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Episode #477: The Time Tax — The Crime of Stealing Customers' Time

Inspired by an article by former TSOE guest B. Joseph Pine II, and James H. Gilmore, Ed and Ron explored how businesses--including professional firms--can stop wasting the customer's time. Strategies for helping customers save time, and invest it well were explored.

Unlike our show notes editor, artificial intelligence doesn’t file for PTO. With that, here are some links referenced in the show and the AI generated notes:

Show links

AI notes

Professional Services and Time Tax Discussion

Ed and Ron had a wide-ranging discussion about various topics, from their allergies to a radio show they were preparing to host. They also discussed a colleague, Greg, who was planning a camping trip. The discussion touched upon an article about hourly billing, which Ed agreed to review. The concept of "time tax" was introduced, which refers to wasting customers' time. Ed and Ron discussed the idea in the context of professional services and linked it to the work of Joe Pine and James Gilmore, authors of "The Experience Economy". They concluded that professional firms can provide serial transformations, adjusting their services based on the customer's needs. The importance of not wasting customers' time in business operations was also highlighted, with examples from UPS and Amazon. There was some confusion towards the end regarding a planned break, which was clarified during the meeting.

Time Spent With Clients: Pricing and Experience

Ed and Ron engaged in a wide-ranging conversation about charging for time spent with clients. They explored alternative pricing options, such as contractor, consultant, and coach. The discussion also touched on the importance of providing a memorable experience, with Ron emphasizing that experiences offer time well spent and can lead to increased customer value and spending. They contrasted Uber and Airbnb, noting that while Uber saves time, it doesn't necessarily provide time well spent. They also discussed the role of customer service and hospitality in various sectors. Towards the end, they emphasized the importance of time management in business operations and the concept of time well invested. It goes beyond simply spending time with customers but involves enriching their lives and helping them achieve their aspirations.

Pricing, Value, and Technology Discussion

Ron and Ed discussed Joe Pine's upcoming book and his previous appearance on their show. They also talked about a LinkedIn post about Ron's book and an article about the potential impact of General AI on legal pricing. The conversation then shifted to the challenges associated with evaluating the value of tasks in their firm and the need to shift the focus to the customer's perception of value. They discussed the pricing model of their company's services and the role of technology in this process. Ron suggested that the issue lies not with the pricing model but with the business model, particularly the billable hour. They also discussed Apple's new product, the Vision Pro, and its pricing strategy.

Shift to Outcomes and AI Pricing Strategies

Ron and Ed discussed the shift from a fee-for-service mentality to a focus on outcomes and professionalism. They highlighted an upcoming talk by Aaron Harris, Global CTO of Sage, on AI and pricing strategies. The conversation also touched on the concept of paid interaction, suggesting that audiences might pay for experiences rather than just time. 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #476: The Conservative Futurist — Interview with Jim Pethokoukis

America was once the world’s dream factory. We turned imagination into reality, from curing polio to landing on the Moon to creating the internet. But as we moved into the late 20th century, we grew cautious, even cynical, about what the future held and our ability to shape it. Too many of us saw only the threats from rapid change. What caused this to happen? More importantly, what can we do to change it? Ron and Ed are thrilled have someone who has squarely addressed these questions. Jim Pethokoukis is the author of The Conservative Futurist: How to Create the Sci-Fi World We Were Promised. Jim is a senior fellow and the DeWitt Wallace Chair at the American Enterprise Institute (AEI), where he analyzes US economic policy, writes and edits the AEIdeas blog, and hosts AEI’s Political Economy podcast. He is also a contributor to CNBC and writes the Faster, Please! newsletter on Substack.

About Jim Pethokoukis

James Pethokoukis is a senior fellow and the DeWitt Wallace Chair at the American Enterprise Institute (AEI), where he analyzes US economic policy, writes and edits the AEIdeas blog, and hosts AEI’s Political Economy podcast. He is also a contributor to CNBC and writes the Faster, Please! newsletter on Substack. Before joining AEI, Mr. Pethokoukis was the Washington columnist for Reuters’s Breakingviews, the opinion and commentary wing of Thomson Reuters. Earlier, he was the business editor and economics columnist for US News & World Report. Mr. Pethokoukis is the author of The Conservative Futurist: How to Create the Sci-Fi World We Were Promised (Center Street, 2023). He has also written for many publications, including the Atlantic, Commentary, Financial Times, Investor’s Business Daily, National Review, New York Post, the New York Times, USA Today, and the Week. His numerous broadcast appearances include CNBC, CNN, Fox Business Network, Fox News Channel, MSNBC, and PBS. A graduate of Northwestern University and the Medill School of Journalism, Mr. Pethokoukis is a 2002 “Jeopardy!” champion.

Use these show notes to follow along with the audio:

Segment one

  • Jim endeared himself to Ron and Ed immediately by guessing the correct origin of President Reagan’s quote at the beginning of the show. File “Moscow University” away for the next TSOE trivia night.

  • Upwing vs downwing economies: Everything these days is left vs right. While useful, they are not the most important way to look at the world. Instead upwing vs downwing is the best way. In effect, do you think we can do better?

  • 1955 - 1973 was broadly the post war decades that were very upwing economies. There was a lot of confidence in technology and its ability to create a better world.

  • So why does Jim define 1973 as the end of the upwing economy? It featured a marked slowdown in productivity growth due to a number of factors: an oil shock, the stock market fell, and a nasty recession. 

  • With respect to the crowding out of talent: The share of spending done on government research vs business used to be 2/3 government. It has flipped around now and it’s important to remember that, broadly, they are doing different things.

Segment two

  • Is innovation overall slowing down? That which is lightly or zero-regulated has been moving very fast. It’s gotten hard in spaces like high speed rail, a reactor, a highway, new housing, and so on. 

  • From Jim during segment two of the show today: When you look at what people expected the economy to do in 60s and 90s, “If they were to see the economy today, they would ask what happened?”

  • This should motivate you to CREATE. From Jim today, “If we do not have the ability to imagine a better future, why take a risk? Why even try?”

  • Bad ideas equal bad policies which equals slow growth. Jim wants to BREAK this cycle and talks about it in his book, The Conservative Futurist https://www.amazon.com/Conservative-Futurist-Create-Sci-Fi-Promised/dp/1546005544 

Segment three

  • “Beware the Precautionay Principle” (episode 284) was a show Ron and Ed did right before the pandemic. Jim introduced Ron/Ed to the Proactionary Principle. In effect, taking no risk is the biggest risk of all https://en.wikipedia.org/wiki/Proactionary_principle 

  • “At worst, AI is a technology only as good as computer+internet. But it could be something more! It will make us wildly more productive in all aspects of our life. If that’s the case, we are talking about the ability to accelerate scientific research across the board.” —Jim

  • “People are focusing on the most mundane potential applications of this technology (AI). You have literally Superman, a super research assistant, who can run through every possible combination in every field of every human endeavor.” —Jim

  • On AI and it’s ability to get better, Jim says, “AI is the worst today it’s ever going to be.”

