Share This

Showing posts with label Chief operating officer. Show all posts
Showing posts with label Chief operating officer. Show all posts

Tuesday, May 15, 2012

US student Loan Crisis, an Education Bubble?



Peter J ReillyI started following the student loan crisis when I noted that student loans seemed to be neck and neck with health care as the primary grievances on the We Are The 99% site.  I was very lucky to get two pretty regular guest posters Alan Collinge and Tim Smith, who have written on the issue from different angles.  I was astonished to get a call from Sallie Mae asking me how they could get their side of the story onto Forbes.com.  At the risk of being prosecuted for impersonating a journalist, I did a brief interview with John Remondi, President and COO of Sallie Mae.  I’m still hoping for some guest posts from Sallie Mae, but nothing has come through yet.  Sunday, I heard from Tim Smith, who let me know that the New York Times was picking up on the issue with this piece.  I invited him to share his reaction.  Here it is.

The Education Bubble Won’t Create A Disaster, Right?

“Looking back, anyone could have predicted the housing bubble.”  This sentiment has been echoed many times, and graphs of the past housing bubble almost make it seem obvious before the bubble burst.  The education bubble?  While many acknowledge the soaring cost – especially those in the education fields – fewer agree that we’re about to see the education bubble pop and create a bigger mess than the housing bubble.  Education may have its critics, but it also has major defenders.

Student Loan Defaulter Calls For Solidarity
Why Does Congress Love Houses More Than Students?
New College Grads: Just Say No to More Debt!
Cheap Stafford Loans: A Wolf in Sheep's Clothing

However, the chorus seems to be changing.  Even the New York Times recently joined with an article that compared the education bubble to the housing bubble (this analogy has been used multiple times, but like the above graph shows, under predicts the mess that the education bubble will cause).  Even while other media players have finally seen this bubble, the warning signs were spelled out on this blog :

These warning signs would be favorable laws toward discharging student loans in bankruptcy (making it more challenging for students to receive money for education); a societal zeitgeist toward education changing (for instance, businesses preferring certification or a degree from something similar to the Khan Academy over traditional colleges); a major recession coming back to the United States, taking away more employment (making it more difficult for student with loans to pay back their loans); students becoming discouraged by negative news toward education (causing many to drop out or to avoid college).
Of course, some readers might wonder if all four signs must appear for the education bubble to pop, and the answer is “No”.

Even though the education bubble has received attention, few expect the consequences to be bad.  In fact, the Times’ article mentions that economists don’t see the consequences being similar to the housing bubble – in other words, the education bubble pops, and everything is fine.  Consider the potential reality:

1.      High student loan balances discourage future and current demand for other products and services (consider the attitude, for instance, of Natalia Antonova, who faced a debt crisis with her student loans).  This subtracts money flow from the economy to provide jobs in other areas.  Even without the bubble popping, this is the current situation.
2.      If the demand for education drops, the consequences will affect those in the education system – schools will need fewer professors, advisors and others in the education field.  This will create a terrible job hunting situation, where graduates will be placed against high-credentialed people (some of whom may have been their professors).  Remember that in order to keep these people employed, the demand for education must remain the same or rise.
3.      If the demand for education declines, the demand for educational products will decline also – textbooks, construction, and many of the expenditures that some colleges think are necessary to provide a good education.  This drop in demand will cause business, which sell products and services to educational institutions, to cut back on their staff to offset their losses.
There is one way in which economists might be right – if wages began to soar.  Like the housing bubble, Americans felt the mess because the decline in housing prices meant that debt was owed on something that had little value.  If education continues to rise, while wages stagnate or slowly rise, a college degree will be like a home, which has lost its value.  If wages soar, however, a college degree will still mean the path to prosperity.

Tim Smith blogs on the “Echo Boom”, also known as Generation Y (Americans born between 1980 – 1995). Tim has previously appeared here discussing his generation’s attitude towards homeownership and education.

I’m beginning to think that the “bubble” metaphor may not work that well for education.  In the case of the stock market and real estate people own assets that they think they can sell at any time for some minimum price.  Then something happens and everybody heads for the door at once.  At that point the seeds of the next bubble are sown, because the assets have some level of intrinsic value and somebody will buy them for something and may get rich on the next turn of the wheel.  Educational credentials, on the other hand, are not at all fungible.  They can only be cash flowed, not liquidated.  If they are not used when fairly fresh, their value erodes rather quickly.  The actual economic value of the credential will often be quickly replaced by the experience which the credential enables.  

By Peter J Reilly, Forbes Contributor Newscribe : get free news in real time


Related posts:
American mounting student loans a 'debt bomb' waiting to explode! Inside America’s Student Loan Bubble!
American Student Loan Debt: $1 Trillion and Counting
America, a "Generation of Sissies"
A "great haircut" for U.S. growth  

Wednesday, February 8, 2012

BJCC Golf Club management Fiasco: challenges members to leave! Would Guan Eng Intervene?

