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In this episode of the IC-DISC show, I speak with Tim Loney about his transition from airline industry professional to IT services entrepreneur. He shares his path from working at Continental Airlines through major mergers to establishing Solutions Information Systems, explaining how his experience with severance packages motivated his shift into entrepreneurship. We discuss the importance of business continuity planning, particularly for companies in hurricane-prone areas. Tim tells me about a Houston client whose facilities experienced severe flooding, highlighting how proper data recovery systems made a crucial difference in their ability to resume operations. Managing sensitive data is a key topic in our conversation, as Tim's company works with high-net-worth families, family office sectors, as well as companies in a variety of industries. He explains how word-of-mouth referrals have helped build trust with these clients who require careful handling of confidential information. The conversation turns to Tim's approach to business acquisition, where he focuses on purchasing IT firms from retiring owners. He describes his method of maintaining and growing these businesses post-purchase while sharing insights about how remote management tools have transformed IT services over the past 35 years.     SHOW HIGHLIGHTS I discussed Tim's career evolution from working in the airline industry with Continental Airlines and American Express to establishing his own IT services firm, Solutions Information Systems, in Houston, Texas. Tim shared insights on how his managed IT services company has established a national presence by utilizing robust remote management tools and enterprise-class processes. We explored the importance of business continuity and rapid data recovery, highlighted by a story of a Houston-based company that faced severe flooding and required effective disaster recovery solutions. Tim's firm specializes in managing sensitive data for high-income families in construction and family office sectors, emphasizing the importance of trust and credibility built through word-of-mouth referrals. We discussed Tim's strategy for acquiring small businesses from retiring owners, focusing on enhancing the value of these businesses post-acquisition to ensure continued growth. Tim reflected on his entrepreneurial journey from modest beginnings, emphasizing the significance of diversifying income sources and the evolving importance of data protection in the digital age. The episode concluded with an exploration of the evolution of office communication over the last 35 years, showcasing the technological advancements that have redefined the IT industry.   Contact Details LinkedIn- Tim Loney (https://www.linkedin.com/in/sis-tloney/) LINKSShow Notes Be a Guest About IC-DISC Alliance About Solutions Informations Systems GUEST Tim LoneyAbout Tim TRANSCRIPT (AI transcript provided as supporting material and may contain errors) Dave: Hey, good afternoon, Tim. Welcome to the podcast. Tim: Hi, Dave, good to see you. Dave: So where are you calling in from today? What part of the world are you in? Tim: I'm in Houston, Texas, just north of Houston, in the Tomball area. Dave: Okay. Tim: Up in our corporate headquarters for the company. Dave: Okay, and now are you a native Houstonian. Tim: I am not. I'm not a native Houstonian. I should be probably classified as a native Houstonian because I've been here for about 35 years or more. Dave: Okay. Tim: But my background is I migrated from Canada the day before my 21st birthday. Dave: Oh, you did. Tim: Yeah, I became a permanent resident here in the United States. And what caused you to want to do that? The economy was pretty bad in Canada at that time and I was working for a commercial airline that had gone through a severance package and they released me with my severance package and I said you know, maybe I should try another country, not just a job, but maybe another country. Dave: Okay, so when you came to Houston then did you stay in the airline? Tim: business I did. I worked for one of the large international airlines called Continental Airlines at the time, which has since been acquired by United Airlines. Dave: You know, to this day I can still tell a legacy Continental flight crew from a legacy United flight crew. Very different cultures, very different cultures, or, as I say, the Continental folks are nice and the United folks are not so nice. Tim: Correct, yeah, I was there during the heavy competition years between Continental Airlines and United. I was actually there in the process with Continental Airlines during a very large merger and acquisition of multiple carriers. We acquired Frontier, people Express and New York Air and put them all under the umbrella of Continental Airlines. So I was there during those years. Dave: Okay, so were you there in the late 90s. So were you there in the late 90s. Tim: I was there from 1985 to 1990. Dave: Okay, yeah, I was only asking because I'd worked at an executive search firm in the late 90s and we worked with Continental during their like, go forward initiative or move forward initiative. Tim: Yep the go forward plan with Gordon Blithoon. He was Yep. Dave: Yep, that was it. So then you left the airline business. What did you decide to go do then? Tim: So I left the airline business and I went to work for one of the largest credit card companies in the world called American Express. Dave: Okay, I think I've heard of them. Tim: Yep and because I had a lot of automation knowledge of how the airlines work. From an automation standpoint, American Express was interested in me and understanding the automation behind the airlines and travel agency systems and they brought me in to be a systems person for the airlines to help them in kind of standardizing a lot of procedures within American Express. Dave: Okay, well, that sounds like a fun opportunity. Tim: Yeah, very rewarding, very educational. I learned so much during my term at American Express. Dave: Okay, but you decided that at some point you wanted to unfurl your wings and see what you could do on your own. Is that right? Tim: unfurl your wings and see what you could do on your own. Is that right? Yeah, you know now that I look back at it. You know I was. I grew up in a family where you were encouraged to go work for a large organization and a big fortune 100 firm, and through your entire life, and leave with a gold Rolex watch and have a great retirement plan. Dave: Yeah. Tim: But as I followed that path, I found myself continuing to get severance packages over and in my experience with the Fortune 100s I received three or four severance packages and those packages kind of educated me on that. It was maybe not the right gig for me and, you know, I was smart enough to be able to exit out of the Fortune 100s and do something on my own, and that's when I decided to start my organization. Dave: Okay, and what's your company called? Tim: So my company is Solutions Information Systems Solutions IS to abbreviate it and we are a managed service provider of IT services across the United States, managing about 175 customers across the US oh wow. Dave: That's interesting. I would have thought you'd have your clients would all be in the Houston area. I guess this newfangled internet thing lets you serve clients remotely. Is that, I guess, how it works? Tim: Yeah, yeah, and we can talk a little bit about what makes us so successful, but the ability to manage and monitor and remediate issues remotely has come a long ways over the years that I've been in IT. Now it's pretty much if you can't do that, why are you in this industry, right? So yeah, and you know it's a lot of like the entire work from home program that the whole world has kind of moved to. We have that ability to do exactly all of that stuff, not only from our corporate headquarters, but remotely as well. If one of our employees needs to work from home, they can do remotely as well. If one of our employees needs to work from home, they can do that as well. So it requires a massive tool set, and I'll refer probably to our tool set a lot, because that's what makes us successful, right Is the tool set that I've been able to put together and build a toolbox full of tools to be able to manage, secure, maintain these infrastructures that we're responsible for. Dave: Well. Tim: I thought IT service firms were. Dave: I thought that was a commodity service. I thought they're all the same. Tim: Oh no, there's quite a bit of difference in how these managed service providers operate and I'll tell you, I would consider us probably in the top 100 nationally and probably the top three in our region of service providers, and the reason I kind of give us that grade and that's a grade that I've given us is that we've been at this for 25 years. I started this practice 25 years ago. I started this practice 25 years ago and over those 25 years I not only brought in enterprise class processes and procedures from my 10 years at American Express, but I've improved upon those processes and procedures over those 25 years. Dave: And we continue to improve on those processes. Okay. Well, what? Yeah, I'm guessing that you're. The clients tend to stay with you for a pretty long time. Is that like until they sell or go out of business or some significant event occurs? Absolutely. Tim: Yeah, and that and that's the type of client that we want to have in our portfolio, right? This is not a consumable product that you go and buy once and go away this is a partnership with our customers. Dave: It really is. Tim: You have to think about the IT infrastructure of any business out there. It's number one, a foundational piece of the business, and it is an instrumental piece in continuing to do business right. A lot of conversations I have are around data protection and security, and that's a lot of what we do right Is how do we protect the data that the customer has and how do we make sure that it remains secure and that nobody compromises that data or extracts that data or modifies that data that's on their infrastructure. Dave: Okay, and I'm guessing you're not trying to be the low-cost provider. Tim: We are not the low-cost provider. I wouldn't say we're the most expensive organization out there, but we are in the higher side, and the reason that we're the higher side is we bring a huge value to an organization. There is a lot of components within the IT support model that our lower competitors don't provide or don't understand, and those are the weaknesses within an organization that will cost them considerable damage to an organization if they get exposed right. Dave: Yeah. Tim: And then kind of go through those if you want to cover some of that stuff. Like let's just give an example of a business continuity plan right. If a company doesn't have a business continuity plan, that should be something that they should have in place, and they should have worked with their IT service provider or internal IT team to make sure that they've got a business continuity plan. If they don't, when an event happens, it's a total dumpster fire right, because they don't know what to do and they're very disorganized and it takes them an extremely long time to be able to recover, if they recover at all. So that's one example. Another example is compliance. There's a lot of compliance that's out there and that compliance is in place for a reason. Compliance is in there because somehow something got compromised and this is a compliance requirement that you now have to be in compliance with. It may be an access control compliance thing. It might be a reporting compliance to a legal agency. Dave: So talk to me about the first thing you refer to as the disaster recovery plan or the disaster recovery and business continuity. Okay, so my listeners love stories, so could you give me an example, like of one of your clients you know anonymously, that maybe went through a situation or maybe a company who was not a client but after they had an issue they hired. You guys give us a sense of like the elements of a really good you know continuity plan. Tim: Sure. So I'll give you an example. I had a neighbor that was in my neighborhood that you know. We would see each other at the neighborhood community pool. Our kids would play together, you know weren't real close to them. But you know you get into the conversation of having hey, what do you do by? The way, and you know, I told him I ran a managed service provider, an IT service firm, and we manage customer networks and we keep them secure. Dave: And he goes oh, okay, okay, Well, we got a guy. Tim: We got a guy he's good, he's been with me for five years. At that point, and you know, and wow, that's great. Well, if we need anything we'll call you, right, the conversation went away and that was about 15 years later. So the guy had been working for him for 20 years managing his stuff, managing his infrastructure, managing his backups, making sure again going back to data protection and security making sure that everything was safe and secure and we could recover it. Well, lo and behold, 20 years later he calls me up it. Well, lo and behold, 20 years later he calls me up, not him, but his wife calls me up, and his wife, you know, worked in the business for a period of time but it exited out. She called me up. She said by the way, I still have your cell phone number. I'm wondering if you're still doing IT, was their question. Dave: Okay. Tim: And I returned back and I said absolutely, I'm still doing IT. What's going on? She goes well. He was afraid to call you because he's embarrassed and we were in a very bad situation. This is a second generation builder supply company, probably doing annual revenue about $10 to $15 million in annual revenue. Dave: I said OK, what's going on? Tim: And she goes. Well, we've been ransomed and our data has been held for ransom and we don't know what to do. And our IT guy doesn't know what to do and he is really stressed out. And so the next step was is like well, I can jump in and I can help you. Let me know if you need my assistance. But these type of scenarios we've worked with before and we know how to be able to either negotiate with the criminals and negotiate the ransom to a point where you can actually pay it. If that's your only option, that's your worst option. But if we can recover your data from some sort of backup, we can go through the recovery process. Kind of summarize it we spent that particular client was not a client at the time and so they didn't have any of our backup or recovery procedures in place. They didn't have any kind of policy in place. They didn't have retention policies, they didn't have off-site backups. They had a lot of things. They didn't have offsite backups. They had a lot of things that were missing in that internal IT person's procedure. So what happened was is we came in and we immediately got on site and determined that they were using tape backup, and this is like way tape backup had expired like a long time ago. They had tape backup, they had ancient equipment, it was really. They obviously had put no money investment into their IT. Okay, the recovery for that client was about a week and a half and we were able to recover about 90% of their data. So it comes down to what we call RTO or recovery time objective. The recovery time objective is how long will it take us to recover your network based on our backup and recovery procedures? That particular customer we were able to get back up. Like I said, it was an extended period of time that they were out and they weren't able to do stuff. They were writing sales orders on paper and going back to a paper process. So they could continue their business, but we did get them back up and operational. We got them recovered and they became a customer and today we run very successful trials of the recovery system, as well as continue to make sure that their data is protected and secure. Dave: Did they end up paying the ransom they? Did not Because you got them close enough to 100%. Tim: We got them close enough where they had physical paper backup of the information that they were able to put back into the system. Dave: Okay, now help me understand the other end of that spectrum with somebody who was a current client that something like that happened to, and what was the difference as far as how long it took before you had them up and running? Tim: Well, you know, our current clients knock on wood have not experienced that. Dave: Because they've got a tighter IT infrastructure. Tim: Right, we've got the security and controls and again going back to the tool set to detect and have early detection of these type of events before they happen. So we have the security operations center that is constantly monitoring the security of the networks and the access to the networks and they look for anything that's kind of out of order. Dave: When something's out of order. Tim: then we identify it. We either isolate that system or we investigate it further and see is this a normal procedure that should be going or not? A normal procedure and a lot of this stuff is becoming part of AI now. Part of the AI capabilities is to be able to identify those things very early and stop them before they get any further into the network. So prevention is obviously a whole lot better than remediation. Right and that's what companies hire us to do is to prevent anything like that, a catastrophic event, from happening. Dave: Okay. Well, what about something that's more like a hurricane hits and wipes out their building? I assume you've had some kind of like natural disaster kind of thing where you've had to enact a continuity plan. Tim: Yep, yep, yep, absolutely so. Hurricanes here in the Gulf Coast of Texas, with the Gulf Coast of Texas being in a hurricane zone, we've had customers that their facilities have gone underwater. So one particular customer was on the south side of Houston and their facility went about five feet underwater. They, interestingly enough, had the server on a brick, thinking it was high enough. Well, it wasn't quite high enough, it was a foot off the ground, but it needed to be five feet off the ground. So that server went underwater and it was on when it went underwater. So it shorted out a lot of the components on the server, in which case, you know, they were like we don't know what to do In that scenario. We actually brought the hardware to our facility and we found out what component had failed and we replaced that component on the system and we were able to recover that system oh, wow, okay yeah, that's what we always want to do, is we want to try to use local recovery as much as possible just because of bandwidth or um, no, because of the time it takes to