market penetration. At the granular level, running a business is full of constant starts and stops. If you magnify that line on the graph, you’ll find it is not smooth, but made up of daily fluctuations. Your goal as an entrepreneur is to keep those small movements trending towards the positive, for then you will have growth and increased profitability. As a leader, your focus should be on maximizing the upturns while minimizing the downturns. For the entrepreneurial leader, the most important aspect of gaining “momentum” is persistence. In every stage of the business cycle, you are going to be challenged to respond to new situations and to manage conflicting internal constituencies. Moving our business forward requires me to keep focused on the landscape beyond the challenges directly in front of me. Think of building momentum as taking your dog for a walk. You have a known path that you want to walk, but the dog does not know that path. As you walk, the dog constantly goes out of his way to explore the areas outside of the path. Your role is to keep the dog coming back to the main path. Sometimes, the dog will find something interesting that requires more time to investigate, but many times it will be looking around just to look around. Your ability to listen and respond to the needs of the dog while simultaneously keeping the walk moving forward demonstrates your persistence to the dog. Eventually, the dog realizes that you are only pulling it back

CAREER OPTIONS FOR MBAS 63

onto the path because there are more new and better things to see, and the dog becomes much more interested in where you are going than where you are. Gaining momentum requires a firm hand on the leash combined with a willingness to do some exploring as you go. Carving Out a Niche We have carved out our niche in the manufacturing industry through a constant commitment to customer service and consistent delivery of a reliable and secure product. Because we have been in the same industry for well over a decade, we can point to customers throughout a number of industries who have solved complex and expensive problems using our product. We have developed a staff that has unparalleled expertise within our marketplace and made acquisitions to provide more enhanced levels of service. In everything we do, we focus on listening to our customers and solving their specific problems. Building Your Team Finding people for your management team starts with you. You have to look at your personal values and combine those with the values of your business. For me, I look for people who combine old-fashioned values – intelligence, honesty, integrity, hard work and determination – with the problem solving skills needed by our customers. Our company works with manufacturers, who as a group are very pragmatic and resistant to hype. I need people on our team to understand that our marketplace is not about sizzle and flash. Our customers look to us for the highest levels of reliability,

64

BIGWIG BRIEFS

because they are placing their entire manufacturing environments in our hands and depend on us to deliver. Many of the people I have interviewed recently are still looking for the Internet get-rich-quick scenario. That model will not work with our customers and those folks would not be a good fit for our corporate vision. I need people who want to take the time to sit and listen to our customers, who want to engage and become involved, who want to use technology to solve the customer’s problem. Another important aspect of finding people is making sure that they are suited for the openings you have and how you expect to have that job done. Smaller entrepreneurial companies like ours have a very different way of doing things from large multinational corporations, and people coming out of that world are not really prepared for how much their job could change from day-to-day. Our environment is more attractive to people who like to take risks and are excited about the challenges and responsibilities that come from working in a small business. Unlike larger companies where processes are sometimes as important as people, we attract team members from a wide variety of backgrounds who each bring new perspectives to our particular segment of the software industry. They come to us because they have a generalist perspective, a willingness to roll up their sleeves and learn new things. They do not hold a lot of preconceptions on how things should be done, and they want to develop the best way for our company to do things.

CAREER OPTIONS FOR MBAS 65

As your business grows, and the longer people remain with you, the more your staff will develop a corporate personality. The difficult challenge in expanding your staff is meshing the “old guard” with the new ideas being brought in. As the leader, you cannot be too married to old business methods. The world is changing, and your business will have to change in some ways to take advantage of new opportunities. The most important aspect you can control is the rate of change within the business. When you see the chance to seize an opportunity, you will have to bring in people with new experiences and work with them to help shape new understandings and theories for your established employees. You always have to remember that everyone is looking to you for the roadmap and vision of where the business should be heading, and that you must work with all of your team members to push them towards that destination. Leadership I think one of the key things for me in leading a business is communication. The CEO is the one charting the course and looking beyond the next bend in the road. The company looks for you to provide the strategic vision of where the business should be heading and how the organization is going to prepare and execute in getting there. Communication is vital in this role because you must establish a clear and consistent message – what business are we in? why are we doing it? what happens after that? The best-run businesses are those where everyone knows the answers to these questions, because every employee goes about their job in order to meet those expectations.

66

BIGWIG BRIEFS

Everyone is on the same page and pulling in the same direction, and helping the business to pick up the momentum we discussed earlier. You must use a number of different methods in communicating to the business. Generally, I am not a rahrah type of personality, but I know that everyone wants to know what I am thinking and where I see us headed. I take every opportunity in company meetings, through e-mails, in company-wide letters, and in one-on-one discussions, to communicate our vision and goals. Also, I want people to feel like they can approach me at any time, so I want to be seen and involved in daily projects. I do not want to be a CEO who sits off to the side and appears once a quarter. I believe that I have more credibility by maintaining regular interaction throughout the business. With the economic challenges we have recently faced, speaking to the company is more difficult but even more necessary. Part of your role as a leader is keeping the highs from getting too high and the lows from getting too low. For example, in a boom economy, I have to keep people focused on staying lean and ensuring we stay focused on the core business. Conversely, in tough times, I have to keep everyone positive and working towards getting the company prepared for when the economy turns around. In any economic circumstance, the leader is focused on maintaining the company’s strategic path and preserving the business advantages already gained.

CAREER OPTIONS FOR MBAS 67

I most admire those leaders who can maintain a consistency of vision and action throughout a tumultuous period. For me, the most successful leaders are those who clearly articulate a vision and goal for their business, and then keep pulling people in that direction. People do not like to be herded and pushed, but they will respond to persistent tugging. The good leader is one who makes their employees move on their own, without coercion or force, because they have communicated across the organization that benefits arise from moving and that everyone’s best interests are fulfilled by meeting those challenges. Business Advice For a long time, I have had an old proverb hanging in my office: “If you want to get a lot of things done, do one thing at a time.” This statement summarizes how I view my role as CEO. There are too many issues occurring in your business at any one time for you to possibly know about all of them, much less participate on a meaningful basis. I always recommend that people should prioritize what is important for them to accomplish and then focus on getting each of those tasks completed. The more items that crop up on your plate, the less likely it is you will ever finish any of them. A corollary for this proverb recently came up in one of our board meetings: “Making little progress on a broad front will not get you where you want to go.” Focusing resources on accomplishing critical tasks is an absolute business imperative for any CEO. You are the only person who can direct the company and its energy towards achieving one or

68

BIGWIG BRIEFS

two critical goals that will make the difference. You must always be aware of where the majority of your resources, both personal and company-wide, are being directed, and you must ensure that the goals are being met before the time and resources are lost.

Oliver D. Cromwell, Bentley Associates L.P., Senior Managing Director The “Art” of Investment Banking I believe that the “art” of investment banking is in understanding the different nuances of each transaction, and then tailoring your service based on this understanding, which comes from many years in the business. The art comes into play in each transaction, based on what the client is trying to accomplish, within the context of their company and industry, and where they are in the process before the investment bankers get started on a project. Therefore, the art of investment banking is taking a potential project, whether an M&A or financing assignment, starting to devise an execution plan based on industry deal norms, and, more important, custom tailoring your approach based on what has transpired with the company, its goals, and current market conditions. For example, for a merger assignment, there may be certain features of the company that affect how you best position it for potential buyers, which may very well be different from a typical deal. When an investment banker is doing a financing or M&A

CAREER OPTIONS FOR MBAS 69

transaction for a company, there is no single way to bring out the best features because each company and its situation is unique. Also, apart from the specific company issues, there are aspects of the deal itself that require a certain art. For instance, because confidentiality is sometimes of the utmost importance, a broad auction process would be very disruptive to business, and companies in that position can only be shown to one or two potential acquirers at a time. In such cases, there is a certain art to how the investment banker goes about the sale process itself. Finally, on the personal level, there is something of an art to the negotiating process. I think some investment bankers are better negotiators in both procuring business for their firm in the first place and in negotiating on behalf of their client once they are engaged on a project. Much of this “artistry,” honed on prior deals and over the course of many years, can be shared for the benefit of others at the firm. Judging Success in Investment Banking A boutique firm typically gets hired when a client has a specific transaction to pursue, usually either a capitalraising project or an M&A transaction. Judging the success of a deal might initially appear to be a bimodal assessment, based solely on whether the deal closed – but it is not quite that simple. Obviously, a certain amount of success in a private placement occurs if the investment banker raises the money on the company’s behalf. Yet, if onerous terms are included in the financing package, and the investment

70

BIGWIG BRIEFS

banker failed to properly alert the client to these important covenants, the deal may not be a long-term success. For example, a company failing to meet such covenants might encounter problems with the loan that could be very harmful to the company’s operation. Another example might involve how, under certain circumstances, a venture capitalist could have the ability to effectively take over ownership of the company if certain performance requirements were not met. The investment banker may have raised the money, but would not have been as successful as he could have been if he had negotiated better terms or alerted the client to some of the nuances of the key deal terms. By having experience in such fields, a successful investment banker can provide very good advice about these crucial issues that go beyond simply whether the deal is closed. Similarly, for real success on an M&A transaction, it is essential that all the fundamental issues are properly addressed, such as the key terms and conditions, management team issues, compensation agreements and earn-out provisions in place, how the deal was financed, and a variety of other issues that go beyond closing.

