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jerryking : compensation   27

How a private equity boom fuelled the world’s biggest law firm
June 6, 2019 | Financial Times | James Fontanella-Khan and Sujeet Indap in New York and Barney Thompson in London.

Jeff Hammes took the helm at a Chicago-based law firm called Kirkland & Ellis in 2010, with the aim of turning it into a world-beater, few in the industry thought he stood a chance.......known as a good litigation firm in Chicago with a decent mid-market private equity practice, in the blockbuster dealmaking world, however, the firm was largely irrelevant. Nobody took them seriously on Wall Street.....Fuelled by explosive growth in private equity, aggressive poaching of talent and most of all, a business model that resembles a freewheeling investment bank, Kirkland has become the highest-grossing law firm in the world.....This rise reflects the shift in the financial world’s balance of power since the financial crisis. Investment banks, the dominant force before 2008, have been eclipsed by private equity firms, which now sit on hundreds of billions of dollars of investment funds.

Kirkland thrived by hitching itself to this dealmaking activity. The firm presents with a relentless — many say ruthless — focus on growth, a phenomenal work ethic and a desire to up-end what it sees as a lazy hierarchy. Key questions: can its winning streak can continue? Will its private equity clients continue to prosper? how will Kirkland cope if and when the private equity boom ends? And can a firm with such a hard-charging culture survive in the long run?....Robert Smith’s Vista Equity has grown to manage assets from $1bn to $46 in a decade while working with Kirkland.....To establish Kirkland as a major player, Mr Hammes turned his attention to recruitment. ....poaching proven M&A experts and targeting all areas of dealmaking.....To entice the best lawyers to join its ranks, Kirkland managed to exploit a structural rigidity in its more traditional white-shoe and magic circle rivals. A dwindling but still significant number of elite firms remunerate equity partners using a “lockstep” model......
Kirkland sought rising stars in their late thirties who were at the bottom of this ladder, stuck in the queue for the highest share of profits. Part of its pitch was money — “With compensation, we can go as high as we want,” says one partner — but the other part was an almost unprecedented level of autonomy.
Big_Law  booming  business_development  Chicago  compensation  concentration_risk  dealmakers  deal-making  eat_what_you_kill  financial_crises  growth  hard-charging  high-end  hiring  howto  hustle  Kirkland_Ellis  law  law_firms  litigation  mid-market  organizational_culture  poaching  private_equity  recruiting  Robert_Smith  superstars  talent  turnover  Vista  Wall_Street  winner-take-all  work_ethic  world-class 
june 2019 by jerryking
Silicon Valley Needs a Few Good CFOs
May 24, 2019 | WSJ | By Kristin Broughton and Ezequiel Minaya.
CFOs  compensation  Silicon_Valley  start_ups  unicorns 
may 2019 by jerryking
Why Morgan Stanley paid $900m for ‘Calgary’s best kept secret’
FEBRUARY 17, 2019 | Financial Times | Robert Armstrong in New York.

Its revenues are running at just over $100m annually and it is modestly profitable, selling business software for “equity administration, financial reporting and compliance”.

It is the kind of business familiar to millions of workers who get part of their compensation in stock or stock options. Solium and its rivals, including market leaders such as Computershare of Australia, produce statements and run websites or apps for workers to track how much their shares are worth.

Behind that, the software also helps employers manage and monitor their stock-compensation plan, a complex back-office task that involves unpicking regulatory and reporting requirements across multiple jurisdictions. Solium also sells analytics tools that help companies automate share issuance, estimate compensation costs, optimise their capital structures, and value their equity.

One industry insider describes it as “administratively highly complex, capital light but very, very low margin”. It is also competitive. Every major US broker or wealth manager, from UBS to ETrade, plays in the space in one way or another, because acting as custodian for employee equity plans gives them a shot at marketing wealth management services to those employees.

