Things are really busy at work right now and reading news just hasn't been the right kind of distraction. I find it all so depressing and I simply become paralyzed just thinking about it all. It feels like writing about it would just make it worse. But this morning I hooked onto a thought after reading a post on Talking Points Memo that referred to President Bush as the "CEO President" and linked to this post on Washington Monthly.
Bush styles himself a "CEO president," but the world is full to bursting with CEOs who have goals they would dearly love to attain but who lack either the skill or the fortitude to make them happen. They assign tasks to subordinates without making sure the subordinates are capable of doing them? but then consider the job done anyway because they've "delegated" it.This isn't the first time I've heard that term. I'm pretty sure the President has been quoted saying as much. But it made me wonder, how good of a CEO was he when he was actually a CEO?
This is not the most straightforward thing to find out. If you look at most of the official biographies (like here and here), all you get is that after leaving business school (oooh -- Harvard!) he "returned to Midland and began a career in the energy business." Generally, the next thing they talk about is his work on his father's 1988 presidential campaign followed closely by the purchase of the Texas Rangers with a group of "partners."
Digging a bit, I finally found most of what I was looking for at the Center for Public Integrity, the Washington Post and Arkansas Encyclopedia (of all places). Here's the basic points:
In 1978, using the leftovers from his educational trust fund, W starts an oil and gas exploration company, Arbusto Energy (although active operations don't actually begin until 1979). By 1984, Arbusto (renamed Bush Exploration) is deep in debt, but is bailed out when it is purchased by Spectrum 7 where W becomes CEO.
1986 and under W's leadership, Spectrum 7 is also deeply in debt (the figure of $3.1 million is often cited, but it's not clear whether this is for Arbusto/Bush Exploration or Spectrum 7). One source says Spectrum 7 goes bankrupt. Spectrum 7 is bought out by Harken Energy and W is made a director. He makes $600,000 on the transaction (presumably from the $300,000+ in Harken stock).
It should be noted that this doesn't even begin to get into how the company was run: investors get $1.54 million on $4.66 million in investments, Bush's company collects $678,000 on a $102,000 investment, and yet W is quoted as saying that he "thought we'd developed a reputation as honest operators who worked hard [and], who gave people a fair shake." WTF?! (I know it's old news, but if you haven't already, you definitely need to read the Washington Post article.)
In June of 1990, he wisely unloads almost $850,000 in stock, a mere 2 months before the company announces a $23 million loss. There's an SEC investigation in 1992, but he is exonerated. Well, sorta:
[SEC associate director for enforcement Bruce A.] Hiler, however, was more cautious. His statement said it "must in no way be construed as indicating that the party has been exonerated or that no action may ultimately result from the staff's investigation." (Washington Post)In 1989 he purchases the Texas Rangers with close friends of Bush Sr. (investing $606,302 of the total $86 million raised for the purchase, according to the Biography channel) and is made managing general partner. He earns $15 million on the sale in 1998.
And there you have it, George W. Bush's professional experience prior to entering government. So, was he a good CEO? Well, I dunno. There's this quote from the Washington Post article:
James McAninch, who joined Arbusto in 1982 to take charge of production, said Bush at that point was operating about 15 wells in the Midland area in which he had a majority interest.Which sure sounds to me like a person who sits at the top and lets other people do the work and doesn't really know what's going on. And quick decisions and a good memory? I'm not sure those are sufficient qualities of a good leader. Maybe good decisions and a quick memory? But really, who am I to judge? (and, of course, who cares what I think? [yeah, I know, I already used that link before]) But judging from past experience, if we're lucky, he'll get Germany to buy us out or something. I'm sure he'll get a nice bonus for that one, too.
"George was a good operator – very honest and straightforward," McAninch said. "He hired you for what you were qualified to do. He didn't interfere. He turned you loose. He'd say, 'Man, it's your responsibility. You do your job, no problem.'... He could make quick decisions too. ... He had enough savvy to ask almost all the right questions. And [months later] he'd remember what the answers were.
