Entrepreneur speaks at Anderson

Entrepreneur and pioneer of high-fidelity audio equipment Sidney
Harman visited the UCLA Anderson School on Thursday to promote his
new book and provide his personal insights on business to an
enthralled audience.

Drawing on his experience from 50 years in business, Harman
recounted personal stories and described key practices which have
helped him co-found his firm, Harman Kardon, one of the leading
manufacturers of high-quality digital and audio equipment in the
world with sales of $1.7 billion last year.

In “Mind Your Own Business: A Maverick’s Guide to
Business, Leadership and Life,” released in October 2003,
Harman explores the role of the company executive outside of
traditional characterizations.

He emphasizes that the role of the executive should be to
inspire other employees and to encourage a bottom-up culture of
governance in which all employees feel they have personal
responsibility in the future success of the company.

In his speech, Harman spoke about the need for a company to be
set up on sound ethical practices in order for it to be a permanent
player in its industry.

“When you run a healthy, honorable business, it works, and
the long-run health of the company will be better than that of
other companies,” he said.

Harman’s statement rings especially true in today’s
business world given the recent scandals that have sunk some of the
nation’s larger firms ““ including Enron, WorldCom and
Arthur Anderson.

Business has at times provided him with temptations to stray
from this conviction, Harman said.

He recounted a time when advisers from operation units in Europe
were suggesting he bribe local officials ““ a common business
practice in some countries.

But Harman refused such actions, not only due to their
illegality, but also because he felt this would reflect negatively
on his company as a whole.

“What kind of example would we be setting for suppliers
and others we deal with?” he asked.

Harman also talked about the trend of specialization in
management, citing multifunctional employees as being better-suited
for business success.

“I see management as a jazz quartet,” he said.
“Let each (musician) master their own instrument, but playing
good music requires listening to others and responding.”

Finally, Harman mentioned the importance of writing in a
business context, emphasizing its ability to help people think
creatively.

He joked facetiously with the audience ““ which included
Chancellor Albert Carnesale ““ that although his wife
urged him to write a book, it was a large “advance”
from a publishing house that helped him make his decision.

Jane Harman, a Democrat representative and the ranking member on
the House Intelligence Committee, has been mentioned as a possible
vice-presidential partner to John Kerry, Harman said.

“She appears on TV more than Peter Jennings,” he
quipped.

Harman himself also has a storied background in government,
having served as deputy secretary of commerce during the Carter
administration from 1977 to 1978.