Someone cashing in stock or options, perhaps when an IPO or a sale makes them wealthy, could be offered financial advice and investments; longtime employees could be offered retirement products.....Solium’s edge comes from approaching the task from the employers’ perspective, rather than as a tool for wealth managers. Equity administration, he said, “is an enterprise software problem that has been approached as a wealth management problem”.....Solium’s clients include tech companies where young employees stand a good chance of becoming wealthy down the road. The relationships with Silicon Valley companies could prove lucrative, too, if Morgan Stanley can bag them as clients of its investment bank....the acquisition as part of the US bank’s effort to move its wealth management business deeper into the “mass affluent” category, as opposed to the higher end of the market where it is focused now.
Calgary  Morgan_Stanley  Solium  wealth_management  back-office  compensation  investment_custodians  tools  ESOPs  mass_affluence 
february 2019 by jerryking
The dawn of the superstar lawyer
April 9, 2018 | Financial TImes | James Fontanella-Khan, Sujeet Indap in New York and Barney Thompson in London YESTERDAY Print this page140
law_firms  Big_Law  law  lawyers  compensation  winner-take-all  superstars  eat_what_you_kill  organizational_culture 
april 2018 by jerryking
How to Be a C.E.O., From a Decade’s Worth of Them
T OCT. 27, 2017 | The New York Times | Corner Office By ADAM BRYAN.

It started with a simple idea: What if I sat down with chief executives, and never asked them about their companies?.....not about pivoting, scaling or moving to the cloud, but how they lead their employees, how they hire, and the life advice they give or wish they had received....C.E.O.s offer a rare vantage point for spotting patterns about management, leadership and human behavior....What's the best path to becoming a chief executive? No one path... too many variables, many of them beyond your control, including luck, timing and personal chemistry. Bryan cites three recurring themes.

First, they share a habit of mind that is best described as “applied curiosity.”...They make the most of whatever path they’re on, wringing lessons from all their experiences.
Second, C.E.O.s seem to love a challenge. Discomfort is their comfort zone.
The third theme is how they managed their own careers on their way to the top. They focus on doing their current job well, and that earns them promotions... focus on building a track record of success, and people will keep betting on you.
The Most Important Thing About Leadership, Part I - understand that leadership as a series of paradoxes.
The Most Important Thing About Leadership, Part II - the most important qualities of effective leadership? trustworthiness, “If you want to lead others, you’ve got to have their trust, and you can’t have their trust without integrity,” A close cousin of trustworthiness is how much you respect the people who work for you....“By definition if there’s leadership, it means there are followers, and you’re only as good as the followers,” he said. “I believe the quality of the followers is in direct correlation to the respect you hold them in. It’s not how much they respect you that is most important. It’s actually how much you respect them. It’s everything.”
‘Culture Is Almost Like a Religion’ - “No matter what people say about culture, it’s all tied to who gets promoted, who gets raises and who gets fired,” he said. “You can have your stated culture, but the real culture is defined by compensation, promotions and terminations. Basically, people seeing who succeeds and fails in the company defines culture. The people who succeed become role models for what’s valued in the organization, and that defines culture.”
Men vs. Women (Sigh) - distinctions in leadership style are less about gender and more about factors like whether they are introverts or extroverts, more analytical or creative, and even whether they grew up in a large or small family....the actual work of leadership? It’s the same, regardless of whether a man or a woman is in charge. You have to set a vision, build cultural guardrails, foster a sense of teamwork, and make tough calls. All of that requires balancing the endless paradoxes of leadership, and doing it in a way that inspires trust.
I Have Just One Question for You - If you could ask somebody only one question, and you had to decide on the spot whether to hire them based on their answer, what would it be?.....“So if I ask you, ‘What are the qualities you like least and most in your parents?’ you might bristle at that, or you might be very curious about it, or you’ll just literally open up to me. And obviously if you bristle at that, it’s too vulnerable an environment for you.”
My Favorite Story -..... It’s work ethic,” he said. “You could see the guy had charted a path for himself to make it work with the situation he had. He didn’t ask for any help. He wasn’t victimized by the thing. He just said, ‘That’s my dad’s business, and I work there.’ Confident. Proud.”

