James Cayne’s golf therapy prompted this interesting article over at The Economist on the deeply engrained nature of business golf:
The central role played by golf in business life is under-reportedóexcept maybe in Japanóperhaps because journalists canít afford the green fees let alone the membership dues of the swanky clubs to which chief executives belong. Nor are bosses exactly rushing to draw attention to yet another perk.
Yet, ìno matter how sophisticated business becomes, nothing can replace the golf course as a communications hubî, argues a new book, ìDeals on the Greenî, by David Rynecki. ìItís where up-and-comers can impress the boss and where CEOs can seal multibillion-dollar deals. Its no coincidence that many of the most admired people in businessóJack Welch, Bill Gates, Warren Buffett, Sandy Weillóalways carved out time in their busy schedules for golf.î
Mr. Welch, arguably the best golfing chief executive ever, is the ìpatron saint of corporate golfî, argues Mr Rynecki, . . . Mr Welch . . . regarded golf as a key part of his managerial armoury, which he deployed with great success during his long, glorious reign at General Electric (GE). The firm was already known as a ìgolf companyî when he took charge. But under Mr Welch, ìgolf became an essential tool for any manager looking to move upî. Golf ìwas a litmus test for character. It showed whether a person had the guts to work in Welchís GE.î
Not everyone is convinced. The other week, two veteran Wall Street tycoons railed against the game. Hank Greenberg, the former boss of AIG, complained that golf was a distraction from business: ìA lot of people like to get away from their work. You have to wonder about whether they like what theyíre doing.î Carl Icahn, the legendary corporate raider, sees golf as a symbol of all that is wrong with the clubby higher echelons of American business: ìThese guys would rather play golf, slap each other on the back. I want a guy running a company who sits in his tub at night thinking about the challenges he faces. The guy who canít let it go. The focused guy.î
Read the entire article. I bet Mr. Cayne will do so, maybe even before his afternoon tee time. ;^)
