Transcript
Live from board, saber metrics draft headquarters. It's a very special There's a game show edition of business pants, joined by the full crew. Are the data Queen, just the money Whisperer. Lord of BS Matti. On Today's Show the World premiere. Well, it is right. Who has anyone else ever done this? There's no other no way there's no competition. The 2023, free flow, business pants, corporate, team draft. We didn't agree on the name. What do we call? This is the company draft. The corporate team draft NFC board draft. What is this? I mean, this is not a fantasy. This is the NFL has their draft day today. So, if you are a football, American football fan right now, their prepping in New York City or wherever they're doing it for the drafts, they're going to end. We're doing the same thing. Yeah, we prepped earlier this week, we prepare drafts is way about her. Not only is it better? It's realer because we're not actually, here's our works. We're going to run this. Drop over two weeks today. We're just going to draft the CEO and the chair. Okay. CEO on board chair, where each get a pick Next week, we're going to draft leaders and committee chairs. It's simple, right? And Matt, what are the rules? We have two minutes to get your pick in. Wait, two minutes to argue your pick. Whatever rules? We got two minutes and two minutes. So you two minutes to discuss why you made your choice, who your choice is. Get your pick in and then a two-minute clock for the rest of us to shit. All over your pick, you ready? Yes, I have so much fomo with my picks. No mo all the time, I have no. All right, let's do this. Let's draft, some people, we're starting with CEO. What's our draft order CEO? Oh our draft order. Jesse the money Whisperer. Are the data Queen Damien and then Matt, oh I got lots of backup. Good thing Jesse's already seen all my picks right shows. I so want to play with all the time. All the sound effects, but Matt's not gonna. Let me so. No. Do it with some sound effects? You can try it. Let's do it. Round one. Ready. Just see your pick is in. I'm gonna put two minutes on the clock. Jesse, go ahead and tell us, okay? The first pick of a 2023 free flow. Business pants, corporate, team draft, CEO, Jesse the money Whisperer, go ahead. CEO, my first draft pick is reshma kalwall Romani. Oh of course it is. Yeah, that's on my list. Okay? Can I say also see you pesto also said on number one of my draft board. Exactly. Just a Newest. Yeah, go ahead. I did. I did anybody else's. So tell us what. Okay. Well there's the obvious. She's a female. Asian. And she is working. I wouldn't normally go for a pharmaceutical company. I don't particularly like them drugs in. Yeah, they're morality. But they target like very serious diseases. So I like like what they're doing, like the mission. She's the current CEO. And when we go to her boards, hey, we're metric staffs, she's a Hall of Famer. Her overall. Winery is point. Eight, one or 81%. She has great ibida. Great TS. Well, average really love her it up two. That's Mind boggling Mercy's. Great one. Yeah, it's perfect unread. It unrated for carbon. We have just we have to teach Jesse how to say the average is bad. I know. And then She's batting a thousand, she's batting a thousand for controversies 1000. Yeah, okay. So The Hall of Famer. That, how long has? She been doing now. We do know, we're gonna look it up on some other details for you. Jesse where you're looking at up? She also has an MD from bu. Oh, she has an MD and she sits on the board of something called Ginkgo bioworks. Holdings already hate that if that helps. I didn't really pay too much. Into. Like the school and stuff because these people are really did. Your due diligence really did due diligence people. All right. Times up. Jesse anybody else want to weigh in here on her number one. Pick four 120. April 1st 2020 reshma cool Armani. The number one pick in our 2022. Even YouTube her to find out how you say her. Name. Say it again, say it again. Say the wall Romani. Okay. Thank you. All right, so, I had a grade three on her. She was on my list. Here's the filter I used on our data, to get to her, it was I wanted, I was looking for a chair so CEO or chair Hall of Famer. So we have in our metrics, whether they're all Famer and All Star, you know, rotation player where they where they play. I wanted someone with greater than 25% influence but less than 50% influence. I didn't want somebody who like controlled the entire board by themselves. I want them to be non-white and I wanted to be less than 60 years old. Do you know how many people in the S&P 500 fit that description? Tell us three. There are three people in the S&P 500 who are Hall of Famers. Between 25 and 50% influence and less than 60 years old that are non white. Well, I have to say to both you and Jesse. So we have two minutes rebuttal time. But I will say to both of you. Our criteria must have been essentially the same because she also was my number one. Pick age was important for me. I wanted someone who's gonna last well she's only. Yeah. She's 50. Wait 49 509. 