Jimmy Dunne, III, Sandler O’Neill & Partners, L.P., Senior Managing Partner Investment Banking Relationships

and

the

Importance

of

Relationship building is the secret to success in the investment banking industry. A good investment banker

CAREER OPTIONS FOR MBAS 71

builds a solid relationship with his clients by understanding their needs and by putting their agenda first. It is also critical to have a thorough understanding of various markets and strategic trends and the implications they will have on the client’s decisions. Personally, I enjoy establishing long-term, meaningful client relationships. I like being involved as my clients make critical decisions at seminal points in their company’s history. In this business, there is an opportunity to deal oneon-one with what I call an institution’s “spiritual leader.” I like exchanging ideas on how these leaders can advance their business for the good of their customers, shareholders and employees. Many of these decisions are the most important that a client will make. When you are working with people with whom you have a long-term relationship, there is an intense personal as well as professional pressure to be right. It’s not like selling ice cream on the corner. My goal is to give a client everything our firm has to offer. I want every client to be so satisfied with the quality and depth of our service that they recommend our firm to their peers. In the end, a reference means that our clients feel they received the highest-quality service and advice from us. And if we end up with a reference, it’s a good gauge that we have done well financially. Key Elements of a Good Investment Banker To be successful advising companies on mergers and acquisitions, an investment banker must have credibility, integrity, analytical and people skills, and the realization

72

BIGWIG BRIEFS

that all good deals involve some give and take. A good investment banker understands the balance between playing hardball and knowing when to compromise. If an investment banker wants too much control or has an unrealistic outlook for the value of the company, there is a good chance that he or she will not be successful for very long. If an investment banker identifies a company with an outstanding management team, then he or she might try to join them with another company that would value its capabilities. The banker would closely study the client’s performance and the history of its balance sheet. It is important to examine key lines of business, such as the loan portfolio, and determine how well the company controls credit, finances, and technology. If an investment banker spends a couple of hours discussing these topics with the management team, he or she will get an initial sense of where the company is positioned and where they are going. When valuing a company from a buyer’s or seller’s perspective, there are a variety of things we consider. We examine who they are, who they want to be, and how successful they’ve been in fulfilling these goals. We look at their earnings per share growth, the business opportunities in their market, and consider why someone would want to acquire them or be acquired by them. In addition, we consider whether they are taking the steps necessary to make the company more valuable in five years. Are they maximizing their potential – whether by expanding their geographic footprint, increasing their returns, growing the

CAREER OPTIONS FOR MBAS 73

customer base, etc. In short, are they enhancing shareholder value? The Key Ingredient to Any Successful Business: Quality People To create a successful business, a company needs people who are creative, work hard and compete with class. There are a lot of these people in this business. When it comes to leadership, you must have a strong work ethic and the ability to articulate complicated issues in simple language. A good leader needs to cut to the core of an issue, keep sight of what’s important and walk away from a deal that’s not right. He or she must be willing to learn, listen, and have real pride, but not a big ego. A successful team requires an owner-like mentality: every person should feel that they own a piece of the ultimate product and process. A successful company is when everyone knows they are responsible for making sure that the company is providing the highest-quality product. The interests of the client supercede those of any individual who might want to put his or her own brand or mark on it. Cooperation is necessary – from the highest level all the way down to the people who are processing the information. A leader at an investment bank should hire people who enjoy the battle and the volatility of Wall Street. Then he or she should find people who can learn quickly, think on their feet, and think out of the box. It is important that they have incentive, so that they enjoy what they are doing and know

74

BIGWIG BRIEFS

they will be duly compensated. Good investment bankers need to have both the love of the game and the incentive to win, or else they’ll never be great. Even the greats, if they stop loving it, will stop doing it. It’s a lot of pressure. The golden rules of investment banking: tell the truth, maintain confidentiality, maintain integrity, and work hard to stay on the cutting edge of the trends and issues in your marketplace. Know your clients – understand how they are feeling. It’s a relationship business. Behind all these deals there are people. Don’t get too far away from understanding that. Finally, always put the client’s interests first – well ahead of any fee. If you advice a client not to do a deal that would generate a fee for you but would not give them longterm value, they will love you for it, and never forget it.

Eduardo G. Mestre, Salomon Smith Barney, Vice Chairman, Chairman Investment Banking Division The Art of Balancing Much has been written about investment bankers – especially about how much money they used to make – but very little about what they actually do besides trying to collect big fees. Presumably, there must be some value in their arcane craft, otherwise why would anybody be willing to pay those big fees? The technical part of investment banking is not complex, but it is taxing and does require a great deal more art and a

CAREER OPTIONS FOR MBAS 75

great deal more iteration than meets the eye if you aspire to create something that is actually useful. Engineers with advanced degrees in origami and oratory would probably make exceptional investment bankers, but they are hard to come by. A stint at a real job in some nice big industrial enterprise would also probably be helpful, especially if you intend to become a so-called industry specialist. Believe it or not, it actually helps to have at least a notional understanding of the business you are trying to finance, buy, sell, or restructure. Investment banking is first and foremost a balancing act. It requires deconstructing financial, strategic, organizational, and personal considerations into an overall cohesive package. You must give the client the best of your personal and institutional thinking while providing the client with real choices. Although the banker may have some good ideas, sometimes there is no single right answer to a given situation, so the client needs a few viable alternatives. You have to pull a variety of things together and create several legitimate options. Personal and institutional thinking must be combined in this balancing act. Institutions, at the end of the day, are the sum of the many different people who contribute to the resolution of what are frequently fairly complex problems. Given the number of specialists often involved in a financing or advisory assignment, there may be several opinions, all of them credible and often all of them right. This is where you need to add your own particular perspective. The client wants more than just the opinion of the institution. Good bankers will tell the client what they

76

BIGWIG BRIEFS

think about a situation. They may have to say, “This is what I think and here is why.” Another important component of the balancing act concerns the personal aspects of the banker’s job. The way I’ve organized my practice, for example, reflects what I consider to be important. I find that trying to help teams is often at the top of my list. Much, if not all, of what we do necessitates working in teams because the issues we deal with are so complex. Ensuring the team develops a healthy thought process leads to good decision-making. The second thing I find important is helping people think through career issues. An individual may be thinking about going abroad, changing industry focus or joining a product group. When considering these issues my advice must balance what might be best for them with what might be best for the institution. The third thing I find important is trying to deliver disinterested advice. What I have to say may not be what the client wants to hear, so I must make sure that the way I present information does not offend anyone. How to do this effectively is something I have learned over the course of my career. Giving disinterested advice requires discipline and confidence. In this industry, you get paid if something happens, and you do not get paid if nothing happens. This potential conflict is inherent in the business. Clients need to understand that a young, inexperienced banker may be tempted to push for a certain deal as a way to make his mark or to generate compensation dollars. However, when you reach a certain level in an organization or stature among

CAREER OPTIONS FOR MBAS 77

your peers, you find that your success is not dependent upon what deals you do. Instead, you’re more concerned about your reputation and your relationships with clients. You must make good on the trust you have gained over time. Delivering on this trust is the hallmark of a good banker. The investment banking industry is very challenging in many other ways as well. These challenges fall into three categories. First, this is a service industry, so you are always on call. You must always think of the client’s needs first and put them above any of your own priorities. Over time this can put a great deal of stress on your personal life. The second challenge stems from the highly competitive nature of this industry. Currently there are at least eight wellestablished competitors, making it difficult to succeed without always giving it your very best. The margin between success or failure is generally infinitesimal – you always win or lose by an inch. The third challenge is giving strategic advice which is thoughtful, informed and practical. As already noted, each situation must be carefully evaluated on the facts of the particular case. I wouldn’t be in this business, though, if I didn’t think the rewards outweighed the challenges. The most exciting part of my job is becoming intimately involved in what is frequently a critical decision for a company. It’s extremely gratifying to be able to deliver value-added counsel in connection with that decision. And for sheer excitement, there is nothing like reading about a deal you have been working on for months on the cover of The Wall Street Journal or The New York Times. The ultimate is to make the

78

BIGWIG BRIEFS

front-page right-hand column of the Times, which I have only experienced twice in my career. Measuring Success In selling yourself to your customers, it is wise to remember that clients can be fooled occasionally but not frequently. The quality of your ideas and advice must be your main selling point. The client must also like and trust you. Focus on quality and integrity and success will follow. Always tell the client what you actually think. Internalize what you’re planning to present and present it only if it makes sense to you. Develop your own views and resist the temptation to follow someone else’s lead. Don’t worry about what a client wants to hear – you must try to tell them what they need to hear. This is such a competitive business that people are often reluctant to say what they should, for fear of losing business. Be true to the situation and to yourself. The best indicator of your success as an investment banker is whether or not you have repeat clients. If clients come back to you, you know you have succeeded. That is the most telling component of success. Other metrics such as market share, profits, and revenues are, of course, important and relevant. But repeat business is the ultimate test.

ExecRecs

TM

Executive Recommendations For The Best Products, Services & Intelligence Executives Use to Excel

Featuring the Executive Recommendations of C-Level Leaders (CEO, CFO, CMO, CTO, Partner) From the World‛s Largest Companies & Firms on Topics Such As: Favorite Business Books Favorite Trade Magazine Favorite Newspaper Favorite PDA Favorite Cell Phone Best Business Travel Airline Favorite Power Suit Most Important Technology for the Upcoming Year Best Business Advice for the Upcoming Year Best Career Advice for the Upcoming Year Top 3 Questions to Spur Innovation And Much, Much More….

Only $14.95 Per Book/Year

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

EXECRECS-ORDER FORM Call Us Toll Free at 1-866-Aspatore (277-2867) Or Tear Out This Page and Mail or Fax To: Aspatore Books, PO Box 883, Bedford, MA 01730 Or Fax To (617) 249-1970 (Preferred)

Name: E-mail: Shipping Address: City: State: Zip: Billing Address: City: State: Zip: Phone: 2 Options-Subscribe or Buy Individual Copies A) Subscribe-Receive ExecRecs Every Year-And Get Free Shipping & Handling on All Subscriptions!!!! 1 Yr ($14.95) - 2 Yrs (Save 10%-$26.91) - 5 Yrs (Save 20%-$59.80) 10 Yrs (Save 30%-$104.65) - Lifetime Subscription ($373.75)

Please List Subscription Length: ______ Would you like us to automatically bill your credit card at the end of your subscription so there is no discontinuity in service? (You can still cancel your subscription at any point before the renewal date.) Please circle: Yes No

B) Individual Copies 1-2 – No Discount 11-49 – 25% Discount 500+ - 40% Discount

3-5 – 10% Discount 50-99 – 30% Discount

6-10 – 20% Discount 100-499 – 35% Discount

For orders of 250 or more, customization can be done to the front cover and you can add information or your own ExecRecs to the beginning of the book. Please email [email protected] for more info or call 1-866-Aspatore.

