Gloom to Boom

U.S. Deficit Visualized

noreply@blogger.com (Jim Hu) — Wed, 10 Jun 2009 07:22:00 +0000

The New York Times has a fascinating graphic visualizing the sources of our $1 trillion national debt. More details from the article. This graphic would be great to read over a bowl of cereal.

Creativity in the Time of Recession: A Filmmaker's Dilemma

noreply@blogger.com (Jim Hu) — Mon, 08 Jun 2009 04:13:00 +0000

Editor's Note: Gloom to Boom is pleased to welcome guest blogger and filmmaker Betty Teng, who explains how the downturn forced her to discard the status quo and embrace a new approach to realizing her creative vision.

“Your barriers are also your gates.”
— John Daido Loori
Abbott, Zen Mountain Monastery

It may be a bit of a stretch to quote a Zen master when writing about innovation during tough economic times, but when Gloom to Boom asked me to share my story of how I’m raising money for an independent feature film during the worst economic crisis in recent history, I saw no better way to talk about my experience than to reflect on the notion that hitting a wall can also mean encountering hidden opportunity.

My film, Maestro, Maestro is about the artistic struggle between an orphaned teenaged music prodigy and an aging composer-conductor with writer’s block. I budgeted the film at $2.5 million, and I started looking for private equity funds early last year.

That summer, as I was scouting locations and meeting with contacts in San Francisco (where Maestro is set), I met an investor through a member of my producing team. He was a media consultant who specialized in cross-platform marketing, and he had learned that the San Francisco Symphony was eager to expand its appeal, especially with younger audiences. Our film was an ideal vehicle for the Symphony’s objectives. The plan was to get the SF Symphony’s biggest donors to fund our project, and in exchange we would feature the Symphony and its performance space in the film.

Last fall, talks between our team and the Symphony progressed with a pace and fluidity that had even me, an inveterate pessimist, hopeful. There was even talk of Maestro becoming a special feature of the Symphony’s 100th anniversary program in 2011. Our liaison — a development director with the Symphony — was all set to present our plan at a wider Symphony board meeting in early October.

That week, Lehman Brothers collapsed.

As the banking crisis grew to epic proportions, its effect on symphonies and opera houses across the country was almost immediate. Cultural institutions nation-wide were forced to lay off staff and cut programming due to the massive loss in donors and endowments. Within a few weeks these problems hit the San Francisco Symphony, and all talks of their interest in Maestro froze.

Since October, I have been investigating ways to make my film for a significantly smaller budget without compromising its story. Initially, this seemed impossible. Its setting in San Francisco and our need for a full symphony orchestra prevented our budget from shrinking much below $2.5 million, a price which has become prohibitive for an independent film.

As I had done a couple of times in the past, I confronted the possibility of shelving Maestro for good.

Then in the early winter, a New York literary agent specializing in graphic novels contacted me. An illustrator friend had passed him Maestro’s script and the agent felt the story would translate well into a graphic novel. He saw its potential appeal with teen girls, the fastest growing audience in that market.

I’d never thought of my film as a graphic novel. Ironically, I had been researching comic book artists for the past few years for another project, but never considered writing one myself. After years of struggling to raise millions and garner the support of dozens for Maestro, however, the notion of working with just one illustrator (or at most, a team of 2-3 illustrators) was refreshingly simple — and cost effective. Telling the story in illustrations would also allow us to preserve the story’s San Francisco setting and include a full symphony orchestra without adding a million dollars to its budget. I agreed to the agent’s suggestion that we find an illustrator to create a proposal to shop around to publishers.

While it’s been freeing to consider Maestro in a 2-D illustrated form, I have felt one creative compromise. While I have no doubts the right illustrator will find a compelling way to express Maestro’s music with ink and paper, it is impossible in a book to deliver the actual melody which haunts the lead characters. My wish to hear the story’s music alongside expressive illustrations led me to consider a suddenly-obvious medium: Animation.

It’s a good time for animated films. Notwithstanding the popularity of Pixar’s most recent film Up, rapid advancements in digital technology have made animation an increasingly accessible tool for independent filmmakers. As a result, innovative and highly-acclaimed movies like Waltz With Bashir, Sita Sings the Blues, and Persepolis have proven that audiences are receptive to all types of stories told in this form.

As a live-action filmmaker and editor, I have a sense of how animated films are made, but really require the help of computer graphics professionals in this plan to convert Maestro into an animated feature. Turns out, I’m not having to look too far. As I’ve been talking to investors, colleagues and friends about my idea, a number of contacts into the animation world have surfaced, including a friend’s brother who heads the animation division of an established New York commercial house. After a couple of conversations, he asked me to consider him and his studio as my “go-to” resource as I explore how we might bring Maestro into the animated realm.

