REAL POWER is a measurement of how well you can maintain or hold on to your acquisition. Can you stand alone and defend your position or do your require outside assistance?
Category: 25 Rules for the Modern Uberman
Rule 9: FAVOUR
Strike a balance between your stakeholders and your executive team. Don’t favour one group or you risk alienating the other.
Rule 8: VIOLATIONS
Criminal or unethical activity can be used well or very badly. Its biggest drawback is that there is no honour in it. To use it well you must commit the violation once and for all, get the job done and let the transgression fade from mass memory. On the other hand, if you consistently transgress you are bound to pay the price.
Rule 7: INHERITANCE vs. SKILL
Acquiring a company by way of birthright is easy, but may prove difficult to administer. Again, nobody respects or fears you.
Acquiring a company using your own faculties is difficult and requires great skill. But let me promise you, administration thereafter is easy. Everyone respects you. Everyone fears you.
Rule 6: FORTUNE vs. SKILL
Companies acquired through fortune are difficult to administer. Nobody respects, or fears you. Companies acquired through skill are easy to administer. Everyone respects you. Everyone fears you.
Rule 5: PUBLIC COMPANIES
When seizing control of a public company your number one priority is to devastate current management. Compensate by keeping existing rules and company culture, but do exact a tribute for this. Set up your own old guard. In fact, run it in person for as long as necessary to achieve this.
25 Rules for the Modern Uberman
Rule 4: PRIVATE COMPANIES
Wholly owned businesses have rigid loyalty structures which make them harder to acquire. If they don’t want to sell there’s nothing you can do about it. If they do sell or are forced to give up their business, the management void they leave behind makes it easier for you to administer.
On the other hand, partnerships have many allegiances within the organisation, making them easier to acquire but much harder to administer. There’ll always be loyalties directed to one partner or another.
Rule 3: COMPOSITE COMPANIES
When administering composite companies, again weaken the stronger powers within each component and keep the weak powers weak. Don’t bring in outside help. This will only weaken your position. In other words, don’t acquire more than can be managed.
James Tucker – CEO of MercurEx, 25 RULES FOR THE MODERN UBERMAN
The Strategy of Weakening Strong Powers in Composite Companies
Companies can be divided into two main categories: composite companies and component companies. Composite companies are made up of separate business entities that are bought out and incorporated into a single conglomerate corporation. The challenge with managing a composite company is they have legacy loyalty and culture and political arrangments that can cause imbalances and disruptions within the company, and to the business, which can lead to vulnerabilities that could inflict long-term damage to you and your corporation.
New takeovers always cause problems for the uberman. Employees and shareholders are willing to change administration to improve their situation, but if the existing culture is antagonistic to yours they soon discover that things have gotten worse because a new administrator must damage and dismantle the previous administration. This will inevitably create enemies within the company because agents from the previous administration will plot to undermine you, depending on how misaligned the existing culture is with yours.
If takeover composite companies have similar politics and culture it is easy to keep most of the administration. As long as you do not change their way of life, you need only wipe out the old executive to keep them.
But if new acquisitions have a different culture or political customs, they are difficult to keep. They will bankrupt you. Go and work there yourself, to establish an executive, protect the allied minor powers, weaken strong factions within the business to the extent of eliminating and replacing the entire executive, and guard against external influences.
If the task is too great, do not bite off more than you can chew.
Simply stay away.
Rule 2: ACQUISITIONS
When the acquisition is a new appendage to your existing company… Run it in person! Put your own people in there! Weaken the stronger powers within the firm! Keep the weak powers weak.
James Tucker – CEO of MercurEx, 25 RULES FOR THE MODERN UBERMAN
Acquisitions
To ensure that the acquisition is successful, it’s important to run the business in person. Putting your own executive team in the new company will allow you to maintain control and create a stronger bond between the two organisations.
Additionally, it’s important to weaken the stronger powers within the firm and keep the weaker powers weak. Doing so will prevent any single legacy group from gaining too much control, allowing the company to remain secure and successful.
Rule 1: BE SKILLED
Experience is everything! Know and understand your logistics! Know and understand your strategy! And most importantly know and understand these twenty-five rules.
James Tucker, CEO of MercurEx