Please List Quantity: ______ (If mailing in a check you can skip this section but please read fine print below and sign below)

Credit Card Type (Visa & Mastercard & Amex): Credit Card Number: Expiration Date: Signature: *(Please note the billing address much match the address on file with your credit card company exactly) Terms & Conditions-All ExecRecs retail for $14.95. A shipping and handling charge of $3.95 per book will be added, in addition to$.95 for each additional book. If ordering from outside of the US, an additional $8.95 for the first book and $2.95 for each book thereafter will be charged for shipping and handling. Sorry, no returns or refunds or cancellations. Books that are not already published will be shipped upon publication date. Sorry, no returns or refunds at any point unless automatic billing is selected, at which point you may cancel at any time before your subscription is renewed (no funds shall be returned however for the period currently subscribed to). Publication dates are subject to delay.

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Business Travel Bible™ Never Go Anywhere Without It Information

A MUST HAVE FOR EVERY BUSINESS TRAVELER! KEEP IT IN YOUR BRIEFCASE/LUGGAGE! Includes:

-Every phone number (both listed and unlisted) for all airlines, hotels and car rentals -Business travel emergencies (your computer crashes, you get sick, you lose your plane ticket, wallet, etc) and what to do -Business words and phrases in the 10 most frequently used foreign languages, and spelled out phonetically so you can actually pronounce them -Business resource directory for computer support, pda support, cell phone support and more... -Information on roadside assistance, hospitals/health resources, local taxi/transportation information, area codes and more... Only $17.95

The Business Translator™ -Hundreds of business words and phrases in 90 different languages, all spelled out phonetically so you can actually pronounce them -Business To-Do’s and Not To-Do’s For All Major Countries and Ethnicities For Traveling Abroad or Doing Business With International Business Professionals in the U.S. -A must for anyone traveling internationally or doing business with international business executives in the U.S. Only $29.95

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Business Travel Bible & The Business Translator-Ordering Information Tear Out This Page and Mail or Fax To: Aspatore Books, PO Box 883, Bedford, MA 01730 Or Fax To (617) 249-1970 (Preferred)

Name: E-mail:

Phone:

Shipping Address: City:

State:

Zip:

State:

Zip:

Billing Address: City: Individual Copies 1-2 – No Discount 3-5 – 10% Discount 6-10 – 20% Discount 11-49 – 25% Discount 50-99 – 30% Discount 100-499 – 35% Discount 500+ - 40% Discount For orders of 250 or more, customization can be done to the front cover and you can add information or your own to the beginning of the book. Please email [email protected] for more info or call 1-866-Aspatore.

Business Travel Bible-Please List Quantity: ______ The Business Translator- Please List Quantity: ______ (If mailing in a check you can skip this section but please read fine print below and sign below)

Credit Card Type (Visa & Mastercard & Amex): Credit Card Number: Signature:

Expiration Date:

*(Please note the billing address much match the address on file with your credit card company exactly)

Terms & Conditions-A shipping and handling charge of $3.95 per book will be added, in addition to$.95 for each additional book. If ordering from outside of the US, an additional $8.95 for the first book and $2.95 for each book thereafter will be charged for shipping and handling. Sorry, no returns or refunds or cancellations. Books that are not already published will be shipped upon publication date.

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

CareerJournal™ The CareerJournal™ was developed by leading business executives as the most efficient way to remember key situations, learn from them, and plan for the future. Too many times during the busy course of weeks, months, and years, key events are forgotten, follow-up with contacts and mentors is neglected, and goals are not set. The CareerJournal™ is a way to centralize your thoughts, maintain your contacts, and set goals for your future -- regardless of the current stage of your career. In addition, the CareerJournal™ serves as a timeless reference you can use to collect your ideas and memories throughout the course of your career. Don’t let another key event, observation, or job pass you by with out recording it in your CareerJournal™. You never know when it may be useful. Evaluate, plan, and excel with your CareerJournal™. Only $29.95

What Ifs™ What Ifs is a journal designed to enable business professionals to prepare for the unexpected. The journal features question blocks on topics such as human resources, financials, customers, competitors, partners, and technology, with lined spaces for you to put your answers. Sample questions include: “What if I lose my biggest customer/client?” “What if my most important employee quits?” “What if my competitor cuts their prices in half?” “What if we can no longer offer our biggest selling product/service?” Executives and managers at every level should have one of these filled out and ready to go just in case a “What If” scenario occurs. Only $14.95

IDEAJOURNAL™ The IdeaJournal™ was developed by leading business executives, politicians, and lawyers as the most efficient way to generate new ideas, develop them, and then execute and bring those ideas to fruition. Too many ideas vanish on pieces of scratch paper or don’t even make it onto paper before getting lost among the myriad thoughts in a person’s mind. The IdeaJournal™ is an effective way to centralize all your ideas, whether for an entirely new product or service, a way to increase efficiencies, profits, or internal teamwork, or even just a different way to do something. In addition, the IdeaJournal™ can serve as a timeless reference; ideas that you may not be able to use now could be helpful in the future. Don’t let another idea pass you by with out recording it in your IdeaJournal™. You never know when it may be useful. Start capitalizing on your ideas with the IdeaJournal™. Only $29.95

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

CAREERJOURNAL™ AND IDEAJOURNAL™ AND WHAT IFS™-ORDER FORM Tear Out This Page and Mail or Fax To: Aspatore Books, PO Box 883, Bedford, MA 01730 Or Fax To (617) 249-1970 (Preferred)

Name: E-mail: Phone: Shipping Address: City: State: Zip: Billing Address: City: State: Zip: Individual Copies-CareerJournal™ ($29.95 Each) 1-2 – No Discount 3-5 – 10% Discount 6-10 – 20% Discount 11-49 – 25% Discount 50-99 – 30% Discount 100-499 – 35% Discount 500+ - 40% Discount For orders of 250 or more, customization can be done to the front cover and you can add information or your own to the beginning of the journal. Please email [email protected] for more info or call 1-866-Aspatore.

Please List Quantity: ______ Individual Copies-IdeaJournal™ ($29.95 Each) 1-2 – No Discount 3-5 – 10% Discount 6-10 – 20% Discount 11-49 – 25% Discount 50-99 – 30% Discount 100-499 – 35% Discount 500+ - 40% Discount For orders of 250 or more, customization can be done to the front cover and you can add information or your own to the beginning of the journal. Please email [email protected] for more info or call 1-866-Aspatore.

Please List Quantity: ______ Individual Copies-What Ifs™ ($14.95 Each) 1-2 – No Discount 3-5 – 10% Discount 6-10 – 20% Discount 11-49 – 25% Discount 50-99 – 30% Discount 100-499 – 35% Discount 500+ - 40% Discount For orders of 250 or more, customization can be done to the front cover and you can add information or your own to the beginning of the journal. Please email [email protected] for more info or call 1-866-Aspatore.

Please List Quantity: ______ (If mailing in a check you can skip this section but please read fine print below and sign below)

Credit Card Type (Visa & Mastercard & Amex): Credit Card Number: Expiration Date: Signature: *(Please note the billing address much match the address on file with your credit card company exactly) Terms & Conditions-A shipping and handling charge of $3.95 per journal will be added, in addition to$.95 for each additional journal. If ordering from outside of the US, an additional $8.95 for the first journal and $2.95 for each journal thereafter will be charged for shipping and handling. Sorry, no returns or refunds or cancellations. Journals that are not already published will be shipped upon publication date.

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Brainstormers

Innovate, Develop, Execute

Brainstormers™ question blocks and idea-development worksheets are designed by leading business executives as the most efficient way to generate new ideas, develop them, and then execute and bring those ideas to fruition. Too many ideas vanish on pieces of scratch paper or don’t even make it to paper before getting lost among the myriad thoughts in a person’s mind. Brainstormers™ are an effective way to stimulate your mind to think in new ways and to centralize your ideas, whether for an entirely new product or service, a way to increase efficiencies, profits, or internal teamwork, or even just a way to do something differently. Available for Individual Purchases or Annual Subscriptions: Management Brainstormers™ Marketing Brainstormers™ Technology Brainstormers™ Entrepreneurial Brainstormers™ Law Brainstormers™

Only $14.95 Each, Or Subscribe for $59.95 a Year (4 Books)

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

BRAINSTORMERS™-ORDER FORM Tear Out This Page and Mail or Fax To: Aspatore Books, PO Box 883, Bedford, MA 01730 Or Fax To (617) 249-1970 (Preferred)

Name: E-mail: Phone: Shipping Address: City: State: Billing Address: City: State:

Zip: Zip:

2 Options-Subscribe or Buy Individual Copies A) Subscribe-Receive Brainstormers™ Every Quarter - (Please Technology - Marketing - Law - Entrepreneur - Management Circle) 1 Yr ($59.95) - 2 Yrs (Save 20%-$114.88) - 5 Yrs (Save 25%-$269.25) - 10 Yrs (Save 30%-$502.60) - Lifetime Subscription ($999.95)

Please List Subscription Length: ______ Would you like us to automatically bill your credit card at the end of your subscription so there is no discontinuity in service? (You can still cancel your subscription at any point before the renewal date.) Please circle: Yes No

B) Individual Copies – (Please Circle) - Technology - Marketing Law - Entrepreneur - Management 1-2 – No Discount ($17.95) 3-5 – 10% Discount 6-10 – 20% Discount 11-49 – 25% Discount 50-99 – 30% Discount 100-499 – 35% Discount 500+ - 40% Discount

For orders of 250 or more, customization can be done to the front cover and you can add information or your own to the beginning of the book. Please email [email protected] for more info or call 1-866-Aspatore. If the type of Brainstormers™ is not circled, it will be assumed you are purchasing the same one as this book.