Mr. Green added: “You sacrifice and you’re a victim, or you sacrifice because it’s the right thing to do and you have pride in it. Huge difference. Simple thing. Huge difference.”

Best Career and Life Advice - biggest career inflection points, he told me, came from chance meetings, giving rise to his advice: “Play in traffic.”

“It means that if you go push yourself out there and you see people and do things and participate and get involved, something happens,” he said. “Both of my great occasions in life happened by accident simply because I showed up.”“I tell people, just show up, get in the game, go play in traffic,” Mr. Plumeri said. “Something good will come of it, but you’ve got to show up.”....from Ruth Simmons, president of Prairie View A&M University. Her suggestion to students:

“They should never assume that they can predict what experiences will teach them the most about what they value, or about what their life should be,” she said. “You have to be open and alert at every turn to the possibility that you’re about to learn the most important lesson of your life.”
howto  human_behavior  CEOs  career_paths  Managing_Your_Career  curiosity  discomforts  values  hard_work  trustworthiness  paradoxes  pairs  organizational_culture  gender_gap  work_ethic  playing_in_traffic  compensation  rewards  beyond_one's_control  guardrails  inflection_points 
october 2017 by jerryking
How are advisory board members typically compensated? - Quora
Advisory Board members are
offered 0.25% - 0.50% stock in the company with a 1-3 year vesting period
compensation  boards_&_directors_&_governance  advice 
june 2017 by jerryking
Yes, the Wealthy Can Be Deserving
FEB. 15, 2014 | NYT | By N. GREGORY MANKIW.

Actors, authors, and athletes do not make up the entire ranks of the rich. Most top earners make their fortunes in ways that are less transparent to the public.... the most natural explanation of high C.E.O. pay is that the value of a good C.E.O. is extraordinarily high.

That is hardly a surprise. A typical chief executive is overseeing billions of dollars of shareholder wealth as well as thousands of employees. The value of making the right decisions is tremendous. Just consider the role of Steve Jobs in the rise of Apple and its path-breaking products....A similar case is the finance industry, where many hefty compensation packages can be found. There is no doubt that this sector plays a crucial economic role. Those who work in banking, venture capital and other financial firms are in charge of allocating the economy’s investment resources. They decide, in a decentralized and competitive way, which companies and industries will shrink and which will grow. It makes sense that a nation would allocate many of its most talented and thus highly compensated individuals to the task.
high_net_worth  income_distribution  winner-take-all  the_one_percent  CEOs  compensation  private_equity  income_inequality  talent  breakthroughs  Steve_Jobs  finance  capital_allocation  decision_making 
february 2014 by jerryking
The Smart Way to Change Jobs
September 4, 1995 | Fortune | Marshall Loeb.

After worked out all thc details, you should seek a general letter of agreement outlining your pay, benefits, job title, and responsibilities. lt should includc a short-term fail­-safe clause to cover you if the mating doesn’t work out. Companies will often agree to give you six months’ pay in the event that you or your new boss decides that your move was a mistake. Finally leave your old employer on good terms. just possible that thc two of you will be back in bed somewhere dotlrn the line-just like in those French farces.
Managing_Your_Career  career_paths  career  reinvention  salaries  compensation  negotiations  exits  job_change  first90days 
february 2013 by jerryking
When Seeking a Raise, It Pays to be Tactful
September 11, 2004 | Workopolis - Globe & Mail | by Virginia Galt.