get the data transferred over from a replication process right. Gotcha If you're dealing with terabytes of data. You have to transfer that terabytes of data from either our data center facility or a cloud infrastructure, and that can be time consuming. That can be hours, if not days, depending upon the data. Okay, so some great stories. I mean, obviously we've had events happen. It's not uncommon for events to happen, but how we handle those events and how quickly we can recover from them is critical to a business to continue business for our customers and they can get back to business and be doing what they're doing selling things, manufacturing things, distributing things, whatever it is Okay. Dave: And are there any particular industries that you have, like you know, kind of particular expertise in where you know you would say that people in this industry might look out to you for yeah? Tim: There is. We're a very horizontal organization so we do have multiple industries that we play in. So we do play in the construction industry A lot of construction firms are in our portfolio, but also kind of an area where we've proven to have not only expertise in what we do but also the trust factor is in family offices. Dave: Oh, really Okay. Tim: Yeah, either high income families or ultra high income families. Obviously the privacy of those organizations, the privacy of the families, absolutely critical, and then the data that they're working with has high confidentiality. So, you know again, if that information was to leak out of the network or leak out of the system, then it would be a serious issue. So we've dealt with some of the highest wealth families in the world, oh interesting. Yep Obviously can't name them, but some brands that you would know, some organizations that you would know. It's amazing when I look at our portfolio, the amount of business like when I'm driving around town and I see companies around town and I'm like been in that building, worked in that customer, handled that particular customer, things like that. So yeah, you know, it's our high income or ultra high income. Families are probably a good percentage of our business. Okay, because they have multiple entities that we can support, consistent across all of those entities. So it's very standardized the way we do our business and very proceduralized so it makes it easy for them to understand. They get a quarterly report that provides them with the details and data that they know what we did for them previously and then we also forecast with a forecasting budget in the October November timeframe to provide them with a forecast so they can budget for their future IT needs and know what they're going to need replaced in the future. Dave: Okay, so was this just a case? You happened to stumble across, you know one of these family offices and then you know they run in the same circles and we're just got around that you guys were the go-to folks. Tim: I will say it has helped right In the. You know, in that particular market referrals are a huge thing. Our first family office we did stumble across. We didn't know we were working with an entity, one of their businesses, and then we, you know, they introduced us to another piece of their business and then they introduced us to the family office. You know we're having troubles with, you know, my buddy, my other firm over here, and we'd like you to kind of help in that area. So that expanded out quite a bit. And you know, again, there couldn't be. Our organization has to be the most trusted organization as a vendor that any company is going to hire, right? Sure, because you have to think about the access to the data that we have. We have access to absolutely everything. We're the administrator of your network, right? We have access to your email account. We have access to your email account. We have access to your employees' email accounts. We have access to your data, your financial data, your payroll data, your bonus data, all of the data that's out there on the network we have full access to. So you have to trust our team to the utmost in order to keep that information private, and I always approach a customer with. We're here responsible to secure and maintain that data. We're not here to look at what that data is. We don't know what that data is. Okay. Dave: Well, that's interesting here. I thought I figured you picked up that first client when you were on your mega yacht at the Cannes Film Festival. It didn't work that way. Tim: Huh, no it didn't work that way. No, it didn't work that way. I don't have a mega yacht and I wasn't at the festival, so okay, okay, yeah, not that I don't enjoy that stuff. I do have a house over at tpc, sawgrass and the players club and I do enjoy the country club life. You know I probably have the least expensive house in the neighborhood but I do enjoy the life. Dave: So nice, nice, I like it. So what do your clients tell you that makes your firm unique, like folks that have moved from another firm to yours, then they've been with you a while and I imagine you'll have a conversation hey, how's it going from your end? Are we meeting your expectations? I imagine you have conversations like that. What are they? What are? Are there any common themes? When they end up comparing you to the prior provider, they had, or how does that go? Tim: Yeah, there's a couple of scenarios there on why customers come to us and leave their current service provider right. One of the biggest things that I found with a customer that may be using a smaller service provider is they are really good at the tech stuff. They're not good at the business or the accounting side of the business, sure. So there's a delay in billing or an inaccuracy in billing and it's all of a sudden they get a stack of invoices three months later for work that was performed that they have no idea whether it got performed or what, and so there's a huge problem with the office operations of those particular service providers. So there's a pain point there and they're like I'm done, they come to me and they go, I'm done, this guy doesn't bill me. And then he bills me all at once, and then I got to try and back that information back into my financials and it totally screws up my forecast and my monthly reporting. So that's one reason that customers come to us. The other one is they don't get a response or the response is like unpredictable. So when they call in, they may get the guy right away, they may get the person like return their call the next day or three days later, so response time is really huge. I have a service desk here that is operated 24 hours a day, so our first level response is within minutes. So if you call my office, you'll get a response within minutes. If not on the first ring, it'll probably be the second or third ring. Dave: Oh, wow. Tim: Yeah, very rarely does any of our calls sit on hold or back up in the queue, so that's one way that customers come to us. The other way that customers come to us is that we have acquired eight other companies in the past 25 years. Dave: Oh, wow. Tim: Yeah, we completed our last acquisition in 2024. And we've gone out and found other service providers that may be struggling. They may not have the right business acumen to be able to run the business, so they're either marginally making money or they're losing money because they don't have the standard operating procedures that we have in place and the true business acumen to be able to run the service as a company. They've got customers, they're doing the work, they're getting paid, but they're not profitable. So we end up with firms like that that have come in through acquisitions. Dave: So yeah, I can see that and that's probably where your American Express background was helpful. Right Because you've had exposure to, you know, enterprise grade operations billing HR. Right operations billing HR right To where? Because American Express strikes me as just a well-run, well-oiled machine? Tim: Absolutely yeah, and I will say yeah, I will give them credit for that. You know it was a great run over there for 10 years and I learned not only about you know my job role and continuing to build on my experience in my job role, but how a company operates from a branding perspective, in branding your organization and keeping that brand consistent, but also in standard operating procedures and standardized deployment of systems. Right. I always refer back to not only my American Express days but the Southwest Airline days of standardization. If you can standardize the particular piece of your business that you're running, then it makes it so much easier. So we have standard software applications that we put out from a security tool set. We have standard equipment that we sell out to our customers, all on the Dell platform. My team is trained on the Dell hardware. They're trained on the tools that we use. The security tools, the management tools and all of those things integrate together to make a successful business. Dave: And again it goes back to enterprise level policies and procedures and way things that are, you know, repeating things that are successful you know, repeating things that are successful, okay Well, it sounds like like the first two parts of your success just seem mind blowing to me how you thought of this. But answer the phone when clients call and invoice timely Wow, I mean that's, that's quite a that's quite as. I mean I can't believe, to be honest, that you shared that secret sauce with me. I mean, my goodness, I mean that's. If you're not careful, there'll be other companies will start answering the phone and invoicing timely with that, you know inside knowledge. Tim: Yeah, I hope that we can improve the rest of the service providers out there, right. Dave: Sure. Tim: Competition is good. I like competition. It keeps us going. It gives us something to work towards as well. Dave: Yeah, so you talked a bit about some of the acquisitions and it sounds like you're kind of in a place where you're always open to the right acquisition. What are kind of the ideal characteristics of like the ideal acquisition? I'm guessing you're not going to try to acquire like E&Y's consulting group. I'm guessing you're looking for smaller operations than that. Tim: Yeah for sure you know. So an organization, the organizations we have acquired, have been anywhere from a half a million dollars to two million dollars in revenue. Those organizations the owners may be getting older, they may be getting ready to retire and they're not sure what they want to do with their business. What they do know is that they don't want to continue to run it Right and that it's marginally. They're making the same amount of money or less than if they had a corporate job Right. So it's sad to see, because they love what they do right and they want to place their customers in with a firm that has a similar culture, that takes care of their customers and really make sure that they're doing the right thing for their customers. So a firm that might be in a half million dollars to two million dollars in annual revenue, or the firm might be a five employee firm or smaller, and that they're getting to that point where they're kind of tired of running the organization and they'd like to transfer. They've taken care of their customers over the years and they've made relationships with those customers over the years and they like to put them with an organization that will take care of those customers and make it a seamless transition for the customer base sure, and I bet, I bet these sellers would probably be shocked if they were able to come in and look at the finances of their business like two years after you've acquired it. Dave: Right, because I'm guessing? Tim: Historically, yes, I will tell you, in probably at least half of those transactions that we've done in the either 12-month or 24-month payout period, they've made more money in that 12-month or 24-month period than they've made in the last three to four years. Dave: Oh, because that earn out ends up being a function of how much you bill over those 12 to 20. And you dramatically increase the revenues, so they're automatically getting participation in that. Absolutely. If they'd known that they would have sold to you 20 years earlier. They just wanted to work for you had their payout and then just become an employee. Right, they want to come out way ahead. Exactly, yeah. Tim: Yeah, now it's really good to see that. I mean, you know, that's one of the things that my competitors don't do. They try to come in and offer this ridiculous number for a business and then the earn out. They beat them up on the earn out and end up with anything. They end up with an initial payment and then maybe they'll get an earn out, maybe they they'll get an earn out, maybe they won't get an earn out, but they're going to tell them how horrible their organization was and how bad the customer base was and how it's not profitable and you know, it's just not how I do business. Dave: Yeah, and I'm having done. Did you say eight acquisitions? Correct, yeah, I'm guessing you've done enough now. That now you have the ability Correct? Yeah, I'm guessing you've done enough now that now you have the ability, the same way that I understand you know when Berkshire Hathaway acquires a at that same point. Now You've got enough success stories that you can point to those as another differentiator, right? Tim: Yeah, absolutely, absolutely. We're not at the Berkshire Hathaway point, but we got a couple under our belt and a couple of examples that we can refer back to and have some validation around our acquisition process. Dave: Yeah, because I'm just like, as I'm just playing through some hypothetical numbers, like you know, if a company had, say and you don't have to confirm these, but say a company was doing half a million in revenue, the profit is say you know 50 grand and you buy them, is say you know 50 grand and you buy them, and it wouldn't surprise me if, like, two years later, you know that revenue number doubled and the profitability number like quintupled probably, and or you just you know dramatic increase. Just because you know I mean, quite frankly, you just have a better run business model but they had you're able to plug them in and so that's absolutely our goal. Tim: Yeah, and so your win isn't so much we like to see play out right. Dave: Yeah, and so your win isn't like other folks where you promise the moon and then you figure out all of these ways to not pay them. It sounds like your process is just like hey, because in your mind, being a strategic buyer, that business is worth way more to you. You know two years later, once you've done your magic to it, that business is worth way more and so you're okay paying them on an earn out, on a growing revenue number that maybe they didn't even contribute to, because at the end you know, as a I mean like on the front end you might pay, say you know, one times revenue, let's say just to pull a number out but by the time you get to the end of it, if the business is doubled and the profitability is quadrupled, you really ended up paying only one third or one half revenue. And so all of a sudden, whether you know found a way to squeeze them to where the imputed value you paid was one third annual billings or it was half of annual billings really doesn't matter, because the real value for you is like, year three after the earn out. You've got this great profitable book of business that you know you didn't pay much for in comparison to what it's worth two, three years later in your enterprise. Is that right that's? correct, yep, absolutely but the reason you didn't pay much, though, in in all honesty, was because the business wasn't very valuable. Tim: And it really wasn't right. Dave: Yeah, I mean they had owner value. Tim: Street value had a zero valuation on it right. Dave: Yeah, they had probably owner concentration risk. They may have had customer concentration risk, poor processes systems. You know the type of company that you know. There weren't people beating their door down to buy their because, effectively, you're just buying a job. If you bought that business, all right. How much do you pay for a job? Most people don't want to pay very much for a job. Now, what do you look for in an employee, just like you know the most techie person you can find. Is that really all that matters? Tim: No, it's not necessarily you know the most skilled technical guy out there, right? So one of the strategies that we have and maybe I shouldn't share that because my competitors may hear it, but we are a strong supporter of our veterans, so we have veterans that work in our organization. We're probably a 75 percent veteran organization. Dave: Oh, wow, ok yeah. Tim: Yeah, and we enjoy that. They come to us with technical skills and abilities but we build upon those we really do Right and we develop those particular individuals to be much better at what they do. But having our veterans on our team has been hugely successful from a reliability standpoint, as well as a dedication standpoint and the understanding to be able to follow orders as given, right Okay. So that's how we've been able to do that and our retention rate is extremely high. I would say that our culture is very good. We're very family oriented. We're very you know when work has to get done, work has to get done. But we also realize that the family comes first and there's family things that come in the way that need to be addressed. Right. You can't. Your kid gets sick. You have to go take care of your kid, you can't be at your job, right? Those kinds of things and being able to balance that. That was one of my challenges at American Express. I was a new father in my ninth year at American Express and I realized that, even though it was written in the book and preached on the values of the company, when it came time to actually exercise that it wasn't as flexible as I had hoped I was like you know. This is another reason I kind of need to get out. I need to raise my daughter and I need to, you know, and I plan to have other children. So family values and longevity of employees, it makes a huge difference you have to think about. If you have an IT guy in your organization and they're only there for a year or two years, they've gained a little bit of knowledge about your business and how it operates and what computer systems are, what systems and software you're using in your business. They get intellectual knowledge right that walks out the door when that employee leaves or you release that employee. Dave: Yeah. Tim: With maintaining our staffing. I've got people on my team that have been with us 15 plus years and they have a history of our customers that is like you can't buy that right. Sure, you've