Segment four

Bonus note

 
 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #475: Punditry Punt

Unfortunately, our Guest fell ill, and could not join us, but don't worry pros play hurt, so Ron and Ed have called an audible, and will be punting to opine on some stuff in the stacks.

Use these show notes to follow along with the audio:

Segment one

  • We start today with “Something happened to business software.” — the opening line from Jason Fried of 37Signals as he introduces a new product pricing model, ONCE. https://once.com/  

  • Here are pricing details on the first product under the ONCE model from 37Signals. It’s Campfire (their group chat offering) https://once.com/campfire 

  • From the ONCE offering Jason Fried says, “The post–SaaS era is just around the corner.” Well, “I doubt it Jason” was Ron’s response. 

Segment two

Segment three

Segment four

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #474: The Jones Act - Interview with Colin Grabow

On this episode Ron and Ed welcomed Colin Grabow of the CATO Institute's Herbert A. Stiefel Center for Trade Policy Studies to talk about the Jones Act (aka Merchant Marine Act of 1920) which regulates maritime commerce in U.S. waters and between U.S. ports, oh, and, makes stuff more expensive for all of us while benefitting a select few. You will learn the main reason why food and other sundry items are more expensive in Hawaii and Puerto Rico; why the Northeast US imports natural gas from Russia instead of getting it from the US; and many more insanities.

[Snarky Editor’s Note] Some day, this episode will be obsolete because Congress will take action and repeal the Jones Act. You can check if Congress has taken action by visiting HasCongressRepealedTheJonesAct.com

Use these show notes to follow along with the audio:

Segment one

Segment two

Segment three

  • “I’m gonna go to China, and I’m gonna get these jobs from China and bring ‘em back to America. For what, so iPhones can be $9,000? Leave that job in China where it belongs … I wanna wear Nikes, I don’t wanna make those things. Stop trying to give us Chinese jobs.” —Dave Chappelle

  • Here’s probably the MOST absurd outcome due to the Jones Act: Cattle fly first class to Hawaii. Folks, I couldn’t make that up if I tried and Colin wrote a piece on it: https://www.cato.org/blog/jones-act-fleet-high-costs-limited-capabilities 

  • The Jones Act was waived for 10 days after Hurricane Maria hit Puerto Rico. That’s the most positive development we can provide in an attempt to #EndTheJonesAct https://www.nytimes.com/2017/09/28/us/jones-act-waived.html 

  • So if the Jones Act is so ridiculous then why is it not being challenged? “Concentrated benefits and diffused costs.” —Colin Grabow

Segment four

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #473: I Have a Right! Do you?

What does it mean to say "I have a right" to something? In this thought-provoking episode, Ron and Ed delve into the distinct realms of negative and positive rights, exploring how they shape our understanding of individual liberties and societal obligations. Join us as we unravel the philosophical, practical, and even business implications of these two concepts, challenging preconceptions and fostering a deeper appreciation for the complexities of rights discourse.

Use these show notes to follow along with the audio:

Segment one

Segment two

  • An example of positive rights from Trevor’s article: “In 2009, under Massachusetts’s ‘universal’ health care system, 31,000 legal immigrants had their state-subsidized health insurance scaled back in order to counter budget shortfalls.” https://fee.org/articles/is-health-care-a-human-right/ 

  • What does compossibility mean? Don’t worry, I had to look that one up too. Compossibility is a philosophical concept that refers to the ability or possibility of coexisting.

  • At some point you will find yourself on the other side of government policy. This is one of Ed’s arguments against Executive Orders.

  • Ron mentioned Ayn Rand’s book, Capitalism, The Unknown Ideal. Here is a link: https://aynrand.org/novels/capitalism-the-unknown-ideal/ 

Segment three

  • Positive rights do exist in the mind of the Libertarian but only after you have a contract. Once you have a contract then there are positive rights that can be expected.

  • Here’s a fun thought experiment around rights: Does an accountant have a right to not perform his/her duties for a business or person that they think might be a cheat?

  • The Second Bill of Rights or Bill of Economic Rights was proposed by United States President Franklin D. Roosevelt during his State of the Union Address on Tuesday, January 11, 1944 https://en.wikipedia.org/wiki/Second_Bill_of_Rights 

  • The second bill of rights included topics such as an Adequate income for food, shelter, and recreation, Farmers' rights to a fair income, Freedom from unfair competition and monopolies, Decent housing, and Adequate medical care

Segment four

  • “Liberty is the absence of coercion and freedom is a choice.” —Peter Block

  • The right to a trial by jury in the Constitution is a positive right. There are a few, but not many, other positive rights in the Constitution. Most are negative rights.

  • This is a heavy show so we are going to wrap it up on a light note with a discussion on this article. “Why the Ethics of ‘Would You Kill Baby Hitler?’ Are More Important Than You Probably Think” https://fee.org/articles/why-the-ethics-of-would-you-kill-baby-hitler-are-more-important-than-you-probably-think/ 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #472: Best Books of 2023

In the second of our annual beginning of the year episodes, Ron and Ed recap their best books of 2023. Many listeners consider this the "most expensive" episode of the year as their anti-libraries tend to grow while listening. All books discussed are listed below in the show notes.

Use these show notes to follow along with the audio:

Segment one

  • Before we get started on books, here’s a quote from Charlie Munger: “In my whole life, I have known no wise people (over a broad subject matter area) who didn't read all the time — none, zero.”

  • Ed’s number 5 book is Social Justice Fallacies by Thomas Sowell - https://amzn.to/48wZDnN - From the book, “Stupid people can cause problems but it requires a genius to cause a catastrophe.” 

  • Ron’s number 5 book is While Time Remains: A North Korean Defector's Search for Freedom in America https://amzn.to/48ybL7W 

  • From Ron’s number 5 book, “There is a reason why the great books of Western civilization are all banned in dictatorships.”

