Occaisionally I have posted an article from Seth Godin's Blog (sign up here: http://sethgodin.typepad.com/). He posts daily and most days are very thought provoking. Today he launches The Domino Project described below. My guess is most of you will be intrigued and challenged by his new project.
I'd encourage you to read it with the thought in mind of "How can I create something in my business that is so far out of the box that it will transform my business?".
To be informed about what The Domino Project is publishing sign up here: http://www.thedominoproject.com/subscribe-to-this-newsletter. Since I know you will sign up for both if you are interested, I will not post Seth's stuff in the future . . . well, forgive me if I occasionally can’t stand not to post one!
Read on . . .
The Domino Project
Book publishing is changing. It’s changing faster than it has in a hundred years.
I’ve been persistent enough to be part of that change, provoking and poking and wondering about what comes next.Today, I’m thrilled to report on what’s next for me.
To reinvent the way books are created when the middleman is made less important.
To reinvent the way books are purchased when the tribe is known and embraced.
To reinvent the way books are read when the alternatives are so much easier to find.
To find and leverage great ideas and great authors, bringing them to readers who need them.
The notion of the paper book as merely a package for information is slowly becoming obsolete. There must be other reasons on offer, or smart people will go digital, or read something free. The book is still an ideal tool for the hand-to-hand spreading of important ideas, though. The point of the book is to be spread, to act as a manifesto, to get in sync with others, to give and to get and to hand around.
Our goal is to offer ideas that people need and want to spread, to enjoy and to hold and to own, and to change conversations.
Working with a great team at Amazon, I’m launching a new publishing venture called The Domino Project. I think it fundamentally changes many of the rules of publishing trade non-fiction.
Trade publishing (as opposed to textbooks or other non-consumer ventures) has always been about getting masses of people to know about, understand and read your books. The business has been driven by several foundational principles:
1. The middleman (the bookstore) has a great deal of power. There’s only a limited amount of shelf space, and there are more books (far more books) than we have room for. No display, no sale. That’s one reason books are published with the economically ridiculous model of 100% returns from bookstores. Huge stores can carry thousands of books and return them if they don’t sell. Large chains get a say about what’s on the cover, what the title is, and they even get paid for shelf displays.
2. The audience (the reader) is largely unknown to the publisher, and thus to the author. Authors with large followings still have to start over with each book, because they don’t have permission (or the data) to contact loyal readers directly.
3. Pricing and product are static and slow. Once a book is published, the price is set forever. Add to that the glacial speed from conception to publication date and you see a system that is set up to benefit neither the publisher nor the reader.
4. Books are inherently difficult to spread. The ideas in books might travel, but the act of recommending a book, having the idea stick and a new sale get made is slow or broken. Given how important the ideas in books are, this chain has many weak links. It's worth rethinking how a publishing house could organize around its ultimate goal, which is to spread ideas.
The internet and the Kindle are changing all of these rules. The Domino Project is designed to (at least by way of example) remap many of these foundations.
1. There is no middleman. Because there is infinite shelf space, the publisher has more control over what the reader sees and how. In addition, the Amazon platform allows a tiny organization to have huge reach without taking significant inventory risk. "Powered by Amazon" is part of our name—it describes the unique nature of the venture... I get to figure out the next neat idea, and Amazon can handle printing, logistics and the platform for connection.
2. The reader is tightly connected with the publisher and the author. If you like the sort of things I write or recommend, you can sign up and we can alert you to new works, send you free samples and otherwise make it easy for you to be smart about the new ideas that are generated.
3. Pricing can vary based on volume, on timing, on format. With this project, I’ve made the decision to ignore the rules that publishers follow to get on the New York Times bestseller list. There’s no point in compromising the consumer experience or the product merely to get a nice ego boost and a small shot of promotion. More on this in a future post, but I'll let you use your imagination.
4. Digital goods and manifestos in book form make it easier to spread complex ideas. It’s long frustrated me that a blog post can reach 100 times as many people as a book, but can’t deliver the nuance a book can. The Domino Project is organized around a fundamentally different model of virality, one that allows authors to directly reach people who can use the ideas we’re writing about.
The Domino Project is named for the domino effect—ideas can quickly spread, moving through a previously static set up. Our mission isn’t to become a promotional machine, focused on interrupting large numbers of people or having significant promotional chops through traditional media. Instead, we're grabbing the opportunity to choose and deliver manifestos that are optimized for the tribe, for the small group that wants to grab them, inhale them and spread them. The good ones will spread, first from person to person, then from one circle to another, and eventually into large groups.
That’s a lot to absorb for one post. I’ve been working on the ideas behind The Domino Project since I published my very first book in 1986. The first manifestos won’t be out for a few months, but you can learn more as we go by following the Domino Project.
PS When we roll out our books, there will be sneak previews and other goodies for those first on the list...
Seth Godin
Start thinking outside the box,
TPE3
Wednesday, December 8, 2010
Wednesday, October 27, 2010
Organizing For Joy
Here's another interesting thought from Seth Godin:
Organizing For Joy
Traditional corporations, particularly large-scale service and manufacturing businesses, are organized for efficiency. Or consistency. But not joy.
McDonalds, Hertz, Dell and others crank it out. They show up. They lower costs. They use a stopwatch to measure output.
The problem with this mindset is that as you approach the asymptote of maximum efficiency, there's not a lot of room left for improvement. Making a Chicken McNugget for .00001 cents less isn't going to boost your profit a whole lot.
Worse, the nature of the work is inherently un-remarkable. If you fear special requests, if you staff with cogs, if you have to put it all in a manual, then the chances of amazing someone are really quite low.
These organizations have people who will try to patch problems over after the fact, instead of motivated people eager to delight on the spot.
The alternative, it seems, is to organize for joy. These are the companies that give their people the freedom (and yes, the expectation) that they will create, connect and surprise. These are the organizations that embrace someone who makes a difference, as opposed to searching for a clause in the employee handbook that was violated.
From: http://sethgodin.typepad.com/seths_blog/
Organizing For Joy
Traditional corporations, particularly large-scale service and manufacturing businesses, are organized for efficiency. Or consistency. But not joy.
McDonalds, Hertz, Dell and others crank it out. They show up. They lower costs. They use a stopwatch to measure output.
The problem with this mindset is that as you approach the asymptote of maximum efficiency, there's not a lot of room left for improvement. Making a Chicken McNugget for .00001 cents less isn't going to boost your profit a whole lot.
Worse, the nature of the work is inherently un-remarkable. If you fear special requests, if you staff with cogs, if you have to put it all in a manual, then the chances of amazing someone are really quite low.
These organizations have people who will try to patch problems over after the fact, instead of motivated people eager to delight on the spot.
The alternative, it seems, is to organize for joy. These are the companies that give their people the freedom (and yes, the expectation) that they will create, connect and surprise. These are the organizations that embrace someone who makes a difference, as opposed to searching for a clause in the employee handbook that was violated.
From: http://sethgodin.typepad.com/seths_blog/
Wednesday, August 25, 2010
How The Media Can Change The Thrust Of A Person's Message By Omission
Here is an update from a friend, Melinda Rembert Wells. For several years Melinda has had an ongoing fight against a rare and complicated tumor in her brain. Today she is doing well.
I thought her post on Caring Bridge about how the media (At least the Dallas Morning News in this case) can totally change the thrust of a person's message by omission is very informative. It should make us question everything we read - at least check other sources. Melinda is doing very well and her post clearly tells you who she believes is responsible.
TPE3
Melinda's post from Caring Bridge:
Tuesday, August 24, 2010 3:43 PM, CDT
There was an article in the Dallas Morning News today about people who use social-networking sites, such as Caring Bridge, to communicate with friends & family about their health status. This is an article that I was interviewed for, and I was quoted and pictured in it. If you want to read it, you can find it at this link: http://www.dallasnews.com/sharedcontent/dws/fea/healthyliving2/stories/082310dnliv-social-networking-for-cancer-patients.8209e53a.html (The pictures are only shown in the print newspaper, not on-line.)
Overall, I was disappointed in the article. The reporter got a lot of details about my diagnosis/treatment incorrect (which is not a big deal to me), but what is a big deal to me is that all of my references to the Lord were erased. When I was contacted by the reporter a couple of months ago, I agreed to the interview only because I thought it would be a great opportunity to share my faith in Jesus Christ and proclaim His name. Unfortunately, the reporter chose to ‘edit out’ all of my references to the Lord. From my perspective, you cannot accurately tell the story of any aspect of my cancer journey (or my life) without mentioning the Lord. So, I’m sad that the reporter, and now the readers, don’t understand the central theme of my story – Jesus Christ.
Moreover, I feel that the reporter completely misrepresented me when she said in her article, "Melinda Wells searched the internet for inspiration." What?! Are you kidding me? I search the Bible for inspiration, and I turn to the internet to facilitate communication with my friends and family – a BIG difference. I truly do not understand how the reporter could make that statement after interviewing me for two hours. Can I demand a retraction? Is this how politicians feel when they read what people say about them in the papers? (Shout out to George W. – we don’t believe any of the nonsense that was written about you in the media. We love that you moved home to Dallas, and we so appreciate your sacrificial service to our country!)
The one thing that thrilled me about the article was the close-up, color picture of the artwork that my friends’ children created for me when I was in the hospital. I have them all hanging up on my wall at home, and the photographer captured a close-up of three pictures. I was so thrilled to call my friend, Amy, and tell her that the drawing that her triplet 6-year-old boys drew for me of the SuperBowl teams was printed in the newspaper! And also my friend, Jen, has a five-year-old boy whose creative interpretation of the appearance of my hospital room was included in the close-up picture, too. So fun! I quickly told the moms to go out and buy a paper, so that they can show the kids their artwork printed in the paper! I can’t wait to hear how they react!
In the end, I'm sure that the reporter didn't intend to make me feel misrepresented. It was an article about Caring Bridge, not an article about me. But obviously my experience with Caring Bridge is a result of my cancer journey, which I feel cannot be told accurately without some reference to the Lord. And I do not think that I could have used the words, "the Lord", more often in the interview. She just chose to omit what I think is of utmost importance. Apparently, she (or the editor) felt otherwise. In closing, I hope that this article in the newspaper will inform many people about the Caring Bridge website, how it can facilitate communication, prayer, and encouragement between the one who is ill and their network of friends, family, and even strangers that are praying for them.
And maybe, someone who reads the article will search for my name on the Caring Bridge website and find my blog that tells the real story of my cancer journey. As it says on the top of the blog:
"…that at the name of Jesus every knee should bow, in heaven and on earth and under the earth, and every tongue confess that Jesus Christ is Lord, to the glory of God the Father." Philippians 2:10-11
All glory to the Lord,
Melinda
I thought her post on Caring Bridge about how the media (At least the Dallas Morning News in this case) can totally change the thrust of a person's message by omission is very informative. It should make us question everything we read - at least check other sources. Melinda is doing very well and her post clearly tells you who she believes is responsible.
TPE3
Melinda's post from Caring Bridge:
Tuesday, August 24, 2010 3:43 PM, CDT
There was an article in the Dallas Morning News today about people who use social-networking sites, such as Caring Bridge, to communicate with friends & family about their health status. This is an article that I was interviewed for, and I was quoted and pictured in it. If you want to read it, you can find it at this link: http://www.dallasnews.com/sharedcontent/dws/fea/healthyliving2/stories/082310dnliv-social-networking-for-cancer-patients.8209e53a.html (The pictures are only shown in the print newspaper, not on-line.)
Overall, I was disappointed in the article. The reporter got a lot of details about my diagnosis/treatment incorrect (which is not a big deal to me), but what is a big deal to me is that all of my references to the Lord were erased. When I was contacted by the reporter a couple of months ago, I agreed to the interview only because I thought it would be a great opportunity to share my faith in Jesus Christ and proclaim His name. Unfortunately, the reporter chose to ‘edit out’ all of my references to the Lord. From my perspective, you cannot accurately tell the story of any aspect of my cancer journey (or my life) without mentioning the Lord. So, I’m sad that the reporter, and now the readers, don’t understand the central theme of my story – Jesus Christ.