Please List Quantity: ______ (If mailing in a check you can skip this section but please read fine print below and sign below)

Credit Card Type (Visa & Mastercard & Amex): Card Number: Expiration Date: Signature:

Credit

*(Please note the billing address much match the address on file with your credit card company exactly)

Terms & Conditions-A shipping and handling charge of $1.95 per book, per quarter will be added, in addition to$.95 for each additional book ordered. If ordering from outside of the US, an additional $8.95 for the first book, per quarter, and $2.95 for each book thereafter will be charged for shipping and handling. Sorry, no returns or refunds or cancellations. Books that are not already published will be shipped upon publication date. Sorry, no returns or refunds at any point unless automatic billing is selected, at which point you may cancel at any time before your subscription is renewed (no funds shall be returned however for the period currently subscribed to). Publication dates are subject to delay and cancellation at any point.

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Build Your Own Business Library Option A: Receive Every Book Published by Aspatore Books-Only $1,089 a YearA Savings of Over 60% Off Retail prices Receive every book published by Aspatore Books every yearbetween 60-100 books-a must have on bookshelves of every executive and an invaluable resource for quick access, business intelligence from industry insiders. Or send the collection as a gift to someone else! The Aspatore Business Library Collection features must have business books on various positions, industries and topics, creating the ultimate business library for business professionals. The books in the collection feature business intelligence from C-Level executives (CEO, CTO, CFO, CMO, CFO, Partner) from the world's most respected companies, and represent an invaluable resource for quick access, business intelligence from industry insiders on a wide range of topics. Every business professional should have their own executive library, such as the top executives and great business leaders of our time have always had. The Aspatore Business Library Collection features the most exclusive, biggest name executives of our time and their most insightful words of wisdom, creating the ultimate executive library. Upon order being placed, you will immediately receive books published within the last month, and then for 11 months going forward (you also receive all titles 1-3 months before retail stores receive the new book). You may even request up to 10 books already published by Aspatore Books to be included.

Option B: 25 Best Selling Business Books-Only $399A Savings of Over 45%Off Retail Prices! Buy the top 25 best selling business titles published by Aspatore Books, a must have on bookshelves of every executive and an invaluable resource for quick access, business intelligence from industry insiders. Or send the collection as a gift to someone else! These books feature business intelligence from C-Level executives (CEO, CTO, CFO, CMO, CFO, Partner) from over half the world's 500 largest companies. Although every book may not be in your exact area of specialty, having these books on hand will time and again serve as incredible resources for you and everyone in your office. These books provide a wide array of information on various positions, industries and topics, creating a complete business library unto themselves. If you already

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

have one or more of these books, please note this on the order form and different books will be added. Books Included: Inside the Minds: The Wireless Industry-Industry Leaders Share Their Knowledge on the Future of the Wireless Revolution Inside the Minds: Leading Consultants-Industry Leaders Share Their Knowledge on the Future of the Consulting Profession and Industry Inside the Minds: Leading Deal Makers-Industry Leaders Share Their Knowledge on Negotiations, Leveraging Your Position and the Art of Deal Making Inside the Minds: The Semiconductor Industry-Industry Leaders Share Their Knowledge on the Future of the Semiconductor Revolution Inside the Minds: Leading Advertisers-Industry Leaders Share Their Knowledge on the Future of Advertising, Marketing and Building Successful Brands Inside the Minds: Leading Accountants-Industry Leaders Share Their Knowledge on the Future of the Accounting Industry & Profession Inside the Minds: The New Health Care Industry-Industry Leaders Share Their Knowledge on the Future of the Technology Charged Health Care Industry Inside the Minds: Leading IP Lawyers-Leading IP Lawyers Share Their Knowledge on the Art & Science of Intellectual Property Inside the Minds: Leading Labor Lawyers-Leading Labor Lawyers Share Their Knowledge on the Art & Science of Labor Law Inside the Minds: Leading Litigators-Leading Litigators Share Their Knowledge on the Art & Science of Litigation Inside the Minds: The Art of Public Relations-PR Visionaries Reveal the Secrets to Getting Noticed, Making a Name for Your Company, and Building a Brand Through Public Relations Inside the Minds: Venture Capitalists-Inside the High Stakes and Fast Moving World of Venture Capital Inside the Minds: Leading Investment Bankers-An Inside Look at the Art & Science of Investment Banking Bigwig Briefs: Hunting Venture Capital-An Inside Look at the Basics of Venture Capital Inside the Minds: Leading Wall St. Investors-Financial Gurus Reveal the Secrets to Picking a Winning Portfolio Inside the Minds: Leading Marketers-Industry Leaders Share Their Knowledge on Building Successful Brands Inside the Minds: Chief Technology Officers-Industry Experts Reveal the Secrets to Developing, Implementing, and Capitalizing on the Best Technologies in the World Inside the Minds: Entrepreneurial Momentum-Jump Starting a New Business Venture and Gaining Traction for Businesses of All Sizes to Take the Step to the Next Level Inside the Minds: The Entrepreneurial Problem Solver-Getting Yourself & Others to Think More Like an Entrepreneur Inside the Minds: The Telecommunications Industry-The Future of Telecommunications – Opportunities, Risks & Areas to Watch Inside the Minds: Leading CEOs-The Secrets to Management, Leadership & Profiting in Any Economy Inside the Minds: Building a $1,000,000 Nest Egg-Financial Gurus Reveal the Secrets for Anyone to Build a $1,000,000 Nest Egg on Their Own Terms Inside the Minds: Leading CTOs-Industry Leaders Share Their Knowledge on Harnessing and Developing the Best Technologies Bigwig Briefs: Guerrilla Marketing-The Best of Guerrilla Marketing Term Sheets & Valuations-An Inside Look at the Intricacies of Term Sheets & Valuations Business Library Code 042202

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

BUILD YOUR OWN BUSINESS LIBRARY Tear Out This Page and Mail or Fax To: Aspatore Books, PO Box 883, Bedford, MA 01730 Or Fax To (617) 249-1970 (Preferred)

Name: E-mail: Shipping Address: City: State: Zip: Billing Address: City: State: Zip: Phone: Please Check Option A or Option B: Option A _____ (Receive Every Book Published by Aspatore Books$1,089 a Year)

Please indicate here any titles already published by Aspatore Books you would like in addition (there will be no charge for these titles as they will be included as part of the first month of books): ________________________________________________________ ________________________________________________________ ________________________________________________________ ________________________________________________________ Option B _____ (25 Best Selling Business Books-$399) Please indicate here any titles you already currently have (other best selling titles on a similar topic will then be added in their place): ________________________________________________________ ________________________________________________________ (If mailing in a check you can skip this section but please read fine print below and sign below)

Credit Card Type (Visa & Mastercard & Amex): Credit Card Number: Expiration Date: Signature: If option A is chosen, would you like us to automatically bill your credit card at the end of your subscription so there is no discontinuity in service? (You can still cancel your subscription at any point before the renewal date.) Please check: Yes _____ No _____ *(Please note the billing address much match the address on file with your credit card company exactly) Terms & Conditions-We shall send a confirmation receipt to your e-mail address. If ordering from Massachusetts, please add 5% sales tax on the order (not including shipping and handling). If ordering from outside of the US, an additional $300 in shipping and handling costs will be charged for Option A and an additional $125 for Option B. All books are paperback and will be shipped as soon as they become available. Total number of books for Option A will vary from year to year, between 60-100 books. Sorry, no returns or refunds at any point unless automatic billing is selected, at which point you may cancel at any time before your subscription is renewed (no funds shall be returned however for the period currently subscribed to). Books that are not already published will be shipped upon publication date. Publication dates are subject to delay-please allow 1-2 weeks for delivery of first books. For the most up to date information on publication dates and availability please visit www.Aspatore.com.

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

The Focusbook

™

ASSEMBLE YOUR OWN BUSINESS BOOK™ ™ Ever wish you could assemble your own business book, and even add your own thoughts in the book? Here is your chance to become the managing editor or your own book! The Focusbook™ enables you to become the managing editor of your own book, by selecting individual chapters from the best selling business books published by Aspatore Books to assemble your own business book. A Focusbook™ can highlight a particular topic, industry, or area of expertise for yourself, your team, your course, or even your entire company. You can even add additional text of your own to the book, such as reference information, points to focus on, or even a course syllabus, in order to further customize it to better suit your needs. The Focusbook™ is the future of business books, allowing you to become the managing editor of your own business book, based on what you deem important, enabling yourself, and others to focus, innovate and outperform.

How It Works: 1. 2.

3.

Select up to 10, 15, or 25 chapters from the choices on the following pages by checking the appropriate boxes. (Each Chapter Ranges From 15-40 Pages) Decide if you want to include any of your own text to the book-maybe an introduction (as to why you chose these chapters), employee instructions (for new hires or to use as a management course/refresher), a course syllabus, information so it is applicable for clients/customers (reference), or even an article/white paper you already wrote. (Please note Aspatore Books will not edit the work, it is simply printed as is. Aspatore Books will not be considered the publisher of any additions and you will retain all rights to that content.) Decide on a quantity.

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

How the Book Will Look: 1.

The book will be 5 inches tall and 8 inches wide (on the front and back). The width will vary depending on the amount of text. The book will look like a normal business book found in bookstores nationwide.

2.

On the cover of the book, it will read “A Focusbook™ Assembled By,” with your name on the next line (Jason Phillips in the example above). We can also add a company/university/course name if you so choose. Your name will also appear on the spine of the book. You can then also select a title for your Focusbook™ (such as Marketing Smarts as depicted in the picture above). On the back of the book will be the chapter names from your book. The book will feature the standard Focusbook™ cover (see above), with the dominant colors being black with a red stripe across. The chapters will be placed in a random order, unless a specific order is instructed on the order form. If you are adding your own text, it can be placed at the beginning or the end of the text. The book will feature the chapters you selected, plus any content of your own (optional), and a special section at the end for notes and ideas of your own to add as you read through and refer back to your Focusbook™.