got that knowledge of that network, of when it was built, like we've built some of these companies, so we know it from day one and what we've done to different applications and how we've modified them over the years. So just having that knowledge be maintained with your service provider is huge, so, and we can go back and look at you know, oh, here's a ticket from 15 years ago that I worked, that I resolved this issue, wow. Dave: And how do you know? You know, cause it sounds like the company has been growing both organically and through acquisition. How do you know when it's time to hire? Do you wait till? Like people are working a hundred hours a week in complaining and quitting. Tim: Is that? Dave: the point you say oh geez, we probably should get somebody hired and we should probably hire in a hurry. The first person we come across Is that your growth strategy? Tim: for your people? No, definitely not, definitely not. So we have a lot of KPIs in the business that we can measure the performance of our organization, and mainly that's around resource utilization. Okay, so we have a lot of tools in our toolbox that give us an indication of when an employee is overloaded or when they have too much on their plate, so we can shuffle that within the business and be able to see who's got the workload and who doesn't have the workload, be able to move things around within the organization. But then we can also look at our utilization levels and, number one, make sure that we're profitable with those utilization levels but also staff appropriately to those utilization levels and know when it's time right. It's like okay, we acquired a company with five big customers and we didn't get any employees with it. Do we have the bandwidth or do we need to increase our staffing? So we really have a lot of KPIs around measuring that to make sure that we don't stress our existing resources and we balance it out that our people are profitable but they're not overworked. Dave: Yeah, no, that makes sense. And then how do your new employees come to you? Is it referrals from other employees mostly, or no, we do have. Tim: I sit on the board for one of the technical colleges and I use that technical college as our you know more or less recruiting platform. We find the best of the students. You know the kids that are shining. You know they kids that are shining. You know they're showing up on time for their classes, they're interested in developing their skills and they're really, you know, the top students in the tracks right Okay. Yeah, and then we recruit them out of there. We recruit them in at our first level, our entry level, on our service desk team and we build them up in our organization over a period of time, so lots of opportunity for them to grow once they come into our organization. Dave: Yeah, that sounds like a great way to bring new folks on. You can train them the way you want trained with your processes and systems. Tim: And then keep them right. Keep them you can give them a growth path and keep them so that they can be. They can get better at what they do, get a higher compensation, be successful in life. There's nothing makes me happier as an owner than to see an employee grow from where they came in the day they started with us to being successful in life. Buying a home buying a car, having a family, all of those kinds of things right, those are really important for me. They're kind of like energy for me to see a person develop over the course of their career with our organization. Dave: Some of my guests. When I ask them, like what's the most satisfying or gratifying part of the job, it seems to fall into two categories. It's either the satisfaction they get from serving the customer or the satisfaction they get from watching their team grow. It sounds like you're probably more on that watching the team grow and that and then they. I think it was Herb Keller that had the idea of take care of your employees, and your employees will take care of your customers Absolutely. Is that right, that your satisfaction comes more from taking care of the employees, and then the happy customers are just an expected outcome? Tim: Yeah, that is a result, right, absolutely. So you know, when I started started this organization, I started in the spare bedroom of my house. Oh okay, I had two analog phone lines. One was for my phone and the other one was a backup phone line, but it was also used for my dial-up internet to be able to help, oh wow, remote into into customers. Right, and looking back, I walk in now to our operations center and we have a pretty impressive organization and a pretty impressive facility that we own. And walking in now I'm like, holy crap, what the heck did I build? Dave: right that's awesome. That's super satisfying right, super yeah I can imagine well I cannot believe how the time is flying by. I always tell my guests it's like the fastest hour of their life is being on the podcast. Tim: How are we going to fill that hour, Dave? Dave: Yeah, I know. So I've got just two questions just to wrap up. If you had a time machine and could go back and give some advice to like your 25 or 30 year old self, what advice might you give yourself? Tim: Ooh, that's a good question. I don't know. I don't know the answer to that. What do I give myself? I probably would have started my organization sooner. Dave: Bingo. That's the answer that 90% of the people have. Tim: Yeah, I would have started my organization sooner. I needed that enterprise expertise, but I would have started it sooner. Dave: Sure, yeah, it's yeah, because the funny thing when you're an employee and if you follow the career path that your family suggested is actually they think it's a low risk, safe career path. But it's actually a high risk path because you have a customer concentration issue, meaning you have one customer, your employer and, as you learned three or four times that if they decide they don't need you anymore, you basically lose 100% of your income. They don't need you anymore, you basically lose 100% of your income. So it's actually less risky to have you know, even if you're just doing like consulting and all yours, just like a contract employee working 10 hours a week for four different companies, doing whatever. I find that that's far less risky, because if one of the companies doesn't need you, then you know you've only lost a quarter of your revenue. Tim: Yeah, I call it a scenario of I get hired multiple times a month. I hope I never get fired, but occasionally I get fired. But it should have an impact. I like it Well. Dave: so here's my last question. So you're a naturalized Houstonian, like I, am Tex-Mex or barbecue. Tim: Ooh, I like both really well. But yeah, tex-mex thing. If I don't have Mexican at least once a week, I'm going through withdrawals okay, so Tex-Mex? Dave: yeah, now, one person answered that question. I borrowed this from somebody else. One person answered it. They told me about a Mexican restaurant that has great brisket and they make like brisket enchiladas and brisket tacos and brisket quesadillas and he said that was like the best of both worlds there. And I thought, boy, that sounds like it. Tim: Yeah, there's nothing better than a brisket taco, for sure. Dave: That is awesome, I make some of those myself. That is great. Well, hey, as we wrap up, is there anything? I did not ask you that you wish I had Tim. Tim: No, I'd like to close by saying I shared with my team today and I'm always trying to come up with something that I share with my team every day and today I came up with solutions as a defense system designed to protect the most critical assets of your business the data. I like to just kind of close with solutions I as a defense system designed to protect your most critical assets your data, think about think about if your business lost access to its data, regardless of the circumstance. If they lost access to the data, what would that do to your organization? That's what we protect from. That's what we protect from. That's what we protect from happening. Dave: Yeah, Charlie Munger talks about the number one key to recognizing a great business opportunity is finding a company who's riding a wave that's only going to grow and increase over time, Because really all they have to do is just stay on the wave. Well, that certainly has applied to you, right? Because 25 years ago you probably had some companies that said ah our data is not that important. You know, I've got a Rolodex with all my clients' phone number and email, and you know, so the importance of data has only increased during that time, right? Tim: Oh yeah, it's dramatically increased yeah. Dave: Well, it's also. Tim: Everybody trusts that data will be there when they're ready to use it. Dave: Yeah, well, and also the other fact is digitization right 25 years ago, most of their data may not have been digital, it may have been analog or paper or whatever, but now virtually everything is digitized, which makes the data even more important. Tim: I go back 35 years in this industry and when I go back and look at it, I replaced the inner office envelope. Oh yeah, people would type up a memo on a typewriter, put it in an inner office envelope and put whoever was going to and put it in their outbox and the mail guy would come by and pick it up. I replaced that guy. That's true? Dave: Well, that is awesome. Well, Tim, I really appreciate your time. This has really been fun and you've really given me kind of an insight into what makes a really well-run IT services firm operate. So I really appreciate your time. Tim: Yeah, I appreciate your time as well, Dave. Always good to chat with you and good to catch up and appreciate your time today as well. Thanks so much. Dave: All, right, yeah, you too. Special Guest: Tim Loney.
A conversation with Tim Hwang about historical simulations, the interaction of policy and science, analogies between research ecosystems and the economy, and so much more. Topics Historical Simulations Macroscience Macro-metrics for science Long science The interaction between science and policy Creative destruction in research “Regulation” for scientific markets Indicators for the health of a field or science as a whole “Metabolism of Science” Science rotation programs Clock speeds of Regulation vs Clock Speeds of Technology References Macroscience Substack Ada Palmer's Papal Simulation Think Tank Tycoon Universal Paperclips (Paperclip maximizer html game) Pitt Rivers Museum Transcript [00:02:02] Ben: Wait, so tell me more about the historical LARP that you're doing. Oh, [00:02:07] Tim: yeah. So this comes from like something I've been thinking about for a really long time, which is You know in high school, I did model UN and model Congress, and you know, I really I actually, this is still on my to do list is to like look into the back history of like what it was in American history, where we're like, this is going to become an extracurricular, we're going to model the UN, like it has all the vibe of like, after World War II, the UN is a new thing, we got to teach kids about international institutions. Anyways, like, it started as a joke where I was telling my [00:02:35] friend, like, we should have, like, model administrative agency. You know, you should, like, kids should do, like, model EPA. Like, we're gonna do a rulemaking. Kids need to submit. And, like, you know, there'll be Chevron deference and you can challenge the rule. And, like, to do that whole thing. Anyways, it kind of led me down this idea that, like, our, our notion of simulation, particularly for institutions, is, like, Interestingly narrow, right? And particularly when it comes to historical simulation, where like, well we have civil war reenactors, they're kind of like a weird dying breed, but they're there, right? But we don't have like other types of historical reenactments, but like, it might be really valuable and interesting to create communities around that. And so like I was saying before we started recording, is I really want to do one that's a simulation of the Cuban Missile Crisis. But like a serious, like you would like a historical reenactment, right? Yeah. Yeah. It's like everybody would really know their characters. You know, if you're McNamara, you really know what your motivations are and your background. And literally a dream would be a weekend simulation where you have three teams. One would be the Kennedy administration. The other would be, you know, Khrushchev [00:03:35] and the Presidium. And the final one would be the, the Cuban government. Yeah. And to really just blow by blow, simulate that entire thing. You know, the players would attempt to not blow up the world, would be the idea. [00:03:46] Ben: I guess that's actually the thing to poke, in contrast to Civil War reenactment. Sure, like you know how [00:03:51] Tim: that's gonna end. Right, [00:03:52] Ben: and it, I think it, that's the difference maybe between, in my head, a simulation and a reenactment, where I could imagine a simulation going [00:04:01] Tim: differently. Sure, right. [00:04:03] Ben: Right, and, and maybe like, is the goal to make sure the same thing happened that did happen, or is the goal to like, act? faithfully to [00:04:14] Tim: the character as possible. Yeah, I think that's right, and I think both are interesting and valuable, right? But I think one of the things I'm really interested in is, you know, I want to simulate all the characters, but like, I think one of the most interesting things reading, like, the historical record is just, like, operating under deep uncertainty about what's even going on, right? Like, for a period of time, the American [00:04:35] government is not even sure what's going on in Cuba, and, like, you know, this whole question of, like, well, do we preemptively bomb Cuba? Do we, we don't even know if the, like, the warheads on the island are active. And I think I would want to create, like, similar uncertainty, because I think that's where, like, that's where the strategic vision comes in, right? That, like, you have the full pressure of, like, Maybe there's bombs on the island. Maybe there's not even bombs on the island, right? And kind of like creating that dynamic. And so I think simulation is where there's a lot, but I think Even reenactment for some of these things is sort of interesting. Like, that we talk a lot about, like, oh, the Cuban Missile Crisis. Or like, the other joke I had was like, we should do the Manhattan Project, but the Manhattan Project as, like, historical reenactment, right? And it's kind of like, you know, we have these, like, very, like off the cuff or kind of, like, stereotype visions of how these historical events occur. And they're very stylized. Yeah, exactly, right. And so the benefit of a reenactment that is really in detail Yeah. is like, oh yeah, there's this one weird moment. You know, like that, that ends up being really revealing historical examples. And so even if [00:05:35] you can't change the outcome, I think there's also a lot of value in just doing the exercise. Yeah. Yeah. The, the thought of [00:05:40] Ben: in order to drive towards this outcome that I know. Actually happened I wouldn't as the character have needed to do X. That's right That's like weird nuanced unintuitive thing, [00:05:50] Tim: right? Right and there's something I think about even building into the game Right, which is at the very beginning the Russians team can make the decision on whether or not they've even actually deployed weapons into the cube at all, yeah, right and so like I love that kind of outcome right which is basically like And I think that's great because like, a lot of this happens on the background of like, we know the history. Yeah. Right? And so I think like, having the team, the US team put under some pressure of uncertainty. Yeah. About like, oh yeah, they could have made the decision at the very beginning of this game that this is all a bluff. Doesn't mean anything. Like it's potentially really interesting and powerful, so. [00:06:22] Ben: One precedent I know for this completely different historical era, but there's a historian, Ada Palmer, who runs [00:06:30] Tim: a simulation of a people election in her class every year. That's so good. [00:06:35] And [00:06:36] Ben: it's, there, you know, like, it is not a simulation. [00:06:40] Tim: Or, [00:06:41] Ben: sorry, excuse me, it is not a reenactment. In the sense that the outcome is indeterminate. [00:06:47] Tim: Like, the students [00:06:48] Ben: can determine the outcome. But... What tends to happen is like structural factors emerge in the sense that there's always a war. Huh. The question is who's on which sides of the war? Right, right. And what do the outcomes of the war actually entail? That's right. Who [00:07:05] Tim: dies? Yeah, yeah. And I [00:07:07] Ben: find that that's it's sort of Gets at the heart of the, the great [00:07:12] Tim: man theory versus the structural forces theory. That's right. Yeah. Like how much can these like structural forces actually be changed? Yeah. And I think that's one of the most interesting parts of the design that I'm thinking about right now is kind of like, what are the things that you want to randomize to impose different types of like structural factors that could have been in that event? Right? Yeah. So like one of the really big parts of the debate at XCOM in the [00:07:35] early phases of the Cuban Missile Crisis is You know, McNamara, who's like, right, he runs the Department of Defense at the time. His point is basically like, look, whether or not you have bombs in Cuba or you have bombs like in Russia, the situation has not changed from a military standpoint. Like you can fire an ICBM. It has exactly the same implications for the U. S. And so his, his basically his argument in the opening phases of the Cuban Missile Crisis is. Yeah. Which is actually pretty interesting, right? Because that's true. But like, Kennedy can't just go to the American people and say, well, we've already had missiles pointed at us. Some more missiles off, you know, the coast of Florida is not going to make a difference. Yeah. And so like that deep politics, and particularly the politics of the Kennedy administration being seen as like weak on communism. Yeah. Is like a huge pressure on all the activity that's going on. And so it's almost kind of interesting thinking about the Cuban Missile Crisis, not as like You know us about to blow up the world because of a truly strategic situation but more because of like the local politics make it so difficult to create like You know situations where both sides can back down [00:08:35] successfully. Basically. Yeah [00:08:36] Ben: The the one other thing that my mind goes to actually to your point about it model UN in schools. Huh, right is