Moreover, I feel that the reporter completely misrepresented me when she said in her article, "Melinda Wells searched the internet for inspiration." What?! Are you kidding me? I search the Bible for inspiration, and I turn to the internet to facilitate communication with my friends and family – a BIG difference. I truly do not understand how the reporter could make that statement after interviewing me for two hours. Can I demand a retraction? Is this how politicians feel when they read what people say about them in the papers? (Shout out to George W. – we don’t believe any of the nonsense that was written about you in the media. We love that you moved home to Dallas, and we so appreciate your sacrificial service to our country!)
The one thing that thrilled me about the article was the close-up, color picture of the artwork that my friends’ children created for me when I was in the hospital. I have them all hanging up on my wall at home, and the photographer captured a close-up of three pictures. I was so thrilled to call my friend, Amy, and tell her that the drawing that her triplet 6-year-old boys drew for me of the SuperBowl teams was printed in the newspaper! And also my friend, Jen, has a five-year-old boy whose creative interpretation of the appearance of my hospital room was included in the close-up picture, too. So fun! I quickly told the moms to go out and buy a paper, so that they can show the kids their artwork printed in the paper! I can’t wait to hear how they react!
In the end, I'm sure that the reporter didn't intend to make me feel misrepresented. It was an article about Caring Bridge, not an article about me. But obviously my experience with Caring Bridge is a result of my cancer journey, which I feel cannot be told accurately without some reference to the Lord. And I do not think that I could have used the words, "the Lord", more often in the interview. She just chose to omit what I think is of utmost importance. Apparently, she (or the editor) felt otherwise. In closing, I hope that this article in the newspaper will inform many people about the Caring Bridge website, how it can facilitate communication, prayer, and encouragement between the one who is ill and their network of friends, family, and even strangers that are praying for them.
And maybe, someone who reads the article will search for my name on the Caring Bridge website and find my blog that tells the real story of my cancer journey. As it says on the top of the blog:
"…that at the name of Jesus every knee should bow, in heaven and on earth and under the earth, and every tongue confess that Jesus Christ is Lord, to the glory of God the Father." Philippians 2:10-11
All glory to the Lord,
Melinda
Wednesday, August 18, 2010
Anxiety Is Practicing Failure In Advance
How is that for a catchy title? Recently, my wife, Ann Day, shared this with a group of ladies for discussion. The article is taken from Seth Godin's new book, Linchpin and shown below. I read the book a few months ago and have shared it with many people. I highly recommend it as a book that can change your perspective about your life.
I have known of Seth Godin for years - he has authored many books including Permission Marketing which is now widely practiced by most Internet marketers. As a result of reading Linchpin I was introduced to Seth's Blog (http://sethgodin.typepad.com/seths_blog/). Everyday you receive a fresh dose of Seth's wisdom. Another influencer of my life, Mike Vance, said, "You will be the same tomorrow as you are today except for the books you read and the people you meet". A daily dose of Seth will start your day with a new challenging thought that will lead you to a constant evaluation of your life and how and why you do what you do.
Anxiety steals your life . . . you can step out of it. As I was looking for this article I searched his blog for "Anxiety" and had 20+ hits. It is clear that Seth's thoughts and wisdom on Anxiety come from his personal struggle with it. He is a "fellow struggler". Phil 4:6,7 is a great prescription.
I also came across an interview with Seth on Linchpin by Catalyst . For the interview go to http://vimeo.com/8900789. It is 25 minutes long but definitely worth the time. At the very end he shares how he is able to come up with all the great stuff he does on the blog.
Here's the article . . . Enjoy:
Anxiety Is Practicing Failure In Advance
Anxiety is needless and imaginary. It’s fear about fear, fear that means nothing.
The difference between fear and anxiety: Anxiety is diffuse and focuses on possibilities in an unknown future, not a real and present threat. The resistance is 100% about anxiety, because humans have developed other emotions and warnings to help us avoid actual threats. Anxiety, on the other hand, is an internal construct with no relation to the outside world. “Needless anxiety” is redundant, because anxiety is always needless. Anxiety doesn’t protect you from danger, but from doing great things. It keeps you awake at night and foretells a future that’s not going to happen.
On the other hand, fear is about staying alive, avoiding snakes, feeding your family, and getting the right to play again tomorrow. Fear should be paid careful attention. There’s not a lot of genuine fear here in our world, so when it appears, it’s worth noting.
Anxiety, on the other hand, is dangerous paralysis. Anxiety is the exaggeration of the worst possible what-if, accompanied by self-talk that leads to the relentless minimization of the actual odds of success.
Anxiety makes it impossible to do art, because it feeds the resistance, giving the lizard brain insane power over us. It’s impossible to be a linchpin if you agree to feed your anxiety.
You’ll notice that throughout this book I’ve often used the word “fear” when I really meant anxiety. That’s because we do it all the time, confusing the two . . . a bad habit.
From Linchpin
Seth Godin
I have known of Seth Godin for years - he has authored many books including Permission Marketing which is now widely practiced by most Internet marketers. As a result of reading Linchpin I was introduced to Seth's Blog (http://sethgodin.typepad.com/seths_blog/). Everyday you receive a fresh dose of Seth's wisdom. Another influencer of my life, Mike Vance, said, "You will be the same tomorrow as you are today except for the books you read and the people you meet". A daily dose of Seth will start your day with a new challenging thought that will lead you to a constant evaluation of your life and how and why you do what you do.
Anxiety steals your life . . . you can step out of it. As I was looking for this article I searched his blog for "Anxiety" and had 20+ hits. It is clear that Seth's thoughts and wisdom on Anxiety come from his personal struggle with it. He is a "fellow struggler". Phil 4:6,7 is a great prescription.
I also came across an interview with Seth on Linchpin by Catalyst . For the interview go to http://vimeo.com/8900789. It is 25 minutes long but definitely worth the time. At the very end he shares how he is able to come up with all the great stuff he does on the blog.
Here's the article . . . Enjoy:
Anxiety Is Practicing Failure In Advance
Anxiety is needless and imaginary. It’s fear about fear, fear that means nothing.
The difference between fear and anxiety: Anxiety is diffuse and focuses on possibilities in an unknown future, not a real and present threat. The resistance is 100% about anxiety, because humans have developed other emotions and warnings to help us avoid actual threats. Anxiety, on the other hand, is an internal construct with no relation to the outside world. “Needless anxiety” is redundant, because anxiety is always needless. Anxiety doesn’t protect you from danger, but from doing great things. It keeps you awake at night and foretells a future that’s not going to happen.
On the other hand, fear is about staying alive, avoiding snakes, feeding your family, and getting the right to play again tomorrow. Fear should be paid careful attention. There’s not a lot of genuine fear here in our world, so when it appears, it’s worth noting.
Anxiety, on the other hand, is dangerous paralysis. Anxiety is the exaggeration of the worst possible what-if, accompanied by self-talk that leads to the relentless minimization of the actual odds of success.
Anxiety makes it impossible to do art, because it feeds the resistance, giving the lizard brain insane power over us. It’s impossible to be a linchpin if you agree to feed your anxiety.
You’ll notice that throughout this book I’ve often used the word “fear” when I really meant anxiety. That’s because we do it all the time, confusing the two . . . a bad habit.
From Linchpin
Seth Godin
Thursday, July 22, 2010
Supreme Court Effectively Invalidates Hundreds of National Labor Relations Board Decisions
Another fine state of affairs created by the inaction and political games by our friends in Washington:
Supreme Court Effectively Invalidates Hundreds of National Labor Relations Board Decisions - A K&L Gates Labor and Employment Alert
by Michael J. Schrier, Mark S. Filipini
July 2, 2010
In an opinion that effectively invalidates more than two years worth of National Labor Relations Board ("NLRB" or "Board") decisions, the United States Supreme Court held recently that the NLRB lacked authority to issue decisions in unfair labor practice and representation cases when it was composed of fewer than three members between January 2008 and March 2010.
By law, the NLRB should have a complement of five members, with the longstanding practice that the President appoints three members of his own party and two members from the opposition. Like many senior administrative positions, NLRB members are subject to confirmation by the Senate. While the political nature of the appointment process has historically resulted in temporary vacancies from time to time, the NLRB recently endured an unprecedented twenty-seven month stretch with three vacancies starting in January 2008. The two remaining members, now-Chairman Wilma Liebman (a Democrat) and Member Peter Schaumber (a Republican), attempted to carry on the Board's business by issuing decisions where both could agree on the outcome. Despite their philosophical differences and their purposeful avoidance of issues they perceived as controversial or novel, Liebman and Schaumber managed to issue 595 decisions before President Obama made two recess appointments effective in April 2010 to temporarily bring Board membership back up to four, and a further appointment in June 2010 to bring the Board membership up to five.
In New Process Steel, LP v. NLRB, No. 08-1457 (June 17, 2010), the Supreme Court ruled that it was contrary to the agency's governing statute for the NLRB to issue any decisions when it had fewer than three members. This ruling has short and long term consequences for employers. The immediate impact of this decision will be felt in pending appeals involving cases decided by the two-person Board - five before the Supreme Court and 90 before the various federal Courts of Appeals. On July 1, 2010, the Board announced its intention to seek a remand in each of these appellate cases for further consideration by a three member panel of the Board.
At this point, it is unclear how the Supreme Court’s decision will directly impact the roughly 500 other NLRB decisions issued by Liebman and Schaumber. The five-member Board may decide to quickly reissue some or all of the decisions, assuming that one or more of the recess appointees agree with the holdings. More likely, the Board may address the issue if and when prior litigants raise it. Because the parties to any particular dispute may have settled, complied with the Board rulings or otherwise moved on, this approach could help reduce the impact on the Board. Moreover, as a practical matter, it may not make sense for employers to seek to reopen a case based on the Supreme Court’s decision, as the Board is now more likely to side with labor in any dispute. However, the tactical calculus could be different for an employer deferred back to an administrative law judge by the two-member Board for further proceedings. The bottom line is that employers affected by any of the two-member rulings should engage in a careful analysis of the facts and legal issues in their particular case(s) to sort through the issues and opportunities raised by New Process Steel.
In terms of the potential long term consequences, employers should assume for now that the Supreme Court has likely eliminated all precedential value in the 595 two-member NLRB decisions issued by Liebman and Schaumber. More importantly, in light of the frequent difficulties with the political appointment and confirmation process, it is possible that the NLRB could again become temporarily incapable of issuing new opinions due to a lack of members in the future based on the New Process Steel decision.
Contacts:
Michael J. Schrier, +1.202.778.9249, michael.schrier@klgates.com
Mark S. Filipini, +1.206.370.8111, mark.filipini@klgates.com
This publication/newsletter is for informational purposes and does not contain or convey legal advice. The information herein should not be used or relied upon in regard to any particular facts or circumstances without first consulting a lawyer.
K&L Gates is comprised of multiple affiliated entities: a limited liability partnership with the full name K&L Gates LLP qualified in Delaware and maintaining offices throughout the United States, in Berlin and Frankfurt, Germany, in Beijing (K&L Gates LLP Beijing Representative Office), in Dubai, U.A.E., in Shanghai (K&L Gates LLP Shanghai Representative Office), in Tokyo, and in Singapore; a limited liability partnership (also named K&L Gates LLP) incorporated in England and maintaining offices in London and Paris; a Taiwan general partnership (K&L Gates) maintaining an office in Taipei; a Hong Kong general partnership (K&L Gates, Solicitors) maintaining an office in Hong Kong; a Polish limited partnership (K&L Gates Jamka sp. k.) maintaining an office in Warsaw; and a Delaware limited liability company (K&L Gates Holdings, LLC) maintaining an office in Moscow. K&L Gates maintains appropriate registrations in the jurisdictions in which its offices are located. A list of the partners or members in each entity is available for inspection at any K&L Gates office.
Supreme Court Effectively Invalidates Hundreds of National Labor Relations Board Decisions - A K&L Gates Labor and Employment Alert
by Michael J. Schrier, Mark S. Filipini
July 2, 2010
In an opinion that effectively invalidates more than two years worth of National Labor Relations Board ("NLRB" or "Board") decisions, the United States Supreme Court held recently that the NLRB lacked authority to issue decisions in unfair labor practice and representation cases when it was composed of fewer than three members between January 2008 and March 2010.