50 years old. Yeah, so she's gonna be around for a while. That was important, I didn't want to put some like 78 and you guys would be like, okay, well this person, you know, not gonna last and blah blah, I think this is a great pick. I I had it as a third round pick, but I think this is a really strong pick out of the gate. So I'm gonna give Jesse High marks for stealing it from Friday. That's what I think happened. I always think before. I go ahead just filtered. It was very, I feel like we probably did the same filter. I filtered, All the Caucasian. I took all the men out just 20 seconds. Why'd you take all the men out? Why give us? Tell us why she's my CEO. I want a woman. I also wanted a female chair and then the rest could be male. I took all of my out. Wow. Okay, thank you. Okay, this is a good. We can segue over to Ari for her pick for CEO in the 2023 draft, but I will say the way this game is gonna work and they coming weeks is that we are gonna pick controversial events and throw them at our teams and we're going to decide whose team is best suited to handle these events. And one of the reasons why are why I did pick a CEO from a healthcare sector. And from farmer was because a lot of our modern day problems, do come from this world Healthcare drug. So, I actually wanted to see from farmer or health care. Anyway. All right, to pick in the clock. Think Damien than an outsider to healthcare and Pharma can deal with such controversial events. They don't have to come from the inside specially, if you have someone as prepared as the CEO that I pick, Excited. My CEO pick is Jennifer, Rumsey, Jen. Rumsey of comments. Oh, no, I don't know. If you remember from one of our Friday wrap-up stories could list of the weeks that Cummins is doing amazing things in green hydrogen technology, being spearheaded by Jennifer Ramsey herself. Of course, there's a battery involved. In this, we couldn't have a conversation with a battery. Why aren't they carbon rated them? Well, she is it because she's been there since last year. Has been there since 2021 but she has previous before becoming CEO of Cummins. Well, she's about the company for over 20 years before that she was CEO. And before that, she was CTO, This, she's actually in. This is why my opinion maybe biased and why I think she can deal with whatever gets thrown at her, but she is an engineer. She has an undergrad degree from Purdue in mechanical engineering. She has a master's degree from MIT, in mechanical engineer. She just knows how to solve problems, man, she sit on any other boards. She does not sit on any other boards. She's gonna be highly dedicated to your dedicated. I like her. She was the first female CEO in the company's 100, over 100 Year history, which is not surprising because, you know, comments, if you don't know, they make diesel engines, so it really is a boy's world out there and she has managed to rip through it, starting in the 90s because she's only 48 years old capable, and people noticed and put her at the top Jennifer Ramsey, CEO coming to always pick number two in our draft. We have two minute rebuttal time, when anyone like, to tear the pick apart, I don't crazy. I don't have any comments. Don't they do all. So like instruments of war is Industrials their business. Well they yes because yes when you go to war you use diesel engines so you buy them from coming. Yeah, I I don't do. We want that. Are we looking for someone who's like okay manufacturing like military grade weapons for Russia or something? Is 2023 that could be a controversy. Yes. And the game, what's her controversy batting average? Exactly what is coming. She is hitting a robot. Very robust 1000 also perfect. So she doesn't have any controversies, you know, it's hard to argue that the pick, but clearly there's a pattern here, which is, we're going for women CEOs. Well, he's only gonna be like seven left. She's very fresh though. She did start in August of 2012. Yeah, she's new. She will say this. Her total stockholder return TSR batting average a little below average at 