Okay, what if? You use this as a pilot, and then you get people to do these [00:08:49] Tim: simulations at [00:08:50] Ben: scale. Huh. And that's actually how we start doing historical counterfactuals. Huh. Where you look at, okay, you know, a thousand schools all did a simulation of the Cuban Missile Crisis. In those, you know, 700 of them blew [00:09:05] Tim: up the world. Right, right. [00:09:07] Ben: And it's, it actually, I think it's, That's the closest [00:09:10] Tim: thing you can get to like running the tape again. Yeah. I think that's right. And yeah, so I think it's, I think it's a really underused medium in a lot of ways. And I think particularly as like you know, we just talk, talk like pedagogically, like it's interesting that like, it seems to me that there was a moment in American pedagogical history where like, this is a good way of teaching kids. Like, different types of institutions. And like, but it [00:09:35] hasn't really matured since that point, right? Of course, we live in all sorts of interesting institutions now. And, and under all sorts of different systems that we might really want to simulate. Yeah. And so, yeah, this kind of, at least a whole idea that there's lots of things you could teach if you, we like kind of opened up this way of kind of like, Thinking about kind of like educating for about institutions. Right? So [00:09:54] Ben: that is so cool. Yeah, I'm going to completely, [00:09:59] Tim: Change. Sure. Of course. [00:10:01] Ben: So I guess. And the answer could be no, but is, is there connections between this and your sort of newly launched macroscience [00:10:10] Tim: project? There is and there isn't. Yeah, you know, I think like the whole bid of macroscience which is this project that I'm doing as part of my IFP fellowship. Yeah. Is really the notion that like, okay, we have all these sort of like interesting results that have come out of metascience. That kind of give us like, kind of like the beginnings of a shape of like, okay, this is how science might work and how we might like get progress to happen. And you know, we've got [00:10:35] like a bunch of really compelling hypotheses. Yeah. And I guess my bit has been like, I kind of look at that and I squint and I'm like, we're, we're actually like kind of in the early days of like macro econ, but for science, right? Which is like, okay, well now we have some sense of like the dynamics of how the science thing works. What are the levers that we can start, like, pushing and pulling, and like, what are the dials we could be turning up and turning down? And, and, you know, I think there is this kind of transition that happens in macro econ, which is like, we have these interesting results and hypotheses, but there's almost another... Generation of work that needs to happen into being like, oh, you know, we're gonna have this thing called the interest rate Yeah, and then we have all these ways of manipulating the money supply and like this is a good way of managing like this economy Yeah, right and and I think that's what I'm chasing after with this kind of like sub stack but hopefully the idea is to build it up into like a more coherent kind of framework of ideas about like How do we make science policy work in a way that's better than just like more science now quicker, please? Yeah, right, which is I think we're like [00:11:35] we're very much at at the moment. Yeah, and in particular I'm really interested in the idea of chasing after science almost as like a Dynamic system, right? Which is that like the policy levers that you have You would want to, you know, tune up and tune down, strategically, at certain times, right? And just like the way we think about managing the economy, right? Where you're like, you don't want the economy to overheat. You don't want it to be moving too slow either, right? Like, I am interested in kind of like, those types of dynamics that need to be managed in science writ large. And so that's, that's kind of the intuition of the project. [00:12:04] Ben: Cool. I guess, like, looking at macro, how did we even decide, macro econ, [00:12:14] Tim: how did we even decide that the things that we're measuring are the right things to measure? Right? Like, [00:12:21] Ben: isn't it, it's like kind of a historical contingency that, you know, it's like we care about GDP [00:12:27] Tim: and the interest rate. Yeah. I think that's right. I mean in, in some ways there's a triumph of like. It's a normative triumph, [00:12:35] right, I think is the argument. And you know, I think a lot of people, you hear this argument, and it'll be like, And all econ is made up. But like, I don't actually think that like, that's the direction I'm moving in. It's like, it's true. Like, a lot of the things that we selected are arguably arbitrary. Yeah. Right, like we said, okay, we really value GDP because it's like a very imperfect but rough measure of like the economy, right? Yeah. Or like, oh, we focus on, you know, the money supply, right? And I think there's kind of two interesting things that come out of that. One of them is like, There's this normative question of like, okay, what are the building blocks that we think can really shift the financial economy writ large, right, of which money supply makes sense, right? But then the other one I think which is so interesting is like, there's a need to actually build all these institutions. that actually give you the lever to pull in the first place, right? Like, without a federal reserve, it becomes really hard to do monetary policy. Right. Right? Like, without a notion of, like, fiscal policy, it's really hard to do, like, Keynesian as, like, demand side stuff. Right. Right? And so, like, I think there's another project, which is a [00:13:35] political project, to say... Okay, can we do better than just grants? Like, can we think about this in a more, like, holistic way than simply we give money to the researchers to work on certain types of problems. And so this kind of leads to some of the stuff that I think we've talked about in the past, which is like, you know, so I'm obsessed right now with like, can we influence the time horizon of scientific institutions? Like, imagine for a moment we had a dial where we're like, On average, scientists are going to be thinking about a research agenda which is 10 years from now versus next quarter. Right. Like, and I think like there's, there's benefits and deficits to both of those settings. Yeah. But man, if I don't hope that we have a, a, a government system that allows us to kind of dial that up and dial that down as we need it. Right. Yeah. The, the, [00:14:16] Ben: perhaps, quite like, I guess a question of like where the analogy like holds and breaks down. That I, that I wonder about is, When you're talking about the interest rate for the economy, it kind of makes sense to say [00:14:35] what is the time horizon that we want financial institutions to be thinking on. That's like roughly what the interest rate is for, but it, and maybe this is, this is like, I'm too, [00:14:49] Tim: my note, like I'm too close to the macro, [00:14:51] Ben: but thinking about. The fact that you really want people doing science on like a whole spectrum of timescales. And, and like, this is a ill phrased question, [00:15:06] Tim: but like, I'm just trying to wrap my mind around it. Are you saying basically like, do uniform metrics make sense? Yeah, exactly. For [00:15:12] Ben: like timescale, I guess maybe it's just. is an aggregate thing. [00:15:16] Tim: Is that? That's right. Yeah, I think that's, that's, that's a good critique. And I think, like, again, I think there's definitely ways of taking the metaphor too far. Yeah. But I think one of the things I would say back to that is It's fine to imagine that we might not necessarily have an interest rate for all of science, right? So, like, you could imagine saying, [00:15:35] okay, for grants above a certain size, like, we want to incentivize certain types of activity. For grants below a certain size, we want different types of activity. Right, another way of slicing it is for this class of institutions, we want them to be thinking on these timescales versus those timescales. Yeah. The final one I've been thinking about is another way of slicing it is, let's abstract away institutions and just think about what is the flow of all the experiments that are occurring in a society? Yeah. And are there ways of manipulating, like, the relative timescales there, right? And that's almost like, kind of like a supply based way of looking at it, which is... All science is doing is producing experiments, which is like true macro, right? Like, I'm just like, it's almost offensively simplistic. And then I'm just saying like, okay, well then like, yeah, what are the tools that we have to actually influence that? Yeah, and I think there's lots of things you could think of. Yeah, in my mind. Yeah, absolutely. What are some, what are some that are your thinking of? Yeah, so I think like the two that I've been playing around with right now, one of them is like the idea of like, changing the flow of grants into the system. So, one of the things I wrote about in Microscience just the past week was to think [00:16:35] about, like sort of what I call long science, right? And so the notion here is that, like, if you look across the scientific economy, there's kind of this rough, like, correlation between size of grant and length of grant. Right, where so basically what it means is that like long science is synonymous with big science, right? You're gonna do a big ambitious project. Cool. You need lots and lots and lots of money Yeah and so my kind of like piece just briefly kind of argues like but we have these sort of interesting examples like the You know Like framing a heart study which are basically like low expense taking place over a long period of time and you're like We don't really have a whole lot of grants that have that Yeah. Right? And so the idea is like, could we encourage that? Like imagine if we could just increase the flow of those types of grants, that means we could incentivize more experiments that take place like at low cost over long term. Yeah. Right? Like, you know, and this kind of gets this sort of interesting question is like, okay, so what's the GDP here? Right? Like, or is that a good way of cracking some of the critical problems that we need to crack right now? Right? Yeah. And it's kind of where the normative part gets into [00:17:35] it is like, okay. So. You know, one way of looking at this is the national interest, right? We say, okay, well, we really want to win on AI. We really want to win on, like, bioengineering, right? Are there problems in that space where, like, really long term, really low cost is actually the kind of activity we want to be encouraging? The answer might be no, but I think, like, it's useful for us to have, like, that. Color in our palette of things that we could be doing Yeah. In like shaping the, the dynamics of science. Yeah. Yeah. [00:18:01] Ben: I, I mean, one of the things that I feel like is missing from the the meta science discussion Mm-Hmm. is, is even just, what are those colors? Mm-Hmm. like what, what are the, the different and almost parameters of [00:18:16] Tim: of research. Yeah. Right, right, right. And I think, I don't know, one of the things I've been thinking about, which I'm thinking about writing about at some point, right, is like this, this view is, this view is gonna piss people off in some ways, because where it ultimately goes is this idea that, like, like, the scientist or [00:18:35] science Is like a system that's subject to the government, or subject to a policy maker, or a strategist. Which like, it obviously is, right? But like, I think we have worked very hard to believe that like, The scientific market is its own independent thing, And like, that touching or messing with it is like, a not, not a thing you should do, right? But we already are. True, that's kind of my point of view, yeah exactly. I think we're in some ways like, yeah I know I've been reading a lot about Keynes, I mean it is sort of interesting that it does mirror... Like this kind of like Great Depression era economic thinking, where you're basically like the market takes care of itself, like don't intervene. In fact, intervening is like the worst possible thing you could do because you're only going to make this worse. And look, I think there's like definitely examples of like kind of like command economy science that like don't work. Yes. But like, you know, like I think most mature people who work in economics would say there's some room for like at least like Guiding the system. Right. And like keeping it like in balance is like [00:19:35] a thing that should be attempted and I think it's kind of like the, the, the argument that I'm making here. Yeah. Yeah. I [00:19:41] Ben: mean, I think that's, [00:19:42] Tim: that's like the meta meta thing. Right. Right. Is even [00:19:46] Ben: what, what level of intervention, like, like what are the ways in which you can like usefully intervene and which, and what are the things that are, that are foolish and kind of. crEate the, the, [00:20:01] Tim: Command economy. That's right. Yeah, exactly. Right. Right. And I think like, I think the way through is, is maybe in the way that I'm talking about, right? Which is like, you can imagine lots of bad things happen when you attempt to pick winners, right? Like maybe the policymaker whoever we want to think of that as like, is it the NSF or NIH or whatever? Like, you know, sitting, sitting in their government bureaucracy, right? Like, are they well positioned to make a choice about who's going to be the right solution to a problem? Maybe yes, maybe no. I think we can have a debate about that, right? But I think there's a totally reasonable position, which is they're not in it, so they're not well positioned to make that call. Yeah. [00:20:35] Right? But, are they well positioned to maybe say, like, if we gave them a dial that was like, we want researchers to be thinking about this time horizon versus that time horizon? Like, that's a control that they actually may be well positioned to inform on. Yeah. As an outsider, right? Yeah. Yeah. And some of this I think, like, I don't know, like, the piece I'm working on right now, which will be coming out probably Tuesday or Wednesday, is you know, some of this is also like encouraging creative destruction, right? Which is like, I'm really intrigued by the idea that like academic fields can get so big that they become they impede progress. Yes. Right? And so this is actually a form of like, I like, it's effectively an intellectual antitrust. Yeah. Where you're basically like, Basically, like the, the role of the scientific regulator is to basically say these fields have gotten so big that they are actively reducing our ability to have good dynamism in the marketplace of ideas. And in this case, we will, we will announce new grant policies that attempt to break this up. And I actually think that like, that is pretty spicy for a funder to do. But like actually maybe part of their role and maybe we should normalize that [00:21:35] being part of their role. Yeah. Yeah, absolutely. [00:21:37] Ben: I I'm imagining a world where There are, where this, like, sort of the macro science is as divisive as [00:21:47] Tim: macroeconomics. [00:21:48] Ben: Right? Because you have, you have your like, your, your like, hardcore free market people. Yeah. Zero government intervention. Yeah, that's right. No antitrust. No like, you know, like abolish the Fed. Right, right. All of that. Yeah, yeah. And I look forward to the day. When there's there's people who are doing the same thing for research. [00:22:06] Tim: Yeah, that's right. Yeah. Yeah when I think that's actually I mean I thought part of a lot of meta science stuff I think is this kind of like interesting tension, which is that like look politically a lot of those people in the space are Pro free market, you know, like they're they're they're liberals in the little L sense. Yeah, like at the same time Like it is true that kind of like laissez faire science Has failed because we have all these examples of like progress slowing down Right? Like, I don't know. Like, I think [00:22:35] that there is actually this interesting tension, which is like, to what degree are we okay with intervening in science to get better outcomes? Yeah. Right? Yeah. Well, as, [00:22:43] Ben: as I, I might put on my hat and say, Yeah, yeah. Maybe, maybe this is, this is me saying true as a fair science has never been tried. Huh, right. Right? Like, that, that, that may be kind of my position. Huh. But anyways, I... And I would argue that, you know, since 1945, we have been, we haven't had laissez faire [00:23:03] Tim: science. Oh, interesting. [00:23:04] Ben: Huh. Right. And so I'm, yeah, I mean, it's like, this is in [00:23:09] Tim: the same way that I think [00:23:11] Ben: a very hard job for macroeconomics is to say, well, like, do we need [00:23:15] Tim: more or less intervention? Yeah. Yeah. [00:23:17] Ben: What is the case there? I think it's the same thing where. You know, a large amount of science funding does come from the government, and the government is opinionated about what sorts of things [00:23:30] Tim: it funds. Yeah, right. Right. And you [00:23:33] Ben: can go really deep into that. [00:23:35] So, so I [00:23:35] Tim: would. Yeah, that's actually interesting. That flips it. It's basically like the current state of science. is right now over regulated, is what you'd say, right? Or, or [00:23:44] Ben: badly regulated. Huh, sure. That is the argument I would say, very concretely, is that it's badly regulated. And, you know, I might almost argue that it is... It's both over and underregulated in the sense that, well, this is, this is my, my whole theory, but like, I think that there, we need like some pockets where it's like much less regulated. Yeah. Right. Where you're, and then some pockets where you're really sort of going to be like, no. You don't get to sort of tune this to whatever your, your project, your program is. Yeah, right, right. You're gonna be working with like [00:24:19] Tim: these people to do this thing. Yeah, yeah. Yeah, and I think there actually is interesting analogies in like the, the kind of like economic regulation, economic governance world. Yeah. Where like the notion is markets generally work well, like it's a great tool. Yeah. Like let it run. [00:24:35] Right. But basically that there are certain failure states that actually require outside intervention. And I think what's kind of interesting in thinking about in like a macro scientific, if you will, context is like, what are those failure states for science? Like, and you could imagine a policy