Eight months ago, I could not have predicted this scenario. I had conceived of Maestro as an art-house film along the lines of movies like Shine, Good Will Hunting, or Billy Elliot. But with systemic changes in the independent film market coupled with the current downturn in the global economy, viable funding and distribution models for films budgeted in the $2 to $5 million range are essentially extinct. While this has been a hard reality to face, I have been heartened to find, in the rubble of one plan, newer and fleeter possibilities for delivering Maestro to the world.

If recent challenges have taught me anything, they’ve confirmed the Zen master’s insightful statement above. Hard times force tough compromises. But they also cause one to clarify what matters most in a project, in a career — even in a life. Such answers don’t come quickly or easily, but when they emerge, they are, I suspect, keys to the hidden doors that exist within every barrier.

Betty Teng is a writer, filmmaker and film editor. Her script, Maestro, Maestro has been a grand prize winner of Francis Ford Coppola’s American Zoetrope Screenplay Contest. Check out her visual blog, ACROBATIC FLOTSAM + JETSAM at: http://acrobaticflotsamandjetsam.blogspot.com/

Next Week: A Filmmaker's Dilemma

noreply@blogger.com (Jim Hu) — Fri, 05 Jun 2009 16:09:00 +0000

On Monday, Gloom to Boom will welcome its first guest blogger Betty Teng, a writer, filmmaker and film editor based in New York. Betty will share a fascinating story about how the credit crisis forced her to become more innovative in her approach to producing her film Maestro Maestro. Even though the recession has challenged the traditional model for making a film, it has forced open new doors for Betty to realize her vision. Here's an excerpt:

With systemic changes in the independent film market coupled with the current downturn in the global economy, viable funding and distribution models for films budgeted in the $2 to $5 million range are essentially extinct. While this has been a hard reality to face, I have been heartened to find, in the rubble of one plan, newer and fleeter possibilities for delivering Maestro to the world.

Please join us on Monday to learn about Betty's story. Hopefully it will inspire you to take a second look at your plans.

Consumer Confidence Soars

noreply@blogger.com (Jim Hu) — Tue, 26 May 2009 18:28:00 +0000

This is great news. Despite the doom and gloom among economists and the media, the Conference Board today reported an unexpected surge in consumer confidence. In fact, the index reached its higher level since the collapse of Lehman Bros. in September that caused the credit market freeze.

For this month, the index reached 54.9, up from 40.8 in April. Expectations for the next six months rose to 72.3 from 51.0 in April. That's quite a leap.

While encouraging, the numbers are at odds with recent trends. Housing data in 20 major metropolitan areas declined in March by 18.7 percent, according to the Standard & Poor’s Case-Shiller Home Price Index that was released today. Earlier this month, the Commerce Department said retail sales fell 0.4 percent in April, following a 1.3 percent drop in March. Meanwhile the U.S. unemployment rate reached 8.6 percent in April.

Still, the Conference Board gave a rosy assessment of the state of the economy through the eyes of consumers:

"Consumers are considerably less pessimistic than they were earlier this year, and expectations are that business conditions, the labor market and incomes will improve in the coming months," Lynn Franco, Director of The Conference Board Consumer Research Center, said in a press release. "While confidence is still weak by historical standards, as far as consumers are concerned, the worst is now behind us."

Bold words. Let's hope she's right.

Fuel Efficiency Standards Take Shape (Finally)

noreply@blogger.com (Jim Hu) — Tue, 19 May 2009 14:23:00 +0000

After years of stalled legislation, federal neglect and successful industry lobbying, it appears there's finally agreement in setting a national fuel efficiency standard. The Obama Administration is modeling the regulations after California's effort, which was introduced in 2002 but stalled by auto industry lawsuits and Congressional debates. Now with the auto industry in bankruptcy protection and receiving billions of dollars from the government, lawmakers see a way toward a national fuel efficiency standard. If everything works out, cars will be running an average of 35.5 miles per gallon by 2016. That's more efficient than my Honda Civic Hybrid in the city.

As I've written in the past, most projections show U.S. oil demand within the next 20 years outpacing oil production and current import levels. The most effective way to confront this problem is to reduce demand by either convincing consumers to drive less, or force fuel efficiency standards.

I'm glad the economic implosion has forced the auto industry to do what's right. Hopefully American cars will redefine the market by creating fuel efficient cars that people will love.

Jerry Yang on Recession and Re-Birth

noreply@blogger.com (Jim Hu) — Mon, 18 May 2009 17:25:00 +0000

(Photo by Ken Hupp)

Great quote from Yahoo! co-founder Jerry Yang during his commencement speech at the University of Hawaii at Hilo. An excerpt from KPUA.net:

“I can promise you that great things are being started right now in this downturn in our economy. Yahoo started in an economic downturn in the early 90’s,” Yang said. “Other great companies, great ideas, products, even social movements have come about as people are throwing away the status quo and doing everything in new ways.”

According the KPUA, Yang added that "success doesn’t come from a high I.Q. or talent, but a willingness to work hard coupled with relentless preparation."