4:57. He's new right? I'm just saying people. Even this Green Tech thing going forward. Don't worry about that. The thing I would be worried about is on her board. I did notice that she has a big fat. Yes. For one of the influence drivers being her board connections, which suggests that, that she may have gotten the job because she knows the people. She's been there for 20 years for a long time. Yeah. And that is not a qualification that I'm as stoked about like but she's got the experience, she was not on my draft board. So I don't have a board. I, I'm gonna be honest with you. I actually, I actually filtered out Caucasian from my CEO too. Of course you did lunch for the rest of the category is my mind. You just see. All right, let's move on hates the show. The next Pick is in Damien Raul. I'm going to the second pick on my draft board for CEO. Jesse, you took mine, actually, it's exactly who I wanted. So I'm gonna go. Number two, was a really important for me to have someone in charge from it from the information technology sector because I complain about this non-stop, how come you aren't ready for cybersecurity attacks. So I thought put my money in my mouth is I went with out of Arista Network. So another Hall of Famer in our data Jai, SRI Lal. That was a little, my second we had just take Jade Street along with a overall win, a winning batting average of 783, according to our data, including a big one for me earnings hitting at 800 Wow, that's a solid earnings batting average, 916 carbon batting average and the perfect controversies average at 1,000. So she She fit the bill for me. I mean, again I I did want the number one, pick to be someone else so but I'm happy. I'm okay with this J. Street law, Arista. Networks is my dick. I mostly I can't believe who's left on the board for me like, you fools. I don't know what you're doing. No, go ahead. You a man? I don't know. I don't know who this person is. What are up here? Clearly, did not do a top level diversity. Well, yeah, we like, we just see. We must have been thinking the same if you had the exact same board. But is there a bottle here? We move on to the next pitch. How old is your person? She's 61. Oh, she's ancient. As we know, as we know in the corporate world, it's not. I wouldn't call that ancient call that like that middle of the road. Yeah. Um, what I'm shocked about actually rebuttal wise is that like the majors are still there? Yes, for some reason, we we've gotten rid of like no one wants Mary Barra, no one wants Safra Catz, okay? I'm gonna tell you why, I'm gonna tell you why eliminated, Mary Barrett is because she really, she's suffers and contribution. I didn't want to get anything near, I didn't want to touch it, but Safra Catz. What, why do we get rid of? Africa's is one of the most overlooked female CEOs and Lynn, good too. Like, we don't like Duke Energy. We're leaving them the majors on the board, but what are we doing? South Africa's Winery is only at 3 9 9. Major players. She's one of the most connected board members in the world. Our Network Power. I am up next. I'm not picking her. Let's move on cats. Matt mascardi up next 2023 companies. Team draft. What he got on my pick is in my pick is the most obvious pick on the entire board. You all said, we hate white men. I said I don't care about white men especially when they're gay. White men, I'm going with Tim Cook. This CEO in the entire world. That one, it's a great choice. It's a great choice. He's still 62 years old that, which is the show part of the shocking part here. Is he is younger than the average age of a board member, right? He's the CEO of the Apple. He sits on the board of Nike where he's all the lead independent director of Nike, right? So he's got exposure as leading. I can slot him in two spots. That's winning. He's the most winningest CEO currently. I don't need to look. Apple has its problems, but it's also the largest most valuable company in the world. I don't know how we could. Leave him on the board. If you want somebody with some cache, a on your board who, you know, is going to perform over the next 10 years. Can you argue against Tim Cook? No, no, it's a great choice. I think I think we all wanted a woman so I think it's a great choice though, Tim Cook. Yeah I'm gonna like five more women on my board with slots coming up the leader. I just well this is I'm just I'm gonna take Tim Cook while I can because no I can slot them in later as chair or lead independent director, but the other people I have will slot in multiple slots. All so you went you took advantage