rule, which is the policymaker says, we don't intervene until we see the following signals emerging in a field or in a region. Right. And like, okay, that's, that's the trigger, right? Like we're now in recession mode, you know, like there's enough quarters of this problem of like more papers, but less results. You know, now we have to take action, right? Oh, that's cool. Yeah, yeah. That would be, that would be very interesting. And I think that's like, that's good, because I think like, we end up having to think about like, you know, and again, this is I think why this is a really exciting time, is like MetaScience has produced these really interesting results. Now we're in the mode of like, okay, well, you know, on that policymaker dashboard, Yeah. Right, like what's the meter that we're checking out to basically be like, Are we doing well? Are we doing poorly? Is this going well? Or is this going poorly? Right, like, I think that becomes the next question to like, make this something practicable Yeah. For, for [00:25:35] actual like, Right. Yeah. Yeah. One of my frustrations [00:25:38] Ben: with meta science [00:25:39] Tim: is that it, I [00:25:41] Ben: think is under theorized in the sense that people generally are doing these studies where they look at whatever data they can get. Huh. Right. As opposed to what data should we be looking at? What, what should we be looking for? Yeah. Right. Right. And so, so I would really like to have it sort of be flipped and say, okay, like this At least ideally what we would want to measure maybe there's like imperfect maybe then we find proxies for that Yeah, as opposed to just saying well, like here's what we can measure. It's a proxy for [00:26:17] Tim: okay. That's right, right Yeah, exactly. And I think a part of this is also like I mean, I think it is like Widening the Overton window, which I think like the meta science community has done a good job of is like trying to widen The Overton window of what funders are willing to do. Yeah. Or like what various existing incumbent actors are willing to [00:26:35] do. Because I think one way of getting that data is to run like interesting experiments in this space. Right? Like I think one of the things I'm really obsessed with right now is like, okay, imagine if you could change the overhead rate that universities charge on a national basis. Yeah. Right? Like, what's that do to the flow of money through science? And is that like one dial that's actually like On the shelf, right? Like, we actually have the ability to influence that if we wanted to. Like, is that something we should be running experiments against and seeing what the results are? Yeah, yeah. [00:27:00] Ben: Another would be earmarking. Like, how much money is actually earmarked [00:27:05] Tim: for different things. That's right, yeah, yeah. Like, how easy it is to move money around. That's right, yeah. I heard actually a wild story yesterday about, do you know this whole thing, what's his name? It's apparently a very wealthy donor. That has convinced the state of Washington's legislature to the UW CS department. it's like, it's written into law that there's a flow of money that goes directly to the CS department. I don't think CS departments need more money. I [00:27:35] know, I know, but it's like, this is a really, really kind of interesting, like, outcome. Yeah. Which is like a very clear case of basically just like... Direct subsidy to like, not, not just like a particular topic, but like a particular department, which I think is like interesting experiment. I don't like, I don't know what's been happening there, but yeah. Yeah. Yeah. Natural, natural experiment. [00:27:50] Ben: Totally. Has anybody written down, I assume the answer is no, but it would be very interesting if someone actually wrote down a list of sort of just all the things you [00:28:00] Tim: could possibly [00:28:00] Ben: want to pay attention to, right? Like, I mean, like. Speaking of CS, it'd be very interesting to see, like, okay, like, what fraction of the people who, like, get PhDs in an area, stay in this area, right? Like, going back to the, the [00:28:15] Tim: health of a field or something, right? Yeah, yeah. I think that's right. I, yeah. And I think that those, those types of indicators are interesting. And then I think also, I mean, in the spirit of like it being a dynamic system. Like, so a few years back I read this great bio by Sebastian Malaby called The Man Who Knew, which is, it's a bio of Alan Greenspan. So if you want to ever read, like, 800 pages about [00:28:35] Alan Greenspan, book for you. It's very good. But one of the most interesting parts about it is that, like, there's a battle when Alan Greenspan becomes head of the Fed, where basically he's, like, extremely old school. Like, what he wants to do is he literally wants to look at, like, Reams of data from like the steel industry. Yeah, because that's kind of got his start And he basically is at war with a bunch of kind of like career People at the Fed who much more rely on like statistical models for predicting the economy And I think what's really interesting is that like for a period of time actually Alan Greenspan has the edge Because he's able to realize really early on that like there's It's just changes actually in like the metabolism of the economy that mean that what it means to raise the interest rate or lower the interest rate has like very different effects than it did like 20 years ago before it got started. Yeah. And I think that's actually something that I'm also really quite interested in science is basically like When we say science, people often imagine, like, this kind of, like, amorphous blob. But, like, I think the metabolism is changing all the [00:29:35] time. And so, like, what we mean by science now means very different from, like, what we mean by science, like, even, like, 10 to 20 years ago. Yes. And, like, it also means that all of our tactics need to keep up with that change, right? And so, one of the things I'm interested in to your question about, like, has anyone compiled this list of, like, science health? Or the health of science, right? It's maybe the right way of thinking about it. is that, like, those indicators may mean very different things at different points in time, right? And so part of it is trying to understand, like, yeah, what is the state of the, what is the state of this economy of science that we're talking about? Yeah. You're kind of preaching [00:30:07] Ben: to the, to the choir. In the sense that I'm, I'm always, I'm frustrated with the level of nuance that I feel like many people who are discussing, like, science, quote, making air quotes, science and research, are, are talking about in the sense that. They very often have not actually like gone in and been part of the system. Huh, right. And I'm, I'm open to the fact that [00:30:35] you [00:30:35] Tim: don't need to have got like [00:30:36] Ben: done, been like a professional researcher to have an opinion [00:30:41] Tim: or, or come up with ideas about it. [00:30:43] Ben: Yeah. But at the same time, I feel like [00:30:46] Tim: there's, yeah, like, like, do you, do you think about that tension at all? Yeah. I think it's actually incredibly valuable. Like, I think So I think of like Death and Life of Great American Cities, right? Which is like, the, the, the really, one of the really, there's a lot of interesting things about that book. But like, one of the most interesting things is sort of the notion that like, you had a whole cabal of urban planners that had this like very specific vision about how to get cities to work right and it just turns out that like if you like are living in soho at a particular time and you like walk along the street and you like take a look at what's going on like there's always really actually super valuable things to know about yeah that like are only available because you're like at that like ultra ultra ultra ultra micro level and i do think that there's actually some potential value in there like one of the things i would love to be able to set up, like, in the community of MetaScience or whatever you want to call it, right, [00:31:35] is the idea that, like, yeah, you, you could afford to do, like, very short tours of duty, where it's, like, literally, you're just, like, spending a day in a lab, right, and, like, to have a bunch of people go through that, I think, is, like, really, really helpful and so I think, like, thinking about, like, what the rotation program for that looks like, I think would be cool, like, you, you should, you should do, like, a six month stint at the NSF just to see what it looks like. Cause I think that kind of stuff is just like, you know, well, A, I'm selfish, like I would want that, but I also think that like, it would also allow the community to like, I think be, be thinking about this in a much more applied way. Yeah. Yeah. Yeah. [00:32:08] Ben: I think it's the, the meta question there for, for everything, right? Is how much in the weeds, like, like what am I trying to say? The. It is possible both to be like two in the weeds. Yeah, right and then also like too high level Yeah, that's right. And in almost like what what is the the right amount or like? Who, who should [00:32:31] Tim: be talking to whom in that? That's right. Yeah, I mean, it's like what you were saying earlier that like the [00:32:35] success of macro science will be whether or not it's as controversial as macroeconomics. It's like, I actually hope that that's the case. It's like people being like, this is all wrong. You're approaching it like from a too high level, too abstract of a level. Yeah. I mean, I think the other benefit of doing this outside of like the level of insight is I think one of the projects that I think I have is like We need to, we need to be like defeating meta science, like a love of meta science aesthetics versus like actual like meta science, right? Like then I think like a lot of people in meta science love science. That's why they're excited to not talk about the specific science, but like science in general. But like, I think that intuition also leads us to like have very romantic ideas of like what science is and how science should look and what kinds of science that we want. Yeah. Right. The mission is progress. The mission isn't science. And so I think, like, we have to be a lot more functional. And again, I think, like, the benefit of these types of, like, rotations, like, Oh, you just are in a lab for a month. Yeah. It's like, I mean, you get a lot more of a sense of, like, Oh, okay, this is, this is what it [00:33:35] looks like. Yeah. Yeah. I'd like to do the same thing for manufacturing. Huh. Right. [00:33:39] Ben: Right. It's like, like, and I want, I want everybody to be rotating, right? Huh. Like, in the sense of, like, okay, like, have the scientists go and be, like, in a manufacturing lab. That's right. [00:33:47] Tim: Yeah. [00:33:48] Ben: And be like, okay, like, look. Like, you need to be thinking about getting this thing to work in, like, this giant, like, flow pipe instead of a [00:33:54] Tim: test tube. That's right, right. Yeah, yeah, yeah. Yeah, [00:33:57] Ben: unfortunately, the problem is that we can't all spend our time, like, if everybody was rotating through all the [00:34:03] Tim: things they need to rotate, we'd never get anything done. Yeah, exactly. [00:34:06] Ben: ANd that's, that's, that's kind of [00:34:08] Tim: the problem. Well, and to bring it all the way back, I mean, I think you started this question on macroscience in the context of transitioning away from all of this like weird Cuban Missile Crisis simulation stuff. Like, I do think one way of thinking about this is like, okay, well, if we can't literally send you into a lab, right? Like the question is like, what are good simulations to give people good intuitions about the dynamics in the space? Yeah. And I think that's, that's potentially quite interesting. Yeah. Normalized weekend long simulation. That's right. Like I love the idea of basically [00:34:35] like like you, you get to reenact the publication of a prominent scientific paper. It's like kind of a funny idea. It's just like, you know, yeah. Or, or, or even trying to [00:34:44] Ben: get research funded, right? Like, it's like, okay, like you have this idea, you want yeah. [00:34:55] Tim: I mean, yeah, this is actually a project, I mean, I've been talking to Zach Graves about this, it's like, I really want to do one which is a game that we're calling Think Tank Tycoon, which is basically like, it's a, it's a, the idea would be for it to be a strategy board game that simulates what it's like to run a research center. But I think like to broaden that idea somewhat like it's kind of interesting to think about the idea of like model NSF Yeah, where you're like you you're in you're in the hot seat you get to decide how to do granting Yeah, you know give a grant [00:35:22] Ben: a stupid thing. Yeah, some some some congressperson's gonna come banging [00:35:26] Tim: on your door Yeah, like simulating those dynamics actually might be really really helpful Yeah I mean in the very least even if it's not like a one for one simulation of the real world just to get like some [00:35:35] common intuitions about like The pressures that are operating here. I [00:35:38] Ben: think you're, the bigger point is that simulations are maybe underrated [00:35:42] Tim: as a teaching tool. I think so, yeah. Do you remember the the paperclip maximizer? Huh. The HTML game? Yeah, yeah. [00:35:48] Ben: I'm, I'm kind of obsessed with it. Huh. Because, it, you've, like, somehow the human brain, like, really quickly, with just, like, you know, some numbers on the screen. Huh. Like, just like numbers that you can change. Right, right. And some, like, back end. Dynamic system, where it's like, okay, like based on these numbers, like here are the dynamics of the [00:36:07] Tim: system, and it'll give you an update. [00:36:09] Ben: Like, you start to really get an intuition for, for system dynamics. Yeah. And so, I, I, I want to see more just like plain HTML, like basically like spreadsheet [00:36:20] Tim: backend games. Right, right, like the most lo fi possible. Yeah, I think so. Yeah. Yeah, I think it's helpful. I mean, I think, again, particularly in a world where you're thinking about, like, let's simulate these types of, like, weird new grant structures that we might try out, right? Like, you know, we've got a bunch [00:36:35] of hypotheses. It's kind of really expensive and difficult to try to get experiments done, right? Like, does a simulation with a couple people who are well informed give us some, at least, inclinations of, like, where it might go or, like, what are the unintentional consequences thereof? Yeah. [00:36:51] Ben: Disciplines besides the military that uses simulations [00:36:56] Tim: successfully. Not really. And I think what's kind of interesting is that like, I think it had a vogue that like has kind of dissipated. Yeah, I think like the notion of like a a game being the way you kind of do like understanding of a strategic situation, I think like. Has kind of disappeared, right? But like, I think a lot of it was driven, like, RAND actually had a huge influence, not just on the military. But like, there's a bunch of corporate games, right? That were like, kind of invented in the same period. Yeah. That are like, you determine how much your steel production is, right? And was like, used to teach MBAs. But yeah, I think it's, it's been like, relatively limited. Hm. [00:37:35] Yeah. It, yeah. Hm. [00:37:38] Ben: So. Other things. Huh. Like, just to, [00:37:41] Tim: to shift together. Sure, sure, go ahead. Yeah, yeah, yeah, yeah. I guess another [00:37:44] Ben: thing that we haven't really talked about, but actually sort of plays into all of this, is thinking about better [00:37:50] Tim: ways of regulating technology. [00:37:52] Ben: I know that you've done a lot of thinking about that, and maybe this is another thing to simulate. [00:38:00] Tim: Yeah, it's a model OSTP. But [00:38:04] Ben: it's maybe a thing where, this is actually like a prime example where the particulars really matter, right? Where you can't just regulate. quote unquote technology. Yeah. Right. And it's like, there's, there's some technologies that you want to regulate very, very closely and very tightly and others that you want to regulate very [00:38:21] Tim: loosely. Yeah, I think that's right. And I think that's actually, you know, I think it is tied to the kind of like macro scientific project, if you will. Right. Which is that I think we have often a notion of like science regulation being like. [00:38:35] literally the government comes in and is like, here are the kind of constraints that we want to put on the system. Right. And there's obviously like lots of different ways of doing that. And I think there's lots of contexts in which that's like appropriate. But I think for a lot of technologies that we confront right now, the change is so rapid that the obvious question always becomes, no matter what emerging technology talking about is like, how does your clock speed of regulation actually keep up with like the clock speed of technology? And the answer is frequently like. It doesn't, right? And like you run into these kind of like absurd situations where you're like, well, we have this thing, it's already out of date by the time it goes into force, everybody kind of creates some like notional compliance with that rule. Yeah. And like, in terms of improving, I don't know, safety outcomes, for instance, it like has not actually improved safety outcomes. And I think in that case, right, and I think I could actually make an argument that like, the problem is becoming more difficult with time. Right? Like, if you really believe that the pace of technological change is faster than it used to be, then it is possible that, like, there was a point at which, like, government was operating, and it could actually keep [00:39:35] pace effectively, or, like, a body like Congress could actually keep pace with society, or with technology successfully, to, like, make sure that it was conformant with, sort of, like, societal interests. Do you think that was [00:39:46] Ben: actually ever the case, or was it that we didn't, we just didn't [00:39:50] Tim: have as many regulations? I would say it was sort of twofold, right? Like, I think one of them was you had, at least, let's just talk about Congress, right? It's really hard to talk about, like, government as a whole, right? Like, I think, like, Congress was both better advised and was a more efficient institution, right? Which means it moved faster than it does today. Simultaneously, I also feel like for a couple reasons we can speculate on, right? Like, science, or in