4 ms·

I think the OP's question really involves the CFO or any accountants involved in this case. I would expect the CEO to be driven more by vision than by cold, ha

I think the OP's question really involves the CFO or any accountants involved in this case. I would expect the CEO to be driven more by vision than by cold, hard facts.

paulddraper 7y ago
I'm guessing there's a mix of "it's hard to tell bad news" and "it's hard to hear bad news". If those two factors are strong (say, cultural reasons), a lot of red flags can fall by the wayside.
Benjammer 7y ago
You mean the CFO who took over the helm of the company?
jacquesm 7y ago
> I would expect the CEO to be driven more by vision than by cold, hard facts. Vision is fine but cold, hard facts are essential too. If you let your vision get the better of you and you ignore the facts then you're on the path to self destruction.
asveikau 7y ago
> I would expect the CEO to be driven more by vision than by cold, hard facts. If the facts don't align with your vision, figure out a different vision.
- adharmad 7y ago
  If one is cushioned by unlimited amount of VC money, then it can take a while to realize that the vision was untenable.
rland 7y ago
I'm guessing that the issues have something to do with the management structure. If your CEO is delusional, it's usually possible to reign him or her in... From what I understand, Neumann had some special votes that basically allowed him to fire the board at any point. I imagine that anyone with a pragmatic mindset willing to ask "wait, but the numbers are..." was pushed out of the picture either explicitly or implicitly by the power imbalance.
- danesparza 7y ago
  Holy crap: You're right. https://www.vox.com/recode/2019/9/24/20882133/wework-adam-neumann-dual-super-voting-stock-shares-tech-ipo https://www.vox.com/recode/2019/9/24/20882133/wework-adam-ne... Thanks for the tip! I didn't realize that.
wpietri 7y ago
I don't know the story with WeWork's CFO. But the book "Super Pumped" documents how Kalanick used his dominance to keep from having a CFO at all for long periods. A good CEO who is very strong on vision will build a team that keeps him in check by having balancing strengths. But narcissists don't like balance. So they build teams that let them do what they want. And when they hire somebody who isn't an enabler, that person soon ends up gone one way or another. And it's not just CEOs. You can find a good example of this in recent US politics.

I think the OP's question really involves the CFO or any accountants involved in this case. I would expect the CEO to be driven more by vision than by cold, hard facts.

paulddraper 7y ago

I'm guessing there's a mix of "it's hard to tell bad news" and "it's hard to hear bad news". If those two factors are strong (say, cultural reasons), a lot of red flags can fall by the wayside.

Benjammer 7y ago

You mean the CFO who took over the helm of the company?

jacquesm 7y ago

> I would expect the CEO to be driven more by vision than by cold, hard facts. Vision is fine but cold, hard facts are essential too. If you let your vision get the better of you and you ignore the facts then you're on the path to self destruction.

asveikau 7y ago

> I would expect the CEO to be driven more by vision than by cold, hard facts. If the facts don't align with your vision, figure out a different vision.

adharmad 7y ago
If one is cushioned by unlimited amount of VC money, then it can take a while to realize that the vision was untenable.

rland 7y ago

I'm guessing that the issues have something to do with the management structure. If your CEO is delusional, it's usually possible to reign him or her in... From what I understand, Neumann had some special votes that basically allowed him to fire the board at any point. I imagine that anyone with a pragmatic mindset willing to ask "wait, but the numbers are..." was pushed out of the picture either explicitly or implicitly by the power imbalance.

danesparza 7y ago
Holy crap: You're right. https://www.vox.com/recode/2019/9/24/20882133/wework-adam-neumann-dual-super-voting-stock-shares-tech-ipo https://www.vox.com/recode/2019/9/24/20882133/wework-adam-ne... Thanks for the tip! I didn't realize that.

wpietri 7y ago

I don't know the story with WeWork's CFO. But the book "Super Pumped" documents how Kalanick used his dominance to keep from having a CFO at all for long periods. A good CEO who is very strong on vision will build a team that keeps him in check by having balancing strengths. But narcissists don't like balance. So they build teams that let them do what they want. And when they hire somebody who isn't an enabler, that person soon ends up gone one way or another. And it's not just CEOs. You can find a good example of this in recent US politics.