of the draft board and away because you knew that the three of us would would focus on a woman. So you took advantage of the board. Well yeah, I'm just you all have a blind spot. We'll say This Racist for those of you listening at home, which is everybody because I hope because it's not just us. I don't listen to the show later. Tim Cook is batting overall 587, including an earnings batting average for 704 and a pretty high TSR 577. So, he's just, he's a, just a great solid. This is this, the overall performer. He's been in his position for probably the longest that event, definitely the longest 10 years. I think about when did Steve Jobs die about 10 years ago, so much like that 11. Yeah, since 2011, and let's be honest. Apple, the most important the biggest company on the planet now. Yeah. Hey, they're going into banking now? True. True. So that's the winds pouring. Baby. Any other bundle there just you know Ari know I like to cook. Okay, so I think we're all pretty happy. So I'm gonna read, I'm gonna recap the first round for you here, in this incredibly awesome draft. Why don't make it sounds sarcastic, Jesse. Coming in, you pronounce the name, Jesse, you did your research, who's your pick is rushma kawal. Romani at a Vertex Pharmaceuticals already came in with Jennifer Ramsey from Cummins. Damien, that's me. Jay she Lowell from Arista networks, can't even say Matt coming and also, from the, it sector mascot, Tim Cook. Gotta Apple again, Jesse cyber security, just the Orient, Damon all filtered for a female CEO, putting our money, where our mouth is. Although, you know, I think we we bitch and moan about this more than that does. So it's okay, that the guy wearing a gay male like okay, come on, okay with that. So let's move on to the second round. The second round. We are picking people, they have to be current board, chairs S&P, 500 companies, That's what you can pick from to be your board. Chair of your newly formed company. Round two is in I'm Very excited for this, Jesse. Okay, my board chair. Pick is Lawton, fit. Whoa! What company? Let me give you some background information. She's from the Progressive Corporation. So Progressive Insurance. Oh no, I think that's a good choice. I think that's a good sector Choice. She's a brown Alum. Matt, I like her better know she studied European history. Which is kind of cool because now is not there so she's multifaceted. She went to the Peace Corps after graduating and served in Burkina Faso. Okay still does a lot of non-profit work but she was an investment banker with Goldman Sachs for most of her career. A to the board of progressive. So let me go over some of her board, saber metrics, yes, and not wearing rate 6:30 to. Oh yeah, okay, um, she is a terrible terrible, ibido rate. So, tell us 294, oh, baseball. That wouldn't be too bad in boards here playing baseball but her controversy rate is near a thousand her knee. And intensity is 6:30 a.m. her TSR is 5:30 8 pretty good. Congratulations near 1000 pretty good. Great name though. Jesse Lawton is a great name. I got to tell you why. In fact? Okay, that's that's what I got you guys are rebuttal, not you already had a lot of negative things to say, know what? I well Progressive is a interesting choice as companies go, like you've chosen a farmer and an insurance company, both of those feel and pathetical to the Jesse that works here and hates. Everything about drugs and the, you know, like the financial industrial complex. Chose a banker, my backgrounds. And finally, like I like now we just cornered, Jesse and dosing. She liked the banker. I feel like that's the victory. Like I don't have anything bad to say necessarily except that it's really hard. If you're not going to take someone with cash, a, to take someone who's a bit of batting average is sub 400 because as soon as the shit hits the fan, who do they fire? They fire, the ones that can't don't work at companies with earnings, right? Like that's that's I think I think she's gonna be in a position where she's on the chopping block if she doesn't produce. Otherwise I like that. She's a brown grad. Shout out to alumni and you're in history. That's a win. I'm glad you brought this up because we don't actually have that stipulation in our rules yet. What happens if one of our team members gets fired? Oh, points wave the rest season. But do we have access to the waiver wire? How does this work? Oh, you're gonna have to replace them but we're gonna have to set up. Yeah. Maybe 1500 maybe not S&P 500. Maybe we go to the next 1000. Maybe. Yeah. The following 1000 