By law, the NLRB should have a complement of five members, with the longstanding practice that the President appoints three members of his own party and two members from the opposition. Like many senior administrative positions, NLRB members are subject to confirmation by the Senate. While the political nature of the appointment process has historically resulted in temporary vacancies from time to time, the NLRB recently endured an unprecedented twenty-seven month stretch with three vacancies starting in January 2008. The two remaining members, now-Chairman Wilma Liebman (a Democrat) and Member Peter Schaumber (a Republican), attempted to carry on the Board's business by issuing decisions where both could agree on the outcome. Despite their philosophical differences and their purposeful avoidance of issues they perceived as controversial or novel, Liebman and Schaumber managed to issue 595 decisions before President Obama made two recess appointments effective in April 2010 to temporarily bring Board membership back up to four, and a further appointment in June 2010 to bring the Board membership up to five.
In New Process Steel, LP v. NLRB, No. 08-1457 (June 17, 2010), the Supreme Court ruled that it was contrary to the agency's governing statute for the NLRB to issue any decisions when it had fewer than three members. This ruling has short and long term consequences for employers. The immediate impact of this decision will be felt in pending appeals involving cases decided by the two-person Board - five before the Supreme Court and 90 before the various federal Courts of Appeals. On July 1, 2010, the Board announced its intention to seek a remand in each of these appellate cases for further consideration by a three member panel of the Board.
At this point, it is unclear how the Supreme Court’s decision will directly impact the roughly 500 other NLRB decisions issued by Liebman and Schaumber. The five-member Board may decide to quickly reissue some or all of the decisions, assuming that one or more of the recess appointees agree with the holdings. More likely, the Board may address the issue if and when prior litigants raise it. Because the parties to any particular dispute may have settled, complied with the Board rulings or otherwise moved on, this approach could help reduce the impact on the Board. Moreover, as a practical matter, it may not make sense for employers to seek to reopen a case based on the Supreme Court’s decision, as the Board is now more likely to side with labor in any dispute. However, the tactical calculus could be different for an employer deferred back to an administrative law judge by the two-member Board for further proceedings. The bottom line is that employers affected by any of the two-member rulings should engage in a careful analysis of the facts and legal issues in their particular case(s) to sort through the issues and opportunities raised by New Process Steel.
In terms of the potential long term consequences, employers should assume for now that the Supreme Court has likely eliminated all precedential value in the 595 two-member NLRB decisions issued by Liebman and Schaumber. More importantly, in light of the frequent difficulties with the political appointment and confirmation process, it is possible that the NLRB could again become temporarily incapable of issuing new opinions due to a lack of members in the future based on the New Process Steel decision.
Contacts:
Michael J. Schrier, +1.202.778.9249, michael.schrier@klgates.com
Mark S. Filipini, +1.206.370.8111, mark.filipini@klgates.com
This publication/newsletter is for informational purposes and does not contain or convey legal advice. The information herein should not be used or relied upon in regard to any particular facts or circumstances without first consulting a lawyer.
K&L Gates is comprised of multiple affiliated entities: a limited liability partnership with the full name K&L Gates LLP qualified in Delaware and maintaining offices throughout the United States, in Berlin and Frankfurt, Germany, in Beijing (K&L Gates LLP Beijing Representative Office), in Dubai, U.A.E., in Shanghai (K&L Gates LLP Shanghai Representative Office), in Tokyo, and in Singapore; a limited liability partnership (also named K&L Gates LLP) incorporated in England and maintaining offices in London and Paris; a Taiwan general partnership (K&L Gates) maintaining an office in Taipei; a Hong Kong general partnership (K&L Gates, Solicitors) maintaining an office in Hong Kong; a Polish limited partnership (K&L Gates Jamka sp. k.) maintaining an office in Warsaw; and a Delaware limited liability company (K&L Gates Holdings, LLC) maintaining an office in Moscow. K&L Gates maintains appropriate registrations in the jurisdictions in which its offices are located. A list of the partners or members in each entity is available for inspection at any K&L Gates office.
Thursday, July 15, 2010
What In The World Am I Looking For?
In this follow up to last week's article on Situational Awareness we get the answer to "What in the world am I looking for?"
Watching for Watchers
June 17, 2010 0855 GMT
By Scott Stewart
In last week’s Security Weekly we discussed how situational awareness is a mindset that can — and should — be practiced by everyone. We also described the different levels of situational awareness and discussed which level is appropriate for different sorts of situations. And we noted how all criminals and terrorists follow a process when planning their acts and that this process is visible at certain times to people who are watching for such behavior.
When one considers these facts, it inevitably leads to the question: “What in the world am I looking for?” The brief answer is: “warning signs of criminal or terrorist behavior.” Since this brief answer is very vague, it becomes necessary to describe the behavior in more detail.
Surveillance
It is important to make one fundamental point clear up front. The operational behavior that most commonly exposes a person planning a criminal or terrorist act to scrutiny by the intended target is surveillance. Other portions of the planning process can be conducted elsewhere, especially in the age of the Internet, when so much information is available online. From an operational standpoint, however, there simply is no substitute for having eyes on the potential target. In military terms, surveillance is often called reconnaissance, and in a criminal context it is often referred to as casing or scoping out. Environmental activist and animal rights groups trained by the Ruckus Society refer to it as “scouting.” No matter what terminology is being used for the activity, it is meant to accomplish the same objective: assessing a potential target for value, vulnerabilities and potential security measures. Surveillance is required so that criminals can conduct a cost-benefit analysis.
The amount of time devoted to the criminal surveillance process will vary, depending on the type of crime and the type of criminal involved. A criminal who operates like an ambush predator, such as a purse-snatcher, may lie in wait for a suitable target to come within striking distance. This is akin to a crocodile lying in a watering hole waiting for an animal to come and get a drink. The criminal will have only a few seconds to size up the potential target and conduct the cost-benefit calculation before formulating his plan, getting ready and striking.
On the other extreme are the criminals who behave more like stalking predators. Such a criminal is like a lion on the savannah that carefully looks over the herd and selects a vulnerable animal believed to be the easiest to take down. A criminal who operates like a stalking predator, such as a kidnapper or terrorist, may select a suitable target and then take days or even weeks to follow the target, assess its vulnerabilities and determine if the potential take is worth the risk. Normally, stalking criminals will prey only on targets they feel are vulnerable and can be successfully hit, although they will occasionally take bigger risks on high-value targets.
Of course, there are many other criminals who fall somewhere in the middle, and they may take anywhere from a few minute to several hours to watch a potential target. Regardless of the time spent observing the target, all criminals will conduct this surveillance and they are vulnerable to detection during this time.
Given that surveillance is so widely practiced, it is quite amazing to consider that, in general, criminals and terrorists are terrible at conducting surveillance. There are some exceptions, such as the relatively sophisticated surveillance performed by Greenpeace and some of the other groups trained by the Ruckus Society, or the low-key and highly detailed surveillance performed by some high-end art and jewelry thieves, but such surveillance is the exception rather than the rule.
The term “tradecraft” is an espionage term that refers to techniques and procedures used in the field, but term also implies quite a bit of finesse in the practice of these techniques. Tradecraft, then, is really more of an art rather than a science, and surveillance tradecraft is no exception. Like playing the violin or fencing with a foil, it takes time and practice to become a skilled surveillance practitioner. Most individuals involved in criminal and terrorist activity simply do not devote the time necessary to master this skill. Because of this, they have terrible technique, use sloppy procedures and lack finesse when they are watching people.
Although everybody planning a criminal or terrorist attack conducts preoperational surveillance, that does not necessarily mean they are good at it. The simple truth is that these individuals are able to get by with such a poor level of surveillance tradecraft because most victims simply are not looking for them. And this is where we tie the discussion back into last week’s Security Weekly. Most people do not practice situational awareness. For those who do, the poor surveillance tradecraft exhibited by criminals is good news. It gives them time to avoid an immediate threat and contact the authorities.
Demeanor Is the Key
The behavior a person needs to outwardly display in order to master the art of surveillance tradecraft is called good demeanor. Good demeanor is not intuitive. In fact, the things one has to do to maintain good demeanor frequently run counter to human nature. Because of this, intelligence and security professionals who work surveillance operations receive extensive training that includes many hours of heavily critiqued practical exercises, often followed by field training with a team of experienced surveillance professionals. This training teaches and reinforces good demeanor. Criminals and terrorists do not receive this type of training and, as a result, bad surveillance tradecraft has long proved to be an Achilles’ heel for terrorist and criminal organizations.
Surveillance is an unnatural activity, and a person doing it must deal with strong feelings of self-consciousness and of being out of place. People conducting surveillance frequently suffer from what is called “burn syndrome,” the erroneous belief that the people they are watching have spotted them. Feeling “burned” will cause surveillants to do unnatural things, such as suddenly ducking back into a doorway or turning around abruptly when they unexpectedly come face to face with the target. People inexperienced in the art of surveillance find it difficult to control this natural reaction. Even experienced surveillance operatives occasionally have the feeling of being burned; the difference is they have received a lot of training and they are better able to control their reaction and work through it. They are able to maintain a normal looking demeanor while their insides are screaming that the person they are surveilling has seen them.
In addition to doing something unnatural or stupid when feeling burned, another very common mistake made by amateurs when conducting surveillance is the failure to get into proper “character” for the job or, when in character, appearing in places or carrying out activities that are incongruent with the character’s “costume.” The terms used to describe these role-playing aspects of surveillance are “cover for status” and “cover for action.” Cover for status is a person’s purported identity — his costume. A person can pretend to be a student, a businessman, a repairman, etc. Cover for action explains why the person is doing what he or she is doing — why that guy has been standing on that street corner for half an hour.
The purpose of using good cover for action and cover for status is to make the presence of the person conducting the surveillance look routine and normal. When done right, the surveillance operative fits in with the mental snapshot subconsciously taken by the target as the target goes about his or her business. Inexperienced people who conduct surveillance frequently do not use good cover for action or cover for status, and they can be easily detected.
An example of bad cover for status would be someone dressed as “a businessman” walking in the woods or at the beach. An example of bad cover for action is someone pretending to be sitting at a bus stop who remains at that bus stop even when several buses have passed. But mostly, malefactors conducting surveillance practice little or no cover for action or cover for status. They just lurk and look totally out of place. There is no apparent reason for them to be where they are and doing what they are doing.
In addition to “plain old lurking,” other giveaways include a person moving when the target moves, communicating when the target moves, avoiding eye contact with the target, making sudden turns or stops, or even using hand signals to communicate with other members of a surveillance team or criminal gang. Surveillants also can tip off the person they are watching by entering or leaving a building immediately after the person they are watching or simply by running in street clothes. Sometimes, people who are experiencing the burn syndrome exhibit almost imperceptible behaviors that the target can sense more than observe. It may not be something that can be articulated, but the target just gets the gut feeling that there is something wrong or odd about the way a certain person behaves. Innocent bystanders who are not watching someone usually do not exhibit this behavior or trigger these feelings.
The U.S. government often uses the acronym “TEDD” to illustrate the principles that can be used to identify surveillance conducted by counterintelligence agencies, but these same principles also can be used to identify criminal and terrorist surveillance. TEDD stands for time, environment, distance and demeanor. In other words, if a person sees someone repeatedly over time, in different environments and over distance, or someone who displays poor surveillance demeanor, then that person can assume he or she is under surveillance. If a person is being specifically targeted for a planned attack, he or she might be exposed to the time, environment and distance elements of TEDD, but if the subway car the person is riding in or the building where the person works is the target, he or she might only have the demeanor of the attacker to key on because the attacker will not be seen by the observer over time and distance or in different environments. Time, environment and distance are also not applicable in cases involving criminals who behave like ambush predators. Therefore, when we are talking about criminal surveillance, demeanor is the most critical of the four elements. Demeanor will also often work in tandem with the other elements, and poor demeanor will often help the target spot the surveillant at different times and places.
In a situation where a building or subway car is targeted for an attack rather than a specific person, there are still a number of demeanor indicators that can be observed just prior to the attack. Such indicators include people wearing unseasonable clothing in warm weather (such as trench coats); people with odd bulges under their clothing or wires sticking out from their clothing; people who are sweating profusely, mumbling or fidgeting; people who appear to be attempting to avoid security personnel; and people who simply appear to be out of place. According to many reports, suicide attackers will often exhibit an intense stare as they approach the final stage of their attack plan. While not every person exhibiting such behavior is a suicide bomber or shooter, avoiding such a person rarely has much of a downside.
One technique that can be helpful in looking for people conducting long-term surveillance is to identify places that provide optimal visibility of a critical place the surveillant would want to watch (for example, the front door of a potential target’s residence or office). These optimal observation points are often referred to as “perches” in surveillance jargon. Perches can then be watched for signs of hostile surveillance like people who don’t belong there, people making demeanor mistakes, etc.
This principle can also be extended to critical points along frequently and predictably traveled routes. Potential targets can conduct simple pattern and route analyses to determine where along the route they are most predictable and vulnerable. Route analysis looks for vulnerabilities, or choke points, on a particular route of travel. Choke points have two main characteristics: They are places where the potential target must travel and where rapid forward motion is difficult (such as sharp, blind curves). When a choke point provides a place where hostiles can wait with impunity for their victims and have access to a rapid escape route, the choke point becomes a potential attack site. These characteristics are found in attack sites used by highly professional kidnap/assassination teams and by criminal “ambush predators” such as carjackers. While the ideal tactic is to vary routes and times to avoid predictable locations, this is also difficult and disruptive and is warranted only when the threat is high. A more practical alternative is for potential targets to raise their situational awareness a notch as they travel through such areas at predictable times in order to be on the alert for potential hostile surveillance or signs of an impending attack.
The fact that operatives conducting surveillance over an extended period of time can change their clothing and wear hats, wigs or other light disguises — and use different vehicles or license plates — also demonstrates why watching for mistakes in demeanor is critical. Of course, the use of disguises is also an indicator that the surveillants are more advanced and therefore potentially more dangerous. Because of a surveillant’s ability to make superficial changes in appearance, it is important to focus on the things that cannot be changed as easily as clothing or hair, such as a person’s facial features, build, mannerisms and gait. Additionally, while a surveillant can change the license plate on a car, it is not as easy to alter other aspects of the vehicle such as body damage (scratches and dents). Paying attention to small details can produce significant results over time.
As we noted last week — and it is worth repeating here — paying attention to details and practicing situational awareness does not mean being paranoid or obsessively concerned about security. When people live in a state of paranoia, looking for a criminal behind every bush, they become mentally and physically exhausted. Not only is this dangerous to one’s physical and mental health, but security also suffers because it is very hard to be aware of your surroundings when you are exhausted. Therefore, while it is important to watch for the watchers, watching should not involve feelings of fear or paranoia. Knowing what is occurring in the world around them empowers people and gives them a sense of security and well-being, allowing them to spot the good things in life as well as the potential dangers.
This report is republished with permission of STRATFOR.
STRATFOR delivers critical intelligence and perspective through:
Situation Reports: Snapshots of global breaking news
Analysis: Daily reports that assess key world events and their significance
Quarterly & Annual Forecasts: Rigorous predictions of what will happen next
Multimedia: Engaging videos and information-rich interactive maps
Intelligence Guidance: Internal memos that guide STRATFOR staff in their intelligence-gathering operations in the immediate days ahead
STRATFOR’s chief executive officer, Dr. George Friedman, is a widely recognized international affairs expert and author of numerous books, including The Next 100 Years (Doubleday, 2009), America’s Secret War (Doubleday, 2005), and The Future of War (Crown, 1996).
STRATFOR members include individuals, FORTUNE 100 corporations, government agencies and other organizations around the world. For more info go to www.stratfor.com.
Watching for Watchers
June 17, 2010 0855 GMT
By Scott Stewart
In last week’s Security Weekly we discussed how situational awareness is a mindset that can — and should — be practiced by everyone. We also described the different levels of situational awareness and discussed which level is appropriate for different sorts of situations. And we noted how all criminals and terrorists follow a process when planning their acts and that this process is visible at certain times to people who are watching for such behavior.
When one considers these facts, it inevitably leads to the question: “What in the world am I looking for?” The brief answer is: “warning signs of criminal or terrorist behavior.” Since this brief answer is very vague, it becomes necessary to describe the behavior in more detail.
Surveillance
It is important to make one fundamental point clear up front. The operational behavior that most commonly exposes a person planning a criminal or terrorist act to scrutiny by the intended target is surveillance. Other portions of the planning process can be conducted elsewhere, especially in the age of the Internet, when so much information is available online. From an operational standpoint, however, there simply is no substitute for having eyes on the potential target. In military terms, surveillance is often called reconnaissance, and in a criminal context it is often referred to as casing or scoping out. Environmental activist and animal rights groups trained by the Ruckus Society refer to it as “scouting.” No matter what terminology is being used for the activity, it is meant to accomplish the same objective: assessing a potential target for value, vulnerabilities and potential security measures. Surveillance is required so that criminals can conduct a cost-benefit analysis.
The amount of time devoted to the criminal surveillance process will vary, depending on the type of crime and the type of criminal involved. A criminal who operates like an ambush predator, such as a purse-snatcher, may lie in wait for a suitable target to come within striking distance. This is akin to a crocodile lying in a watering hole waiting for an animal to come and get a drink. The criminal will have only a few seconds to size up the potential target and conduct the cost-benefit calculation before formulating his plan, getting ready and striking.
On the other extreme are the criminals who behave more like stalking predators. Such a criminal is like a lion on the savannah that carefully looks over the herd and selects a vulnerable animal believed to be the easiest to take down. A criminal who operates like a stalking predator, such as a kidnapper or terrorist, may select a suitable target and then take days or even weeks to follow the target, assess its vulnerabilities and determine if the potential take is worth the risk. Normally, stalking criminals will prey only on targets they feel are vulnerable and can be successfully hit, although they will occasionally take bigger risks on high-value targets.
Of course, there are many other criminals who fall somewhere in the middle, and they may take anywhere from a few minute to several hours to watch a potential target. Regardless of the time spent observing the target, all criminals will conduct this surveillance and they are vulnerable to detection during this time.
Given that surveillance is so widely practiced, it is quite amazing to consider that, in general, criminals and terrorists are terrible at conducting surveillance. There are some exceptions, such as the relatively sophisticated surveillance performed by Greenpeace and some of the other groups trained by the Ruckus Society, or the low-key and highly detailed surveillance performed by some high-end art and jewelry thieves, but such surveillance is the exception rather than the rule.
The term “tradecraft” is an espionage term that refers to techniques and procedures used in the field, but term also implies quite a bit of finesse in the practice of these techniques. Tradecraft, then, is really more of an art rather than a science, and surveillance tradecraft is no exception. Like playing the violin or fencing with a foil, it takes time and practice to become a skilled surveillance practitioner. Most individuals involved in criminal and terrorist activity simply do not devote the time necessary to master this skill. Because of this, they have terrible technique, use sloppy procedures and lack finesse when they are watching people.
Although everybody planning a criminal or terrorist attack conducts preoperational surveillance, that does not necessarily mean they are good at it. The simple truth is that these individuals are able to get by with such a poor level of surveillance tradecraft because most victims simply are not looking for them. And this is where we tie the discussion back into last week’s Security Weekly. Most people do not practice situational awareness. For those who do, the poor surveillance tradecraft exhibited by criminals is good news. It gives them time to avoid an immediate threat and contact the authorities.
Demeanor Is the Key
The behavior a person needs to outwardly display in order to master the art of surveillance tradecraft is called good demeanor. Good demeanor is not intuitive. In fact, the things one has to do to maintain good demeanor frequently run counter to human nature. Because of this, intelligence and security professionals who work surveillance operations receive extensive training that includes many hours of heavily critiqued practical exercises, often followed by field training with a team of experienced surveillance professionals. This training teaches and reinforces good demeanor. Criminals and terrorists do not receive this type of training and, as a result, bad surveillance tradecraft has long proved to be an Achilles’ heel for terrorist and criminal organizations.
Surveillance is an unnatural activity, and a person doing it must deal with strong feelings of self-consciousness and of being out of place. People conducting surveillance frequently suffer from what is called “burn syndrome,” the erroneous belief that the people they are watching have spotted them. Feeling “burned” will cause surveillants to do unnatural things, such as suddenly ducking back into a doorway or turning around abruptly when they unexpectedly come face to face with the target. People inexperienced in the art of surveillance find it difficult to control this natural reaction. Even experienced surveillance operatives occasionally have the feeling of being burned; the difference is they have received a lot of training and they are better able to control their reaction and work through it. They are able to maintain a normal looking demeanor while their insides are screaming that the person they are surveilling has seen them.
In addition to doing something unnatural or stupid when feeling burned, another very common mistake made by amateurs when conducting surveillance is the failure to get into proper “character” for the job or, when in character, appearing in places or carrying out activities that are incongruent with the character’s “costume.” The terms used to describe these role-playing aspects of surveillance are “cover for status” and “cover for action.” Cover for status is a person’s purported identity — his costume. A person can pretend to be a student, a businessman, a repairman, etc. Cover for action explains why the person is doing what he or she is doing — why that guy has been standing on that street corner for half an hour.
The purpose of using good cover for action and cover for status is to make the presence of the person conducting the surveillance look routine and normal. When done right, the surveillance operative fits in with the mental snapshot subconsciously taken by the target as the target goes about his or her business. Inexperienced people who conduct surveillance frequently do not use good cover for action or cover for status, and they can be easily detected.
An example of bad cover for status would be someone dressed as “a businessman” walking in the woods or at the beach. An example of bad cover for action is someone pretending to be sitting at a bus stop who remains at that bus stop even when several buses have passed. But mostly, malefactors conducting surveillance practice little or no cover for action or cover for status. They just lurk and look totally out of place. There is no apparent reason for them to be where they are and doing what they are doing.
In addition to “plain old lurking,” other giveaways include a person moving when the target moves, communicating when the target moves, avoiding eye contact with the target, making sudden turns or stops, or even using hand signals to communicate with other members of a surveillance team or criminal gang. Surveillants also can tip off the person they are watching by entering or leaving a building immediately after the person they are watching or simply by running in street clothes. Sometimes, people who are experiencing the burn syndrome exhibit almost imperceptible behaviors that the target can sense more than observe. It may not be something that can be articulated, but the target just gets the gut feeling that there is something wrong or odd about the way a certain person behaves. Innocent bystanders who are not watching someone usually do not exhibit this behavior or trigger these feelings.
The U.S. government often uses the acronym “TEDD” to illustrate the principles that can be used to identify surveillance conducted by counterintelligence agencies, but these same principles also can be used to identify criminal and terrorist surveillance. TEDD stands for time, environment, distance and demeanor. In other words, if a person sees someone repeatedly over time, in different environments and over distance, or someone who displays poor surveillance demeanor, then that person can assume he or she is under surveillance. If a person is being specifically targeted for a planned attack, he or she might be exposed to the time, environment and distance elements of TEDD, but if the subway car the person is riding in or the building where the person works is the target, he or she might only have the demeanor of the attacker to key on because the attacker will not be seen by the observer over time and distance or in different environments. Time, environment and distance are also not applicable in cases involving criminals who behave like ambush predators. Therefore, when we are talking about criminal surveillance, demeanor is the most critical of the four elements. Demeanor will also often work in tandem with the other elements, and poor demeanor will often help the target spot the surveillant at different times and places.
In a situation where a building or subway car is targeted for an attack rather than a specific person, there are still a number of demeanor indicators that can be observed just prior to the attack. Such indicators include people wearing unseasonable clothing in warm weather (such as trench coats); people with odd bulges under their clothing or wires sticking out from their clothing; people who are sweating profusely, mumbling or fidgeting; people who appear to be attempting to avoid security personnel; and people who simply appear to be out of place. According to many reports, suicide attackers will often exhibit an intense stare as they approach the final stage of their attack plan. While not every person exhibiting such behavior is a suicide bomber or shooter, avoiding such a person rarely has much of a downside.
One technique that can be helpful in looking for people conducting long-term surveillance is to identify places that provide optimal visibility of a critical place the surveillant would want to watch (for example, the front door of a potential target’s residence or office). These optimal observation points are often referred to as “perches” in surveillance jargon. Perches can then be watched for signs of hostile surveillance like people who don’t belong there, people making demeanor mistakes, etc.
