No. of Recommendations: 7
Cutting cost, especially by amputation is optically no good.Buffett adores Tom Murphy for “not acquiring costs in the first place“. But surely there are very few Murphys running around the subs.
The better approach is to build a culture of continuous improvement but that requires a runway. What we’re witnessing at Geico, BNSF and elsewhere are classic signs of its absence. I’ve heard through anecdotes that there are some subs where this is firmly rooted, Clayton McLane and Forest River come to mind.
This would be a great question at the annual meeting; With Abel and Jain answering.