you have to get from the miners. Hi, Jesse. All I'm going to say is I do agree with Matt with the earnings call. Their her average is a bit low but I I don't know if you played the game the way I did Jesse but I actually focused in very much on industry like on their industry expertise. I wanted to balance Company, that could handle. Controversies from all different fields. So I'm I can understand your pick. I understand insurance. I understand Healthcare. There you go. Number two. Pick their All right, Aries up Aries. Number two. Pick round two. My Pick 4, the chair of my board is Anne Gate's. Oh I don't know that I'm supposed to know that. Go ahead, it's a luxury fashion company. Oh people more than luxury fashion, what? Come on. Now so far, go ahead. She took over his chair after the previous chair resigned in shame during an event into his personal Behavior. Basically, it was a creepy, dude woman to the rescue, I like it. Alright. And here comes an Um, you know what this board? Well the board is tapestry has a bunch of women on it. So there were probably like, okay you're creeped, you need to leave and then and became chair. She also serves on the chair of the nominating committee, so you know, she has actual, you know, duties on this board besides just being chair. She's the one that Recruits people to join this board. This is not selling it and I'm not sold on and because she's the head of a stupid committee, she's a chair of the board and the chair of her staff. She's definitely above average and she does really well at data Queen's. Gotta look up the data, her overall batting. Average is a 524 for being a luxury fashion company. Her carbon intensity. Winery is the 6:49 come on? That's great. That's not bad. This pic, but okay, that's fine. You don't have to, I don't have to. You're right. Let's see. What else can I tell you about her? You don't have to tell us anything else we can, we can go on moves to rebuttal. All right. Anyone have anything against this pick? I, I'm not wowed by our performance number. I forgot. Something really good on her resume that have found she oh, she came from Pepsi. Pepsi's know you turning out successful women? Like most of the female CEOs, right now, most of the female chairs, we actually had some stints at Pepsi. She was also named She was on the power list of Britain's 100 most influential black people. I know there's only like 105 black people there but still okay. And yeah, that's it. I mean black female chair is is a big big issue? There's not a lot of black female chairs, however, this was the second pick overall. And you can go with anyone who's a CEO chair combination. And this seems like a deep cut for the second pick. This feels, this feels like a backup chair know. This is my way to get to mine. Wait to get to mine. She showed up for me, but she was just like real mediocre with our boardroom Matrix data. So I was like yeah, she's like, I'm not impressed with her, I'm impressed with her batting. Average is overall real mediocre. Never something you want to hear you good to the black to the draft. Damien's pick is in. That's me. We've been just argue about this over in the draft room, okay? This is difficult for me because my actual number one pick was the chair of adobe shantanu, narayen But I don't want to have a CEO and chair who are both in it. So, I'm gonna go to the number two, pick on my draft board. And I'm I'm feeling a little hesitant about this, but I gotta go with that. I don't have any other options here and I wanted a man somewhere in the company, I feel like I Gotta Have. You Gotta feel safe. I wanted I wanted to pick from you. Tell utilities sector, I wanted something from energy, it just in case I am thinking about the game. I'm not just thinking about the picks. So I'm thinking about the whole team being able to fight off certain world events because I want to win this game. So I went with a very strange pick for us for this show. John Ketchum a white dude. From Wow from next error energy. Are you call this company? That's a solid utility right there. And this is why, because again, I leaned, very heavily on two things in this game. And that is what were the, what is their expertise? And how do they look from our perspective? Board saber metrics ratings and this guy is killing it. He's got a 731 overall average including earnings at 8:53, TSR 633 carbonate, a 56 I think the guy is just he's a player. This guy is a star in our world. A high performer. There it is, that's my pick. John Ketchum is my chair nextera energy. Remember that was my number