So true, Jerry. Reminds me of a gigantic billboard I saw last night coming off the Bay Bridge that read something along the lines of "Bill Gates started Microsoft during an economic recession" (from my memory). The next big idea is being conceived in cafes, universities and impromptu get-togethers. Nothing better than a downturn to force people to innovate and challenge the status quo.

Let's hear from you. Have you seen examples of people using their ingenuity in the face of unemployment or setbacks to challenge the status quo?

Retirees: "What recession?"

noreply@blogger.com (Jim Hu) — Fri, 15 May 2009 15:19:00 +0000

(Photo courtesy of ted.sali via Flickr)

Interesting report from the Pew Research Center. The study examines the recession's behavioral and psychological effects by age group, especially among older Americans. The conclusion: retirees are handling it much better than younger folk. Those surveyed who are older than 65 were less likely to have cut back on spending, suffered a loss on their retirement investments, or experienced greater stress in their families. Pew calls it a "kinder, gentler recession" for this group.

In contrast, people bucketed in the 50-64 age range feel like they're getting hosed. A large percentage of them reported greater investment losses, familial stress and spending cutbacks since the onset of the recession. This "Threshold Generation," as Pew labels them, is more exposed to Wall Street fluctuations and, not surprisingly, less confident they will build enough of a nest egg for retirement.

The study also points to other factors such as income and race that affect the results.

Maybe this is the reason why my parents are still so stinkin' happy all the time. Perhaps it's their longer-term view of the world and the acceptance that circumstances will bounce back despite the difficulties. My parents grew up during the height of World War II and still have vivid memories of hiding in bomb shelters in China. They decided to leave their families in their mid-20's and settle in a foreign country where they've lived for more than 40 years. They've lived through recessions, booms, busts, oil crises and drafts. And yet every weekend you'll find them singing, dancing and laughing with their friends.

Mochas and the Next Google

noreply@blogger.com (Jim Hu) — Tue, 12 May 2009 14:55:00 +0000

(Photo courtesy of Yelp)

On the corner of Castro St. and Villa St. in downtown Mountain View sits Red Rock Coffee, a local cafe where I believe some innovative and lucrative ideas are being formed. When you enter, the place looks like any other cafe with its small tables and clusters of customers waiting for their lattes.

Walk up a flight of stairs and you arrive in an open space where a decent sound system covers the tapping of laptops and the hum of conversations. Every time I'm up there working, I wonder if the guys sitting next to me are sowing the seeds for the next Google. Red Rock is just one of many local haunts around the world where big ideas are being created every day. It goes to show that despite unemployment, people are getting out there and taking risks to turn ideas into start-ups. I love the entrepreneurial spirit.

The Freelance Economy Is Growing

noreply@blogger.com (Jim Hu) — Wed, 06 May 2009 15:07:00 +0000

I stumbled upon some interesting data in this Wall Street Journal article (subscription required). It details the growth of the freelance marketplace based on the number listings posted on job boards geared for matching professionals to temporary projects. Some numbers according to the WSJ:

Between January and March, employers posted 70,500 of these work-for-hire positions on Elance.com and 43,000 on Odesk.com, which represents increases of 35% and 105%, respectively, from the same period in 2008. Sologig.com, which lists remote and on-site freelance jobs, says its average monthly postings have more than doubled to around 13,500 per month in the past year. In March, there were 750 jobs listed on VirtualAssistants.com, versus 400 in March 2008.

This is not surprising. From the people I talk to who are still employed, they face more work and fewer resources due to layoffs. Freelancing seems like a good opportunity for corporations who want to hire workers without paying them benefits. The article also profiles one woman who makes more money as a freelancer than in her previous salary job. Some good news for people looking to make some money while searching for their next full time job.

The article also gives tips on how to get started on freelance sites:

1. Be specific about your skills and expertise.
2. To set your rate, research how much experienced freelancers charge by looking at their profile pages. Then set your rate slightly lower if you're starting out.
3. Start small. Offer a few hours of work to prove yourself.
4. Negotiate your work with employers over the phone. The personal touch adds a level of trust.

Tapping the Skilled Volunteer Pool

noreply@blogger.com (Jim Hu) — Mon, 04 May 2009 16:28:00 +0000

I've been trying to volunteer more. So far this year I've hacked away vines and bushes along a San Francisco sidewalk, planted native shrubs in the Palo Alto wetlands, and distributed food to needy families in Daly City. I've learned a lot about ways to serve the community, and the experiences have made me think about the way non-profits are run. I've seen some effective non-profits and some not-so-effective ones too.