3. 4. 5.

Select the Chapters You Want on the Following Pages Then Fill Out the Order Form at the End

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Chapter Title

Author

Units

VENTURE CAPITAL/ENTREPRENEURSHIP 141. *Term Sheet Basics, Alex Wilmerding (Boston Capital Ventures), 1 142. *How to Examine a Term Sheet, Alex Wilmerding (Boston Capital Ventures), 1 143. *A Section-by-Section View of a Term Sheet, Alex Wilmerding (Boston Capital Ventures), 4 144. *Valuations and the Term Sheet, Alex Wilmerding (Boston Capital Ventures), 1 289. *A Summary of Term Sheets, Alex Wilmerding (Boston Capital Ventures), 1 145. Marketing Your Business to Investors, Harrison Smith (Krooth & Altman, Partner), 1 146. Essential Elements in Executive Summaries, Harrison Smith (Krooth & Altman, Partner), 1 123. *Developing the Right Team Strategy, Sam Colella (Versant Ventures, Managing Director), 1 124. *Successful Deal Doing, Patrick Ennis (ARCH Venture Partners, Partner), 1 125. *Deal Making: The Interpersonal Aspects, John M. Abraham (Battery Ventures, Venture Partner), 1 126. *The Art of Negotiations, Robert Chefitz (APAX Partners, General Partner), 1 128. *What VCs Look For, Heidi Roizen (SOFTBANK Venture Capital), 1 136. *VC Investments in Technology/Software Co’s, Stephan Andriole (Safeguard Scientifics, Inc.), 1 267. *The Journey to Entrepreneurship, Dave Cone (Camstar, CEO), 1 268. *Founding a Business on Principles, Steve Demos (White Wave, Founder & President), 1 269. *Entrepreneur 101-From Validation to Viability, Mike Turner (Waveset Technologies, CEO), 1 270. Entrepreneurship Through Choppy Waters, Frederick Beer (Auragen Communications, CEO), 1 271. The World of Entrepreneurial Momentum, Hatch Graham (Bandwidth9, CEO), 1 271. The Extreme Entrepreneur, Todd Parent (Extreme Pizza, CEO), 1 272. *An Entrepreneur’s Blueprint for Success, Farsheed Ferdowsi (Paymaxx, CEO), 1 273. From Mom & Pop to National Player, Jack Lavin (Arrow Financial Services, CEO), 1 274. Better to Be a PT Boat Than a Battleship, Lucinda Duncalfe Holt (Destiny, CEO), 1 275. *Lessons Learned for Entrepreneurs, Art Feierman (Presenting Solutions, CEO), 1 276. Life Lessons-Build Your Team of Entrepreneurs, Gary L. Moulton (Glyphics Communications, CEO), 1 277. Did I say Entrepreneurialism? I meant creativity!, Douglas P. Bruns (Atlantic Corporate Interiors, CEO), 1 278. The Contagious Entrepreneur, Rodney Kuhn (Envision Telephony, CEO), 1 279. It Takes Two: Human and Financial Resources, Peter J. Valcarce (Arena Communications, President), 1 280. Hanging Tight in a Roller-Coaster Economy, Dave Hegan (MAJAC Steel, CEO), 1 281. Entrepreneurial Spirit and Passion, Aaron Kennedy (Noodles & Company, Co-CEO), 1 282. Essential Nutrients for Growing, Greg Wittstock (Aquascape Designs, CEO), 1 283. Tools, Tricks and Tactics That Work, Kurt Thomet (Quest Solutions, President), 1 284. Shooting for the Moon, David Law (Speck Product Design, Co-Founder) ,1 290. Success Makes You Just Like Everyone Else, Patrick Smith (Natural Data, President), 1 285. Leading a Virtual Business for Pleasure/Profit, Daniel A. Turner (Turner Consulting Group, President), 1 286. Success Via Ethical and Sound Fundamentals, Russ W. Intravartolo (StarNet, CEO), 1 287. Seizing the Golden Market Opportunity, Mark Esiri (Fulcrum Analytics, CEO), 1 288. *Learning to Fly in Business Combat, James D. Murphy (Afterburner Seminars, CEO), 1

MARKETING/ADVERTISING/PR 1. *Connecting With Consumer Needs, Stephen Jones (Coca-Cola, Chief Marketing Officer), 1 2. Staying Customer Focused, T. Michael Glenn (FedEx, EVP Market Development), 1 3. Building an Internet Mega-Brand, Karen Edwards (Yahoo!, VP, Brand Marketing), 1 4. Giving the Consumer a Seat at the Table, Michael Linton (Best Buy, SVP Marketing), 1 5. Building a Powerful Marketing Engine, Jody Bilney (Verizon, SVP Brand Management), 1 6. *Brands and Marketing: Evolving Together, John Hayes (American Express, EVP Brand Management), 1 7. *Marlboro Friday: Branding a Product, Richard Rivers (Unilever, SVP), 1 8. Marketing Success: Providing Choice, Richard Costello (GE, Corporate Marketing Manager), 1 9. *Turning a Brand Into a National Pastime, Tim Brosnan (Major League Baseball, EVP Business), 1 10. Advertisers’ Conundrum-Change or Be Changed, M T Rainey (Young & Rubicam, Co-CEO), 1 11. *Rallying the Troops in Advertising, Eric Rosenkranz (Grey, CEO Asia Pacific), 1 12. Achieving Success as an Advertising Team, David Bell (Interpublic Group, Vice Chairman), 1 13. *Advertising: Invitation Only, No Regrets, Bob Brennan (Leo Burnett Worldwide, President), 1 14. *The Secret to Global Lovemark Brands, Tim Love (Saatchi & Saatchi, Managing Partner), 1 15. Soak it All In-The Secrets to Advertising Success, Paul Simons (Ogilvy Mather UK, CEO), 1 16. Likeable Advertising: Creative That Works, Alan Kalter (Doner, CEO), 1 17. Advertising Success: Tuning Into the Consumer, Alan Schultz (Valassis, CEO), 1 18. The Client Perspective in Advertising, Brendan Ryan (FCB Worldwide, CEO), 1 *Denotes Best Selling Chapter

Chapter Title

Author

Units

19. *Advertising Results in the Age of the Internet, David Kenny (Digitas, CEO), 1 20. *Communications for Tomorrow's Leaders, Christopher Komisarjevsky (Burson-Marsteller,CEO), 2 21. The Creation of Trust, Rich Jernstedt (Golin/Harris International, CEO), 1 22. *Prosumer: A New Breed of Proactive Consumer, Don Middleberg (Middleberg Euro RSCG, CEO), 1 23. *The Power of PR in a Complex World, Richard Edelman (Edelman PR, CEO), 1 24. Success in Public Relations, Lou Rena Hammond (Lou Hammond & Assoc., President), 1 25. The Art and Science of Public Relations, Anthony Russo, Ph.D. (Noonan Russo Communications, CEO), 1 26. Critical Elements of Success in PR, Thomas Amberg (Cushman Amberg Communications, CEO), 1 27. Small Business PR Bang!, Robyn M. Sachs (RMR & Associates, CEO), 1 28. PR: A Key Driver of Brand Marketing, Patrice Tanaka (Patrice Tanaka & Company, Inc., CEO), 1 29. PR: Essential Function in a Democratic Society, David Finn (Ruder Finn Group, Chairman), 1 30. *21st Century Public Relations, Larry Weber (Weber Shandwick Worldwide, Founder), 1 31. *Public Relations as an Art and a Craft, Ron Watt (Watt/Fleishman-Hillard Inc., CEO), 1 32. Connecting the Client With Their Public, David Copithorne (Porter Novelli International, CEO), 1 33. PR: Becoming the Preferred Strategic Tool, Aedhmar Hynes (Text 100, CEO), 1 34. Public Relations Today and Tomorrow, Herbert L. Corbin (KCSA PR, Managing Partner), 1 35. Delivering a High Quality, Measurable Service, David Paine (PainePR, President), 1 36. *The Impact of High-Technology PR, Steve Schwartz (Schwartz Comm., President), 1 37. The Emotional Quotient of the Target Audience, Lee Duffey (Duffey Communications, President), 1 38. The Service Element in Successful PR, Andrea Carney (Brodeur Worldwide, CEO), 1 39. Helping Clients Achieve Their True PE Ratio, Scott Chaikin (Dix & Eaton, Chairman and CEO), 1 40. The Art of Public Relations, Dan Klores (Dan Klores Communications, President), 1 41. Passion and Precision in Communication, Raymond L. Kotcher (Ketchum, CEO), 1 42. Professionalism and Success in Public Relations, Victor Kamber (The Kamber Group, CEO), 1 51. *What is Guerrilla Marketing?, Jay Levinson (Best-Selling Author), 1 52. *What Makes a Guerrilla?, Jay Levinson (Best-Selling Author), 1 53. *Guerrilla Marketing: Attacking the Market, Jay Levinson (Best-Selling Author), 1 86. *Everyone is a Marketer, Jay Levinson (Best-Selling Author), 1 87. *Media Choices for the Guerrilla Marketer, Jay Levinson (Best-Selling Author), 1 88. *Technology and the Guerrilla Marketer, Jay Levinson (Best-Selling Author), 1 107. *Guerrilla Marketing on a Budget, Jay Levinson (Best-Selling Author), 1