Segment two

  • Ed’s number 4 book is Goldratt’s Rules of Flow by Efrat Goldratt—Ashlag -  https://amzn.to/3TTDrzJ. “This book is going to have a long term impact on my thinking.” —Ed Kless

  • Ron’s number 4 book is Capitalist Punishment: How Wall Street Is Using Your Money to Create a Country You Didn't Vote For by Vivek Ramaswamy https://amzn.to/3O2rQut 

  • Ed’s number 3 book is Redaction by Titus Katharine and Reginald Dwayne Betts - https://amzn.to/3vrvxDm. It’s an art/poetry book and Reginald Betts has appeared several times on EconTalk

  • Ron’s number 3 book is The Creative Act: A Way of Being by Rick Rubin https://amzn.to/3vA5VV7. Rick Rubin is a music producer (editor’s note: …and the reason the Beastie Boys exist)

Segment three

Segment four

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #471: 2023 — The Year in Review

During this annual favorite Ron and Ed look back on the good, the bad, and the ugly of 2023 including their favorite episodes, news events, pop-culture, business trends, and in memorium.

Use these show notes to follow along with the audio:

Segment one

Segment two

  • Also in 2023, we lost James Buckley - older brother to William. He was a distinguished US senator, Federal Judge, and Cabinet Member. He is 1 of only 45 people to serve in all 3 branches of the US government. 

  • Joe the Plumber passed away in 2023. He famously challenged President Obama on taxes on 2008. https://www.theguardian.com/us-news/2023/aug/28/joe-plumber-dead-obama-campaign 

  • We also lost Elinor Otto (October 28, 1919 – November 12, 2023), an American factory worker who was an original "Rosie the Riveter". She built airplanes for over a half-century, and spent many years working for Boeing

  • We also lost Shane McGowan in 2023 - lead singer of The Pogues. Here are a few of their greatest songs https://www.youtube.com/watch?v=j9jbdgZidu8 

  • Others mentioned on the show today that we lost in 2023: Matthew Perry, Juanita Castro, Rosalynn Carter, Charlie Munger, and running back Jim Brown

Segment three

  • According to Chartable, our top shows of 2023 are 5) episode 446 4) episode 442 3) episode 445 2) episode 448 1) episode 444. Just visit TheSoulOfEnterprise.com slash episode number to visit any episode directly.

  • According to our website stats, our top shows are 2023 are: 5) episode 459 4) episode 434 3) episode 435 2) episode 450 1) episode 452. Just visit TheSoulOfEnterprise.com slash episode number to visit any episode directly.

  • Ron loves the Tony Gill episode, ESPECIALLY the poem at the end of the episode. Folks, you’ve got to hear this. https://www.thesoulofenterprise.com/417 

  • Ron was really touched by the interview with Dr. David Alfrey. Here is the direct link: https://www.thesoulofenterprise.com/426 

  • The Essentials of Strategy was a phenomenal episode. Ron mentioned this as one of his favorites in 2023: https://www.thesoulofenterprise.com/427 

  • According to YouTube, our most popular episodes of all time are interviews. They are 5) Matthew Stewart 4) Thomas Sowell 3) Tyler Cowen 2) Donald Hoffman 1) Rory Sutherland https://www.youtube.com/@askTSOE 

Segment four

  • And the winner is….BOTH the Oxford word of the year and American slang word of the year is….. RIZZ (don’t ask me. Go ask a teenager)

  • How about another 2023 American slang word: Stan… “I guess you can say I’m a Stan. I stan Taylor Swift (sustained fan or longtime fan)”

  • Cap is another 2023 American slang word. “You had dinner with Beyonce??? That’s cap.” (Lie or deceive)

  • Another slang word for 2023: Rotting… “Stay in bed. Play on social media. You are rotting for the day.” 

  • Ed has some 2024 predications to close out the show: Biden will not be the Democratic nominee. AI will continue to be incredibly hyped…and useful. Bitcoin will pass 100k

  • Ron has a few 2024 predictions as well: Jimmy Lai faces a perilous future and China might make a move on Taiwan

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode Reprise: Encore Interview with Tony Gill

Waaay back in Episode 22, Ron and Ed detailed the ideas behind Joel Waldfogel's book, Scroogenomics: Why You Shouldn’t Buy Presents for the Holidays. Waldfogel makes the case that the deadweight loss to the economy from gift giving, in 2007, totaled $12 billion, out of approximately $66.5 Billion spent (about 12%) and that we should all give cash rather than presents. In this episode, we will speak with Professor Tony Gill about his ideas around Rethinking Scroogencomics and some of his other writings.

About Tony Gill

Anthony Gill (Ph.D. UCLA 1994) is professor of political science at the University of Washington and an adjunct professor of sociology at the UW. He is also a Distinguished Senior Fellow at Baylor University’s Institute for Studies of Religion, a research affiliate at the Mises Institute (Auburn, AL), a frequent mentor at the Institute for Humane Studies, and is currently nominated for membership in the Mont Pelerin Society. He specializes in the political economy of religion, religious liberty, and is currently dabbling in the economics of culture. He is author of two books — Rendering unto Caesar: The Catholic Church and the State in Latin America and The Political Origins of Religious Liberty — and a bunch of articles and stuff in places like the American Journal of Political Science, Comparative Political Studies, Rationality & Society, and Public Choice.

Normally, you would see info here about joining us live. This is a pre-recorded episode while Ron and Ed enjoy a well deserved break.

As always, please check our website for upcoming and previous show notes and recordings, use Twitter to find the show at @AskTSOE or find us on Facebook.

The Soul of Enterprise show hosts, Ron Baker and Ed Kless, are on X (the artist formerly known as Twitter) at @ronaldbaker and @edkless, respectively (and obviously).

Episode #470: Holiday Hodgepodge

For their last show of 2023, Ron and Ed cleaned out their stacks of (business and economic related) stuff. It was a fast-paced conversation that makes it hard to listen on double speed!

Use these show notes to follow along with the audio:

Segment one

Segment two

Segment three

Segment four

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #469: The Art of Humor in Business — Interview with Greg Kyte

This is Greg's fifth appearance with Ron and Ed. Some of them incognito. (We'll let you try to figure which is which.) The topics are not scripted, but we assure you jocularity will ensue.

Use these show notes to follow along with the audio:

Segment one

  • Once a year, we host Greg Kyte on the show. In his words, Greg is the annual subscription guest of The Soul of Enterprise. If you don’t know him, you might recognize his voice from our commercials.

  • Two years ago, Greg started “Oh My Fraud” - a podcast with Caleb Newquist. Never heard of it? Not likely but just in case here is the link https://ohmyfraud.com/  

  • What has Greg learned from doing the podcast “Oh My Fraud”? He could become a fantastic embezzler of funds if only he didn’t have a conscious!