Based on my experiences I have developed an idea. Given the state of our economy and number of people out of work, non-profits can improve their operations by tapping the pool of highly skilled workers who are unemployed. There are scores of marketers, salespeople, designers, financial planners, consultants, programmers and engineers are out there waiting by their phones, scanning job boards and wasting away watching Tivo. While finding a job should be their top priority, I think unemployed professionals would jump at the chance to help non-profits if opportunities were presented the right way. Here are some suggestions:

1. Make them easy to find
There are some great online resources for people to find volunteer opportunities. In the San Francisco Bay Area, organizations such as Hands On Bay Area and One Root have searchable databases that allow people to sign up for an event online. Other national organizations such as USA Service are pretty good too. Most of these events are focused on unskilled, but essential, work to help their cause. What if non-profits posted needs for professional services?

2. Offer projects
Demand for professional services should be packaged as projects rather than one-timers or open-ended engagements. Unemployed professionals are afraid to make long-term commitments, fearing time away from focusing on their job search, and one-timers would offer marginal benefit to non-profits. A specific engagement with a clear idea of time commitment and duration would help people balance their schedules and manage their resources better.

3. Build skills
Many unemployed professionals don't realize volunteering can build skills that make them more appealing to potential employers. Let's say a non-profit needs help in building out a fund raising plan. Highlighting the skills one could develop (strategy, negotiation, marketing) offers a clear motivation for volunteers.

4. Give recommendations
Once the project is over, offer to write them recommendations on their Linkedin profile. It's a fair value exchange. They offer skilled professional services for free, non-profits offer an added bonus to the volunteer's online resume.

What do you think? Do you have any ideas about how non-profits can take advantage of this skilled labor glut to help them improve their operations? Write a comment below.

In Praise of Susan Boyle

noreply@blogger.com (Jim Hu) — Tue, 21 Apr 2009 16:53:00 +0000

For the past week I've been bombarded by references, Facebook badges, Tweets, news stories and raving blog entries about Susan Boyle, a contestant on the British equivalent of American Idol. Her not-so-attractive mug appeared everywhere I surfed on the Web. I avoided watching her clip, certain she was the reincarnation of William Hung. Sure, it's fun to laugh at people who suck. But we're in desperate times and need to see people triumph over the odds rather than succumb to their misfortunes. So on Sunday night, after finishing up some work and itching for some quick entertainment, I found a clip of Boyle's audition to figure out the fuss.

The video I embedded is the longer version containing the introduction to her audition. The clip sets up a storyline that I speculated: an unemployed, working class woman from a village searching for her 15 minutes of fame. I and everyone else who laid eyes on Boyle expected her to be a lousy singer, driven by delusional aspirations of stardom. Notice the expressions among the audience members and the judges in the packed auditorium. Simon Cowell visibly exhales his eyes when he sees Boyle, and bulges his eyes when she tells him she's 47 (skip to 1:28). People in the audience look around uncomfortably and whisper to their friends. The co-hosts mimic her when she shakes her hips. There stands a women, all alone, blanketed in the spotlight, facing a crowd sharpening their knives to shred her ego to bits.

And then she sings.

In a split second her voice pulls everyone watching her-- in the auditorium, at home, on the computer-- onto the same level. All the labels about her status, her appearance, and her future are gone. Comparisons are meaningless. Within seconds the audience rises to its feet and every face is plastered with a guilty smile. Some sigh in relief. Simon, who plays the role of cynic but deep inside is a softie, beams with wonder and amazement.

Why am I writing about Susan Boyle? She's a reminder of how cynical I have become, and how universally refreshing it is to see someone so human and so brave. And there's something therapeutic about singing.

A few years ago while visiting my parents in Massachusetts, I came home to find my mom standing in front of the TV singing karaoke (I think she was singing Billy Joel). During a pause between verses she turned to me, in mid-hip shake, and declared into the microphone in Mandarin, "Chang ge zi bai bing!", which means "Singing cures a hundred illnesses!" Amen to that.

Check Me Out on Mint.com

noreply@blogger.com (Jim Hu) — Sat, 18 Apr 2009 00:24:00 +0000

Here's a link to my blog post on Mint.com about unemployment survival tips. If you've just arrived from Mint, hello and welcome to Gloom to Boom!

Everybody Loves Oil

noreply@blogger.com (Jim Hu) — Mon, 13 Apr 2009 16:50:00 +0000

As part of my ongoing quest for knowledge during the downturn, I started another course at Stanford called "What's the Real Deal with Oil, Gas and Coal," taught by Prof. Margot Gerritsen. A mathematician by training, her academic career has evolved towards studying ways to make energy extraction and production more efficient and environmentally friendly. An opinionated realist, she agrees in the need for alternative energy, but believes in a more immediate need to improve our management of fossil fuels.

I respect Gerritsen's perspective, especially when looking at the chart that she provided above. Yes, we must reduce our dependency on oil imports. Yes, we need to make up for eight years of lost time. Yes, I believe that American ingenuity can turn alternative energy into a viable option. But let's put the cart in front of the horse.