the very least, technology. Right, like move slower than it does today. Right, right. And so like actually what has happened is that both both dynamics have caused problems, right? Which is that like the organs of government are moving slower at the same time as science is moving faster And like I think we've passed some inflection [00:40:35] point now where like it seems really hard to craft You know, let's take the AI case like a sensible framework that would apply You know, in, in LLMs where like, I don't know, like I was doing a little recap of like recent interoperability research and I like took a step back and I was like, Oh, all these papers are from May, 2023. And I was like, these are all big results. This is all a big deal. Right. It's like very, very fast. Yeah. So that's kind of what I would say to that. Yeah. I don't know. Do you feel differently? You feel like Congress has never been able to keep up? Yeah. [00:41:04] Ben: Well, I. I wonder, I guess I'm almost, I'm, I'm perhaps an outlier in that I am skeptical of the claim that technology overall has sped up significantly, or the pace of technological change, the pace of software change, certainly. Sure. Right. And it's like maybe software as a, as a fraction of technology has spread up, sped up. And maybe like, this is, this is a thing where like to the point of, of regulations needing to, to. Go into particulars, [00:41:35] right? Mm-Hmm. . Right, right. Like tuning the regulation to the characteristic timescale of whatever talk [00:41:40] Tim: technology we're talking about. Mm-Hmm. , right? [00:41:42] Ben: But I don't know, but like, I feel like outside of software, if anything, technology, the pace of technological change [00:41:52] Tim: has slowed down. Mm hmm. Right. Right. Yeah. [00:41:55] Ben: This is me putting on my [00:41:57] Tim: stagnationist bias. And would, given the argument that I just made, would you say that that means that it should actually be easier than ever to regulate technology? Yeah, I get targets moving slower, right? Like, yeah, [00:42:12] Ben: yeah. Or it's the technology moving slowly because of the forms of [00:42:14] Tim: the regulator. I guess, yeah, there's like compounding variables. [00:42:16] Ben: Yeah, the easiest base case of regulating technology is saying, like, no, you can't have [00:42:20] Tim: any. Huh, right, right, right. Like, it can't change. Right, that's easy to regulate. Yeah, right, right. That's very easy to regulate. I buy that, I buy that. It's very easy to regulate well. Huh, right, right. I think that's [00:42:27] Ben: That's the question. It's like, what do we want to lock in and what don't we [00:42:31] Tim: want to lock in? Yeah, I think that's right and I think, you [00:42:35] know I guess what that moves me towards is like, I think some people, you know, will conclude the argument I'm making by saying, and so regulations are obsolete, right? Or like, oh, so we shouldn't regulate or like, let the companies take care of it. And I'm like, I think so, like, I think that that's, that's not the conclusion that I go to, right? Like part of it is like. Well, no, that just means we need, we need better ways of like regulating these systems, right? And I think they, they basically require government to kind of think about sort of like moving to different parts of the chain that they might've touched in the past. Yeah. So like, I don't know, we, Caleb and I over at IFP, we just submitted this RFI to DARPA. In part they, they were thinking about like how does DARPA play a role in dealing with like ethical considerations around emerging technologies. Yep. But the deeper point that we were making in our submission. was simply that like maybe actually science has changed in a way where like DARPA can't be the or it's harder for DARPA to be the originator of all these technologies. Yeah. So they're, they're almost, they're, they're placing the, the, the ecosystem, the [00:43:35] metabolism of technology has changed, which requires them to rethink like how they want to influence the system. Yeah. Right. And it may be more influence at the point of like. Things getting out to market, then it is things like, you know, basic research in the lab or something like that. Right. At least for some classes of technology where like a lot of it's happening in private industry, like AI. Yeah, exactly. Yeah. [00:43:55] Ben: No, I, I, I think the, the concept of, of like the metabolism of, of science and technology is like really powerful. I think in some sense it is, I'm not sure if you would, how would you map that to the idea of there being a [00:44:11] Tim: research ecosystem, right? Right. Is it, is it that there's like [00:44:17] Ben: the metabolic, this is, this is incredibly abstract. Okay. Like, is it like, I guess if you're looking at the metabolism, does, does the metabolism sort of say, we're going to ignore institutions for now and the metabolism is literally just the flow [00:44:34] Tim: of [00:44:35] like ideas and, and, and outcomes and then maybe like the ecosystem is [00:44:41] Ben: like, okay, then we like. Sort of add another layer and say there are institutions [00:44:46] Tim: that are sure interacting with this sort of like, yeah, I think like the metabolism view or, you know, you might even think about it as like a supply chain view, right? To move it away from, like, just kind of gesturing at bio for no reason, right? Is I think what's powerful about it is that, you know, particularly in foundation land, which I'm most familiar with. There's a notion of like we're going to field build and what that means is we're going to name a field and then researchers Are going to be under this tent that we call this field and then the field will exist Yeah, and then the proper critique of a lot of that stuff is like researchers are smart They just like go where the money is and they're like you want to call up like I can pretend to be nanotech for a Few years to get your money Like, that's no problem. I can do that. And so there's kind of a notion that, like, if you take the economy of science as, like, institutions at the very beginning, you actually miss the bigger [00:45:35] picture. Yes. Right? And so the metabolism view is more powerful because you literally think about, like, the movement of, like, an idea to an experiment to a practical technology to, like, something that's out in the world. Yeah. And then we basically say, how do we influence those incentives before we start talking about, like, oh, we announced some new policy that people just, like... Cosmetically align their agendas to yeah, and like if you really want to shape science It's actually maybe arguably less about like the institution and more about like Yeah, the individual. Yeah, exactly. Like I run a lab. What are my motivations? Right? And I think this is like, again, it's like micro macro, right? It's basically if we can understand that, then are there things that we could do to influence at that micro level? Yeah, right. Which is I think actually where a lot of Macro econ has moved. Right. Which is like, how do we influence like the individual firm's decisions Yeah. To get the overall aggregate change that we want in the economy. Yeah. And I think that's, that's potentially a better way of approaching it. Right. A thing that I desperately [00:46:30] Ben: want now is Uhhuh a. I'm not sure what they're, they're [00:46:35] actually called. Like the, you know, like the metal, like, like, like the [00:46:37] Tim: prep cycle. Yeah, exactly. Like, like, like the giant diagram of, of like metabolism, [00:46:43] Ben: right. I want that for, for research. Yeah, that would be incredible. Yeah. If, if only, I mean, one, I want to have it on [00:46:50] Tim: my wall and to, to just get across the idea that. [00:46:56] Ben: It is like, it's not you know, basic research, applied [00:47:01] Tim: research. Yeah, totally. Right, right, right. When it goes to like, and what I like about kind of metabolism as a way of thinking about it is that we can start thinking about like, okay, what's, what's the uptake for certain types of inputs, right? We're like, okay, you know like one, one example is like, okay, well, we want results in a field to become more searchable. Well what's really, if you want to frame that in metabolism terms, is like, what, you know, what are the carbs that go into the system that, like, the enzymes or the yeast can take up, and it's like, access to the proper results, right, and like, I think that there's, there's a nice way of flipping in it [00:47:35] that, like, starts to think about these things as, like, inputs, versus things that we do, again, because, like, we like the aesthetics of it, like, we like the aesthetics of being able to find research results instantaneously, but, like, the focus should be on, Like, okay, well, because it helps to drive, like, the next big idea that we think will be beneficial to me later on. Or like, even being [00:47:53] Ben: the question, like, is the actual blocker to the thing that you want to see, the thing that you think it is? Right. I've run into far more people than I can count who say, like, you know, we want more awesome technology in the world, therefore we are going to be working on Insert tool here that actually isn't addressing, at least my, [00:48:18] Tim: my view of why those things aren't happening. Yeah, right, right. And I think, I mean, again, like, part of the idea is we think about these as, like, frameworks for thinking about different situations in science. Yeah. Like, I actually do believe that there are certain fields because of, like, ideologically how they're set up, institutionally how [00:48:35] they're set up, funding wise how they're set up. that do resemble the block diagram you were talking about earlier, which is like, yeah, there actually is the, the basic research, like we can put, that's where the basic research happens. You could like point at a building, right? And you're like, that's where the, you know, commercialization happens. We pointed at another building, right? But I just happen to think that most science doesn't look like that. Right. And we might ask the question then, like, do we want it to resemble more of like the metabolism state than the block diagram state? Right. Like both are good. Yeah, I mean, I would [00:49:07] Ben: argue that putting them in different buildings is exactly what's causing [00:49:10] Tim: all the problems. Sure, right, exactly, yeah, yeah. Yeah. But then, again, like, then, then I think, again, this is why I think, like, the, the macro view is so powerful, at least to me, personally, is, like, we can ask the question, for what problems? Yeah. Right? Like, are there, are there situations where, like, that, that, like, very blocky way of doing it serves certain needs and certain demands? Yeah. And it's like, it's possible, like, one more argument I can make for you is, like, Progress might be [00:49:35] slower, but it's a lot more controllable. So if you are in the, you know, if you think national security is one of the most important things, you're willing to make those trade offs. But I think we just should be making those trade offs, like, much more consciously than we do. And [00:49:49] Ben: that's where politics, in the term, in the sense of, A compromise between people who have different priorities on something can actually come in where we can say, okay, like we're going to trade off, we're going to say like, okay, we're going to increase like national security a little bit, like in, in like this area to, in compromise with being able to like unblock this. [00:50:11] Tim: That's right. Yeah. And I think this is the benefit of like, you know, when I say lever, I literally mean lever, right. Which is basically like, we're in a period of time where we need this. Yeah. Right? We're willing to trade progress for security. Yeah. Okay, we're not in a period where we need this. Like, take the, take, ramp it down. Right? Like, we want science to have less of this, this kind of structure. Yeah. That's something we need to, like, have fine tuned controls over. Right? Yeah. And to be thinking about in, like, a, a comparative sense, [00:50:35] so. And, [00:50:36] Ben: to, to go [00:50:36] Tim: back to the metabolism example. Yeah, yeah. I'm really thinking about it. Yeah, yeah. [00:50:39] Ben: Is there an equivalent of macro for metabolism in the sense that like I'm thinking about like, like, is it someone's like blood, like, you know, they're like blood glucose level, [00:50:52] Tim: like obesity, right? Yeah, right. Kind of like our macro indicators for metabolism. Yeah, that's right. Right? Or like how you feel in the morning. That's right. Yeah, exactly. I'm less well versed in kind of like bio and medical, but I'm sure there is, right? Like, I mean, there is the same kind of like. Well, I study the cell. Well, I study, you know, like organisms, right? Like at different scales, which we're studying this stuff. Yeah. What's kind of interesting in the medical cases, like You know, it's like, do we have a Hippocratic, like oath for like our treatment of the science person, right? It's just like, first do no harm to the science person, you know? [00:51:32] Ben: Yeah, I mean, I wonder about that with like, [00:51:35] with research. Mm hmm. Is there, should we have more heuristics about how we're [00:51:42] Tim: Yeah, I mean, especially because I think, like, norms are so strong, right? Like, I do think that, like, one of the interesting things, this is one of the arguments I was making in the long science piece. It's like, well, in addition to funding certain types of experiments, if you proliferate the number of opportunities for these low scale projects to operate over a long period of time, there's actually a bunch of like norms that might be really good that they might foster in the scientific community. Right. Which is like you learn, like scientists learn the art of how to plan a project for 30 years. That's super important. Right. Regardless of the research results. That may be something that we want to put out into the open so there's more like your median scientist has more of those skills Yeah, right, like that's another reason that you might want to kind of like percolate this kind of behavior in the system Yeah, and so there's kind of like these emanating effects from like even one offs that I think are important to keep in mind [00:52:33] Ben: That's actually another [00:52:35] I think used for simulations. Yeah I'm just thinking like, well, it's very hard to get a tight feedback loop, right, about like whether you manage, you planned a project for 30 years [00:52:47] Tim: well, right, [00:52:48] Ben: right. But perhaps there's a better way of sort of simulating [00:52:51] Tim: that planning process. Yeah. Well, and I would love to, I mean, again, to the question that you had earlier about like what are the metrics here, right? Like I think for a lot of science metrics that we may end up on, they may have these interesting and really curious properties like we have for inflation rate. Right. We're like, the strange thing about inflation is that we, we kind of don't like, we have hypotheses for how it happens, but like, part of it is just like the psychology of the market. Yeah. Right. Like you anticipate prices will be higher next quarter. Inflation happens if enough people believe that. And part of what the Fed is doing is like, they're obviously making money harder to get to, but they're also like play acting, right? They're like. You know, trust me guys, we will continue to put pressure on the economy until you feel differently about this. And I think there's going to be some things in science that are worth [00:53:35] measuring that are like that, which is like researcher perceptions of the future state of the science economy are like things that we want to be able to influence in the space. And so one of the things that we do when we try to influence like the long termism or the short termism of science It's like, there's lots of kind of like material things we do, but ultimately the idea is like, what does that researcher in the lab think is going to happen, right? Do they think that, you know, grant funding is going to become a lot less available in the next six months or a lot more available in the next six months? Like influencing those might have huge repercussions on what happens in science. And like, yeah, like that's a tool that policymakers should have access to. Yeah. Yeah. [00:54:11] Ben: And the parallels between the. The how beliefs affect the economy, [00:54:18] Tim: and how beliefs [00:54:19] Ben: affect science, I think may also be a [00:54:21] Tim: little bit underrated. Yeah. In the sense that, [00:54:24] Ben: I, I feel like some people think that It's a fairly deterministic system where it's like, ah, yes, this idea's time has come. And like once, once all the things that are in place, like [00:54:35] once, once all, then, then it will happen. And like, [00:54:38] Tim: that is, that's like how it works. [00:54:40] Ben: Which I, I mean, I have, I wish there was more evidence to my point or to disagree with me. But like, I, I think that's, that's really not how it works. And I'm like very often. a field or, or like an idea will, like a technology will happen because people think that it's time for that technology to happen. Right. Right. Yeah. Obviously, obviously that isn't always the case. Right. Yeah. Yeah. There's, there's, there's hype [00:55:06] Tim: cycles. And I think you want, like, eventually, like. You know, if I have my druthers, right, like macro science should have like it's Chicago school, right? Which is basically like the idea arrives exactly when it should arrive. Scientists will discover it on exactly their time. And like your only role as a regulator is to ensure the stability of scientific institutions. I think actually that that is a, that's not a position I agree with, but you can craft a totally, Reasonable, coherent, coherent governance framework that's based around that concept, right? Yes. Yeah. I think [00:55:35] like [00:55:35] Ben: you'll, yes. I, I, I think like that's actually the criteria for success of meta science as a field uhhuh, because like once there's schools , then, then, then it will have made it, [00:55:46] Tim: because [00:55:47] Ben: there aren't schools right now. Mm-Hmm. , like, I, I feel , I almost feel I, I, I now want there to b
