Owner’s Mentality Over Manager’s Ego

“In Larry Tisch’s view, ego was the number'One stumbling block for effective management. “The manager wants the company to grow and grow even if it isn’t making any more money as a result,” he said. “He wants a bigger plane and a bigger office. That may not be at all the same thing that’s best for his shareholders.” The number'two menace for managers? Surrounding oneself with yes men.”

“That’s what Larry Tisch meant when he said he thinks of stocks as businesses. For Tisch, buying a stock is buying a business. It becomes his business. To make sure that the business is sufficiently profitable, Tisch was an owner who liked having some say in who ran the com- pany and in setting policy, goals, and strategy.”