Are Changes in College President Compensation Likely?

Corporate concepts of CEO pay are beginning to make their way into the world of traditional higher education. Stephen Pollack from a human resource consulting firm in San Francisco states “Corporate concepts are just starting to drift into academia, and they have to” (1).  Recent concerns about college presidents performance mixed with the relative static nature of higher education institutes are bubbling up. 

College performance has been under an increasing microscope and retention has become a larger issues. University education is expensive and some are wondering about the cost and benefit of certain programs. As universities increase in competitiveness some boards are considering using additional performance pay metrics with university presidents. 

Likewise, the Department of Education is seeking to use data metrics to evaluate the success of universities in educating students for the job markets (2). The pressure for performance is rising and presidents are likely to feel the brunt of these actions. As changes in the American higher education system becomes more likely so will the compensation approaches for educational executives. 

The devil is always in the details. Presidents of universities are normally not in the same stream as CEO’s of companies. Yet their performance is just as important. Universities are relatively stable and unchanging over the past decades and hence the simple salary system worked fine. Now that the system is under pressure for change some universities are seeking to change their compensation structures. 

In higher education presidents have a higher responsibility to encourage learning and ensure that the university works at its optimal level. Performance compensation may be tied to retention rates, financial performance, or even scientific products but none is going to be a perfect solution.   The metric mix will be what counts. 

Moving the metric pendulum too far into performance is likely to create short-term decisions that can be disastrous a few years down the road.   Using a straight salary may encourage a lack of overall performance as presidents will need to change with the times. Since performance metrics are new in higher education it will be necessary to engage in some compensation experimentation. Slowly including various performance metrics into the compensation package will naturally have an impact so they should be included with some caution and over a period of time to ensure performance is matching pay.

What Can Sharks, Bees and Humans Teach Us About Urban Development?

Torrey Pines

Sharks, Bees and Humans forage and explore in many of the same ways.  Researchers at University of Arizona studied the foraging and exploring patterns of a number of creatures in their habitats (1). In particular, they looked at the Hadza people of Tanzania who still forage and hunt in the same way that our ancestors did. To their amazement, they found similar patterns of activities among broad species.

The pattern is known as the Levy walk and is based on mathematical principles. The same patterns exist when foraging for food or walking around an amusement park (2). It entails short movements around a particular area and then longer movements into newer areas.

Co-author and anthropologist Brian Woods from Yale states, “Detecting this pattern among the Hadza, as has been found in several other species, tells us that such patterns are likely the result of general foraging strategies that many species adopt, across a wide variety of contexts” (3).  They argue that understanding how these patterns work may eventually influence urban development.

It is possible that this process is based on our evolutionary development to create net effects in an area. The short movements help us find the things we need for survival. Once an area is canvassed, we then move to change the environment and search again in a new area. At present, the researchers desire to conduct more studies to determine the actual reasons for and how these patterns may have influenced the societal development (4).

Putting this within an urban context, we may find that having local pockets of retail to serve basic needs of local residents with larger commercial areas could have some benefit. People will forage their neighborhoods and walk to the local grocery store but will naturally drive to shop at larger retailers or commercial districts. Getting people out of their houses and walking around can have a large impact on social cohesion and health. 

News Release

Does Closeness with Others Influence Business Ethical Choices?

Decisions are a common occurrence in everyday life. Why some make ethical and others make unethical decisions is of interest. Wood, et. al. (2013) studied the decision-making process of managers and found that psychological distance and options influenced their ultimate choice. When proper choices are available, and reflections on courses of action are possible, better decisions result.

There are pillars that help formulate how psychological distance is created in people’s minds. These pillars are mental constructs and decision filters managers use judge course of action. They are as follows:

1.) Temporal Distance: Now versus later. Future events are more abstract while current events are more concrete.

2.) Spatial Distance: Researchers have shown that faraway locations are abstract while closer locations are more concrete.

3.) Social Distance: Us versus them mentality that lowers the perception of impact on other groups while raising the perception of harm to one’s own.  Think of in-group and out-group dynamics.

4.) Hypothetical Distance: When it appears that an outcome is unlikely it is evaluated more abstractly than likely outcomes.