I've been noodling on this chart for the past couple of weeks because it's revealing. We hear policy wonks in the Obama Administration talking about a 10-year window to reduce the U.S.'s dependence on oil imports from the Middle East and Venezuela. Here's how the Obama Administration plans to reach that goal.

Very noble. But I wonder if, according to Gerritsen's chart, the American thirst for oil could nullify any policy towards greater fuel efficiency. I can understand the economic incentives, but I'll bet the policies required to make this work will move at a snail's pace through the political landmines in Congress.

The solution for now is simply to use less. Complain all you want about politicians and red tape. If you want to stop our reliance on foreign oil, you can either reduce your own oil consumption and/or consider new ways to extract oil in the U.S., which includes opening up ANWR, re-opening off-shore drilling, or selling swaths of the Rocky Mountain range to shale extractors.

Easy solutions, tough choices.

The Price of Marriage

noreply@blogger.com (Jim Hu) — Fri, 10 Apr 2009 15:35:00 +0000

Ah, the wedding industry. My fiancee and I are in the midst of this dance and dealing with the shock and awe of sticker shock. Despite the economy, we haven't seen a massive price reduction in the San Francisco Bay Area among venues, caterers or other services. You'd figure, given the 10% unemployment rate in California, that wedding services might show greater price flexibility. Here are my theories about why we're not experiencing bargains.

1. It's still the Bay Area
All those hills, beaches, forests and vineyards provide enough of a compelling backdrop that demand remains high. I spoke to a wedding coordinator yesterday at a local winery who said despite the bad economy, people still want to spend a lot of money getting married.

2. Expectations for a 2010 recovery
Some venues are giving deals 2009, but returning to their original prices in 2010. It's an interesting dynamic because both consumers and vendors anticipate greater spending next year. If you're desperate for a deal, throw a wedding in December 2009.

3. Maybe I'm just a bad negotiator?
This crosses my mind a lot. Maybe I'm giving in too easily. I should turn over my duties to Ellen, who negotiates for a living. I hope she's reading this. But, I bet the real reason why the wedding industry refuses to budge is because of the next point.

4. They're all in cahoots
Every month, a cabal of caterers, wedding venues and photographers meet to fix prices and gouge consumers. "This month we're going to double the price of halibut!"

On a separate note, this is a funny visualization that I stumbled upon the other day. It shows what kind of engagement ring people of various incomes can afford to buy based on two months of their annual salary. I had no idea lifeguards could afford such nice rings!

Why I Stopped Listening to NPR

noreply@blogger.com (Jim Hu) — Tue, 07 Apr 2009 16:59:00 +0000

I stopped listening to NPR because it's a downer. Let me rephrase-- it's a big Debbie Downer.

This is a big step for me because I've been listening to NPR since high school. I give money them money and I use their messenger bags: one from WNYC in New York and another from KQED in San Francisco. Sometimes if I wake up before my alarm, I turn on NPR and lie in bed half-asleep listening. I subscribe to their podcasts, blog about their shows, and scan headlines from their Websites on my RSS reader.

But as of a week ago, I stopped listening. NPR has become a Debbie Downer.

I understand it's important to report about unemployment, the economy and foreclosures given this unique moment in history. My issue is with their commentators and reporters, who sound like manic-depressive Chicken Littles. "Things are bad! They're getting worse! We're all doomed!!" In some ways I can't blame them. As a former news reporter, I can understand how reporting this financial crisis could get emotionally draining, especially if you're talking to people whose lives have been negatively affected by the downturn. But this tone isn't helping our recovery.

This blog was created on the premise that 1) what goes down must go up, 2) where there's crisis there's also opportunity, and 3) the first step to recovery is psychological. Maybe I'm naïve, but I do believe dread breeds paralysis, and paralysis stifles productivity and creativity. Pulling ourselves out of this recession means good old American ingenuity and optimism.

Goodbye NPR (for now). Hello classic soul and R&B.

The Government Wants YOU to Be Happy

noreply@blogger.com (Jim Hu) — Tue, 31 Mar 2009 16:21:00 +0000

Feeling gloomy about the economy? Never fear, the government is here! Yes, the government, which wants to fix every cog in our sputtering economic system, is here to help you deal with the stress and anxiety of your situation. The Substance Abuse and Mental Health Services Administration has put together an online guide called "Getting Through Tough Economic Times" to help people identify and deal with health risks associated with financial anxiety. The site is almost as fun to visit as the California EDD (EDD has an edge thanks to the reassuring portrait of Arnold). In case you were wondering about the signs of concern, here's SAMHSA's list of warning signs that you or your loved one is going through tough times:

* Persistent Sadness/Crying
* Excessive Anxiety
* Lack of Sleep/Constant Fatigue
* Excessive Irritability/Anger
* Increased drinking
* Illicit drug use, including misuse of medications
* Difficulty paying attention or staying focused
* Apathy - not caring about things that are usually important to you
* Not being able to function as well at work, school or home

Then the site provides some quick tips on how to cope. These are entertaining:

* Trying to keep things in perspective - recognize the good aspects of life and retain hope for the future.
* Strengthening connections with family and friends who can provide important emotional support.
* Engaging in activities such as physical exercise, sports or hobbies that can relieve stress and anxiety.
* Developing new employment skills that can provide a practical and highly effective means of coping and directly address financial difficulties.

