It's a special case of, there's too many people and not enough work (the real problem IMO).
The years before covid, unemployment was at historic lows.
Elon Musk Decries ‘M.B.A.-ization’ of America
31–40 of 259 posts
Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#32Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#33Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#34The most significant thing he said in this interview was probably on the regulatory burden that California businesses have to deal with. He compared regulatory creep to a frog boiling slowly in water. He also indicated his 2 companies Tesla and SpaceX are the last - automotive and aerospace companies in California, a state that was once a leader.
> He also indicated his 2 companies Tesla and SpaceX are the last - automotive and aerospace companies in California, a state that was once a leader. Except it isn't true. Other companies still make rockets in SoCal. For example Areojet Rocketdyne is still headquartered in El Segundo (next to LAX). They made the main engine for the Space Shuttle and are currently still making it for the upcoming SLS.
Yeah and Relativity and the Spaceship Company and several others. There is a huge talent base in SoCal, between LA/Long Beach and Mojave.
Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#35Musk isn't purely a self-made success story. He was born into emerald mines, got a first class education, and used that inherited wealth to start companies, sell, and then buy stakes in growing companies other people founded (inc. Tesla, incidentally).
So is the lesson here to be born rich rather than try to get an education? Or just that when you are born rich education is optional? It is notable that the other founders in companies he'd later buy actually had to get an education, he just used wealth to stand on their shoulders.
Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#36I've had a lot of bad experiences with what I think of as MBA types. Lots of lack of experience, naive about what they're managing and etc. They have often seemed heavily metric focused to the point that only the given metrics matter.
I've worked with managers and executives that I thought were great, but the folks who sort of step into a role seemingly because they have an MBA, it just seems like a recipe for just another layer of bureaucracy / hurdle. https://www.youtube.com/watch?v=NcoDV0dhWPA
I assume that I've had bad luck to some extent, but otherwise I'm really lost at what value an MBA should provide.
Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#37Innovation is learned. When u go to school, u r mostly rated on giving the single correct answer. This is fine. But if you get a chance to go into graduate studies (Ph.D.), u would see some good innovators there, and learn how to innovate. I am sure there are other life conditions that also teach you how to innovate. But I agree, by comparisons with the product managers in the enterprise where I work, people are scar…
Innovation is learned, but it’s learned through a diverse set of experiences (which most incoming PhD students lack). From my experience working in research, a PhD primarily teaches you to communicate simple ideas in innovative sounding language. In that sense, it’s closer to sales than invention.
Of course there are innovative people in a research program but far fewer than an undergrad program in my opinion. A PhD only gives you the opportunity to innovate on a broader scale, which is why there is more visibility when you succeed.
The last thing I’ll say is that it is challenging to be truly innovative in academia due to the peer review process. Especially in certain fields today, reviewers resort to certain heuristics right pattern match for credibility rather than take time to assess the inventiveness of the idea. It is a very noisy process and truly innovative papers don’t get published that easily.
Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#38Look at what Amazon's MBAs are doing with Whole Foods. I've never seen a great business destroyed so quickly.
What are they doing? Honestly interested, I didn't shop much at Whole Foods pre-acquisition.
Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#39Re: Elon Musk Decries ‘M.B.A.-ization’ of America
#40He is onto something there. Bean counting is useful and companies cannot survive without good cashflow, but it should not become Mission A of the company, or engineering (and other) talent will look elsewhere. If one company's de facto mission statement is "We want to grow our market by 8.2 per cent and give our bosses higher Christmas bonuses" and another one comes and says "Guys, we want to fly to fscking Mars!", c…
He is in a very specific situation, he is the founder and the CEO and has a lot of money to burn. He wants to do big things and he can do them.
A lot of companies have stock holders who expect some return every year without risking too much.
As a society we sure would be better off if had more Elon Musk type company leaders, but for that too happen we would need more exceptional people like him (not going to happen) or more people willing to risk their savings investing in companies that are trying to achieve great things.