Golfers pleads Guan Eng to intervene Bukit Jambul Country Club fiasco



Following the dispute over the Bukit Jambul Country Club management decision to require golfers to use payable electric buggies on its 18-hole golf course, the members staged a demonstration and pleaded Penang CM, Lim Guan Eng to intervene and resolve the issue.



According to one of the golfers, Adrian Ho, he hoped that something can be done to resolve this as they are ready to compromise with the management, if they are going to charge for a walking fees.

Ho also said that the management set off the water sprinklers at the green today to prevent them from walking.

He also stressed that they are mulling take legal action against the management if the issue remained unsolved.

Many aggrieved members feel that such requirement to pay for electric buggies are unfair as they are already paying a regular fees to the club.

Bayan Baru parliament coordinator, Por Joo Tee said that the issue started from a notice saying that the golfers privileges of walking has been cancelled.

Por also added that during professional golf tournaments the golfers would walk to the selective holes instead of using buggy.

Komunitikini earlier tried to reach Bukit Jambul Country Club management for a response but the Chief Operating Officer, Johnny Khoo said that response can only be given once the management company CEO, Dato’ Eiro Sakamoto arrives from Kuala Lumpur later today.

Bukit Jambul Country Club is a subsidiary of Penang Development Corporation (PDC) and is currently managed by Taiyo Resort (KL) Berhad.

Source: Komunitikini

Police Report_BJCC
  Thugs or Guards from Metro Security?


Management and members take swings at each other over buggy rule
  By TAN SIN CHOW sctan@thestar.com.my,  Friday 10 Feb 2012

GEORGE TOWN: The “clash” between disgruntled members and the management of Bukit Jambul Country Club has escalated with both parties lodging police reports against each other.

It all started when some 100 members voiced their displeasure over the compulsory buggy-use rule at the golf club, effective Feb 1.

A 59-year-old member lodged a police report on Feb 3, alleging that the club's security guards had verbally abused him and several others at the golf course on that day.

He also claimed that the guards had prevented them from walking on the course and verbally abused them.

On Feb 2, more than 100 disgruntled golfers protested at the club over the new ruling that made it compulsory to use a buggy.

The golfers said the ruling was not suitable due to the way the course was built. It was designed for golfers to walk around the course and was not intended to be a buggy course.

They also complained about the increase in the buggy rental rates from RM22 to RM37 for the first nine holes.

Japanese firm Taiyo Resort (KL) Bhd took over the club's management in 2010 and signed a leasing agreement with PDC and Island Golf Properties Bhd.

Yesterday, Club managing director Datuk Eiro Sakamoto said they lodged a report with the Sungai Nibong police station yesterday to deny the allegations.

“The club had carried out its own investigations and found the allegations to be untrue,” he said at a press conference.

“The 50-odd disgruntled club members had violated club rules by teeing-off without registering. They also did not use the buggies as required.”

Eiro said there was no such right as walking on the course, adding that the security guards had approached them in a polite manner but were instead insulted.

“We are legally allowed to implement the buggy-use rule in accordance with club rules. An overwhelming majority of the 2,800 club members are happy with the rule.”

He added that a complaint had since been lodged with the club's disciplinary committee.

“I wish to stress that this is a proprietary club, not a member's club,” he said, adding that displeased members “have the freedom to leave”.



Related post:

BJCC management fiasco: 'Outsourcing not the fair way', Golf truly a walking game!


BJCC Golf and Country Club News

Saturday, August 27, 2011

iQuit - Steve Jobs Resigns: Apple CEO Stepping Down






Official Press Release from Apple

CUPERTINO, California - Apple’s Board of Directors today announced that Steve Jobs has resigned as Chief Executive Officer, and the Board has named Tim Cook, previously Apple’s Chief Operating Officer, as the company’s new CEO. Jobs has been elected Chairman of the Board and Cook will join the Board, effective immediately.

“Steve’s extraordinary vision and leadership saved Apple and guided it to its position as the world’s most innovative and valuable technology company,” said Art Levinson, Chairman of Genentech, on behalf of Apple's Board. “Steve has made countless contributions to Apple’s success, and he has attracted and inspired Apple’s immensely creative employees and world class executive team. In his new role as Chairman of the Board, Steve will continue to serve Apple with his unique insights, creativity and inspiration.”

“The Board has complete confidence that Tim is the right person to be our next CEO,” added Levinson. “Tim’s 13 years of service to Apple have been marked by outstanding performance, and he has demonstrated remarkable talent and sound judgment in everything he does.”



Jobs submitted his resignation to the Board today and strongly recommended that the Board implement its succession plan and name Tim Cook as CEO.

Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and has recently introduced iPad 2 which is defining the future of mobile media and computing devices.


Letter from Steve Jobs
August 24, 2011

To the Apple Board of Directors and the Apple Community:

I have always said if there ever came a day when I could no longer meet my duties and expectations as Apple’s CEO, I would be the first to let you know. Unfortunately, that day has come.

I hereby resign as CEO of Apple. I would like to serve, if the Board sees fit, as Chairman of the Board, director and Apple employee.