Honestly, I think this is a good service. It recognizes that times are tough, and makes an effort to help people deal with an overwhelming sense of anxiety gripping the nation. I've written a couple entries on the things you should doand should not do during unemployment. Taking a step back, I believe the engine for our recovery is partially political, partially financial, and mostly psychological. For the majority of us watching and waiting for things to turn around, the psychological element is so important to manage.

Layoffs at Google

noreply@blogger.com (Jim Hu) — Thu, 26 Mar 2009 18:49:00 +0000

UPDATE 1:05PM: Here's the blog post about the cuts, penned by SVP Omid Kordestani.

Changes to our sales and marketing organizations

3/26/2009 12:20:00 PM
Google has grown very quickly in a very short period of time. When companies grow that quickly it's almost impossible to get everything right—and we certainly didn't. In some areas we've created overlapping organizations which not only duplicate effort but also complicate the decision-making process. That makes our teams less effective and efficient than they should be. In addition, we over-invested in some areas in preparation for the growth trends we were experiencing at the time.

So today we have informed Googlers that we plan to reduce the number of roles within our sales and marketing organizations by just under 200 globally. Making changes of this kind is never easy—and we recognize that the recession makes the timing even more difficult for the Googlers concerned. We did look at a number of different options but ultimately concluded that we had to restructure our organizations in order to improve our effectiveness and efficiency as a business. We will give each person time to try and find another position at Google, as well as outplacement support, and provide severance packages for those who leave the company. Finally, I would like to take this opportunity to thank everyone affected for all they have contributed to Google.

Posted by Omid Kordestani, Senior VP, Global Sales and Business Development

UPDATE 12:15PM: I just heard the layoffs are not huge and will affect primarily the online sales organization, which comprises Adwords and Adsense.

Here's something gloomy. I just got word from a source that Google is going through workforce reductions numbering in the hundreds. Not sure how many will be affected, but these changes will affect full-time staff. My source says some positions have been eliminated while others are being "reassigned," meaning they will have 60 days to find a new position within the company. If they can't find anything, they will lose their jobs.

Google has gone through a few rounds of cuts recently. Earlier this year Google cut 100 recruiters and trimmed down its radio advertising team. Late last year cut 10,000 contractors. It seems no company is recession proof.

Managing Time, Wasting Time

noreply@blogger.com (Jim Hu) — Thu, 26 Mar 2009 16:06:00 +0000

This is a great article from the Simple Dollar blog that contains helpful tips about time management. The world we live in is full of "productivity" applications that can easily turn into productivity destroyers. The immediacy and volume of emails, instant messages and Facebook posts can turn a good, productive vibe into a two-hour diversion with nothing to show in return. Check out some of the great tips in this blog post. It's a fun read.

John Stewart vs. Rick Santelli

noreply@blogger.com (Jim Hu) — Fri, 06 Mar 2009 01:51:00 +0000

A few weeks ago I wrote an entry about CNBC personality Rick Santelli's rant against the government's plan to bail out homeowners (he called them "losers"). There have been a number of responses to Santelli's rant, such as the thoughtful piece by the New York Times's David Brooks.

Leave it to The Daily Show to take it to the next level. Note to self... if I ever become rich and famous I'll never dis David Letterman or John Stewart. Enjoy.

The Daily Show With Jon StewartM - Th 11p / 10c

CNBC Gives Financial Advice

Daily Show Full Episodes
Important Things With Demetri Martin

Political Humor
Joke of the Day

Hi Mom, All Is Well at Laid Off Camp (Part 1)

noreply@blogger.com (Jim Hu) — Thu, 05 Mar 2009 18:49:00 +0000

Unemployment is like summer vacation. The first day of liberation feels like you've broken out of prison. But in a couple of weeks you find yourself in a trance from too much sleep, too much TV and feelings of guilt for not doing more with so much free time. That's why the idea of camp for the growing number of pink slipped professionals is such a brilliant idea. Pry people away from the TV and throw them in an urban playground to run around with adults in a similar situation.

On Tuesday, I attended Laid Off Camp, a hastily organized, ultra-casual, all-day event in San Francisco. Laid off Camp was started by Chris Hutchens, a former consultant and banker who was laid off in December, as a way to bring people together to share survival tips, network, and maybe find the right business partner to start a company. Modeled after Bar Camp, attendees sign up to present on any topic of choice, such as networking techniques, budgeting, health care, freelancing, creating your own start-up, time management, and personal branding. Most of the sessions were informal and centered on discussions. Some were given by sponsors and were blatant attempts to acquire new customers.