This principle can also be extended to critical points along frequently and predictably traveled routes. Potential targets can conduct simple pattern and route analyses to determine where along the route they are most predictable and vulnerable. Route analysis looks for vulnerabilities, or choke points, on a particular route of travel. Choke points have two main characteristics: They are places where the potential target must travel and where rapid forward motion is difficult (such as sharp, blind curves). When a choke point provides a place where hostiles can wait with impunity for their victims and have access to a rapid escape route, the choke point becomes a potential attack site. These characteristics are found in attack sites used by highly professional kidnap/assassination teams and by criminal “ambush predators” such as carjackers. While the ideal tactic is to vary routes and times to avoid predictable locations, this is also difficult and disruptive and is warranted only when the threat is high. A more practical alternative is for potential targets to raise their situational awareness a notch as they travel through such areas at predictable times in order to be on the alert for potential hostile surveillance or signs of an impending attack.
The fact that operatives conducting surveillance over an extended period of time can change their clothing and wear hats, wigs or other light disguises — and use different vehicles or license plates — also demonstrates why watching for mistakes in demeanor is critical. Of course, the use of disguises is also an indicator that the surveillants are more advanced and therefore potentially more dangerous. Because of a surveillant’s ability to make superficial changes in appearance, it is important to focus on the things that cannot be changed as easily as clothing or hair, such as a person’s facial features, build, mannerisms and gait. Additionally, while a surveillant can change the license plate on a car, it is not as easy to alter other aspects of the vehicle such as body damage (scratches and dents). Paying attention to small details can produce significant results over time.
As we noted last week — and it is worth repeating here — paying attention to details and practicing situational awareness does not mean being paranoid or obsessively concerned about security. When people live in a state of paranoia, looking for a criminal behind every bush, they become mentally and physically exhausted. Not only is this dangerous to one’s physical and mental health, but security also suffers because it is very hard to be aware of your surroundings when you are exhausted. Therefore, while it is important to watch for the watchers, watching should not involve feelings of fear or paranoia. Knowing what is occurring in the world around them empowers people and gives them a sense of security and well-being, allowing them to spot the good things in life as well as the potential dangers.
This report is republished with permission of STRATFOR.
STRATFOR delivers critical intelligence and perspective through:
Situation Reports: Snapshots of global breaking news
Analysis: Daily reports that assess key world events and their significance
Quarterly & Annual Forecasts: Rigorous predictions of what will happen next
Multimedia: Engaging videos and information-rich interactive maps
Intelligence Guidance: Internal memos that guide STRATFOR staff in their intelligence-gathering operations in the immediate days ahead
STRATFOR’s chief executive officer, Dr. George Friedman, is a widely recognized international affairs expert and author of numerous books, including The Next 100 Years (Doubleday, 2009), America’s Secret War (Doubleday, 2005), and The Future of War (Crown, 1996).
STRATFOR members include individuals, FORTUNE 100 corporations, government agencies and other organizations around the world. For more info go to www.stratfor.com.
Thursday, July 8, 2010
Why Understanding Situational Awareness Is Important To Your Employees And Family
This recent article from Stratfor is instructive on increasing your situational awareness which is critical to your personal safety and our National Security. Please ask your employees and family members to read it and pass it on.
The world is a wonderful place, but it can also be a dangerous one. In almost every corner of the globe militants of some political persuasion are plotting terror attacks — and these attacks can happen in London or New York, not just in Peshawar or Baghdad. Meanwhile, criminals operate wherever there are people, seeking to steal, rape, kidnap,or kill.
People who practice situational awareness can often spot this planning process as it unfolds and then take appropriate steps to avoid the dangerous situation or prevent it from happening altogether. Because of this, situational awareness is one of the key building blocks of effective personal security — and when exercised by large numbers of people, it can also be an important facet of national security. Since situational awareness is so important, and because we discuss situational awareness so frequently in our analyses, we thought it would be helpful to discuss the subject in detail and provide a primer that can be used by people in all sorts of situations.
Foundations
First and foremost, it needs to be noted that being aware of one’s surroundings and identifying potential threats and dangerous situations is more of a mindsetthan a hard skill. Because of this, situational awareness is not something that can be practiced only by highly trained government agents or specialized corporate security countersurveillance teams. Indeed, it can be exercised by anyone with the will and the discipline to do so.
An important element of the proper mindset is to first recognize that threats exist. Ignorance or denial of a threat — or completely tuning out one’s surroundings while in a public place — makes a person’s chances of quickly recognizing the threat and avoiding it slim to none. This is why apathy, denial and complacency can be (and often are) deadly. A second important element is understanding the need to take responsibility for one’s own security. The resources of any government are finite and the authorities simply cannot be everywhere and cannot stop every criminal action. The same principle applies to private security at businesses or other institutions, like places of worship. Therefore, people need to look out for themselves and their neighbors.
Another important facet of this mindset is learning to trust your “gut” or intuition. Many times a person’s subconscious can notice subtle signs of danger that the conscious mind has difficulty quantifying or articulating. Many people who are victimized frequently experience such feelings of danger prior to an incident, but choose to ignore them. Even a potentially threatening person not making an immediate move — or even if the person wanders off quickly after a moment of eye contact — does not mean there was no threat.
Levels of Awareness
People typically operate on five distinct levels of awareness. There are many ways to describe these levels (“Cooper’s colors,” for example, which is a system frequently used in law enforcement and military training), but perhaps the most effective way to illustrate the differences between the levels is to compare them to the different degrees of attention we practice while driving. For our purposes here we will refer to the five levels as “tuned out;” “relaxed awareness;” “focused awareness;” “high alert” and “comatose.”
The first level, tuned out, is like when you are driving in a very familiar environment or are engrossed in thought, a daydream, a song on the radio or even by the kids fighting in the backseat. Increasingly, cell phone calls and texting are also causing people to tune out while they drive. Have you ever gotten into the car and arrived somewhere without even really thinking about your drive there? If so, then you’ve experienced being tuned out.
The second level of awareness, relaxed awareness, is like defensive driving. This is a state in which you are relaxed but you are also watching the other cars on the road and are looking well ahead for potential road hazards. If another driver looks like he may not stop at the intersection ahead, you tap your brakes to slow your car in case he does not. Defensive driving does not make you weary, and you can drive this way for a long time if you have the discipline to keep yourself at this level, but it is very easy to slip into tuned-out mode. If you are practicing defensive driving you can still enjoy the trip, look at the scenery and listen to the radio, but you cannot allow yourself to get so engrossed in those distractions that they exclude everything else. You are relaxed and enjoying your drive, but you are still watching for road hazards, maintaining a safe following distance and keeping an eye on the behavior of the drivers around you.
The next level of awareness, focused awareness, is like driving in hazardous road conditions. You need to practice this level of awareness when you are driving on icy or slushy roads — or the roads infested with potholes and erratic drivers that exist in many third-world countries. When you are driving in such an environment, you need to keep two hands on the wheel at all times and have your attention totally focused on the road and the other drivers. You don’t dare take your eyes off the road or let your attention wander. There is no time for cell phone calls or other distractions. The level of concentration required for this type of driving makes it extremely tiring and stressful. A drive that you normally would not think twice about will totally exhaust you under these conditions because it demands your prolonged and total concentration.
The fourth level of awareness is high alert. This is the level that induces an adrenaline rush, a prayer and a gasp for air all at the same time — “Watch out! There’s a deer in the road! Hit the brakes!” This also happens when that car you are watching doesn’t stop at the stop sign and pulls out right in front of you. High alert can be scary, but at this level you are still able to function. You can hit your brakes and keep your car under control. In fact, the adrenalin rush you get at this stage can sometimes even aid your reflexes. But, the human body can tolerate only short periods of high alert before becoming physically and mentally exhausted.
The last level of awareness, comatose, is what happens when you literally freeze at the wheel and cannot respond to stimuli, either because you have fallen asleep, or, at the other end of the spectrum, because you are petrified from panic. It is this panic-induced paralysis that concerns us most in relation to situational awareness. The comatose level of awareness (or perhaps more accurately, lack of awareness) is where you go into shock, your brain ceases to process information and you simply cannot react to the reality of the situation. Many times when this happens, a person can go into denial, believing that “this can’t be happening to me,” or the person can feel as though he or she is observing, rather than actually participating in, the event. Often, the passage of time will seem to grind to a halt. Crime victims frequently report experiencing this sensation and being unable to act during an unfolding crime.
Finding the Right Level
Some people are so tuned out as they go through life that they miss even blatant signs of pending criminal activity directed specifically at them. In 1992, an American executive living in the Philippines was kidnapped by a Marxist kidnapping gang in Manila known as the “Red Scorpion Group.” When the man was debriefed following his rescue, he described in detail how the kidnappers had blocked off his car in traffic and abducted him. Then, to the surprise of the debriefing team, he said that on the day before he was abducted, the same group of guys had attempted to kidnap him at the exact same location, at the very same time of day and driving the same vehicle. The attackers had failed to adequately box his car in, however, and his driver was able to pull around the blocking vehicle and proceed to the office.
Since the executive did not consider himself to be a kidnapping target, he had just assumed that the incident the day before his abduction was “just another close call in crazy Manila traffic.” The executive and his driver had both been tuned out. Unfortunately, the executive paid for this lack of situational awareness by having to withstand an extremely traumatic kidnapping, which included almost being killed in the dramatic Philippine National Police operation that rescued him.
If you are tuned out while you are driving and something happens — say, a child runs out into the road or a car stops quickly in front of you — you will not see the problem coming. This usually means that you either do not see the hazard in time to avoid it and you hit it, or you totally panic and cannot react to it — neither is good. These reactions (or lack of reaction) occur because it is very difficult to change mental states quickly, especially when the adjustment requires moving several steps, say, from tuned out to high alert. It is like trying to shift your car directly from first gear into fifth and it shudders and stalls. Many times, when people are forced to make this mental jump and they panic (and stall), they go into shock and will actually freeze and be unable to take any action — they go comatose. This happens not only when driving but also when a criminal catches someone totally unaware and unprepared. While training does help people move up and down the alertness continuum, it is difficult for even highly trained individuals to transition from tuned out to high alert. This is why police officers, federal agents and military personnel receive so much training on situational awareness.
It is critical to stress here that situational awareness does not mean being paranoid or obsessively concerned about your security. It does not mean living with the irrational expectation that there is a dangerous criminal lurking behind every bush. In fact, people simply cannot operate in a state of focused awareness for extended periods, and high alert can be maintained only for very brief periods before exhaustion sets in. The “flight or fight” response can be very helpful if it can be controlled. When it gets out of control, however, a constant stream of adrenaline and stress is simply not healthy for the body or the mind. When people are constantly paranoid, they become mentally and physically burned out. Not only is this dangerous to physical and mental health, but security also suffers because it is very hard to be aware of your surroundings when you are a complete basket case. Therefore, operating constantly in a state of high alert is not the answer, nor is operating for prolonged periods in a state of focused alert, which can also be overly demanding and completely enervating. This is the process that results in alert fatigue. The human body was simply not designed to operate under constant stress. People (even highly skilled operators) require time to rest and recover.
Because of this, the basic level of situational awareness that should be practiced most of the time is relaxed awareness, a state of mind that can be maintained indefinitely without all the stress and fatigue associated with focused awareness or high alert. Relaxed awareness is not tiring, and it allows you to enjoy life while rewarding you with an effective level of personal security. When you are in an area where there is potential danger (which, by definition, is almost anywhere), you should go through most of your day in a state of relaxed awareness. Then if you spot something out of the ordinary that could be a potential threat, you can “dial yourself up” to a state of focused awareness and take a careful look at that potential threat (and also look for others in the area).
Of course, if you know that you must go into an area that is very dangerous, you should dial yourself up to focused awareness when you are in that area. For example, if there is a specific section of highway where a lot of improvised explosive devices detonate and ambushes occur, or if there is a part of a city that is controlled (and patrolled) by criminal gangs — and you cannot avoid these danger areas for whatever reason — it would be prudent to heighten your level of awareness when you are in those areas. An increased level of awareness is also prudent when engaging in common or everyday tasks, such as visiting an ATM or walking to the car in a dark parking lot. The seemingly trivial nature of these common tasks can make it all too easy to go on “autopilot” and thus expose yourself to threats. When the time of potential danger has passed, you can then go back to a state of relaxed awareness.
This process also demonstrates the importance of being familiar with your environment and the dangers that are present there. Such awareness allows you to avoid many threats and to be on the alert when you must venture into a dangerous area.