  • The biggest overarching theme Greg sees from preparing for the “Oh My Fraud” podcast is a lack of internal controls that customers have

Segment two

  • Oh….great term that I’ve never heard called the Fraud Triangle. Greg dropped the term today to refer to the things you need for fraud to flourish: opportunity, pressure, and rationalization

  • What’s the one thing that drives most fraud to be uncovered? The person committing the fraud gets JUUUUUUUUUST a touch too greedy and then gets busted.

  • The retail industry, for example, does calculations on how much money should be spent on deterring shoplifting. The answer might surprise you because they are not looking to control 100% of the shoplifting incidents.

  • According to the ACFE Occupational Fraud 2022: A Report to the Nations, organizations lose approximately five percent of revenue to fraud each year with the average loss per case totaling more than $1.78 million https://www.acfeinsights.com/acfe-insights/tag/report+to+the+nations 

Segment three

Segment four

  • Is it possible to create a concierge comedy service? A subscription service for a comedy club? If you own a comedy club, you could have an annual pass to the club. Greg knows of ZERO comedy clubs actually doing this. 

  • “If comedy clubs banded together and subscribed to a pool of comedians they could draw on, that would be interesting.” —Ron Baker

  • A big THANK YOU to Greg Kyte for joining us today. Folks, you have to check out his podcast with Caleb Newquist, Oh My Fraud, at this link https://ohmyfraud.com/ 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #468: Centers of Progress — Interview with Chelsea Follett

This week Ron and Ed welcomed Chelsea Follett to talk about her book, Centers of Progress: 40 Cities That Changed the World. From the book: "Where does progress happen? The story of civilization is the story of the city. It is cities that have created and defined the modern world by acting as the sites of pivotal advances in culture, politics, science, technology, and more. There is no question that certain places, at certain times in history, have contributed disproportionately toward making the world a better place. This book tells the story of 40 of those places." In Centers of Progress: 40 Cities That Changed the World, Chelsea Follett examines a diverse group of cities, ranging from ancient Athens to Song-era Hangzhou.

Use these show notes to follow along with the audio:

Segment one:

  • Chelsea spends a lot of time thinking about human progress (get it?) and the conditions that drive it. This inspired her to write a book called “Centers of Progress: 40 Cities That Changed the World”. More info here: https://www.amazon.com/Centers-Progress-Cities-Changed-World/dp/1952223652 

  • Chelsea started writing this book during the pandemic and this (the pandemic) caused people to question cities and their role in the future. It was HARD the trim the list down to 40 cities for her book. 

  • Most of the cities in Chelsea’s book were selected by reverse engineering things like a stable food supply and sanitation (for example). The origin points became some of the cities featured in her book.

  • Urban centers are where we have seen new innovations and world changing innovations. Chelsea’s book - “Centers of Progress: 40 Cities That Changed the World” - goes through the examples

Segment two:

  • Relative peace, freedom, and multitudes of people are some of the key attributes associated with the Centers of Progress identified in Chelsea’s book. More info here: https://www.amazon.com/Centers-Progress-Cities-Changed-World/dp/1952223652  

  • Sure, sure…human accomplishment can happen during times of war and instability. Chelsea’s book looks at the conditions that foster creativity and progress to help cultivate innovation. Peace and stability.

  • “Conditions for progress can unravel so quickly. One of the most recent examples is Hong Kong.” —Chelsea Follett

  • Many people assume the humanities are the result of leisure time, entrepreneurs, inventions. Writing evolved gradually due to…accountants and their need to document finances. Apt for our audience :)  

Segment three:

  • “Economic development […] then funds all of the other forms of progress. Scientific advancements, inventions, great artworks.” —Chelsea Follett

  • So much of the great music that we are familiar with TO THIS DAY all occurred in Venice. That’s where artists were well paid so it was lucrative for them. More on great cities here: https://www.amazon.com/Centers-Progress-Cities-Changed-World/dp/1952223652

  • How did Thomas Edison influence Hollywood? At the time he was a very litigious man so the only way creative freedom in film could happen would be to go all the way to the West Coast…where Hollywood was created.

Segment four:

  • Why is Wellington, New Zealand in Chelsea’s book about 40 cities that changed the world? They represent significant moral progress in the area of suffrage throughout the city’s history.

  • China was superior in many aspects during the 12th century through the 16th century. Conditions for prosperity are fragile and not being at the front of the Industrial Revolution for China is a great example.

  • San Francisco is a “city of extremes” and is featured in Chelsea’s book, “Centers of Progress: 40 Cities That Changed the World”. More info here: https://www.amazon.com/Centers-Progress-Cities-Changed-World/dp/1952223652  

  • A big THANK YOU to Chelsea Follett for joining us today to talk about her book, “Centers of Progress: 40 Cities That Changed the World”. More info here: https://www.amazon.com/Centers-Progress-Cities-Changed-World/dp/1952223652 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #467: Subscription Economy Update — 2023 Edition

We can't believe it has been since February of 2022 that we have done a subscription-economy update. (Check it out at http://thesoulofenterprise.com/378.) We are glad to be sneaking this one in just under the wire for 2023. Ron and Ed share their latest thinking on the progress (or regression) of subscription pricing both in the professions and in the broader market including both business and consumer. As usual they come "loaded for bear." It will be a challenge to listen to this one at double speed.

Use these show notes to follow along with the audio:

Segment one:

  • Other subscription updates that were full shows include show 378 in February of 2022. Show audio and notes here: https://www.thesoulofenterprise.com/378 

  • For one and done services, it’s really hard to turn into a subscription. What about a real estate agent, for example? We don’t have an answer yet but maybe some businesses do not fit the subscription model.

  • Divorce attorneys and funeral parlors. Those are two great examples Ron and Ed give that are……ahem…..challeging from a subscription perspective.

  • Ed and Ron had a fun time with this article today with a hat tip to Hector Garcia. Let’s just say there are some holes in the article :) https://www.axios.com/2023/11/24/membership-subscription-economy-business-model 

Segment two:

  • From Andrew on LinkedIn (via Ron): He runs a sonic branding agency (the sounds we associate with brands) with weekly and bi-annual orders with budges in hundreds to the tens of thousands. How can this be a subscription?

  • Related to Andrew’s question, Tim Williams has a great quote here because this is more about positioning than it is pricing: “Be something to someone.”

  • Here’s a great definition of strategy from Playing to Win by AG Laffley and Roger Martin: “Strategy is an integrative set of choices that positions you on a playing field of your choice so that you can flourish.”