While I was staring at the schedule (a hand-drawn grid with session titles written on sticky notes), I bumped into my friend Jackie Gu, who was laid off the previous week. In the spirit of spontaneous collaboration, Jackie and I decided to join forces to divide and conquer the event. She wrote about her impressions and insights on her new blog, called Unemployment Muses. Here are the top 5 things Jackie learned from Laid Off Camp (I'm still working on my list, so stay tuned):

Jackie Gu's Laid Off Camp Musings:

1. Whatever you're struggling with, know that you are not alone.
There were hundreds of jobless people just like me at Laid Off Camp and as I mingled among them, I realized we all feel the same desperation, face the same struggles, and deal with the same interferences such as self criticism, doubt, and self-defeating behaviors that prevented us from doing our best in the job search process. And as long as we are aware of what these interferences are and are forgiving toward ourselves, we can conquer the mountain by moving forward with each small step.

2. Networking is not about "What can you do for me?" but "What can I do for you?"
The most useful workshop I went to was held by network guru Edith Yeung. She told us to be specific in who we'd like to meet when networking, asking ourselves the "what do I want" question first before someone else does and we're at a loss for words. Most importantly, it's necessary to ask your contact how you can help them instead of asking them for help right away. Always be willing to be able to provide a service or value to your network leads, and be real and genuine. That's the kind of impression you want to leave your contact and being helpful goes a long way!

3. Clean up your online reputation & delete the junk from your profiles.
This may be an obvious one, but how many of us still have public Facebook profiles with borderline indecent photos from last night posted and visible for all to see? Perhaps you're not even aware what your Google search results are, but it's time to look, and do a mass clean up. You betcha recruiters and hiring managers Google you to see who they are dealing with. An old friend of mine went to an interview and the hiring manager already knew his blog handle and content and even asked him about my own blog handle as I was a frequent commenter. Scary right? Whatever you put out there is public so let's make sure each of your profiles reflect the professional image you want to portray. A good tip is to make each profile content (Linkedin, Facebook, Twitter, Blogger, Livejournal, etc.) consistent and update with the same photo of you.

4. Utilize the power of communication.
Each of us are individuals with unique needs, interests and hobbies. So why not communicate who we are during our job search too? Start a blog or Website about your passions, hobbies, and be a topic expert. Start commenting in forums and discussions. Twitter industry and career relevant news that turn heads. In the same token, if you have nothing of value to communicate, it's better to be silent than to status update everyone on what you had for breakfast. Okay, so I need to work on that last one too. Just remember, the Internet is very public and once you click submit, it's out there so what do you want 'em to read that's associated with your name?

5. Don't get discouraged.
Focus on the journey not the destination. Okay this really isn't a sarcastic remark, yes, we will all get discouraged along the way, but overall, we need to have faith that being unemployed is only temporary. It too will pass just like most things in life, so let's try to "enjoy" it as much as we can. Schedule naps, fun activities, and workouts during the day to break up the job search tasks. Go to network events and join a support group. Take a class you always wanted. Go out on a limb and dare to do something a little different because you can, now is the time to try something else and be adventurous. A job will eventually come and then you wish you made the best with your time off - so go make the best of it now.

Give Giving a Try

noreply@blogger.com (Jim Hu) — Wed, 04 Mar 2009 07:20:00 +0000

Last week I did something I've been telling myself to do for a long time. I spent an afternoon at a community center giving food to needy residents in Daly City, CA. It wasn't too labor intensive despite my empty stomach. And in this time of gloom, there's nothing more human than handing food to a family trying to make ends meet.

Volunteering hasn't come easy for me because I find many excuses not to do it. I'm too busy meeting contacts, rushing to prepare for interviews, or wasting time playing video games against my roommate (so lame). A couple weeks ago I decided it was time to stop talking and start doing. I contacted Second Harvest, a Bay Area non-profit that works with local community centers to distribute food to families in need. I found an opportunity and signed up to become a volunteer. Then I bit my tongue and resisted all temptations to bump it off my schedule.

The volunteer gig was located at Lawson Hall in Daly City, a small community center nestled next to the Cow Palace and Candlestick Park. San Mateo County supports centers like Lawson Hall to offer food assistance to residents working low-wage jobs and families affected by unemployment. Once a month, people who qualify for assistance can receive an allotment of food consisting of fruit, veggies, frozen meat, milk, pasta, rice and bread. Residents who volunteer at the center get first dibs at the food, and can take home any leftovers, which seems like a good deal.

When I arrived, an organizer named Jeff assigned me to a stations where I unloaded small cartons of milk and arranged them on a table. That's where I met a volunteer named Ada. She recently got laid off as an office worker with the county's park and recreation department. Losing her job was tough. Being away from her co-workers and the residents she served was tougher.