When seeking a raise, issues like longevity, breathing, etc. don't count. Instead, demonstrate your value to the enterprise if you want to be do better than the 3.4% avg. increase that employers budget for....Employers are more than willing to top up the salaries of their top performers...the challenge for employees is to demonstrate their worth....Figure out ways of differentiating yourself, be able to create unique value in an organization...you are in charge of what people think of you.
managing_up  negotiations  compensation  salaries  performance_reviews  rewards  Virginia_Galt  self-worth 
august 2012 by jerryking
The Right Way to Ask for a Raise
January 1994 | Working Woman | Stephen M. Pollan and Mark Levine.
In today's cost-conscious environment, chances are you won’t get as big raise as you'd like. But with the right approach, you may be able to boost the one you're given, win other kinds of financial rewards or at least set the stage for a larger increase next time. Your strongest argument: that your salary has not kept pace with your accomplishments or that you are under paid relative to your peers. To better the odds of success, approach your boss only after a positive evaluation or some third-party recognition of your achievements. And don’t hesitate to use flattery.
managing_up  negotiations  compensation  salaries  performance_reviews  decision_making  decision_trees  self-worth 
august 2012 by jerryking
To Get Paid What You're Worth, Know Your Disruptive Skills - Whitney Johnson -
September 14, 2010 | Harvard Business Review | Whitney Johnson.
To close the gap between what we're paid and what we're worth, there
is a lesson to be learned from the stock market. The stocks that trade
at fair value or even a premium to their peers are those that know what
kind of stock they are, and then deliver, whether "disruptive innovation
— emerging growth," "sustaining innovation — best-of-breed," or
"being-disrupted — but dividend-paying." Not surprisingly, the stocks
that lead with their unique or disruptive capabilities command the
highest absolute multiples...Translating this to our careers, when we
proffer to the marketplace a disruptive skill set, focusing on our
distinctive innate talents rather than 'me-too' skills, we are more
likely to achieve success and increase what we earn. Any hard-won,
'me-too' skills can follow as a kicker.
Clayton_Christensen  compensation  disruption  hbr  indispensable  JCK  Managing_Your_Career  non-routine  personal_growth  salaries  self-worth  skills  special_sauce  uncharted_problems 
september 2010 by jerryking
For Entrepreneurs, Sharing Isn't Always Fun - WSJ.com
APRIL 13, 2010 | Wall Street Journal | By SARAH E. NEEDLEMAN.
For Entrepreneurs, Sharing Isn't Always Fun Equity in Lieu of Pay Can
Help Business Owners Lure Talent, but Many May Not Want to Part With
Future Profits.
Offering equity can be an especially useful tool in a downturn. Business
owners should be able to more easily offset a below-market salary with
equity-based pay when unemployment is high, theorizes Andrew Zacharakis,
professor of entrepreneurship at Babson College in Wellesley, Mass. "A
lot of people are trying to get something on their résumé, even though
it may not pay as much as what they earn in a good economic climate," he
says.

Equity can also sweeten a job offer for candidates who are always in
high demand because they possess unique skills or knowledge.
Sarah_E._Needleman  start_ups  small_business  equity  compensation  recruiting 
april 2010 by jerryking
Salary Survey: Show Us the Money!
December 23, 2008 | Food in Canada| By Food in Canada staff
compensation  surveys  food  industries  salaries 
may 2009 by jerryking
The Seven-Alarm Fire Of Family Business Compensation
Jul 2005 | Agency Sales Vol. 35, Iss. 7; pg. 6 | by Gerry Murak
compensation  family-owned_businesses 
may 2009 by jerryking
After GE - WSJ.com
Apr. 16, 2007 | Wall Street Journal | interview by Vauhini Vara of Steve Bennett on why some GE alumni success--and some don't.
GE  alumni  Intuit  Freshbooks  compensation  operational_rigour  Vauhini_Vara 
january 2009 by jerryking
What do you expect to be paid?
02-29-2008 G&M article by Tony Martin illustrating how to make sense of the query.
Managing_Your_Career  expectations  salaries  negotiations  compensation  self-worth 
january 2009 by jerryking

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