  • “Diversification is what you do when you don’t know what to do. “ —Tim Williams

Segment three:

Segment four:

  • Great news from Ron! You are invited to attend the Successful Bookkeeping virtual summit where Ron will be speaking on the subscription business model. Register here: https://www.thesuccessfulbookkeeper.com/virtual-summit-2023 

  • Wait….what??? Did Ron just say you don’t need 3 pricing options anymore? You’ll need to listen to segment 4 of the show today to listen to him tease out this idea.

  • From Ed today: Why has this option not appeared since the advent of cloud accounting? “You can use our system as long as you allow us to use your data to train our systems.”

  • Why do people gravitate to flat pricing? Three reasons: 1) We overestimate our usage. 2) The feeling of being nickeled and dimed. 3) The insurance effect.

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode Reprise — Scroogenomics: Why You Shouldn’t Buy Presents for the Holidays

[Editor’s Note: Some things are just too good not to share again. While our most ardent listeners are familiar with Episode #22, Scroogenomics, many may not be familiar with this specific show. This Friday is Black Friday in the United States which means it’s time - once again - to talk about why you shouldn’t buy presents. Bah, humbug!!!]

On Black Friday, and right before Cyber Monday—the biggest shopping days of the year—Ed and Ron thought it would be fun to discuss the interesting, funny, and thought-provoking book by Joel Waldfogel: Scroogenomics: Why You Shouldn’t Buy Presents for the Holidays.

The author makes the case that the deadweight loss to the economy from gift giving, in 2007, totaled $12 billion, out of approximately $66.5 Billion spent (about 12%). Citizens Against Government Waste would classify Christmas as a wasteful government program.

Gift giving severs link between buying decision and item’s value to its user—the transaction actually destroys value. To add insult to injury, we are obliged to pretend to be grateful!

His complaint is not the level of spending or the consumption, but the waste.

We discussed the four ways you can spend money in the economy:

 

Former Congressman Dick Armey pointed out how difficult spending is in Category II (Gift), let alone Category IV (Government):

Every year, I worry and fret select the right birthday gift for my wife, Susan. Every year, try as I might, I manage to choose the wrong thing. If I can’t figure the needs and desires of the one person who is closest to me in the world and who I deeply love and care for, how can we expect the government to do a better job?

Three groups spend other people’s money: children, thieves, politicians. All three need parental supervision.

Hierarchy of value of gift giving

  • Aunts & uncles & grandparents = 75%

  • Parents = 97%

  • Friends =91%

  • Siblings =99%

  • Significant others = 102%

Further, we spend approximately 2.8 billion hours shopping in December. To put that number in context, the old USSR—before it imploded—spent 35 billion hours annually standing in line for everyday products and services.

Infographic from Deloitte’s 2018 annual holiday survey

Economist Ian Ayres said this about Waldfogel’s book:

Joel Waldfogel is one of the smartest and funniest economists on the planet. I think of him every time I start to unwrap a present. Buy Scroogenomics for your friends and family. It makes the perfect Christmas gift.

Episode #466: Interview with Steve Goreham — The Green Breakdown

Ron and Ed were delighted to welcome Steve Goreham to The Soul of Enterprise. He is the author of four books on climatism and green energy, and we discussed his most recent book: Green Breakdown: The Coming Renewable Energy Failure, published this year. We dove into the physics and engineering issues involved in the transition to renewable energy, and why it won’t be as easy as a lot people claim. This was an enlightening and informative discussion.

Use these show notes to follow along with the audio:

Segment one:

  • Steve has an engineering background which likely helps with how he methodically approaches his new book, Green Breakdown https://www.amazon.com/Green-Breakdown-Coming-Renewable-Failure-ebook/dp/B0CB93BG7Y 

  • Ed referenced this today because Steve alludes to it in his book. Did you know about the great horse manure crisis of 1894? More here: https://en.wikipedia.org/wiki/Great_horse_manure_crisis_of_1894 

  • “The wealthy nations of the world are in the midst of an energy transition and trying to force NET ZERO by 2050.” [..] “This is beyond a reach out effort. It’s more like a wish and a prayer.” —Steve Goreham

  • Today I learned, the states that have the lowest electricity rates have made significant investments in hydroelectric power.

Segment two:

  • Wind, solar, and the energy mountain is a great slide provided by Steve for the show today

  • “We have the wealthy nations of the world trying to force the undeveloped nations not to use coal, oil, and gas.” —Steve Goreham

  • On carbon capture and storage (CCS): “I attribute [CCS] to unicorn arranging. It’s a completely useless exercise.” —Steve Goreham

  • Steve touched on the idea that $5 trillion dollars has been spend on renewable energy from 2004-2021. Here is a slide with key dates.

Sement three:

  • Should you ditch your gas stove, oven, water heater, or fireplace? “The recent articles around these topics weren’t written by medical professionals. They were written by climate folks.” —Steve Goreham

  • Steve asks audiences this question when speaking: “What fuel source is most responsible for improving air quality across the world? Natural gas and propane.” Here is a quick source https://www.eia.gov/energyexplained/natural-gas/natural-gas-and-the-environment.php

  • “We’ve really cleaned up our air in the United States. If you look at EPA data, all of our major air pollutants are down about 80%.” —Steve Goreham

  • “Nuclear is very non-polluting from an air quality point of view. Many environmental groups for years and years opposed nuclear power. They’re stepping back from that now a little bit.” —Steve Goreham

Segment four:

  • From Steve: Electric vehicles are penetrating world markets. Last year about 14% of new light vehicles sold in the world were electric. But dealer inventories are up. EV pickup trucks are not selling well. Ford loses on every vehicle sold. 

  • The problem with electric vehicles is that governments are trying to force a change. Steve rattled off a list of about 10 states that have a law similar to California. 

  • After electric vehicles, Steve shifted his attention to ships on our show today. And aviation. There are similar “green” regulations in both industries that he addresses in his book, Green Breakdown https://www.amazon.com/Green-Breakdown-Coming-Renewable-Failure-ebook/dp/B0CB93BG7Y 

  • A big THANK YOU to Steve Goreham for joining us today. We highly recommend his newest book, Green Breakdown: The Coming Renewable Energy Failure https://www.amazon.com/Green-Breakdown-Coming-Renewable-Failure-ebook/dp/B0CB93BG7Y 

  • We have GREAT NEWS! Ron will be presenting at The Successful Bookkeeper Summit on December 7th - 8th. Early bird registration is available now. https://www.thesuccessfulbookkeeper.com/virtual-summit-2023  

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #465: Goldratt's Rules of Flow

This week Ron and Ed explored Goldratt's Rules of Flow by Efrat Goldratt-Ashlag, daughter of Eliyahu M. Goldratt whose seminal work, The Goal has been read by millions. Interestingly enough, this topic was suggested by Ron who usually falls asleep when Ed gets rolling on project management topic, so you know this episode is one to remember.