MANAGEMENT/ CONSULTING 276. *Maintaining Values in a Culture of Change, Richard Priory (Duke Energy, CEO), 1 69. *Fundamentals Never Go Out of Style, Fred Poses (American Standard, CEO), 1 70. High-Tech Company, High-Touch Values, John W. Loose (Corning, CEO), 1 71. Balancing Priorities for the Bottom Line, Bruce Nelson (Office Depot, Chairman), 1 72. *Keeping the Right People With Your Company, Thomas C. Sullivan (RPM, CEO), 1 73. *Gaining Entrepreneurial Momentum, Myron P. Shevell (New England Motor Freight, CEO), 1 74. Creating a Culture That Ensures Success, Justin Jaschke (Verio, CEO), 1 54. *The Drive for Business Results, Frank Roney (IBM, General Manager), 1 55. *Understanding the Client, Randolph C. Blazer (KPMG Consulting, Inc., CEO), 1 56. *The Interface of Technology and Business, Pamela McNamara (Arthur D. Little, Inc., CEO), 1 57. *Elements of the Strategy Consulting Business, Dr. Chuck Lucier (Booz-Allan & Hamilton, SVP), 1 58. *Consulting: Figuring Out How to Do it Right, Dietmarr Osterman (A.T. Kearney, CEO), 1 195. Client Value in Consulting, Luther J. Nussbaum (First Consulting Group, CEO), 1 196. The Rules Have Changed in Consulting, John C. McAuliffe (General Physics Corporation, President), 1 197. Tailoring Solutions to Meet Client Needs, Thomas J. Silveri (Drake Beam Morin, CEO), 1 198. *The Future of Marketing Consulting, Davis Frigstad (Frost & Sullivan, Chairman), 1 59. *Setting and Achieving Goals (For Women), Jennifer Openshaw (Women's Financial Network), 1 60. The Path to Success (For Women), Tiffany Bass Bukow (MsMoney, Founder and CEO), 2 61. Becoming a Leader (For Women), Patricia Dunn (Barclays Global Investors, CEO), 1 62. Career Transitions (For Women), Vivian Banta (Prudential Financial, CEO), 1 63. Making the Most of Your Time (For Women), Kerri Lee Sinclair (AgentArts, Managing Director), 1 64. Follow Your Dreams (For Women), Kim Fischer (AudioBasket, Co-Founder and CEO), 1 65. Keep Learning (For Women) , Krishna Subramanian (Kovair, CEO), 1 66. Keep Perspective (For Women), Mona Lisa Wallace (RealEco.com, CEO), 1 67. Experiment With Different Things (For Women), Emily Hofstetter (SiliconSalley.com, CEO), 1 68. Do What You Enjoy (For Women), Lisa Henderson (LevelEdge, Founder and CEO), 1 *Denotes Best Selling Chapter

Chapter Title

Author

Units

LAW 75. *Navigating Labor Law, Charles Birenbaum (Thelan Reid & Priest, Labor Chair), 1 76. The Makings of a Great Labor Lawyer, Gary Klotz (Butzel Long, Labor Chair), 1 77. The Complexity of Labor Law, Michael Reynvaan (Perkins Coie, Labor Chair), 1 78. *Labor Lawyer Code: Integrity and Honesty, Max Brittain, Jr. (Schiff Hardin & Waite, Labor Chair), 1 89. The Litigator: Advocate and Counselor, Rob Johnson (Sonnenschein Nath, Litigation Chair), 1 90. *Keys to Success in Litigation: Empathy, John Strauch (Jones, Day, Reavis & Pogue, Litigation Chair), 1 91. *Major Corporate and Commercial Litigation, Jeffrey Barist (Milbank, Tweed, Hadley, Litigation Chair), 1 92. Keys to Success as a Litigator, Martin Flumenbaum (Paul, Weiss, Rifkind, Litigation Chair), 1 93. *Deciding When to Go to Trial, Martin Lueck (Robins, Kaplan, Miller, Litigation Chair), 1 94. Credibility and Persuasiveness in Litigation, Michael Feldberg (Schulte Roth & Zabel, Litigation Chair), 1 95. *Litigation Challenges, Thomas Kilbane (Squire, Sanders, Dempsey, Litigation Chair), 1 96. *Keeping it Simple, Evan R. Chesler (Cravath, Swaine & Moore, Litigation Chair), 1 97. Assessing Risk Through Preparation & Honesty, Harvey Kurzweil (Dewey Ballantine, Litigation Chair), 1 98. The Essence of Success, James W. Quinn (Weil, Gotshal & Manges, Litigation Chair), 1 99. The Performance Aspect of Litigation, Charles E. Koob (Simpson Thacher Bartlett, Litigation Chair), 1 100. *The Future of IP: Intellectual Asset Mngmnt., Richard S. Florsheim (Foley & Lardner, IP Chair), 1 101. The Balancing of Art & Science in IP Law, Victor M. Wigman (Blank Rome, IP Chair), 1 102. *Policing a Trademark, Paula J. Krasny (Baker & McKenzie, IP Chair), 1 103. Credibility & Candor: Must Have Skills, Brandon Baum (Cooley Godward, IP Litigation Chair), 1 104. The Art & Science of Patent Law, Stuart Lubitz (Hogan & Hartson, Partner), 1 105. Successful IP Litigation, Cecilia Gonzalez (Howrey Simon Arnold & White, IP Chair), 1 106. Achieving Recognized Value in Ideas, Dean Russell (Kilpatrick Stockton, IP Chair), 1 108. Keeping Current W/ Changing Times, Bruce Keller (Debevoise & Plimpton, IP Litigation Chair), 1 109. *Maximizing the Value of an IP Portfolio, Roger Maxwell (Jenkins & Gilchrist, IP Chair), 2 110. * Experience in Deal Making, Joseph Hoffman (Arter & Hadden, Corporate/Securities Chair), 1 111. *The Art of the Deal, Mark Macenka (Testa, Hurwitz & Thibeault, Business Chair), 1 112. Communicating With Clients, Gerard S. DiFiore (Reed Smith, Corporate/Securities Chair), 1 113. Making a Deal Work, Kenneth S. Bezozo, (Haynes and Boone, Business Chair), 1 114. Challenges for Internet & Tech. Companies, Carl Cohen (Buchanan Ingersoll, Technology Chair), 1 115. The Copyright Revolution, Mark Fischer (Palmer & Dodge, Internet/E-Commerce Chair), 1 116. Privacy Rights and Ownership of Content, Brian Vandenberg (uBid.com, General Counsel), 1 117. Business Intelligence From Day One, Mark I. Gruhin (Schmeltzer, Aptaker and Shepard, , Partner), 1 118. Legal Rules for Internet Companies, Arnold Levine (Proskauer Rose LLP, Chair, iPractice Group), 1 119. Protecting Your Assets, Gordon Caplan (Mintz Levin PC), 1 120. The Golden Rules of Raising Capital, James Hutchinson (Hogan & Hartson LLP), 1 121. Identifying the Right Legal Challenges, John Igeo (Encore Development, General Counsel), 1 122. The Importance of Patents, Richard Turner (Sughrue, Mion,, Senior Counsel), 1 79. *Common Values in Employment Law, Columbus Gangemi, Jr. (Winston & Strawn, Labor Chair), 1 80. Building Long Term Relationships with Clients, Fred Alvarez (Wilson Sonsini, Labor Chair), 1 81. *Becoming Part of the Client's Success, Brian Gold (Sidley Austin Brown & Wood, Labor Chair), 1 82. *Understanding Multiple Audiences, Raymond Wheeler (Morrison & Foerster, Labor Chair), 1 83. Employment Lawyer: Advisor & Advocate, Judy Langevin (Gray, Plant, Mooty & Bennett, Labor Chair), 1 84. *Bringing Added Value to the Deal, Mary Ann Jorgenson (Squires Sanders Dempsey,Labor Chair), 1 85. Traditional Legal Matters on the Internet, Harrison Smith (Krooth & Altman LLP, Partner), 1

TECHNOLOGY/INTERNET 167. *Closing the Technology Gap, Dr. Carl S. Ledbetter (Novell, CTO), 1 168. *Creating and Enriching Business Value, Richard Schroth (Perot Systems, CTO), 1 169. *Innovation Drives Business Success, Kirill Tatarinov (BMC Software, Senior Vice President, CTO), 1 170. *Managing the Technology Knowledge, Dr. Scott Dietzen (BEA E-Commerce Server Division, CTO), 1 171. The CTO as an Agent of Change, Doug Cavit (McAfee.com, CTO), 1 172. The Class Struggle and The CTO, Dan Woods (Capital Thinking, CTO), 1 173. A CTO's Perspective on the Role of a CTO, Mike Toma (eLabor, CTO), 1 174. Technology Solutions to Business Needs, Michael S. Dunn (Encoda Systems, CTO, EVP), 1 175. Bridging Business and Technology, Mike Ragunas (StaplesDirect.com, CTO), 1 176. *The Art of Being a CTO - Fostering Change, Rick Bergquist (PeopleSoft, CTO), 1 178. Developing Best of Breed Technologies, Dr. David Whelan (Boeing, Space and Communications, CTO), 1 *Denotes Best Selling Chapter