Clearly, few of us are living in the type of intense threat environment currently found in places like Mogadishu, Juarez or Kandahar. Nonetheless, average citizens all over the world face many different kinds of threats on a daily basis — from common thieves and assailants to criminals and mentally disturbed individuals aiming to conduct violent acts to militants wanting to carry out large-scale attacks against subways and aircraft.
Many of the steps required to conduct these attacks must be accomplished in a manner that makes the actions visible to the potential victim and outside observers. It is at these junctures that people practicing situational awareness can detect these attack steps, avoid the danger and alert the authorities. When people practice situational awareness they not only can keep themselves safer but they can also help keep others safe. And when groups of people practice situational awareness together they can help keep their schools, houses of worship, workplaces and cities safe from danger.
And as we’ve discussed many times before, as theterrorist threat continues to devolve into one almost as diffuse as the criminal threat, ordinary citizens are also becoming an increasingly important national security resource.
This report is republished with permission of STRATFOR.
STRATFOR delivers critical intelligence and perspective through:
Situation Reports: Snapshots of global breaking news
Analysis: Daily reports that assess key world events and their significance
Quarterly & Annual Forecasts: Rigorous predictions of what will happen next
Multimedia: Engaging videos and information-rich interactive maps
Intelligence Guidance: Internal memos that guide STRATFOR staff in their intelligence-gathering operations in the immediate days ahead
STRATFOR’s chief executive officer, Dr. George Friedman, is a widely recognized international affairs expert and author of numerous books, including The Next 100 Years (Doubleday, 2009), America’s Secret War (Doubleday, 2005), and The Future of War (Crown, 1996).
STRATFOR members include individuals, FORTUNE 100 corporations, government agencies and other organizations around the world. For more info go to www.stratfor.com.
A Primer on Situational Awareness
June 10, 2010 0856 GMT
By Scott Stewart
June 10, 2010 0856 GMT
By Scott Stewart
The world is a wonderful place, but it can also be a dangerous one. In almost every corner of the globe militants of some political persuasion are plotting terror attacks — and these attacks can happen in London or New York, not just in Peshawar or Baghdad. Meanwhile, criminals operate wherever there are people, seeking to steal, rape, kidnap,
Regardless of the threat, it is very important to recognize that criminal and terrorist attacks do not materialize out of thin air. In fact, quite the opposite is true. Criminals and terrorists follow a process when planning their actions, and this process has several distinct steps. This process has traditionally been referred to as the "terrorist attack cycle", but if one looks at the issue thoughtfully, it becomes apparent that the same steps apply to nearly all crimes. Of course, there will be more time between steps in a complex crime like a kidnapping or car bombing than there will be between steps in a simple crime such as purse-snatching or shoplifting, where the steps can be completed quite rapidly. Nevertheless, the same steps are usually followed.
People who practice situational awareness can often spot this planning process as it unfolds and then take appropriate steps to avoid the dangerous situation or prevent it from happening altogether. Because of this, situational awareness is one of the key building blocks of effective personal security — and when exercised by large numbers of people, it can also be an important facet of national security. Since situational awareness is so important, and because we discuss situational awareness so frequently in our analyses, we thought it would be helpful to discuss the subject in detail and provide a primer that can be used by people in all sorts of situations.
Foundations
First and foremost, it needs to be noted that being aware of one’s surroundings and identifying potential threats and dangerous situations is more of a mindset
An important element of the proper mindset is to first recognize that threats exist. Ignorance or denial of a threat — or completely tuning out one’s surroundings while in a public place — makes a person’s chances of quickly recognizing the threat and avoiding it slim to none. This is why apathy, denial and complacency can be (and often are) deadly. A second important element is understanding the need to take responsibility for one’s own security. The resources of any government are finite and the authorities simply cannot be everywhere and cannot stop every criminal action. The same principle applies to private security at businesses or other institutions, like places of worship. Therefore, people need to look out for themselves and their neighbors.
Another important facet of this mindset is learning to trust your “gut” or intuition. Many times a person’s subconscious can notice subtle signs of danger that the conscious mind has difficulty quantifying or articulating. Many people who are victimized frequently experience such feelings of danger prior to an incident, but choose to ignore them. Even a potentially threatening person not making an immediate move — or even if the person wanders off quickly after a moment of eye contact — does not mean there was no threat.
Levels of Awareness
The first level, tuned out, is like when you are driving in a very familiar environment or are engrossed in thought, a daydream, a song on the radio or even by the kids fighting in the backseat. Increasingly, cell phone calls and texting are also causing people to tune out while they drive. Have you ever gotten into the car and arrived somewhere without even really thinking about your drive there? If so, then you’ve experienced being tuned out.
The second level of awareness, relaxed awareness, is like defensive driving. This is a state in which you are relaxed but you are also watching the other cars on the road and are looking well ahead for potential road hazards. If another driver looks like he may not stop at the intersection ahead, you tap your brakes to slow your car in case he does not. Defensive driving does not make you weary, and you can drive this way for a long time if you have the discipline to keep yourself at this level, but it is very easy to slip into tuned-out mode. If you are practicing defensive driving you can still enjoy the trip, look at the scenery and listen to the radio, but you cannot allow yourself to get so engrossed in those distractions that they exclude everything else. You are relaxed and enjoying your drive, but you are still watching for road hazards, maintaining a safe following distance and keeping an eye on the behavior of the drivers around you.
The next level of awareness, focused awareness, is like driving in hazardous road conditions. You need to practice this level of awareness when you are driving on icy or slushy roads — or the roads infested with potholes and erratic drivers that exist in many third-world countries. When you are driving in such an environment, you need to keep two hands on the wheel at all times and have your attention totally focused on the road and the other drivers. You don’t dare take your eyes off the road or let your attention wander. There is no time for cell phone calls or other distractions. The level of concentration required for this type of driving makes it extremely tiring and stressful. A drive that you normally would not think twice about will totally exhaust you under these conditions because it demands your prolonged and total concentration.
The fourth level of awareness is high alert. This is the level that induces an adrenaline rush, a prayer and a gasp for air all at the same time — “Watch out! There’s a deer in the road! Hit the brakes!” This also happens when that car you are watching doesn’t stop at the stop sign and pulls out right in front of you. High alert can be scary, but at this level you are still able to function. You can hit your brakes and keep your car under control. In fact, the adrenalin rush you get at this stage can sometimes even aid your reflexes. But, the human body can tolerate only short periods of high alert before becoming physically and mentally exhausted.
The last level of awareness, comatose, is what happens when you literally freeze at the wheel and cannot respond to stimuli, either because you have fallen asleep, or, at the other end of the spectrum, because you are petrified from panic. It is this panic-induced paralysis that concerns us most in relation to situational awareness. The comatose level of awareness (or perhaps more accurately, lack of awareness) is where you go into shock, your brain ceases to process information and you simply cannot react to the reality of the situation. Many times when this happens, a person can go into denial, believing that “this can’t be happening to me,” or the person can feel as though he or she is observing, rather than actually participating in, the event. Often, the passage of time will seem to grind to a halt. Crime victims frequently report experiencing this sensation and being unable to act during an unfolding crime.
Finding the Right Level
Now that we’ve discussed the different levels of awareness, let’s focus on identifying what level is ideal at a given time. The body and mind both require rest, so we have to spend several hours each day at the comatose level while asleep. When we are sitting at our homes watching a movie or reading a book, it is perfectly fine to operate in the tuned-out mode. However, some people will attempt to maintain the tuned-out mode in decidedly inappropriate environments (e.g., when they are out on the street at night in a third-world barrio), or they will maintain a mindset wherein they deny that they can be victimized by criminals. “That couldn’t happen to me, so there’s no need to watch for it.” They are tuned out.
Some people are so tuned out as they go through life that they miss even blatant signs of pending criminal activity directed specifically at them. In 1992, an American executive living in the Philippines was kidnapped by a Marxist kidnapping gang in Manila known as the “Red Scorpion Group.” When the man was debriefed following his rescue, he described in detail how the kidnappers had blocked off his car in traffic and abducted him. Then, to the surprise of the debriefing team, he said that on the day before he was abducted, the same group of guys had attempted to kidnap him at the exact same location, at the very same time of day and driving the same vehicle. The attackers had failed to adequately box his car in, however, and his driver was able to pull around the blocking vehicle and proceed to the office.
Since the executive did not consider himself to be a kidnapping target, he had just assumed that the incident the day before his abduction was “just another close call in crazy Manila traffic.” The executive and his driver had both been tuned out. Unfortunately, the executive paid for this lack of situational awareness by having to withstand an extremely traumatic kidnapping, which included almost being killed in the dramatic Philippine National Police operation that rescued him.
If you are tuned out while you are driving and something happens — say, a child runs out into the road or a car stops quickly in front of you — you will not see the problem coming. This usually means that you either do not see the hazard in time to avoid it and you hit it, or you totally panic and cannot react to it — neither is good. These reactions (or lack of reaction) occur because it is very difficult to change mental states quickly, especially when the adjustment requires moving several steps, say, from tuned out to high alert. It is like trying to shift your car directly from first gear into fifth and it shudders and stalls. Many times, when people are forced to make this mental jump and they panic (and stall), they go into shock and will actually freeze and be unable to take any action — they go comatose. This happens not only when driving but also when a criminal catches someone totally unaware and unprepared. While training does help people move up and down the alertness continuum, it is difficult for even highly trained individuals to transition from tuned out to high alert. This is why police officers, federal agents and military personnel receive so much training on situational awareness.
It is critical to stress here that situational awareness does not mean being paranoid or obsessively concerned about your security. It does not mean living with the irrational expectation that there is a dangerous criminal lurking behind every bush. In fact, people simply cannot operate in a state of focused awareness for extended periods, and high alert can be maintained only for very brief periods before exhaustion sets in. The “flight or fight” response can be very helpful if it can be controlled. When it gets out of control, however, a constant stream of adrenaline and stress is simply not healthy for the body or the mind. When people are constantly paranoid, they become mentally and physically burned out. Not only is this dangerous to physical and mental health, but security also suffers because it is very hard to be aware of your surroundings when you are a complete basket case. Therefore, operating constantly in a state of high alert is not the answer, nor is operating for prolonged periods in a state of focused alert, which can also be overly demanding and completely enervating. This is the process that results in alert fatigue. The human body was simply not designed to operate under constant stress. People (even highly skilled operators) require time to rest and recover.
Because of this, the basic level of situational awareness that should be practiced most of the time is relaxed awareness, a state of mind that can be maintained indefinitely without all the stress and fatigue associated with focused awareness or high alert. Relaxed awareness is not tiring, and it allows you to enjoy life while rewarding you with an effective level of personal security. When you are in an area where there is potential danger (which, by definition, is almost anywhere), you should go through most of your day in a state of relaxed awareness. Then if you spot something out of the ordinary that could be a potential threat, you can “dial yourself up” to a state of focused awareness and take a careful look at that potential threat (and also look for others in the area).
If the potential threat proves innocuous, or is simply a false alarm, you can dial yourself back down into relaxed awareness and continue on your merry way. If, on the other hand, you look and determine that the potential threat is a probable threat, seeing it in advance allows you to take actions to avoid it. You may never need to elevate to high alert, since you have avoided the problem at an early stage. However, once you are in a state of focused awareness you are far better prepared to handle the jump to high alert if the threat does change from potential to actual — if the three guys lurking on the corner do start coming toward you and look as if they are reaching for weapons. The chances of you going comatose are far less if you jump from focused awareness to high alert than if you are caught by surprise and “forced” to go into high alert from tuned out. An illustration of this would be the difference between a car making a sudden stop in front of a person when the driver is practicing defensive driving, compared to a car that makes a sudden stop in front of a person when the driver is sending a text message.
Of course, if you know that you must go into an area that is very dangerous, you should dial yourself up to focused awareness when you are in that area. For example, if there is a specific section of highway where a lot of improvised explosive devices detonate and ambushes occur, or if there is a part of a city that is controlled (and patrolled) by criminal gangs — and you cannot avoid these danger areas for whatever reason — it would be prudent to heighten your level of awareness when you are in those areas. An increased level of awareness is also prudent when engaging in common or everyday tasks, such as visiting an ATM or walking to the car in a dark parking lot. The seemingly trivial nature of these common tasks can make it all too easy to go on “autopilot” and thus expose yourself to threats. When the time of potential danger has passed, you can then go back to a state of relaxed awareness.