Use these show notes to follow along with the audio:

Segment one:

  • This is the quote Ron and Ed started the show with. You can probably tell they had fun with it. “The common belief is that if every machine is fully utilized the entire operation will be efficient.”

  • “I have been advocating for years that people who do software implementations should sell the project plan up front as a separate engagement.” —Ed Kless

  • “External customers are the ones footing the bill for everything. Not internal customers.” —Ron Baker

Segment two:

  • When you think about the work you can do, remember this. The more projects in the mix, the longer the lead time, which means we need to control our width. 

  • “Multitasking is not true. You don’t multitask. You deal with multiple tasks in a serial fashion. You can’t possibly do more than one thing at the same time.” —Ed Kless

  • One of the rules from the Rules of Flow: “If you don’t want to get stuck, verify full kit before you get going.”

  • How many of you does this resonate with? From Rules of Flow: “We attempt too many projects at the same time and we pay too little attention to each project.”

Segment three:

  • “If you can increase the amount of time you are spending on a particular project, you are far better off.” —Ed Kless

  • Related to the Rules of Flow and project management… “Customer: I don’t have time to test. Ed Kless: Well, do you have time to fix it when it’s not working?” 

  • “You always fix a problem twice. Once for the time it happens and then by thinking about what you are going to do to stop the problem from happening in the future.” —Ed Kless

  • “Managers and leaders shouldn’t be scheduling what people work on when. You should give them a due date, estimated effort, and let the individual decide when they are going to complete that task.” —Ed Kless

  • Ron and Ed mentioned Parkinson’s law on the show today. More here: https://en.wikipedia.org/wiki/Parkinson%27s_law

Segment four:

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #464: On Mark Andreessen's The Techo-Optimist Manifesto - Part 2

This week Ron and Ed continued their conversation on Mark Andreessen's The Techo-Optimist Manifesto. In addition to finishing their analysis, they talked through some responses that others have had to the document. In addition, Ron and Ed were joined in the conversation by Greg Tirico of TSOE Bonus episode fame and knower-of-many-techno-things himself.

[Editor’s note: Part 1 of Ron and Ed’s discussion is episode number 462 at this link]

This show’s guest was Greg Tirico, the dude who normally takes notes for us and sits quietly in the background of each show. Since no one was sitting in the corner taking notes, we give you the best AI can provide.

AI Generated Show Notes:

  • Tech optimism and the future of enterprise.
    Ed Kless and Ron Baker discuss Marc Andreessen's techno-optimist manifesto with guest Greg Tirico, who has knowledge of technical things and has previously appeared on the show. Greg Tirico shares insights on Andreessen's ideas and participates in a bonus episode for Patreon members.

  • Techno optimism and fear of failure in the accounting industry.
    Greg Tirico and Ron Baker discuss Mary Meeker's former Internet Trends report and how it's no longer being produced. Joe Woodard and Heather Satterlee host a podcast on techno optimism, including an episode on the fear of failure.

  • The meaning of life and materialism in techno philosophy.
    Ron Baker questions the distinction between techno optimism as a material philosophy vs. a management philosophy. Ron Baker and Ed Kless discuss how technology opens up possibilities for human existence, with Ron acknowledging the line between materialism and spirituality.

  • The future of technology and society.
    Greg Tirico and Ed Kless share their excitement about the potential of the internet and its impact on society. Ron Friedman is critical of the mass demoralization of society and the undervaluing of existential risks, sustainability, and ethics.

  • Enemies, ideas, and consequences.
    Ron Baker and Ed Kless discuss the dangers of "zombie ideas" and the importance of holding experts accountable for their actions. Ron Baker and others criticize Andreessen's blanket statements on trust and safety without sufficient explanation.

  • Technology, ethics, and the future.
    Ed Kless and Ron Baker discuss the precautionary principle and its connection to civilian nuclear power. Asimov's Foundation Series features miniaturized civilian nuclear power.

  • Techno-optimism and its limitations.
    Greg Tirico and Ron Baker discuss Marc Andreessen's techno-optimist manifesto, focusing on the section on the enemy and the idea that bad ideas are more harmful than bad people.
    They also discuss how the population has voluntarily adopted monitoring devices like iPhones, which could be seen as a form of 1984-style thought control.

  • Techno-optimism and the future of humanity.
    Ron Baker and Ed Kless discuss the importance of being optimistic about the future and fighting for a better world, citing David Deutsch's idea that we have a duty to be optimistic because the future is open and not predetermined. Alex Epstein is mentioned as someone who is talking about the importance of developing countries and reducing poverty, and Ron Baker finds his message compelling. Ron Baker and Ed Kless discuss techno optimism and the importance of builders in society, citing various influential thinkers.

  • Influential authors and the challenges of creating a comprehensive list.
    Greg Tirico and Ron Baker discuss the difficulty of creating a comprehensive list of well-read individuals, as it inevitably excludes others.

  • Twitter accounts and their humor.
    Based Bev Jesus is a hilarious Twitter account poking fun at cutting-edge technology, including large language models from Facebook. Ed Kless and Ron Baker discuss sponsors, ratings, and shoutouts on their podcast.

  • A Wired article criticizing Marc Andreessen's techno optimist manifesto.
    Steven Levy, well-known tech author, critiques Marc Andreessen's manifesto in Wired article.
    Steven Levy, technology journalist and author, has been involved with Wired magazine since its inception and has written several books on tech companies, including Google and Facebook.
    Greg Tirico expresses disappointment with Steven Levy's attacking tone in an article about Andreessen Horowitz.

  • Late stage capitalism and wealth inequality.
    Ron Baker and Ed Kless discuss the use of the term "late stage capitalism" in a recent article, with Baker finding it grating and Kless pointing out its repetition. The speakers debate the effectiveness of addressing income inequality through wealth creation, with Baker arguing that it's a separate issue and Kless suggesting that it's intertwined. Greg Tirico expresses techno-optimism, while Ed Kless and Ron Baker criticize Andreessen's essay for lacking solutions to wealth creation and distribution issues. Baker and Kless argue that Andreessen's manifesto is overly critical and cherry-picks information, while Tirico's response is more constructive and focused on providing solutions. Ron Baker and Ed Kless analyze Marc Andreessen's article, criticizing his views on healthcare and entrepreneurship. They argue that Andreessen's success may be due to jealousy and envy from those who are less wealthy and successful.

