Financial management comes with big responsibilities and leaders that attain this title are the Koch brothers. Charles G. and David H. have been on the headlines for controversial behaviour, however, they have potential. First of all, their ability to inherit a multi-million dollar family business and to expand it into a multi-billion dollar company has substantial value and meaning. This ultimately gives them an advantage over many other businessmen dealing with capital.
The Koch brothers are well known for their million dollar pledges to help politicians such as the Democratic Party within the U.S Senate and House. To say the least, the Koch brother’s style of leadership is democratic because of their power to directly influence and to “openly” share ideas with people in their business. Sometimes, The Koch brothers take a laidback approach and put their trust in the shareholders and legislators. Therefore, one can also consider their leadership style as laissez-faire. When applied, they can strengthen the bonding of our team with entrustment.
On the other hand, many artists, medical centres, and universities are benefitting from Koch’s pledges. Specific examples include a $25 million grant to the United Negro College which had lead to the advancement of programs investing in the understanding of the nature of human freedom. Other places benefitting from the donations include the Smithsonian Museum and the PBS series NOVA. Interestingly, their contributions have covered different aspects of life including the support of education to the promotion of biodiversity.
In order for this to succeed, they need clever strategic financial management. With elections coming up on a regular basis, management needs to be directed towards the share of financial resources. Some skills consist of personal time management, goal setting, accountability, and a strong sense of ambition.
Over the past 15 years, they have evaluated rate of return and leveraged politics to their side. Thus, helping expand their oil refineries and increasing profits which has lead to their success. These skills can be transferable to our team when we are dealing with economic downturn.
Will you invite the Koch Brothers to your team? Why or why not?