This process also demonstrates the importance of being familiar with your environment and the dangers that are present there. Such awareness allows you to avoid many threats and to be on the alert when you must venture into a dangerous area.
Clearly, few of us are living in the type of intense threat environment currently found in places like Mogadishu, Juarez or Kandahar. Nonetheless, average citizens all over the world face many different kinds of threats on a daily basis — from common thieves and assailants to criminals and mentally disturbed individuals aiming to conduct violent acts to militants wanting to carry out large-scale attacks against subways and aircraft.
Many of the steps required to conduct these attacks must be accomplished in a manner that makes the actions visible to the potential victim and outside observers. It is at these junctures that people practicing situational awareness can detect these attack steps, avoid the danger and alert the authorities. When people practice situational awareness they not only can keep themselves safer but they can also help keep others safe. And when groups of people practice situational awareness together they can help keep their schools, houses of worship, workplaces and cities safe from danger.
And as we’ve discussed many times before, as the
This report is republished with permission of STRATFOR.
STRATFOR delivers critical intelligence and perspective through:
Situation Reports: Snapshots of global breaking news
Analysis: Daily reports that assess key world events and their significance
Quarterly & Annual Forecasts: Rigorous predictions of what will happen next
Multimedia: Engaging videos and information-rich interactive maps
Intelligence Guidance: Internal memos that guide STRATFOR staff in their intelligence-gathering operations in the immediate days ahead
STRATFOR’s chief executive officer, Dr. George Friedman, is a widely recognized international affairs expert and author of numerous books, including The Next 100 Years (Doubleday, 2009), America’s Secret War (Doubleday, 2005), and The Future of War (Crown, 1996).
STRATFOR members include individuals, FORTUNE 100 corporations, government agencies and other organizations around the world. For more info go to www.stratfor.com.
Wednesday, June 2, 2010
Advice from a 93-Year-Old Veteran
Advice from a 93-Year-Old Veteran
May 31st of this year is Memorial Day in the United States, a day of remembrance for those who gave their lives in war. I visited my father this weekend, who is 93 and as lucid as a much younger man, and our conversations ranged from our family to his career as a psychiatrist to his experiences as a doctor in the US Army during World War II. He pulled out an envelope he had prepared and asked me to give it to one of my own children, who recently returned from a military combat deployment abroad. It contained letters he had sent home and several photographs of him during the bloody Italian campaign of 1943-1945, during which there were 320,000 allied casualties including 50,000 dead. It was the most lethal campaign in the World War II European theater.
My father considers himself extraordinary lucky: He survived several years of ferocious combat as a front-line medical doctor in Italy with the US Army’s 34th infantry division. While many others died, he survived. He survived landing at the beach in Salerno, Italy, while under fire; the second landing wave at Anzio, north of Rome, under worse fire; Monte Cassino, where, he will tell you grimly, his battalion started with 30 officers and was left with only five standing at the end; and finally being stuck on the Gothic Line near Bologna, during the horrifically cold winter of 1944 when the Germans pinned the allies—and his division—down for months in the snow. He eventually ending up walking (yes, on foot) from Rome to Turin with his unit while supervising a team of medics, getting awarded the Bronze Star for saving a man’s life during an artillery bombardment, and being promoted to the rank of Major. He is self-deprecating about his Bronze Star (“I don’t quite know why I did it—it was really stupid—running out of that church into the square where a soldier lay wounded, with artillery shells falling left and right, and dragging him inside…”); nearly incredulous that he lived while so many of his fellow soldiers died (“I’m a very lucky man to be alive today”); and proud of his service as a medical officer (“I took the Hippocratic Oath,” he told me once, “and so I never carried a sidearm even though I was required to”). While on the front lines in Italy, he noticed how the constant exposure to combat wore men down, and he wrote and published the seminal article on what is now called Post Traumatic Stress Disorder, which he entitled, “Old Sergeant’s Syndrome.” 67 years later it is still quoted in psychiatric and sociology textbooks. The article earned my father promotion to the post of “Division Psychiatrist,” the first such appointment in history in the US Army.
He came back safely, as did recently my own son. But many made the ultimate sacrifice and did not return to their loved ones.
A sampling of assorted wisdom I’ve collected from my dad over the years;
On preparation: “There is no substitute for genuine lack of preparation.” (This was printed in a book on aphorisms and witty sayings).
On being careful about whom you mouth off to: “Never talk back to a General. I did, and I lost a cushy job riding a medical supply train in Northern Africa and was sent to live in a foxhole on the Italian front as a Battalion Surgeon” (true story).
On getting along in a foreign country: “You only need to know a few well-chosen words in a foreign language to get along. The first word I learned in Italian was ‘cipolla’ which means ‘onion.’ As we marched through the Italian countryside we would yell out to the farmers, ‘cipolla?’ and they would give us some onions that we would then chop up and put in our c-rations, which were so bland.
On your convictions: “Sometimes you have to act on your beliefs. I had tuberculosis in medical school, and so I was classified 4-F by the Army. 4-F is medically unfit for service. I read widely at the time, however, and I understood how evil the Nazis were. I was Jewish, too, which gave me even more reason to serve. So with help from my father, I made contact with the selective service board, and they arranged for me to sign a waiver in order to enlist.”
On giving people bad news: “If you know you’re going to have to deliver some bad news, tell people as far in advance as possible—this enables them to process it before the actual event. If you’re going to miss a day of work in a month, tell your boss immediately. He may be upset when you tell him, but by the time the day finally rolls around he will have already processed his anger and he’ll be just fine with your day off.”
On being careful about taking on others head-on: “Never get into a pissing contest with a skunk.”
On setting aside your worries: “At the battle of Monte Cassino, we were under constant artillery bombardment, and we slept in deep foxholes surrounded by sandbags. If your foxhole took a direct hit during the night, and many did, you would not wake up in the morning. So before going to sleep I would do everything I could to ensure I was as safe as possible: I would rearrange the sandbags, dig a bit deeper into the foxhole, organize my personal belongings, and so on. Then I would stop worrying and go to sleep.”
On getting one of my children to do their homework in 9th grade: “When you stop caring so much about their homework,” he told me at the time, “they’ll start caring about it themselves" (why didn't I listen?)
I personally hope we never have to fight a war with anyone, anywhere, again. In the meantime—spare a thought, meditate, say a prayer, or whatever you prefer—on Memorial Day.
From Andrew Sobel's Blog. Andrew Sobel is the leading authority on the skills and strategies required to build clients for life. Andrew's new book is All for One: 10 Strategies for Building Trusted Client Partnerships. For more info go to www.andrewsobel.com.
May 31st of this year is Memorial Day in the United States, a day of remembrance for those who gave their lives in war. I visited my father this weekend, who is 93 and as lucid as a much younger man, and our conversations ranged from our family to his career as a psychiatrist to his experiences as a doctor in the US Army during World War II. He pulled out an envelope he had prepared and asked me to give it to one of my own children, who recently returned from a military combat deployment abroad. It contained letters he had sent home and several photographs of him during the bloody Italian campaign of 1943-1945, during which there were 320,000 allied casualties including 50,000 dead. It was the most lethal campaign in the World War II European theater.
My father considers himself extraordinary lucky: He survived several years of ferocious combat as a front-line medical doctor in Italy with the US Army’s 34th infantry division. While many others died, he survived. He survived landing at the beach in Salerno, Italy, while under fire; the second landing wave at Anzio, north of Rome, under worse fire; Monte Cassino, where, he will tell you grimly, his battalion started with 30 officers and was left with only five standing at the end; and finally being stuck on the Gothic Line near Bologna, during the horrifically cold winter of 1944 when the Germans pinned the allies—and his division—down for months in the snow. He eventually ending up walking (yes, on foot) from Rome to Turin with his unit while supervising a team of medics, getting awarded the Bronze Star for saving a man’s life during an artillery bombardment, and being promoted to the rank of Major. He is self-deprecating about his Bronze Star (“I don’t quite know why I did it—it was really stupid—running out of that church into the square where a soldier lay wounded, with artillery shells falling left and right, and dragging him inside…”); nearly incredulous that he lived while so many of his fellow soldiers died (“I’m a very lucky man to be alive today”); and proud of his service as a medical officer (“I took the Hippocratic Oath,” he told me once, “and so I never carried a sidearm even though I was required to”). While on the front lines in Italy, he noticed how the constant exposure to combat wore men down, and he wrote and published the seminal article on what is now called Post Traumatic Stress Disorder, which he entitled, “Old Sergeant’s Syndrome.” 67 years later it is still quoted in psychiatric and sociology textbooks. The article earned my father promotion to the post of “Division Psychiatrist,” the first such appointment in history in the US Army.
He came back safely, as did recently my own son. But many made the ultimate sacrifice and did not return to their loved ones.
A sampling of assorted wisdom I’ve collected from my dad over the years;
On preparation: “There is no substitute for genuine lack of preparation.” (This was printed in a book on aphorisms and witty sayings).
On being careful about whom you mouth off to: “Never talk back to a General. I did, and I lost a cushy job riding a medical supply train in Northern Africa and was sent to live in a foxhole on the Italian front as a Battalion Surgeon” (true story).
On getting along in a foreign country: “You only need to know a few well-chosen words in a foreign language to get along. The first word I learned in Italian was ‘cipolla’ which means ‘onion.’ As we marched through the Italian countryside we would yell out to the farmers, ‘cipolla?’ and they would give us some onions that we would then chop up and put in our c-rations, which were so bland.
On your convictions: “Sometimes you have to act on your beliefs. I had tuberculosis in medical school, and so I was classified 4-F by the Army. 4-F is medically unfit for service. I read widely at the time, however, and I understood how evil the Nazis were. I was Jewish, too, which gave me even more reason to serve. So with help from my father, I made contact with the selective service board, and they arranged for me to sign a waiver in order to enlist.”
On giving people bad news: “If you know you’re going to have to deliver some bad news, tell people as far in advance as possible—this enables them to process it before the actual event. If you’re going to miss a day of work in a month, tell your boss immediately. He may be upset when you tell him, but by the time the day finally rolls around he will have already processed his anger and he’ll be just fine with your day off.”
On being careful about taking on others head-on: “Never get into a pissing contest with a skunk.”
On setting aside your worries: “At the battle of Monte Cassino, we were under constant artillery bombardment, and we slept in deep foxholes surrounded by sandbags. If your foxhole took a direct hit during the night, and many did, you would not wake up in the morning. So before going to sleep I would do everything I could to ensure I was as safe as possible: I would rearrange the sandbags, dig a bit deeper into the foxhole, organize my personal belongings, and so on. Then I would stop worrying and go to sleep.”
On getting one of my children to do their homework in 9th grade: “When you stop caring so much about their homework,” he told me at the time, “they’ll start caring about it themselves" (why didn't I listen?)
I personally hope we never have to fight a war with anyone, anywhere, again. In the meantime—spare a thought, meditate, say a prayer, or whatever you prefer—on Memorial Day.
From Andrew Sobel's Blog. Andrew Sobel is the leading authority on the skills and strategies required to build clients for life. Andrew's new book is All for One: 10 Strategies for Building Trusted Client Partnerships. For more info go to www.andrewsobel.com.
Tuesday, April 6, 2010
Review Your Compliance On Wage & Hour Issues With Your Attorney
This recent article from Advisen warns of the dangerous trend in employee Wage and Hour lawsuits:
The Threat of Wage-and-Hour Lawsuits
Wage-and-hour lawsuits have been an escalating threat to companies of all sizes over the past decade. Now outranking discrimination lawsuits, measured by both number of filings and size of settlements, these employment practices lawsuits have become an unforeseen calamity for companies across all industry sectors and a new challenge for risk managers. Alterations made to the Federal Labor Standards Act (FLSA) by the US Department of Labor (DOL) in 2004, originally intended to clarify definitions to make it easier for companies to comply, woke this sleeping giant as they sparked awareness among the plaintiff's bar. The DOL and certain state labor departments have stepped up enforcement efforts in recent years, and the DOL has ramped up its Wage-and-Hour Division under the Obama Administration. These elevated regulatory efforts not only result in more fines, but precipitate class action civil lawsuits by employees allowed under the FLSA and equivalent state labor laws.