The researchers used surveys of managers to determine their decision-making processes. They found that when faced with a forced choice those who are more psychologically distant from them often received the brunt of impact. When the choices are open they often distribute the impact equally. When they have an option not to choose they often reflect more on the potential consequences.

The research helps show that people will make poor decisions that influence the future, are geographically distant, are outside of their social group, and when it appears that, the outcome is unlikely. Reflection helps us to consider the potential consequences of choice and how they impact others. Sometimes to not choose is the best choice someone can make.

Wood, et. al. (2013). If you can’t see the forest for the trees, you might just cut down the forest: the perils of forced choice on “seemingly” unethical decision-making. Journal of Business Ethics, 118 (3).

Open Business Conference 2014

May 5^th-6^th, 2014

San Francisco

Open Source is blazing a new path of innovation in the areas of  Cloud, Big Data, Mobile applications, Enterprise Mobility and applications integration. Open Source has become ubiquitous in the Enterprise and in the business layer, as more and more organizations are reaping its considerable benefits, including speed, efficiency and cost savings.

Topics Covered:

·         Open source and strategies for driving data-driven businesses

• How enterprise software infrastructure can support the consumerization of IT
• Which technologies and vendors are poised to dominate the Big Data movement?
• The State of the OpenStack Union
• Democratizing Big Data: Making Hadoop Mainstream
• The Cloud Imperative

More Information

Substance Allows for Super Muscle Strength

Researchers from the University of California Berkeley believe they can develop artificial muscle that is one thousand times stronger than human muscle (1). They are creating the material from vanadium dioxide at the micro-level. As the material heats up to 67 degrees it becomes an extremely strong structure that has wide application.

The new artificial muscle may someday be used in Prosthetics or other medical procedures (2).  Controlled by a sensor similar to human muscles it may function and work nearly identical to human limbs. Researchers hope that such developments will lead to a new era of medicine and robotics. The Sci-Fi is nearly here! 

The team works for the U.S. Department of Energy (DOE)’s Lawrence Berkeley National Laboratory and are astounded at the strength (3). Prior robotics is slower and less agile than human tissue. This new discovery may offer a new wave of development.  Building a suit of such material will allow someone to lift up a small car and throw it across the street.  

It isn’t hard to imagine some places where this would be beneficial. A warehousing company may need to lift large packages and having suits of such material means that the individual worker could carry large boxes easily. It becomes an enhancement of human abilities that can increase productivity and safety. Certainly, such developments are further out in the future but they are likely to be here soon enough.

Pictures of San Diego Bay

San Diego is known for its beautiful coastal waters, great harbors, and excellent history. Walking along the harbor is a treat as you can see many of the ships at port. There are boat museums, tours, and restaurants either on or near the harbor. With weather reaching into 78 degrees with little breeze, the walk was easy and unimpeded. Most activities were at a standstill for Christmas celebrations but people still found time to jog and bike along the pear.  Not much open but Starbucks a few blocks away. 

I tried to practice taking a few action shots for fun.

Poseidon in Del Mar-Beachfront Dining

Poseidon Restaurant in Del Mar provides a California beach atmosphere in an upscale environment. Visitors stroll along the oceanfront and stop in for lunch or cocktails. Watch the waves crawling up the sand as you dine in style.  A full service establishment with a spacious bar area, indoor dining, and open patio seating.

Known for both breakfast and dinner the establishment has gained a following among Del Mar residents. Breakfast retails for around $12 while supper is closer to $33. Mediterranean Seafood Linguini, Rack of Lamb and Mussels are just some of their main attractions. If you have money to burn, look toward the lobster.

If you are like me and on a budget, you can opt for the happy hour. Items like a large half-pound burger with fries, mussels, and fish sliders are for $ 7.  Beverages are equally discounted off their happy hour menu. Four people engaging in leisurely conversation ate approximately 8 plates and six drinks for $110.  Don’t miss happy hour Monday - Friday 4:00pm - 6:30pm.

The restaurant is the right atmosphere for romantic dinners or beach strolling lunches.  Watch the sunset during the evening hours. The lighting is low and heating lamps keep the patio warm (must order from full menu). Service is quick and the staff friendly. Valet is easiest but is relatively cheap at the price of $4.   

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