  • Techno optimist manifesto with rebuttals.
    Greg Tirico and Ron Baker discuss the techno optimist manifesto with a few rebuttals from listeners. Greg Tirico highlights Marc Andreessen's effort to elevate the conversation on technology and its impact. Critics dismiss Andreessen's manifesto as a "word salad" with no substance.

  • AI regulation and its potential impact.
    Ed Kless and Ron Baker discuss the potential dangers of artificial intelligence and the importance of responsible policymaking. Biden's executive order on AI is inspired by Tom Cruise's movie "Mission Impossible," with a focus on government standards and monitoring.
    Ed Kless and Ron Baker are skeptical of fears about AI, with Kless calling it "fear mongering" and Baker saying there's no evidence it contradicts human flourishing and progress.
    Greg Tirico notes the potential for AI regulation to harm the US and lead to a "slippery slope" of regulation, while Adam Firor expresses concern that the EO could lead to a backdoor regulatory regime. Optimists face backlash for their positive views, while pessimists are more likely to be recognized and rewarded.

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #463: LIVE from the Creative Business Models for Accountants Conference

This week Ron and Ed traveled to Miami to attend Hector Garcia's Creative Business Models for Accountants Conference where they shared their thoughts about Day 1 of the conference live with the audience. Then they took questions from the attendees in classic "Ask Us Anything" style.

This show was LIVE and featured a series of great questions from the audience. Here is the AI generated overview but you definitely want to listen to the show to capture the audience excitement.

  • Business model innovation at Creative Business Model Counties

  • Consulting and questioning techniques in business

  • The importance of asking "what matters" questions in innovation

  • How to handle objections and questions from clients.

  • Framing questions for a historical document.

  • Creativity and comfort for accountants at a conference.

  • Business models, branding, and AI in the professional services industry.

  • Retraining the brain to think in questions, not solutions

  • The importance of asking the right questions in business

  • Asking better questions for personal growth and success.

  • Creative business models for accountants with Q&A.

  • Moving away from solution-focused thinking in sales

  • Providing valuable insights through active listening and pivoting

  • The accounting profession's talent crisis and outdated business model

  • The future of accounting and billing models

  • Making accounting a cool profession

  • Using humor to revitalize the accounting profession

  • Subscription-based business models and potential obstacles

  • Pricing strategy and mindset for subscription-based businesses

  • Business models and customer lifetime value

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #462: The Techno-Optimist Manifesto by Marc Andreessen

Ed and Ron explored Marc Andresseen's "The Techno-Optimist Manifesto." It's a thought-provoking piece that we largely agree with. You can find the Manifesto at: https://a16z.com/the-techno-optimist-manifesto/

Use these show notes to follow along with audio…

Segment one:

  • Take the economics of our show over the last 9.5 hours and boil it down into one thing. What do you get? The Techno-Optimist Manifesto at this link: https://a16z.com/the-techno-optimist-manifesto/ 

  • The Techno-Optimist Manifesto reminds Ron of Virginia Postrel and her book, “The FUTURE AND ITS ENEMIES” https://www.amazon.com/FUTURE-ITS-ENEMIES-Creativity-Enterprise/dp/0684862697 

  • When we talk about the word conservative, we mean different things within the United States. Some conservatives today want to conserve the 1950s. True to themselves, others want to conserve the Declaration of Independence and it’s codification in the Constitution

  • “Economic growth is not a cure-all, but lack of growth is a kill-all.” —Paul Collier

Segment two:

  • In the “Markets” section of the Techno-Optimist Manifesto, Andreesen directly addresses transaction costs and the ability of the market to reduce them. This is AirBNB. This is Uber. This is anything that reduces transaction costs.

  • Hayek’s classic paper, "The Use of Knowledge in Society" was referenced by Ron and Ed today. Link is here: https://www.econlib.org/library/Essays/hykKnw.html 

  • “The law lags culture. The law emerges from the culture. It’s a lot easier to trade with one another than it is to just take it from one another.” —Ed Kless on today’s show

  • In summary, we have 300 years of history to prove that technology drives wages up NOT down. More in the “Markets” section of the Techno-Optimist Manifesto https://a16z.com/the-techno-optimist-manifesto/ 

Segment three:

  • Ed dropping geographic knowledge today, “Jamaica and Singapore have roughly the same population and are roughly the same longitudinally.”

  • “Maybe calling [technology] a tool is too utilitarian? At the end of the day, it’s a hammer, it’s a wrench.” —Ron Baker

  • One of the best lines from the Techno-Optimist Manifesto: “We believe Artificial Intelligence is our alchemy, our Philosopher’s Stone – we are literally making sand think.”https://a16z.com/the-techno-optimist-manifesto 

  • The most PROVOCATIVE line in the entire Techno-Optimist Manifesto: “Deaths that were preventable by the AI that was prevented from existing is a form of murder.” https://a16z.com/the-techno-optimist-manifesto/ 

  • Did you know that President Nixon called for the construction of 1,000 nuclear power plants by the year 2000?

Segment four:

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #461: Interview with Hitendra Patil - Rise of The Aiccountants

Ron and Ed welcomed Hitendra Patil, President of the Global Finance and Accounting Outsourcing Services of Datamatics Business Solutions, Inc. and author of Rise of The Aiccountants: The What, Why, and How of Artificial Intelligence for Accountants. AI is way more than an amusement gimmick. At its core, AI is a powerful tool that can make accounting firm operations, analytics, decision-making, and client services more efficient, impactful, and insightful resulting in clients getting more delighted and, importantly, firm staff more productive, engaged, and happier. Unfortunately, other than starting to use publicly available AI tools, firm leaders who want to professionally leverage artificial intelligence often don’t know where to start. AI journey can feel overwhelming—as it requires firms to analyze existing processes, make new choices for software solutions, decide the priorities for applying AI automation and prepare every part of the firm for the transition.

About Hitendra Patil

Hitendra Patil is the author of two critically acclaimed books bought by accountants from 14 countries across five continents. Hitendra is one of the Top 100 Most Influential People in Accounting in the United States, as recognized by Accounting Today, which is the #1 professional trade journal in the US accounting and finance profession. He has also been among the Top 10 Accounting Influencers to Follow on Social Media and the Top 100 Accounting Social Media Leaderboard. He is a regularly published author in many of the leading publications in the accounting profession in the United States. Hitendra provides research-backed, contemporary insights into the accounting profession about practice growth, entrepreneurship in accounting, client accounting services, and emerging technologies, such as artificial intelligence, machine learning, blockchain, and cybersecurity. Hitendra has a keen interest in human behavior science, neuroscience, psychology - and writing. All this culminates in books, articles, blog posts, podcasts, webinars, and content that resonates deeply with the audience to inspire and influence people to take actions that benefit them.