FLSA rules, the basic federal rules governing minimum wage and overtime pay, appear straightforward on the surface. Digging in deeper, it becomes apparent that many of the rules draw blurry lines in the real world. Defining on-the-clock versus off-the-clock hours can be a challenge, and distinguishing exempt from nonexempt employees is much more complex than most realize. The FLSA was initially devised in a time when most of the American workforce was blue-collar, but much of the Act applies to the largely white-collar salaried workforce of today, and its application to these jobs is still being worked out in the courts.
Wal-Mart has been the target of over 80 wage-and-hour class action civil suits, and has agreed to settlements in the hundreds of millions of dollars. Observers might not be surprised that most of Wal-Mart's employees are covered by the FLSA, and its 1.4 million US employees provide plenty of opportunities for lawsuits. Companies primarily employing salaried professionals, however, have been subject to large class action suits as well, and there have been eye-popping settlements, such as IBM, Siebel Systems, UBS Financial Services, Morgan Stanley and Merrill Lynch.
Insurers have regarded wage-and-hour liability as largely an uninsurable risk because the incidences are perceived as resulting from deliberate and illegal acts, as opposed to negligence. Despite recent evidence of negligence being the primary driver in many cases, most insurers have shied away from covering this liability in their employment practices liability insurance (EPLI) policies. Companies are advised to develop compliance procedures regarding the FLSA, review the exempt status of each employee, and stress the importance of strictly following work-and-hour procedures in management training.
All The Best,
TPE3
The Threat of Wage-and-Hour Lawsuits
Wage-and-hour lawsuits have been an escalating threat to companies of all sizes over the past decade. Now outranking discrimination lawsuits, measured by both number of filings and size of settlements, these employment practices lawsuits have become an unforeseen calamity for companies across all industry sectors and a new challenge for risk managers. Alterations made to the Federal Labor Standards Act (FLSA) by the US Department of Labor (DOL) in 2004, originally intended to clarify definitions to make it easier for companies to comply, woke this sleeping giant as they sparked awareness among the plaintiff's bar. The DOL and certain state labor departments have stepped up enforcement efforts in recent years, and the DOL has ramped up its Wage-and-Hour Division under the Obama Administration. These elevated regulatory efforts not only result in more fines, but precipitate class action civil lawsuits by employees allowed under the FLSA and equivalent state labor laws.
FLSA rules, the basic federal rules governing minimum wage and overtime pay, appear straightforward on the surface. Digging in deeper, it becomes apparent that many of the rules draw blurry lines in the real world. Defining on-the-clock versus off-the-clock hours can be a challenge, and distinguishing exempt from nonexempt employees is much more complex than most realize. The FLSA was initially devised in a time when most of the American workforce was blue-collar, but much of the Act applies to the largely white-collar salaried workforce of today, and its application to these jobs is still being worked out in the courts.
Wal-Mart has been the target of over 80 wage-and-hour class action civil suits, and has agreed to settlements in the hundreds of millions of dollars. Observers might not be surprised that most of Wal-Mart's employees are covered by the FLSA, and its 1.4 million US employees provide plenty of opportunities for lawsuits. Companies primarily employing salaried professionals, however, have been subject to large class action suits as well, and there have been eye-popping settlements, such as IBM, Siebel Systems, UBS Financial Services, Morgan Stanley and Merrill Lynch.
Insurers have regarded wage-and-hour liability as largely an uninsurable risk because the incidences are perceived as resulting from deliberate and illegal acts, as opposed to negligence. Despite recent evidence of negligence being the primary driver in many cases, most insurers have shied away from covering this liability in their employment practices liability insurance (EPLI) policies. Companies are advised to develop compliance procedures regarding the FLSA, review the exempt status of each employee, and stress the importance of strictly following work-and-hour procedures in management training.
All The Best,
TPE3
Wednesday, January 13, 2010
Fraudulent Bonding Companies Increase?
Watch Out For Fraudulent Bonding Companies During These Tough Times
When the economy gets tough and construction company profits wane, surety companies tighten up their requirements. Contractors may find their bonding line of credit is reduced or gone entirely. As more contractors seek bonding credit, there can be an increase in the number of fraudulent bonding companies. This seems to happen in every economic downturn.
According to the New Orleans Times-Picayune, a Baton Rouge judge has ordered Infinity Surety of Louisiana Inc of Metairie, LA. and company principal George D. Black to stop doing business. The Louisiana Department of Insurance accused it of selling bogus construction bonds for public works projects worth hundreds of millions of dollars. Insurance Commissioner Jim Donelon said that Infinity Surety wasn't licensed to operate as an insurance company when it sold bonds to contractors bidding on government projects. Donelon said damage from Infinity Surety's actions is widespread. "They have been peddling their wares all over the state”, he said.
Infinity Surety provided the bond on a $51.4 million project by the Louisiana Department of Education for L.B. Landry High School in New Orleans on a bid submitted by Home Solutions Restoration of Louisiana Inc. and JRDKS Construction. The company also provided bonds on Home Solutions bids on a $5.4 million public works project for Davant Consolidated Building and a $6.9 million project for the Port Sulphur Consolidated Community Center, both in Plaquemines Parish.
Several construction companies also charge that Infinity's actions caused them to lose out on jobs when the bond insurance proved to be worthless. A joint bid by Benetech LLC and JRDKS Construction to rebuild the cabins at Bayou Segnette State Park in Westwego was rejected, the companies said, because Infinity didn't meet bond requirements. A lawsuit filed by the bidders says that at least 15 other public works projects are affected.
If you have doubts about the viability of a bonding company, give us a call and we will check it out for you. Also if you are offered a bonding line of credit that seems too good to be true, you might be right! Watch out and be careful!
When the economy gets tough and construction company profits wane, surety companies tighten up their requirements. Contractors may find their bonding line of credit is reduced or gone entirely. As more contractors seek bonding credit, there can be an increase in the number of fraudulent bonding companies. This seems to happen in every economic downturn.
According to the New Orleans Times-Picayune, a Baton Rouge judge has ordered Infinity Surety of Louisiana Inc of Metairie, LA. and company principal George D. Black to stop doing business. The Louisiana Department of Insurance accused it of selling bogus construction bonds for public works projects worth hundreds of millions of dollars. Insurance Commissioner Jim Donelon said that Infinity Surety wasn't licensed to operate as an insurance company when it sold bonds to contractors bidding on government projects. Donelon said damage from Infinity Surety's actions is widespread. "They have been peddling their wares all over the state”, he said.
Infinity Surety provided the bond on a $51.4 million project by the Louisiana Department of Education for L.B. Landry High School in New Orleans on a bid submitted by Home Solutions Restoration of Louisiana Inc. and JRDKS Construction. The company also provided bonds on Home Solutions bids on a $5.4 million public works project for Davant Consolidated Building and a $6.9 million project for the Port Sulphur Consolidated Community Center, both in Plaquemines Parish.
Several construction companies also charge that Infinity's actions caused them to lose out on jobs when the bond insurance proved to be worthless. A joint bid by Benetech LLC and JRDKS Construction to rebuild the cabins at Bayou Segnette State Park in Westwego was rejected, the companies said, because Infinity didn't meet bond requirements. A lawsuit filed by the bidders says that at least 15 other public works projects are affected.
If you have doubts about the viability of a bonding company, give us a call and we will check it out for you. Also if you are offered a bonding line of credit that seems too good to be true, you might be right! Watch out and be careful!
Tuesday, January 5, 2010
Housing Overhang/Shadow Inventory Is An Enormous Problem To The Recovery Of The US Housing Market
The Good News Is That Dallas Is In Pretty Good Shape With Regard To “Shadow Inventory”
According to “Amherst Mortgage Insight” from Amherst Securities Group, investors may be premature in believing the housing market has bottomed and is beginning to recover. Amherst estimates there is a housing overhang in the US of 7 million units. They are talking about loans that are destined to ultimately default and liquidate, creating a huge “shadow inventory.” This is 7 times what the estimate was in 2005.
The Mortgage Bankers Association quarterly delinquency survey showed that at the end of the 2nd quarter of 2009, 13.54% of mortgages in the U.S. were in some stage of delinquency: 4.3% were in foreclosure, another 3.88% were 90+ days delinquent, 1.68% were 60 days delinquent, and 3.68% were 30 days delinquent. Only a small percent of the loans that are delinquent will actually recover; most will foreclose. The MBA estimates that of the 13.54% total distressed inventory 12.42% will actually liquidate. That’s 6.94 million units. With existing home sales totaling around 5.2 million units, the 6.94 million units of overhang is about 1.35 times 1 year of existing home sales! This number does not include those loans that will become delinquent next month and the month after.
The effect of the huge “shadow inventory” varies dramatically from city to city. The report has a chart showing the 20 cities it reports on with dramatically different results. It compares actually listings of houses for sale in the city to the total inventory of houses potentially for sale including the “shadow inventory.” The “shadow inventory” is made up of real estate owned by banks not yet listed for sale, loans posted for foreclosure sales not yet owned by banks, and all of the loans that have received notice of default.
The total inventory in a city is equal to the listings plus the total “shadow inventory.” The worst situation is in Las Vegas, Nevada . . . it had 16,765 listings with a total inventory of 69,614. The total inventory is over 4 times the houses listed for sale!
The 5 cities that had inventories that were 2 times or greater than the actual listings were Las Vegas, San Diego, Los Angeles, San Francisco, and Phoenix. Dallas was the 3rd best on the list with a total inventory equal to 1.17 times the actual listings. Dallas had an actual listing of 30,530 houses and the total inventory was 35,757. I think that means that we are likely to see a much quicker housing recovery in our area than in the more distressed parts of the U.S.
It appears that housing prices have stabilized because there is a seasonality aspect to housing prices. The favorable seasonal factors will disappear over the coming months and the reality of this 7 million housing overhang is likely to set in. This could further exacerbate the problem if it causes a further home price depreciation which could lead to an even higher volume of defaults.
(Go to http://www.scribd.com/doc/20351562/Shadow-Inventory-Report-Amherst-9-23-09 to read the entire report).
According to “Amherst Mortgage Insight” from Amherst Securities Group, investors may be premature in believing the housing market has bottomed and is beginning to recover. Amherst estimates there is a housing overhang in the US of 7 million units. They are talking about loans that are destined to ultimately default and liquidate, creating a huge “shadow inventory.” This is 7 times what the estimate was in 2005.
The Mortgage Bankers Association quarterly delinquency survey showed that at the end of the 2nd quarter of 2009, 13.54% of mortgages in the U.S. were in some stage of delinquency: 4.3% were in foreclosure, another 3.88% were 90+ days delinquent, 1.68% were 60 days delinquent, and 3.68% were 30 days delinquent. Only a small percent of the loans that are delinquent will actually recover; most will foreclose. The MBA estimates that of the 13.54% total distressed inventory 12.42% will actually liquidate. That’s 6.94 million units. With existing home sales totaling around 5.2 million units, the 6.94 million units of overhang is about 1.35 times 1 year of existing home sales! This number does not include those loans that will become delinquent next month and the month after.
The effect of the huge “shadow inventory” varies dramatically from city to city. The report has a chart showing the 20 cities it reports on with dramatically different results. It compares actually listings of houses for sale in the city to the total inventory of houses potentially for sale including the “shadow inventory.” The “shadow inventory” is made up of real estate owned by banks not yet listed for sale, loans posted for foreclosure sales not yet owned by banks, and all of the loans that have received notice of default.
The total inventory in a city is equal to the listings plus the total “shadow inventory.” The worst situation is in Las Vegas, Nevada . . . it had 16,765 listings with a total inventory of 69,614. The total inventory is over 4 times the houses listed for sale!
The 5 cities that had inventories that were 2 times or greater than the actual listings were Las Vegas, San Diego, Los Angeles, San Francisco, and Phoenix. Dallas was the 3rd best on the list with a total inventory equal to 1.17 times the actual listings. Dallas had an actual listing of 30,530 houses and the total inventory was 35,757. I think that means that we are likely to see a much quicker housing recovery in our area than in the more distressed parts of the U.S.
It appears that housing prices have stabilized because there is a seasonality aspect to housing prices. The favorable seasonal factors will disappear over the coming months and the reality of this 7 million housing overhang is likely to set in. This could further exacerbate the problem if it causes a further home price depreciation which could lead to an even higher volume of defaults.
(Go to http://www.scribd.com/doc/20351562/Shadow-Inventory-Report-Amherst-9-23-09 to read the entire report).
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