Chapter Title

Author

Units

179. *Technology as a Strategic Weapon, Kevin Vasconi (Covisint, CTO), 1 180. Role of the CTO in a Venture-Backed Startup, Dan Burgin (Finali, CTO), 1 181. Leading Technology During Turbulent Times, Frank Campagnoni (GE Global eXchange Services, CTO), 1 276. Success Begins & Ends With Customers, Richard Notebart (Tellabs, CEO), 1 277. *Success is Persistence, Passion & Perspiration, David Struwas (DSL.net, CEO), 1 279. *Successful Telecom, Here and Overseas, K. Paul Singh (Primus Telecommunications Group, CEO), 1 280. Managing in Telecommunications, Alex Mashinsky (QOptics and Arbinet-theexchange, Founder), 1 281. Staying on Course: Telco Navigation, John Schofield (Advanced Fibre Communications, CEO), 1 282. Surviving to Success, Danny Stroud (AppliedTheory, CEO), 1 283. High-Speed Management, David Trachtenberg (StarBand Communications, CEO), 1 284. Leadership in Telecommunications, Gordon Blankstein (Global Light Telecommunications, CEO), 1 285. Winning on the Basics: Right People, Values, Jeff Allen (IntelliSpace, CEO), 1 286. Watching Information Flow, Art Zeile (Inflow, CEO), 1 147. *Wireless Technology: Make It Simple , John Zeglis (AT&T Wireless, CEO), 1 148. *Bringing Value to the Consumer, Patrick McVeigh (OmniSky, Chairman and CEO), 1 149. Wireless Challenges, Sanjoy Malik (Air2Web, Founder, President and CEO), 1 150. The High Costs of Wireless, Paul Sethy (AirPrime, Founder & Chairman), 1 151. Developing Areas of Wireless, Reza Ahy (Aperto Networks, President & CEO), 1 152. *The Real Potential for Wireless, Martin Cooper (Arraycomm, Chairman & CEO), 1 153. Bringing Wireless into the Mainstream, Robert Gemmell (Digital Wireless, CEO), 1 154. VoiceXML, Alex Laats (Informio, CEO and Co-Founder), 1 155. Reaching the Epitome of Productivity, Rod Hoo (LGC Wireless, President and CEO), 1 157. The Wireless Satellite Space , Tom Moore (WildBlue, President and CEO) 1 158. *Memory Solutions for Semiconductor Industry, Steven R. Appleton (Micron Technology, Inc., CEO), 1 159. *Programmable Logic: The Digital Revolution, Wim Roelandts (Xilinx, Inc., CEO), 1 160. The Streaming Media Future, Jack Guedj, Ph.D. (Tvia, Inc., President), 1 161. Building a Winning Semiconductor Company, Igor Khandros, Ph.D. (FormFactor, President and CEO), 1 162. The Next Generation Silicon Lifestyle, Rajeev Madhavan (Magma, Chairman, CEO and President), 1 163. Semiconductors: The Promise of the Future, Steve Hanson (ON Semiconductor, President and CEO), 1 164. Dynamics of the Semiconductor Data Center , Eyal Waldman (Mellanox Technologies, LTD, CEO), 1 165. The Market-Driven Semiconductor Industry, Bob Lynch (Nitronex, President and CEO), 1 166. Semiconductors: Meeting Performance Demand, Satish Gupta (Cradle Technologies, President and CEO), 1

FINANCIAL 244. *Merging Information Tech. & Accounting, Paul McDonald (Robert Half Int’l, Executive Director), 1 245. *The Accountant's Perspective, Gerald Burns (Moss Adams, Partner), 2 247. *Audits & Analyzing Business Processes, Lawrence Rieger (Andersen, Global Managing Partner), 1 250. E-Business Transformation, Fred Round (Ernst & Young, Director of eBusiness Tax), 1 251. Accounting: The UK/US Perspective, Colin Cook (KPMG, Head of Transaction Services - London), 1 252. The Changing Role of the Accountant, Jim McKerlie (Ran One, CEO), 1 253. The Future of Accounting, Harry Steinmetz (M.R. Weiser & Company, Partner), 1

INVESTING 197. Who Wants to Become a Millionaire?, Laura Lee Wagner (American Express, Senior Advisor), 1 198. *The Gold is in Your Goals, Harry R. Tyler (Tyler Wealth Counselors, Inc., CEO), 1 199. *Timeless Tips for Building Your Nest Egg, Christopher P. Parr (Financial Advantage, Inc.), 1 200. It’s What You Keep, Not Make, That Counts, Jerry Wade (Wade Financial Group, President), 1 201. Accumulating Your Million-Dollar Nest Egg, Marc Singer (Singer Xenos Wealth Management), 1 228. Time-Honored Investment Principles, Marilyn Bergen (CMC Advisors, LLC, Co-President), 1 229. *The Art & Science of Investing, Clark Blackman, II (Post Oak Capital Advisors, Managing Dir.), 1 240. Altering Investment Strategy for Retirement, Gary Mandell (The Mandell Group, President), 1 241. *Fair Value & Unfair Odds in Investing, Scott Opsal (Invista Capital Mngmt, Chief Investment Officer), 1 242. Earnings Count & Risk Hurts, Victoria Collins (Keller Group Investment Mngmnt, Principal), 1 243. *Navigating Turbulent Markets, Howard Weiss (Bank of America, Senior Vice President), 1 249. Building an All-Weather Portfolio, Sanford Axelroth & Robert Studin (First Financial Group), 1 254. Managing Your Wealth in Any Market, Gilda Borenstein (Merill Lynch, Wealth Mngmt. Advisor), 1 255. Winning Strategies for International Investing, Josephine Jiménez (Montgomery Asset, Principal), 1 256. The Psychology of a Successful Investor, Robert G. Morris(Lord Abbett, Dir. of Equity Investments), 1 257. *Investing for a Sustainable Future, Robert Allan Rikoon (Rikoon-Carret Investments, CEO), 1 *Denotes Best Selling Chapter

The Focusbook

™

ASSEMBLE YOUR OWN BUSINESS BOOK™ Call Us Toll Free at 1-866-Aspatore (277-2867) Or Tear Out the Next 2 Order Form Pages & Fax or Mail BOTH Pages To: Aspatore Books, PO Box 883, Bedford, MA 01730 Or Fax To (617) 249-1970 (Preferred)

Name: Email: Shipping Address: City: State: Zip: Billing Address: City: State: Zip: Phone: Book Content-5 Questions 1. What chapters would you like added? (Please list by number and author last name-i.e. 2-Jones.) (10 Units/Chapters is Standard for 1 Book.): ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ 2. If you are adding content, do you want it put at the beginning or end of the book? ____________ 3. Would you like the chapters in a particular order? (If this part is not filled out, we shall put them in random order.) If so, please list by author in order from first to last: ___________________________________________________________ ___________________________________________________________ ___________________________________________________________ _______________________________________________________ 4. How would you like your name to read on the cover? (If you would like a company/university/course name added as well, please list it here with your name.): __________________________________________ 5. What would you like the title of the book to be? (If none is added, we will simply put the information from the previous question.): _________________________________________________________

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Pricing-3 Steps 1. Quantity: 1 Book – $99 2 Books – $198 ($99 Per Book) 5 Books – $445 ($89 Per Book) 10 Books – $790 ($79 Per Book) 50 Books – $2,450 ($49 Per Book) 100 Books – $3,900 ($39 Per Book) 250 Books – $7,250 ($29 Per Book) 500 Books – $10,500 ($21 Per Book) 1000 Books – $15,000 ($15 Per Book) 5000 Books – $49,750 ($9.95 Per Book)

Number of Books: _____ Price for Books: _____ 2. Decide the Number of Chapters in Your Book (If you are selecting only 10 units or less, please skip to No. 3-units are based on number of pages-most chapters are 1 unit, however some are more depending on length.) 10 Units (Standard-Approximately 200-250 Pages) – No Extra Charge 15 Units – Please Add $25 Per Book if Ordering Between 1-10 Books, Add $15 Per Book if Ordering 50-250 Books, Add $7.50 Per Book if Ordering 500-5000 Books (So if ordering 50 books, the additional charge would be 50x10=$500) 25 Units – Please Add $75 Per Book if Ordering Between 1-10 Books, Add $25 Per Book if Ordering 50-250 Books, Add $10 Per Book if Ordering 500-5000 Books (So if ordering 50 books, the additional charge would be 50x25=$1,250)

Number of Units: _____ Price for Additional Chapters: _____ 3. Adding Content (You must order at least 50 books to add content.) (If you are not adding any content, skip this section.) Adding 1 Page – Please Add $3 Per Book if Ordering 50-250 Books, Please Add $2 Per Book if Ordering 500-5000 Books Adding 2-9 Pages – Please Add $8 Per Book if Ordering 50-250 Books, Add $4.00 Per Book if Ordering 500-5000 Books Adding 10-49 Pages – Please Add $18 Per Book if Ordering 50-250 Books, Add $9 Per Book if Ordering 500-5000 Books Adding 50-99 Pages – Please Add $25 Per Book if Ordering 50-250 Books, Add $13 Per Book if Ordering 500-5000 Books Adding 100-149 Pages – Please Add $40 Per Book if Ordering 50-250 Books, Add $20 Per Book if Ordering 500-5000 Books

(Please base page count by single spacing, 12 point font, Times New Roman font type on 8.5X11 paper.) (Only charts and graphs that are smaller than 4 inches wide and 7 inches tall can be included.) (A staff member will email you within 1 week of the order being placed to coordinate receiving the materials electronically.) Number of Pages Added: _____ Price for Pages Added: _____

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

PLEASE REPRINT THE FOLLOWING INFORMATION FROM THE PREVIOUS PAGE:

Number of Books: _____ Price for Books: _____ Number of Units: _____ Price for Additional Chapters: _____ Number of Pages Added: _____ Price for Pages Added: _____ Total Price From Sections 1-3: _____ (If mailing in a check you can skip this section but please read fine print below and sign below-check must be received before a book is started-please email [email protected] for an alternate address if you are going to send the check via FedEx or UPS as the PO Box will not accept such shipments.)

Credit Card Type (Visa & Mastercard & Amex): Credit Card Number: Expiration Date: Signature (Acceptance of Order and Terms & Conditions): ________________ IF ADDING CONTENT, AFTER FAXING/MAILING THIS FORM, PLEASE EMAIL THE CONTENT AS A MICROSOFT WORD ATTACHMENT TO [email protected]. THE EMAIL SHOULD INCLUDE YOUR NAME AND FOCUS BOOK NAME. YOU WILL RECEIVE AN EMAIL BACK WITHIN 24 HOURS IF THERE ARE ANY PROBLEMS/QUESTIONS FROM OUR STAFF. *(Please note the billing address much match the address on file with your credit card company exactly)

For rush orders, guaranteed to ship within 1 week (for orders of 10 books or less) or within 2 weeks (for orders of 50 books or more) please initial here ______. An additional charge of $100 for orders of 10 or less books, $250 for orders of 11-25 books, $500 for orders of 25-100 books will be charged. If additional information is needed on rush orders, please email [email protected]. If you would like your order sent via FedEx or UPS, for faster delivery, please enter your FedEx or UPS number here: ______________________ Please Circle One (FedEx/UPS). Delivery Type-Please Circle (Next Day, 2Day/Ground) Terms & Conditions - Prices include shipping and handling, unless a rush order is placed. All books are sent via media mail. We shall send a confirmation receipt to your email address. If ordering from Massachusetts, please add 5% sales tax on the order. If ordering from outside of the US, an additional $8.95 for shipping and handling costs will be charged for the first book, and $1.95 for each book thereafter. All books are paperback and will be shipped as soon as they become available. Sorry, no returns, refunds or cancellations at any point, even before the order has shipped or any additional content submitted. Aspatore Books is also not liable for any spacing errors in the book-only printing errors as determined by Aspatore Books. Any additions to the book will be formatted in relation to the rest of the text font size and type. Publication dates are subject to delay-please allow 1-4 weeks for delivery. Please note that the rights to any content added to the Focusbook™ shall be retained by the author, and that Aspatore Books is simply printing the material in the Focusbook™, not publishing it. Aspatore Books shall not print, publish or distribute the content in any other media, or sell or distribute the content. The rights to all other material in the book shall remain the property of Aspatore Books and may not be reproduced or resold under any condition with out the express written consent of Aspatore Books. The author warrants and represents that to the best of his/her knowledge: (a) he/she has the right to print this material; (b) he/she has no contractual commitment of any kind which may prevent him/her from printing the material; (c) the contribution does not contain any unlawful, libelous or defamatory matter and does not infringe upon the rights, including copyright, of any other person or entity. The individual adding content to the Focusbook™ agrees to assume full liability for any content added to their FocusBook™, and agrees to indemnify and hold harmless Aspatore Books, its owners, officers, employees, agents, shareholders, parents, affiliates, subsidiaries, predecessors, agents, legal representatives, successors and assignees from and against any and all suits, claims, damages, liabilities, including attorneys’ fees, based on or with respect to the falsity of any representation or warranty made to Aspatore Books, whether actual or claimed, or any infringement or related claims.

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

ORDER THESE GREAT BOOKS TODAY! Visit Your Local Bookstore All Inside the Minds titles are $27.95, except Leading Labor Lawyers, Leading IP Lawyers, and Leading Litigators, which are $37.95 each. All Bigwig Briefs titles are $14.95 each.

MANAGEMENT/CONSULTING Inside the Minds: Leading Consultants-Industry CEOs Share Their Knowledge on the Art of Consulting (ISBN: 1587620596) Inside the Minds: Leading CEOs-CEO Visionaries Reveal the Secrets to Leadership & Profiting in Any Economy (ISBN: 1587620553) Inside the Minds: Leading Women-What It Takes to Succeed & Have It All in the 21st Century (ISBN: 1587620197) Bigwig Briefs: Management & Leadership-The Secrets on How to Get There, Stay There, and Empower Others (ISBN: 1587620146) Bigwig Briefs: Human Resources & Building a Winning Team-Hiring, Retaining Employees & Building Winning Teams (ISBN: 1587620154) Bigwig Briefs: Become a CEO-The Golden Rules to Rising the Ranks of Leadership (ISBN: 1587620693)

VENTURE CAPITAL/ENTREPRENEURSHIP Bigwig Briefs: Term Sheets & Valuations-A Detailed Look at the Intricacies of Term Sheets & Valuations (ISBN: 1587620685) Inside the Minds: Venture Capitalists-Inside the High Stakes and Fast Moving World of Venture Capital (ISBN: 1587620014) Inside the Minds: Leading Deal Makers-Negotiations, Leveraging Your Position and the Art of Deal Making (ISBN: 1587620588) Bigwig Briefs: Startups Keys to Success-Golden Rules for Launching a Successful New Venture of Any Size (ISBN: 1587620170) Bigwig Briefs: Hunting Venture Capital-Understanding the VC Process and Capturing an Investment (ISBN: 1587621150) Bigwig Briefs: The Art of Deal Making-The Secrets to the Deal Making Process (ISBN: 1587621002)

TECHNOLOGY/INTERNET Inside the Minds: The Wireless Industry-Leading CEOs Share Their Knowledge on The Future of the Wireless Revolution (ISBN: 1587620202) Inside the Minds: Leading CTOs-Leading CTOs Reveal the Secrets to the Art, Science & Future of Technology (ISBN: 1587620561) Inside the Minds: The Semiconductor Industry-Leading CEOs Share Their Knowledge on the Future of Semiconductors (ISBN: 1587620227) Inside the Minds: Chief Technology Officers-Developing, Implementing and Capitalizing on the Best Technologies in the World (ISBN: 1587620081)

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Bigwig Briefs: Become a CTO-Leading CTOs Reveal How to Get There, Stay There, and Empower Others That Work With You (ISBN: 1587620715) Bigwig Briefs: Small Business Internet Advisor-Big Business Secrets for Small Business Success on the Internet (ISBN: 1587620189) Inside the Minds: Internet Marketing-Advertising, Marketing and Building a Successful Brand on the Internet (ISBN: 1587620022) Inside the Minds: Internet Bigwigs-Leading Internet CEOs and Research Analysts Forecast the Future of the Internet Economy (ISBN: 1587620103) Inside the Minds: Internet CFOs-Information Every Individual Should Know About the Financial Side of Internet Companies (ISBN: 158762) Inside the Minds: Internet BizDev-The Golden Rules to Inking Deals in the Internet Industry (ISBN: 1587620057) Bigwig Briefs: The Golden Rules of the Internet Economy-The Future of the Internet Economy (Even After the Shakedown) (ISBN: 1587620138) Inside the Minds: Internet Lawyers-Important Answers to Issues For Every Entrepreneur, Lawyer & Anyone With a Web Site (ISBN: 1587620065)

LAW Inside the Minds: Leading Labor Lawyers-Labor Chairs Reveal the Secrets to the Art & Science of Labor Law (ISBN: 1587621614) Inside the Minds: Leading Litigators-Litigation Chairs Revel the Secrets to the Art & Science of Litigation (ISBN: 1587621592) Inside the Minds: Leading IP Lawyers-IP Chairs Reveal the Secrets to the Art & Science of IP Law (ISBN: 1587621606) Inside the Minds: Leading Deal Makers-Negotiations, Leveraging Your Position and the Art of Deal Making (ISBN: 1587620588) Inside the Minds: Internet Lawyers-Important Answers to Issues For Every Entrepreneur, Lawyer & Anyone With a Web Site (ISBN: 1587620065) Bigwig Briefs: The Art of Deal Making-The Secrets to the Deal Making Process (ISBN: 1587621002) Bigwig Briefs: Career Options for Law School Students-Leading Partners Reveal the Secrets to Choosing the Best Career Path (ISBN: 1587621010)

MARKETING/ADVERTISING/PR Inside the Minds: Leading Marketers-Leading Chief Marketing Officers Reveal the Secrets to Building a Billion Dollar Brand (ISBN: 1587620537) Inside the Minds: Leading Advertisers-Advertising CEOs Reveal the Tricks of the Advertising Profession (ISBN: 1587620545) Inside the Minds: The Art of PR-Leading PR CEOs Reveal the Secrets to the Public Relations Profession (ISBN: 1587620634) Inside the Minds: PR Visionaries-The Golden Rules of PR and Becoming a Senior Level Advisor With Your Clients (ISBN: 1587621517)

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore

Inside the Minds: Internet Marketing-Advertising, Marketing and Building a Successful Brand on the Internet (ISBN: 1587620022) Bigwig Briefs: Online Advertising-Successful and Profitable Online Advertising Programs (ISBN: 1587620162) Bigwig Briefs: Guerrilla Marketing -The Best of Guerrilla Marketing-Big Marketing Ideas For a Small Budget (ISBN: 1587620677) Bigwig Briefs: Become a VP of Marketing-How to Get There, Stay There, and Empower Others That Work With You (ISBN: 1587620707)

FINANCIAL Inside the Minds: Leading Accountants-The Golden Rules of Accounting & the Future of the Accounting Industry and Profession (ISBN: 1587620529) Inside the Minds: Internet CFOs-Information Every Individual Should Know About the Financial Side of Internet Companies (ISBN: 1587620057) Inside the Minds: The Financial Services Industry-The Future of the Financial Services Industry & Professions (ISBN: 1587620626) Inside the Minds: Leading Investment Bankers-Leading I-Bankers Reveal the Secrets to the Art & Science of Investment Banking (ISBN: 1587620618) Bigwig Briefs: Become a CFO-Leading CFOs Reveal How to Get There, Stay There, and Empower Others That Work With You (ISBN: 1587620731)

Bigwig Briefs: Become a VP of Biz Dev-How to Get There, Stay There, and Empower Others That Work With You (ISBN: 1587620723) Bigwig Briefs: Career Options for MBAs-I-Bankers, Consultants & CEOs Reveal the Secrets to Choosing the Best Career Path (ISBN: 1587621029)

INVESTING Inside the Minds: Building a $1,000,000 Nest Egg -Simple, Proven Ways for Anyone to Build a $1M Nest Egg On Your Own Terms (ISBN: 1587622157) Inside the Minds: Leading Wall St. Investors -The Best Investors of Wall Street Reveal the Secrets to Profiting in Any Economy (ISBN: 1587621142)

OTHER Inside the Minds: The New Health Care Industry-The Future of the Technology Charged Health Care Industry (ISBN: 1587620219) Inside the Minds: The Real Estate Industry-The Future of Real Estate and Where the Opportunities Will Lie (ISBN: 1587620642) Inside the Minds: The Telecommunications Industry-Telecommunications Today, Tomorrow and in 2030 (ISBN: 1587620669) Inside the Minds: The Automotive Industry-Leading CEOs Share Their Knowledge on the Future of the Automotive Industry (ISBN: 1587620650)

To Order, Visit Us At www.Aspatore.com, Fill Out the Order Form Or Call Toll Free 1-866-Aspatore