As far as my successor goes, I strongly recommend that we execute our succession plan and name Tim Cook as CEO of Apple.

I believe Apple’s brightest and most innovative days are ahead of it. And I look forward to watching and contributing to its success in a new role.

I have made some of the best friends of my life at Apple, and I thank you all for the many years of being able to work alongside you.

Who is Tim Cook?


Currently. Timothy D. Cook is Apple’s chief operating officer and reports to Apple’s CEO. Cook is responsible for all of the company’s worldwide sales and operations, including end-to-end management of Apple’s supply chain, sales activities, and service and support in all markets and countries. He also heads Apple’s Macintosh division and plays a key role in the continued development of strategic reseller and supplier relationships, ensuring flexibility in response to an increasingly demanding marketplace.

Before joining Apple, Cook was vice president of Corporate Materials for Compaq and was responsible for procuring and managing all of Compaq’s product inventory. Previous to his work at Compaq, Cook was the chief operating officer of the Reseller Division at Intelligent Electronics.

Cook also spent 12 years with IBM, most recently as director of North American Fulfillment where he led manufacturing and distribution functions for IBM’s Personal Computer Company in North and Latin America.

Cook earned an M.B.A. from Duke University, where he was a Fuqua Scholar, and a Bachelor of Science degree in Industrial Engineering from Auburn University.

Read more: http://everythinginbudget.blogspot.com/2011/08/iquit-steve-jobs-resigns-apple-ceo.html#ixzz1WCRuy0gc

Steve Jobs - The iCon says 'iQuit'

Steve Jobs has resigned in a long-expected move and named Chief Operating Officer Tim Cook as his replacement. In tribute to the 'iCon' here's a look at Jobs through the years. PHOTOS BELOW.

Steve Jobs(AP Photo)
In Pictures: Steve Jobs through the years
Click on the thumbnails BELOW to view a brief history of Steve Jobs' now legendary career. 

Apple's legendary co-founder and top ideas man Steve Jobs resigned as chief executive Wednesday, the company said, in a long expected move after he began a dramatic fight with cancer.

In a written statement, Apple, the world's second biggest company by market capitalization, announced that chief operating officer Tim Cook would take over as CEO but that Jobs would stay on as chairman of the board.

"Steve's extraordinary vision and leadership saved Apple and guided it to its position as the world's most innovative and valuable technology company," board member Art Levinson said in a statement.

No reason was given for Job's resignation, but his health problems, including a lengthy medical leave for a liver transplant in 2009 and his increasingly gaunt appearances at public events, fueled speculation he would have to give up the everyday running of the company he co-founded in 1976.

Cook ran Apple when Jobs went on medical leave and has essentially been running day-to-day operations since early this year with the company racking up record revenue and profit.

Jobs is seen as the heart and soul of Apple, with analysts and investors repeatedly expressing concern over how the Cupertino, California-based company would handle his departure.

"The board has complete confidence that Tim is the right person to be our next CEO," Levinson said.

"Tim's 13 years of service to Apple have been marked by outstanding performance, and he has demonstrated remarkable talent and sound judgment in everything he does," Levinson continued.

Jobs submitted his resignation on Wednesday and urged the board to implement its succession plan and name Cook as his replacement, according to Apple.

In Pictures: Steve Jobs through the years

Cook was previously responsible for Apple's worldwide sales and operations, including management of the supply chain, sales activities, and service and support in all markets and countries.

Jobs is a living legend in Silicon Valley. He is the beloved visionary behind the Macintosh computer, the iPod, the iPhone and the iPad.

Born on February 24, 1955 in San Francisco to a single mother and adopted by a couple in nearby Mountain View at barely a week old, he grew up among the orchards that would one day become the technology hub known as Silicon Valley.

Jobs was 21 and Steve Wozniak 26 when they founded Apple Computer in the garage of Jobs's family home in 1976.

While Microsoft licensed its software to computer makers that cranked out machines priced for the masses, Apple kept its technology private and catered to people willing to pay for superior performance and design.

Under Jobs, the company introduced its first Apple computers and then the Macintosh, which became wildly popular in the 1980s.

Apple's innovations include the "computer mouse" to make it easy for users to activate programs or open files.

Jobs was elevated to idol status by ranks of Macintosh computer devotees, many of whom saw themselves as a sort of rebel alliance opposing the powerful empire Microsoft built with its ubiquitous Windows operating systems.

Jobs left Apple in 1985 after an internal power struggle and started NeXT Computer company specializing in sophisticated workstations for businesses.

He co-founded Academy-Award-winning Pixar in 1986 from a former Lucasfilm computer graphics unit that he reportedly bought from movie industry titan George Lucas for $10 million.

Apple's luster faded after Jobs left the company, but they reconciled in 1996 with Apple buying NeXT for 429 million dollars and Jobs ascending once again to the Apple throne.

Since then, Apple has gone from strength to strength as Jobs revamped the Macintosh line, revolutionizing modern culture with the introductions of the iPod, iPhone, iPad, and iTunes online shop for digital content.