Use these show notes to follow along with audio…

Segment one:

  • “I’m not an AI deep fake. This is the real Hitendra.” That’s how Hitendra started the show today which is EXACTLY what a deep fake Hitendra would say.

  • What is the biggest challenge facing the accounting profession? Separating the symptoms from the core of accounting. In a good way, we are going towards the core purpose of accounting. To help people improve their business and perform better.

  • “If you look at accounting as a profession it has fewer number of celebrities compared to outside the profession. Excluding Ron Baker, of course. […] We need those celebrities to pull people into the profession.” —Hitendra Patil

  • Client Accounting Services. Heard the phrase? Hitendra wrote the book, Client Accounting Services: The Definitive Success Guide https://cpatrendlines.com/shop/hp21cas/ 

Segment two:

  • Hitendra holds the role of President of the Global Finance and Accounting Outsourcing Services of Datamatics Business Solutions and can be found at https://datamaticscpa.com/accounting-bookkeeping-outsourcing-for-usa-cpas/ 

  • In January of 2023, Hitendra published a new book “Rise of The AiCCOUNTANTS”. More info at this link: https://www.amazon.com/Rise-AiCCOUNTANTSTM-Accountants-Artificial-Intelligence/dp/B0BTKSP6M8 

  • Can we get to the point of significantly reducing the audit with artificial intelligence? Audit is facing an extreme talent crunch so it certainly is a candidate. You also handle massive amounts of data in Audit and AI is great for that.

  • What about “wisdom about the situation” when it comes to applying AI to solve problems? AI does not have that context and probably never will. “There is a world that exists outside of the data.” —Hitendra

Segment three:

  • Hitendra refers to “the engagement ring” as pulling in data and analyzing the past, present, and future. It’s a clever way to think about how to help your clients. 

  • If you have 800 CAS customers, how can you work on the future? There’s just not enough time. Doesn’t CAS require fewer customers? “For those who really do CAS, […] the number will surely come down.” —Hitendra Patil

  • If you were to launch a firm today, what would you do? “Make sure I can survive for 1,000 days with saved money. Otherwise, anything that walks in the door is a client.” —Hitendra Patil

  • Do you see CAS firms adopting the subscription model? “OH YES.” —Hitendra Patil

Segment four:

  • Can you be both CAS and CAAS at the same time? “I don’t think CAAS can exist with CAS.” —Hitendra Patil

  • What’s your production function around doing research. “I start with some LinkedIn polls. […] Then I go through proper channels with massive amounts of subscribers. Then I ask what will be useful and actionable for the market from the research.”

  • A big THANK YOU to Hitendra Patil for joining us today to talk about AI and accountants. Check out his book, Rise of The AiCCOUNTANTS, at this link: https://www.amazon.com/Rise-AiCCOUNTANTSTM-Accountants-Artificial-Intelligence/dp/B0BTKSP6M8 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #460: One Thing! - Part Three

Ron and Ed once again share entries from their "One Thing" journals, so this episode is a bit random, but contains nugget after nugget on curated wisdom for the reading and listening habits of the hosts.

Use these show notes to follow along with audio…

Segment One:

  • Ron: Writing a book is more risky than having a child. You can always disown a child.

  • Ed: “The juice is not worth the squeeze.” Not sure I like this metaphor.

  • Ron: What’s your unpopular but good idea or cause? (Asked when Peter Thiel interviews for nonprofits)

  • Ron: Also from Peter Thiel: “Tell me something you believe that most people don’t”

  • Ed: “The time for debate is over!” is almost always code for, “Shut up and do what I say.”

  • Ron: Jonah Goldberg — “Libertarians are like the Huns. You want them on your side, just not in charge.”

  • Ed: “I can’t help but feel like you’re trying to intimidate me into pretending to agree with you." One of the thoughts that economist Bryan Caplan keeps to himself. 

  • Ron: It doesn’t take a dead man to build a coffin (mechanic doesn’t need to drive BMW)

Segment Two:

  • Ed: In 100 years, what will I be wrong about?

  • Ron: Liberty is the absence of oppression. Freedom is the act of commitment: a choice. Peter Block

  • Ed: ‘We are free to choose, we are not free to choose not to choose.’ - Peter Kostenbaum

  • Ron: The problem with the gene pool is there’s no lifeguard, Steven Wright

  • Ed: One of my favorite political fables concerns Dwight D. Eisenhower and his tenure as president of Columbia University. The campus was undergoing an expansion, and Ike was presented with two very different plans for laying out new sidewalks. The architects were irreconcilable, each insisting that his plan was the only way to go and that the other guy had it all wrong. Ike, sensible fellow that he was, had grass planted instead, telling the architects to wait a year and see where the students trod paths in the turf, and then to put the sidewalks there.  - Kevin Williamson

  • Ron: If we evolved from apes, why do apes still exist?

  • Ed: “If the slave eats the food provided by the master, does that mean the slave consents to slavery?” - Mike Munger response to the "Muh roads" argument.

Segment Three:

  • Ron: An American is an Englishman left Alone. Alexis De Toqueville

  • Ed: Principle of “non worst-ness.” Not hiring someone to clean your house because you think it is demeaning to them only make the have to take on another customer who will likely be demeaning.

  • Ron: Argue with conviction, listen as if you were wrong

  • Ed: What have I said “Yes” to that I no longer am truly committed?

  • Ron: I would rather have questions that can’t be answered than answers that can’t be questioned. Richard Feynman

  • Ron: JFK was asked what he was most worried him? 30-40 nations with nuclear weapons. We have 9 with America’s leadership

  • Ed: A man tries to park his car in the Congressional lot. Security comes over and explains that he should not park there because Congress is in session. The guy replies, “It’s okay, I locked the doors.”

  • Ron: Eric Idle: wanted biography title, “Say no more,” but that’s for his Tombstone

Segment Four:

  • Ed: It is an established fact of social science that any bad idea can work for a time in Sweden.

  • Ron: GK Chesterton: Gratitude is happiness doubled by wonder.

  • Ed: The system will reveal true purpose in spite of the stated vision and mission statements or in the absence thereof.

  • Ron: St. Thomas Aquinas: Envy is the only one of the seven deadly sins that isn’t even fun

  • Ron: All models are wrong, some are useful

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits.