3-1-4: Why do Banks Fail?
3 links, 1 thought, and 4 tweets. I hope they give you the most value for the least time every week.
3 Links To Make You Think
The Quality Cliff: A Mental Model for CMOs
A helpful framework to think about performance - where else is this applicable?
Silicon Valley Bank's fatal communications flaw
A too harsh reminder of how important communication timing and tone can be.
Confirmed: the new Bing runs on OpenAI’s GPT-4
I continue to be amazed at the pace of change in the AI community.
The Thought
On Trust.
Sorry I have not sent the 3-1-4 in a minute. I will get better. But I bet it makes you trust me less and rely on this e-mail less.
My favorite parable about trust is: You have two friends you always text. One of them always responds within 10 mins, even if it’s only to tell you they are jammed. The other one sometimes responds within 1 minute and sometimes within a week, and other times never at all.
Now, your house is on fire. Who are you going to text?
It becomes super obvious and validates the famous Warren Buffet quote: "It takes 20 years to build a reputation and five minutes to ruin it.“
And if you’re wondering why banks fail, there’s your answer! Trust. SVB was a wonderful bank for 40 years (I am a client of over 10) but failed within a day. All businesses rely heavily on trust, but banks are a special case.
So, where are you hurting trust in your business, and what can you do to improve it?
4 Tweets
This is a great idea to hold people accountable and avoid unnecessary spending. A hack to achieve zero-based budgeting!
How many other brands are missing the same opportunity?
This served as a nice reminder of how central gaming is to many people’s lives. If you’re not a gamer, you should still be aware of what is happening.
I had a lot of fun breaking down one of my favorite companies on this episode. Check it out, and I hope you enjoy it as much as I did!