"I loved, loved, loved, loved that job," she admitted to me.

When we opened our doors at 4:30 I expected a mad rush to the tables and a quick destruction of my milk carton layout. Instead, families filed into the center with boxes and bags to collect their goods. At each station, volunteers handed a set allotment of food. Another volunteer at my station named Maria devised an efficient system where she grabbed the items at my station and loaded peoples' boxes and bags for them. By the time they got to me I just flashed a smile, murmured "los huevos," and handed them a dozen eggs. They got a kick out of hearing a few phrases of Spanish from the Asian guy, but would answer me in perfect English.

Many families that showed up were Asian, most from mainland China. A community organizer at the event named Jacki told me about that the growing number of Asians moving into Daly City has exposed a need for more volunteers with Asian language skills. I figure that might be a calling for me to get more involved.

By the time the last family trickled through the center, I thought of one word to describe the event—gratitude. As a newcomer and an observer, I could tell from the actions of the volunteers and the expressions of the families that gratitude flowed in both directions. The volunteers seemed grateful to give to their community, and the families received their gifts with open hearts. It's a concept that's so elemental to what it means to be a human, and something that affirms why we're here. So if you're sitting at home worried about your future or burdened by the pressures of the present, consider an act of gratitude. It's in your nature.

When Timothy Met John

noreply@blogger.com (Jim Hu) — Wed, 25 Feb 2009 06:26:00 +0000

Check out this great post by my good friend Ed Lee. It's a one-act play about an encounter between two economists grappling with the parallels of their respective eras. Presenting "Timothy Geithner Talks It Out With J.M. Keynes" in one act.

When he's not imagining quant jock dialogue, Ed's hanging out in Brooklyn living off the millions he made writing about Korean gangsters.

With Respect to David Brooks

noreply@blogger.com (Jim Hu) — Fri, 20 Feb 2009 16:57:00 +0000

In previous posts I expressed my distaste for the hyperbole spewing out of the news media. Such was the case when I highlighted Rick Santelli's outrage about Obama's mortgage plan. His point: Why should responsible homeowners help their neighbors (he calls them "losers") who over-extended themselves and are now buried in debt? "This is America!" he screamed. Then made some odd reference to pre-Castro Cuba when people lived in mansions and drove nice cars.

Santelli joins thousands of voices from the left, right, center and far-out are passing judgment and wagging their fingers to everybody else. "Shame on you." "No, shame on YOU!"

Then, out of the echo chamber, comes a voice of moderation that people probably won't hear. That voice is David Brooks. He's the "conservative" member of the New York Times op-ed team, although he's too moderate to be considered conservative. He he stands on a foundation of morality that believes society thrives when government functions with an enlightened purpose. Government isn't the solution, but it has a moral obligation to become a safety net in hard times. So when our systems fail from their complexity, governments must fix the system if consumers and businesses can't. Sometimes that means helping out the schmucks who messed it up.

Check out his op-ed piece today titled, "Money for Idiots." Here's an excerpt:

"The nation’s economy is not just the sum of its individuals. It is an interwoven context that we all share. To stabilize that communal landscape, sometimes you have to shower money upon those who have been foolish or self-indulgent. The greedy idiots may be greedy idiots, but they are our countrymen. And at some level, we’re all in this together. If their lives don’t stabilize, then our lives don’t stabilize."

Santelli Gets Angry. Do You Care?

noreply@blogger.com (Jim Hu) — Fri, 20 Feb 2009 05:29:00 +0000

CNNC's Rick Santelli gets nasty during his stand-up at the Chicago Board of Trade. His target: the $275 billion Homeowner Affordability and Stability Plan that Obama announced yesterday. His basic gist: Screw the struggling homeowners who can't pay their mortgages to prevent more foreclosures! Screw the government for turning our country into a socialist state! We're angry because we shouldn't be forced to give a dime to other peoples' irresponsibility!

I'm all for fiscal responsibility. I'm all for capitalism. But watching CNBC these days is quite an experience. The financial world seems happy to point fingers at everyone but themselves, and blaming the guy who defaulted on his NINA loan falls on deaf ears, especially coming from an industry that invented the Collateralized Debt Obligation.

Fine, Wall Street. Blame it on the defaulters. Blame it on the government. Blame it on the Federal Reserve. We can empathize with your suffering.

The Meltdown Visualized (Break Out The Popcorn)

noreply@blogger.com (Jim Hu) — Thu, 19 Feb 2009 22:24:00 +0000

G2B reader Oy Polloi (is that you Pei?) just sent me this brilliant video visualizing the credit crisis. Yet another way to use simplicity to explain complex, systemic issues.

Part 1:

Part 2:

For those of you seeing a longer, more journalistic narrative of the crisis, check out Inside the Meltdown, Frontline's hour-long report that aired earlier this week. It's a piece that explains the financial, political, and emotional forces that nearly brought down Wall Street.