How much can you analyze a song with no lyrics? In this episode, we cover the first instrumental Rush recorded, “La Villa Strangiato” from the Hemispheres album. La Villa Strangiato How often is Tim Right? “An Exercise in Self-Indulgence?” An instrumental from 1978's Hemispheres album Several time signature changes Remember “Powerhouse” by Raymond Scott from the Looney Tunes cartoons? Rush did the right thing! Tim details the 12 segments How do you pronounce “Kubla Khan?” Geddy, Neil, and Alex's nicknames La Villa Strangiato trivia What does Geddy Lee sing at the end of “La Villa Strangiato” on Exit Stage, Left? How often did Tim use Neil's ride cymbal pattern in our bands? What happens when Tim's Bluetooth runs out of juice? Click the link to send us a voicemail via Anchor.fm Connect with us on social media. We are EveryRushSong on every social media platform! --- Send in a voice message: https://podcasters.spotify.com/pod/show/everyrushsong/message Support this podcast: https://podcasters.spotify.com/pod/show/everyrushsong/support
About TimTimothy William Bray is a Canadian software developer, environmentalist, political activist and one of the co-authors of the original XML specification. He worked for Amazon Web Services from December 2014 until May 2020 when he quit due to concerns over the terminating of whistleblowers. Previously he has been employed by Google, Sun Microsystemsand Digital Equipment Corporation (DEC). Bray has also founded or co-founded several start-ups such as Antarctica Systems.Links Referenced: Textuality Services: https://www.textuality.com/ laugh]. So, the impetus for having this conversation is, you had a [blog post: https://www.tbray.org/ongoing/When/202x/2022/01/30/Cloud-Lock-In @timbray: https://twitter.com/timbray tbray.org: https://tbray.org duckbillgroup.com: https://duckbillgroup.com TranscriptAnnouncer: Hello, and welcome to Screaming in the Cloud with your host, Chief Cloud Economist at The Duckbill Group, Corey Quinn. This weekly show features conversations with people doing interesting work in the world of cloud, thoughtful commentary on the state of the technical world, and ridiculous titles for which Corey refuses to apologize. This is Screaming in the Cloud.Corey: This episode is sponsored in part by our friends at Vultr. Spelled V-U-L-T-R because they're all about helping save money, including on things like, you know, vowels. So, what they do is they are a cloud provider that provides surprisingly high performance cloud compute at a price that—while sure they claim its better than AWS pricing—and when they say that they mean it is less money. Sure, I don't dispute that but what I find interesting is that it's predictable. They tell you in advance on a monthly basis what it's going to going to cost. They have a bunch of advanced networking features. They have nineteen global locations and scale things elastically. Not to be confused with openly, because apparently elastic and open can mean the same thing sometimes. They have had over a million users. Deployments take less that sixty seconds across twelve pre-selected operating systems. Or, if you're one of those nutters like me, you can bring your own ISO and install basically any operating system you want. Starting with pricing as low as $2.50 a month for Vultr cloud compute they have plans for developers and businesses of all sizes, except maybe Amazon, who stubbornly insists on having something to scale all on their own. Try Vultr today for free by visiting: vultr.com/screaming, and you'll receive a $100 in credit. Thats V-U-L-T-R.com slash screaming.Corey: Couchbase Capella Database-as-a-Service is flexible, full-featured and fully managed with built in access via key-value, SQL, and full-text search. Flexible JSON documents aligned to your applications and workloads. Build faster with blazing fast in-memory performance and automated replication and scaling while reducing cost. Capella has the best price performance of any fully managed document database. Visit couchbase.com/screaminginthecloud to try Capella today for free and be up and running in three minutes with no credit card required. Couchbase Capella: make your data sing.Corey: Welcome to Screaming in the Cloud. I'm Corey Quinn. My guest today has been on a year or two ago, but today, we're going in a bit of a different direction. Tim Bray is a principal at Textuality Services.Once upon a time, he was a Distinguished Engineer slash VP at AWS, but let's be clear, he isn't solely focused on one company; he also used to work at Google. Also, there is scuttlebutt that he might have had something to do, at one point, with the creation of God's true language, XML. Tim, thank you for coming back on the show and suffering my slings and arrows.Tim: Oh, you're just fine. Glad to be here.Corey: [laugh]. So, the impetus for having this conversation is, you had a blog post somewhat recently—by which I mean, January of 2022—where you talked about lock-in and multi-cloud, two subjects near and dear to my heart, mostly because I have what I thought was a fairly countercultural opinion. You seem to have a very closely aligned perspective on this. But let's not get too far ahead of ourselves. Where did this blog posts come from?Tim: Well, I advised a couple of companies and one of them happens to be using GCP and the other happens to be using AWS and I get involved in a lot of industry conversations, and I noticed that multi-cloud is a buzzword. If you go and type multi-cloud into Google, you get, like, a page of people saying, “We will solve your multi-cloud problems. Come to us and you will be multi-cloud.” And I was not sure what to think, so I started writing to find out what I would think. And I think it's not complicated anymore. I think the multi-cloud is a reality in most companies. I think that many mainstream, non-startup companies are really worried about cloud lock-in, and that's not entirely unreasonable. So, it's a reasonable thing to think about and it's a reasonable thing to try and find the right balance between avoiding lock-in and not slowing yourself down. And the issues were interesting. What was surprising is that I published that blog piece saying what I thought were some kind of controversial things, and I got no pushback. Which was, you know, why I started talking to you and saying, “Corey, you know, does nobody disagree with this? Do you disagree with this? Maybe we should have a talk and see if this is just the new conventional wisdom.”Corey: There's nothing worse than almost trying to pick a fight, but no one actually winds up taking you up on the opportunity. That always feels a little off. Let's break it down into two issues because I would argue that they are intertwined, but not necessarily the same thing. Let's start with multi-cloud because it turns out that there's just enough nuance to—at least where I sit on this position—that whenever I tweet about it, I wind up getting wildly misinterpreted. Do you find that as well?Tim: Not so much. It's not a subject I have really had too much to say about, but it does mean lots of different things. And so it's not totally surprising that that happens. I mean, some people think when you say multi-cloud, you mean, “Well, I'm going to take my strategic application, and I'm going to run it in parallel on AWS and GCP because that way, I'll be more resilient and other good things will happen.” And then there's another thing, which is that, “Well, you know, as my company grows, I'm naturally going to be using lots of different technologies and that might include more than one cloud.” So, there's a whole spectrum of things that multi-cloud could mean. So, I guess when we talk about it, we probably owe it to our audiences to be clear what we're talking about.Corey: Let's be clear, from my perspective, the common definition of multi-cloud is whatever the person talking is trying to sell you at that point in time is, of course, what multi-cloud is. If it's a third-party dashboard, for example, “Oh, yeah, you want to be able to look at all of your cloud usage on a single pane of glass.” If it's a certain—well, I guess, certain not a given cloud provider, well, they understand if you go all-in on a cloud provider, it's probably not going to be them so they're, of course, going to talk about multi-cloud. And if it's AWS, where they are the 8000-pound gorilla in the space, “Oh, yeah, multi-clouds, terrible. Put everything on AWS. The end.” It seems that most people who talk about this have a very self-serving motivation that they can't entirely escape. That bias does reflect itself.Tim: That's true. When I joined AWS, which was around 2014, the PR line was a very hard line. “Well, multi-cloud that's not something you should invest in.” And I've noticed that the conversation online has become much softer. And I think one reason for that is that going all-in on a single cloud is at least possible when you're a startup, but if you're a big company, you know, a insurance company, a tire manufacturer, that kind of thing, you're going to be multi-cloud, for the same reason that they already have COBOL on the mainframe and Java on the old Sun boxes, and Mongo running somewhere else, and five different programming languages.And that's just the way big companies are, it's a consequence of M&A, it's a consequence of research projects that succeeded, one kind or another. I mean, lots of big companies have been trying to get rid of COBOL for decades, literally, [laugh] and not succeeding and doing that. So—Corey: It's ‘legacy' which is, of course, the condescending engineering term for, “It makes money.”Tim: And works. And so I don't think it's realistic to, as a matter of principle, not be multi-cloud.Corey: Let's define our terms a little more closely because very often, people like to pull strange gotchas out of the air. Because when I talk about this, I'm talking about—like, when I speak about it off the cuff, I'm thinking in terms of where do I run my containers? Where do I run my virtual machines? Where does my database live? But you can also move in a bunch of different directions. Where do my Git repositories live? What Office suite am I using? What am I using for my CRM? Et cetera, et cetera? Where do you draw the boundary lines because it's very easy to talk past each other if we're not careful here?Tim: Right. And, you know, let's grant that if you're a mainstream enterprise, you're running your Office automation on Microsoft, and they're twisting your arm to use the cloud version, so you probably are. And if you have any sense at all, you're not running your own Exchange Server, so let's assume that you're using Microsoft Azure for that. And you're running Salesforce, and that means you're on Salesforce's cloud. And a lot of other Software-as-a-Service offerings might be on AWS or Azure or GCP; they don't even tell you.So, I think probably the crucial issue that we should focus our conversation on is my own apps, my own software that is my core competence that I actually use to run the core of my business. And typically, that's the only place where a company would and should invest serious engineering resources to build software. And that's where the question comes, where should that software that I'm going to build run? And should it run on just one cloud, or—Corey: I found that when I gave a conference talk on this, in the before times, I had to have a ever lengthier section about, “I'm speaking in the general sense; there are specific cases where it does make sense for you to go in a multi-cloud direction.” And when I'm talking about multi-cloud, I'm not necessarily talking about Workload A lives on Azure and Workload B lives on AWS, through mergers, or weird corporate approaches, or shadow IT that—surprise—that's not revenue-bearing. Well, I guess we have to live with it. There are a lot of different divisions doing different things and you're going to see that a fair bit. And I'm not convinced that's a terrible idea as such. I'm talking about the single workload that we're going to spread across two or more clouds, intentionally.Tim: That's probably not a good idea. I just can't see that being a good idea, simply because you get into a problem of just terminology and semantics. You know, the different providers mean different things by the word ‘region' and the word ‘instance,' and things like that. And then there's the people problem. I mean, I don't think I personally know anybody who would claim to be able to build and deploy an application on AWS and also on GCP. I'm sure some people exist, but I don't know any of them.Corey: Well, Forrest Brazeal was deep in the AWS weeds and now he's the head of content at Google Cloud. I will credit him that he probably has learned to smack an API around over there.Tim: But you know, you're going to have a hard time hiring a person like that.Corey: Yeah. You can count these people almost as individuals.Tim: And that's a big problem. And you know, in a lot of cases, it's clearly the case that our profession is talent-starved—I mean, the whole world is talent-starved at the moment, but our profession in particular—and a lot of the decisions about what you can build and what you can do are highly contingent on who you can hire. And you can't hire a multi-cloud expert, well, you should not deploy, [laugh] you know, a multi-cloud application.Now, having said that, I just want to dot this i here and say that it can be made to kind of work. I've got this one company I advise—I wrote about it in the blog piece—that used to be on AWS and switched over to GCP. I don't even know why; this happened before I joined them. And they have a lot of applications and then they have some integrations with third-party partners which they implemented with AWS Lambda functions. So, when they moved over to GCP, they didn't stop doing that.So, this mission-critical latency-sensitive application of theirs runs on GCP that calls out to AWS to make calls into their partners' APIs and so on. And works fine. Solid as a rock, reliable, low latency. And so I talked to a person I know who knows over on the AWS side, and they said, “Oh, yeah sure, you know, we talked to those guys. Lots of people do that. We make sure, you know, the connections are low latency and solid.” So, technically speaking, it can be done. But for a variety of business reasons—maybe the most important one being expertise and who you can hire—it's probably just not a good idea.Corey: One of the areas where I think is an exception case is if you are a SaaS provider. Let's pick a big easy example: Snowflake, where they are a data warehouse. They've got to run their data warehousing application in all of the major clouds because that is where their customers are. And it turns out that if you're going to send a few petabytes into a data warehouse, you really don't want to be paying cloud egress rates to do it because it turns out, you can just bootstrap a second company for that much money.Tim: Well, Zoom would be another example, obviously.Corey: Oh, yeah. Anything that's heavy on data transfer is going to be a strange one. And there's being close to customers; gaming companies are another good example on this where a lot of the game servers themselves will be spread across a bunch of different providers, just purely based on latency metrics around what is close to certain customer clusters.Tim: I can't disagree with that. You know, I wonder how large a segment that is, of people who are, I think you're talking about core technology companies. Now, of the potential customers of the cloud providers, how many of them are core technology companies, like the kind we're talking about, who have such a need, and how many people who just are people who just want to run their manufacturing and product design and stuff. And for those, buying into a particular cloud is probably a perfectly sensible choice.Corey: I've also seen regulatory stories about this. I haven't been able to track them down specifically, but there is a pervasive belief that one interpretation of UK banking regulations stipulates that you have to be able to get back up and running within 30 days on a different cloud provider entirely. And also, they have the regulatory requirement that I believe the data remain in-country. So, that's a little odd. And honestly, when it comes to best practices and how you should architect things, I'm going to take a distinct backseat to legal requirements imposed upon you by your regulator. But let's be clear here, I'm not advising people to go and tell their auditors that they're wrong on these things.Tim: I had not heard that story, but you know, it sounds plausible. So, I wonder if that is actually in effect, which is to say, could a huge British banking company, in fact do that? Could they in fact, decamp from Azure and move over to GCP or AWS in 30 days? Boy.Corey: That is what one bank I spoke to over there was insistent on. A second bank I spoke to in that same jurisdiction had never heard of such a thing, so I feel like a lot of this is subject to auditor interpretation. Again, I am not an expert in this space. I do not pretend to be—I know I'm that rarest of all breeds: A white guy with a microphone in tech who admits he doesn't know something. But here we are.Tim: Yeah, I mean, I imagine it could be plausible if you didn't use any higher-level services, and you just, you know, rented instances and were careful about which version of Linux you ran and we're just running a bunch of Java code, which actually, you know, describes the workload of a lot of financial institutions. So, it should be a matter of getting… all the right instances configured and the JVM configured and launched. I mean, there are no… architecturally terrifying barriers to doing that. Of course, to do that, it would mean you would have to avoid using any of the higher-level services that are particular to any cloud provider and basically just treat them as people you rent boxes from, which is probably not a good choice for other business reasons.Corey: Which can also include things as seemingly low-level is load balancers, just based upon different provisioning modes, failure modes, and the rest. You're probably going to have a more consistent experience running HAProxy or nginx yourself to do it. But Tim, I have it on good authority that this is the old way of thinking, and that Kubernetes solves all of it. And through the power of containers and powers combining and whatnot, that frees us from being beholden to any given provider and our workloads are now all free as birds.Tim: Well, I will go as far as saying that if you are in the position of trying to be portable, probably using containers is a smart thing to do because that's a more tractable level of abstraction that does give you some insulation from, you know, which version of Linux you're running and things like that. The proposition that configuring and running Kubernetes is easier than configuring and running [laugh] JVM on Linux [laugh] is unsupported by any evidence I've seen. So, I'm dubious of the proposition that operating at the Kubernetes-level at the [unintelligible 00:14:42] level, you know, there's good reasons why some people