two. Pick actually on my draft board, but I had how many, so how is he on? Just their board. He's CEO and chair of their board John Ketchum. All so yeah he's all so they have a partner company called nextera Energy Partners LP don't get I don't you know really know what's going on there. He's on both of those boards next Tara Energy Inc. End Partners. LP. Look at the only thing we could say this negative about him. Is that? He's a white guy and give me a break. Yeah. So is not that bad. No it's it's boring. Yeah. So I did, I wanted a lawyer. I wanted a JD he has a JD so that's that's also why I picked him. That's a solid expertise choice. Right there. A JD more energy. Boring but nerdy picked their know what I what I like is that you're playing the game right now. You got the it plus cyber security expert. Now you got the energy person but yeah, transition energy person. Next era is a triple A rated msci, ESG company. Yeah, strong on carbon for the utility is an 850. Solid choice if boring. It's no I don't think Tim Cook is born actually I think he's sexy. Yeah, this world. Nothing says sexy. It was hard for me. CEO of the largest company in the world. It was hard for me when I filtered out for all milder CEOs and Tim Cook's name dropped off my draft where I felt sad. I feel so sad. I'll tell you. All right, so I have nothing bad to say about this. Pick the next pick is in Matt mascardi. Oh, this is the last pick of today's show. By the way, this is. All right. Here is the last pick of for today's show. Here's what I'm gonna say. I ignored some of the traditional sabermetrics like performance metrics. Okay interesting. I did not put that in the filter. Here's what I'm gonna say, Williams College undergrad. Poli SCI major? Yeah, you're selling this in a weird way. Okay. Vanderbilt MBA, yeah. Worked her way up, Carlisle through a number of companies, she's been everything from the head of product. The head of strategy to the Chief Financial Officer. She behind the diversity efforts at NASDAQ, which is changing my face of diversity. She is Adina Friedman, the chair and CEO of NASDAQ she's 50, four years young. So I have On my team right now, I would have Adena Friedman, the chair of NASDAQ and Tim Cook. The CEO of Apple, I couldn't think of a greater power Duo than that. Those two people right off the bat for my company. I can go into deep Cuts. Next, I got five more that I can fill out here easily but now I am I feel like I'm you rubs just like went right for the obvious thing which is like let's filter out all the white man and takes somebody in Trumann Wrong by my chair. Pick John Ketchum, proving. I'm just saying, it's tell me something bad about a dean of freedmen. Well, I can't share of NASDAQ. I actually can't tell you, you say, go ahead. I was gonna say her ibida is 317. You were just making very poor for everybody. I said, I'm looking for leadership. What's, what's her carbon batting? Average? I was trying to get her that are very into the environment on my board and clearly you're not gonna have a majority environmental friendly board and Adina brings leadership that you can't get anywhere else. I'm just saying she also has a black Belt and Taekwondo. Yes. How many black belts are on your board. Yeah, right. I almost picked her and you know what? For an Gates. I was looking at leadership math. You can't go backwards. You stepped up. You can't talk about and Gates. Now, we're talking about the dean of freedmen, but just so you guys know, none of these little anecdotes are gonna help you during the game. You're little of like her leadership, she stepped up, like, that doesn't come through in the in the objective criteria represent, does imagine a world, me too world event and I have the leader in diversity and Finance on my board. Matt, I hope for your sake next week. We'll continue the draft with round two. I hope you start to add some players who perform well and our metrics because you might, you might suffer if you don't. You got some Hall of Fame Hall of Fame players, that's all we got for today's trap. Want to know why we have to leave? Because all of us have to leave and go do other things, but that's it for today. Next week, we've got lead into Benedict and structure and three committee, chairs, three committee chairs. Our team, we're gonna fill out our teams and then we will give you regular updates on our world events. That's it for business pants. That's Damien rolles and ours. 2023 Freeport business pants corporate team draft. He was for, I was full of BS until tomorrow's wrap-up show. Goodbye.