Bombardier and Yahoo: A Tale of Two Losers

Last week we were informed of another billion user hack at Yahoo. Not sure of the circumstances as to why now, but my best guess is that they uncovered it while still in Verizon’s due diligence investigation. The sheer stupidity that must have been covered up as to why there were 2 breaches years apart, and the failure to learn from their mistakes in preventing the second is beyond belief. Here we have a large multinational in the tech space, not able to come up with a tech solution to this centuries most pressing issue, security, is mind boggling.

How does this happen? It comes down to having the wrong people employed in the wrong positions. The culture of “just go along” is rampant in larger companies, and as soon as someone questions the mentality of the herd they are ostracized and HR’d (human resourced) to the curb…  Until we have senior managers who are held criminally responsible for their actions things will never change. The side-effects are lost jobs, lost credibility and increased pressure on an already fragile working class and social services.

Bombardier is another prime example of a company that should have gone bankrupt decades ago. By artificially propping up a failed business you are saying it’s ok to keep failing, and that there are no consequences to your actions. It’s like saying to a criminal, we know you stole our money but we’re going to give you more just so you don’t have to break in next time.

The City of Toronto got what was coming to it for going with a poor company to begin with. We cause ourselves more harm by doing what seems to be the right thing instead of taking our medicine and getting better the old-fashioned way.  Like the Buckley’s commercial says ” it tastes awful, but it works”

We need to take some strong medicine and get better soon as a country, or we’ll be the poor northern neighbour again waiting for scraps to fall from the table to nourish our economy. We need to lead and not follow. Plain and simple.

Real leadership and management takes courage. It’s not easy, but nothing ever worthwhile is.

Rick Barbosa

 

 

 

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rickbarbosa

Our Senior Partner Rick Barbosa is a Professional Accountant and Personal Financial Advisor with over 20 years experience dealing with Large Fortune 500 Organizations and Small to Medium sized Family owned Businesses. If you're looking for help with your finances, taxes, investing or starting and managing a business you've come to the right person.

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