want to do that, but I'm dubious of the proposition that really makes you more portable in an essential way.Corey: Well, you're also not the target market for Kubernetes. You have worked at multiple cloud providers and I feel like the real advantage of Kubernetes is people who happen to want to protect that they do so they can act as a sort of a cosplay of being their own cloud provider by running all the intricacies of Kubernetes. I'm halfway kidding, but there is an uncomfortable element of truth to that to some of the conversations I've had with some of its more, shall we say, fanatical adherents.Tim: Well, I think you and I are neither of us huge fans of Kubernetes, but my reasons are maybe a little different. Kubernetes does some really useful things. It really, really does. It allows you to take n VMs, and pack m different applications onto them in a way that takes reasonably good advantage of the processing power they have. And it allows you to have different things running in one place with different IP addresses.It sounds straightforward, but that turns out to be really helpful in a lot of ways. So, I'm actually kind of sympathetic with what Kubernetes is trying to be. My big gripe with it is that I think that good technology should make easy things easy and difficult things possible, and I think Kubernetes fails the first test there. I think the complexity that it involves is out of balance with the benefits you get. There's a lot of really, really smart people who disagree with me, so this is not a hill I'm going to die on.Corey: This is very much one of those areas where reasonable people can disagree. I find the complexity to be overwhelming; it has to collapse. At this point, it's finding someone who can competently run Kubernetes in production is a bit hard to do and they tend to be extremely expensive. You aren't going to find a team of those people at every company that wants to do things like this, and they're certainly not going to be able to find it in their budget in many cases. So, it's a challenging thing to do.Tim: Well, that's true. And another thing is that once you step onto the Kubernetes slope, you start looking about Istio and Envoy and [fabric 00:16:48] technology. And we're talking about extreme complexity squared at that point. But you know, here's the thing is, back in 2018 I think it was, in his keynote, Werner said that the big goal is that all the code you ever write should be application logic that delivers business value, which you know rep—Corey: Didn't CGI say the same thing? Didn't—like, isn't there, like, a long history dating back longer than I believe either of us have been alive have, “With this, all you're going to write is business logic.” That was the Java promise. That was the Google App Engine promise. Again, and again, we've had that carrot dangled in front of us, and it feels like the reality with Lambda is, the only code you will write is not necessarily business logic, it's getting the thing to speak to the other service you're trying to get it to talk to because a lot of these integrations are super finicky. At least back when I started learning how this stuff worked, they were.Tim: People understand where the pain points are and are indeed working on them. But I think we can agree that if you believe in that as a goal—which I still do; I mean, we may not have got there, but it's still a worthwhile goal to work on. We can agree that wrangling Istio configurations is not such a thing; it's not [laugh] directly value-adding business logic. To the extent that you can do that, I think serverless provides a plausible way forward. Now, you can be all cynical about, “Well, I still have trouble making my Lambda to talk to my other thing.” But you know, I've done that, and I've also deployed JVM on bare metal kind of thing.You know what? I'd rather do things at the Lambda level. I really rather would. Because capacity forecasting is a horribly difficult thing, we're all terrible at it, and the penalties for being wrong are really bad. If you under-specify your capacity, your customers have a lousy experience, and if you over-specify it, and you have an architecture that makes you configure for peak load, you're going to spend bucket-loads of money that you don't need to.Corey: “But you're then putting your availability in the cloud providers' hands.” “Yeah, you already were. Now, we're just being explicit about acknowledging that.”Tim: Yeah. Yeah, absolutely. And that's highly relevant to the current discussion because if you use the higher-level serverless function if you decide, okay, I'm going to go with Lambda and Dynamo and EventBridge and that kind of thing, well, that's not portable at all. I mean, APIs are totally idiosyncratic for AWS and GCP's equivalent, and Azure's—what do they call it? Permanent functions or something-a-rather functions. So yeah, that's part of the trade-off you have to think about. If you're going to do that, you're definitely not going to be multi-cloud in that application.Corey: And in many cases, one of the stated goals for going multi-cloud is that you can avoid the downtime of a single provider. People love to point at the big AWS outages or, “See? They were down for half a day.” And there is a societal question of what happens when everyone is down for half a day at the same time, but in most cases, what I'm seeing, your instead of getting rid of a single point of failure, introducing a second one. If either one of them is down your applications down, so you've doubled your outage surface area.On the rare occasions where you're able to map your dependencies appropriately, great. Are your third-party critical providers all doing the same? If you're an e-commerce site and Stripe processes your payments, well, they're public about being all-in on AWS. So, if you can't process payments, does it really matter that your website stays up? It becomes an interesting question. And those are the ones that you know about, let alone the third, fourth-order dependencies that are almost impossible to map unless everyone is as diligent as you are. It's a heavy, heavy lift.Tim: I'm going to push back a little bit. Now, for example, this company I'm advising that running GCP and calling out to Lambda is in that position; either GCP or Lambda goes off the air. On the other hand, if you've got somebody like Zoom, they're probably running parallel full stacks on the different cloud providers. And if you're doing that, then you can at least plausibly claim that you're in a good place because if Dynamo has an outage—and everything relies on Dynamo—then you shift your load over to GCP or Oracle [laugh] and you're still on the air.Corey: Yeah, but what is up as well because Zoom loves to sign me out on my desktop whenever I log into it on my laptop, and vice versa, and I wonder if that authentication and login system is also replicated full-stack to everywhere it goes, and what the fencing on that looks like, and how the communication between all those things works? I wouldn't doubt that it's possible that they've solved for this, but I also wonder how thoroughly they've really tested all of the, too. Not because I question them any; just because this stuff is super intricate as you start tracing it down into the nitty-gritty levels of the madness that consumes all these abstractions.Tim: Well, right, that's a conventional wisdom that is really wise and true, which is that if you have software that is alleged to do something like allow you to get going on another cloud, unless you've tested it within the last three weeks, it's not going to work when you need it.Corey: Oh, it's like a DR exercise: The next commit you make breaks it. Once you have the thing working again, it sits around as a binder, and it's a best guess. And let's be serious, a lot of these DR exercises presume that you're able to, for example, change DNS records on the fly, or be able to get a virtual machine provisioned in less than 45 minutes—because when there's an actual outage, surprise, everyone's trying to do the same things—there's a lot of stuff in there that gets really wonky at weird levels.Tim: A related similar exercise, which is people who want to be on AWS but want to be multi-region. It's actually, you know, a fairly similar kind of problem. If I need to be able to fail out of us-east-1—well, God help you, because if you need to everybody else needs to as well—but you know, would that work?Corey: Before you go multi-cloud go multi-region first. Tell me how easy it is because then you have full-feature parity—presumably—between everything; it should just be a walk in the park. Send me a postcard once you get that set up and I'll eat a bunch of words. And it turns out, basically, no one does.Tim: Mm-hm.Corey: Another area of lock-in around a lot of this stuff, and I think that makes it very hard to go multi-cloud is the security model of how does that interface with various aspects. In many cases, I'm seeing people doing full-on network overlays. They don't have to worry about the different security group models and VPCs and all the rest. They can just treat everything as a node sitting on the internet, and the only thing it talks to is an overlay network. Which is terrible, but that seems to be one of the only ways people are able to build things that span multiple providers with any degree of success.Tim: Well, that is painful because, much as we all like to scoff and so on, in the degree of complexity you get into there, it is the case that your typical public cloud provider can do security better than you can. They just can. It's a fact of life. And if you're using a public cloud provider and not taking advantage of their security offerings, infrastructure, that's probably dumb. But if you really want to be multi-cloud, you kind of have to, as you said.In particular, this gets back to the problem of expertise because it's hard enough to hire somebody who really understands IAM deeply and how to get that working properly, try and find somebody who can understand that level of thing on two different cloud providers at once. Oh, gosh.Corey: This episode is sponsored in part by LaunchDarkly. Take a look at what it takes to get your code into production. I'm going to just guess that it's awful because it's always awful. No one loves their deployment process. What if launching new features didn't require you to do a full-on code and possibly infrastructure deploy? What if you could test on a small subset of users and then roll it back immediately if results aren't what you expect? LaunchDarkly does exactly this. To learn more, visit launchdarkly.com and tell them Corey sent you, and watch for the wince.Corey: Another point you made in your blog post was the idea of lock-in, of people being worried that going all-in on a provider was setting them up to be, I think Oracle is the term that was tossed around where once you're dependent on a provider, what's to stop them from cranking the pricing knobs until you squeal?Tim: Nothing. And I think that is a perfectly sane thing to worry about. Now, in the short term, based on my personal experience working with, you know, AWS leadership, I think that it's probably not a big short-term risk. AWS is clearly aware that most of the growth is still in front of them. You know, the amount of all of it that's on the cloud is still pretty small and so the thing to worry about right now is growth.And they are really, really genuinely, sincerely focused on customer success and will bend over backwards to deal with the customers problems as they are. And I've seen places where people have negotiated a huge multi-year enterprise agreement based on Reserved Instances or something like that, and then realize, oh, wait, we need to switch our whole technology stack, but you've got us by the RIs and AWS will say, “No, no, it's okay. We'll tear that up and rewrite it and get you where you need to go.” So, in the short term, between now and 2025, would I worry about my cloud provider doing that? Probably not so much.But let's go a little further out. Let's say it's, you know, 2030 or something like that, and at that point, you know, Andy Jassy decided to be a full-time sports mogul, and Satya Narayana has gone off to be a recreational sailboat owner or something like that, and private equity operators come in and take very significant stakes in the public cloud providers, and get a lot of their guys on the board, and you have a very different dynamic. And you have something that starts to feel like Oracle where their priority isn't, you know, optimizing for growth and customer success; their priority is optimizing for a quarterly bottom line, and—Corey: Revenue extraction becomes the goal.Tim: That's absolutely right. And this is not a hypothetical scenario; it's happened. Most large companies do not control the amount of money they spend per year to have desktop software that works. They pay whatever Microsoft's going to say they pay because they don't have a choice. And a lot of companies are in the same situation with their database.They don't get to budget, their database budget. Oracle comes in and says, “Here's what you're going to pay,” and that's what you pay. You really don't want to be in a situation with your cloud, and that's why I think it's perfectly reasonable for somebody who is doing cloud transition at a major financial or manufacturing or service provider company to have an eye to this. You know, let's not completely ignore the lock-in issue.Corey: There is a significant scale with enterprise deals and contracts. There is almost always a contractual provision that says if you're going to raise a price with any cloud provider, there's a fixed period of time of notice you must give before it happens. I feel like the first mover there winds up getting soaked because everyone is going to panic and migrate in other directions. I mean, Google tried it with Google Maps for their API, and not quite Google Cloud, but also scared the bejesus out of a whole bunch of people who were, “Wait. Is this a harbinger of things to come?”Tim: Well, not in the short term, I don't think. And I think you know, Google Maps [is absurdly 00:26:36] underpriced. That's hellishly expensive service. And it's supposed to pay for itself by, you know, advertising on maps. I don't know about that.I would see that as the exception rather than the rule. I think that it's reasonable to expect cloud prices, nominally at least, to go on decreasing for at least the short term, maybe even the medium term. But that's—can't go on forever.Corey: It also feels to me, like having looked at an awful lot of AWS environments that if there were to be some sort of regulatory action or some really weird outage for a year that meant that AWS could not onboard a single new customer, their revenue year-over-year would continue to increase purely by organic growth because there is no forcing function that turns the thing off when you're done using it. In fact, they can migrate things around to hardware that works, they can continue building you for the things sitting there idle. And there is no governance path on that. So, on some level, winding up doing a price increase is going to cause a massive company focus on fixing a lot of that. It feels on some level like it is drawing attention to a thing that they don't really want to draw attention to from a purely revenue extraction story.When CentOS back-walked their ten-year support line two years, suddenly—and with an idea that it would drive [unintelligible 00:27:56] adoption. Well, suddenly, a lot of people looked at their environment, saw they had old [unintelligible 00:28:00] they weren't using. And massively short-sighted, massively irritated a whole bunch of people who needed that in the short term, but by the renewal, we're going to be on to Ubuntu or something else. It feels like it's going to backfire massively, and I'd like to imagine the strategist of whoever takes the reins of these companies is going to be smarter than that. But here we are.Tim: Here we are. And you know it's interesting you should mention regulatory action. At the moment, there are only three credible public cloud providers. It's not obvious the Google's really in it for the long haul, as last time I checked, they were claiming to maybe be breaking even on it. That's not a good number, you know? You'd like there to be more than that.And if it goes on like that, eventually, some politician is going to say, “Oh, maybe they should be regulated like public utilities,” because they kind of are right? And I would think that anybody who did get into Oracle-izing would be—you know, accelerate that happening. Having said that, we do live in the atmosphere of 21st-century capitalism, and growth is the God that must be worshiped at all costs. Who knows. It's a cloudy future. Hard to see.Corey: It really is. I also want to be clear, on some level, that with Google's current position, if they weren't taking a small loss at least, on these things, I would worry. Like, wait, you're trying to catch AWS and you don't have anything better to invest that money into than just well time to start taking profits from it. So, I can see both sides of that one.Tim: Right. And as I keep saying, I've already said once during this slot, you know, the total cloud spend in the world is probably on the order of one or two-hundred billion per annum, and global IT is in multiple trillions. So, [laugh] there's a lot more space for growth. Years and years worth of it.Corey: Yeah. The challenge, too, is that people are worried about this long-term strategic point of view. So, one thing you talked about in your blog post is the idea of using hosted open-source solutions. Like, instead of using Kinesis, you'd wind up using Kafka or instead of using DynamoDB you use their managed Cassandra service—or as I think of it Amazon Basics Cassandra—and effectively going down the path of letting them manage this thing, but you then have a theoretical Exodus path. Where do you land on that?Tim: I think that speaks to a lot of people's concerns, and I've had conversations with really smart people about that who like that idea. Now, to be realistic, it doesn't make migration easy because you've still got all the CI and CD and monitoring and management and scaling and alarms and alerts and paging and et cetera, et cetera, et cetera, wrapped around it. So, it's not as though you could just pick up your managed Kafka off AWS and drop a huge installation onto GCP easily. But at least, you know, your data plan APIs are the same, so a lot of your code would probably still run okay. So, it's a plausible path forward. And when people say, “I want to do that,” well, it does mean that you can't go all serverless. But it's not a totally insane path forward.Corey: So, one last point in your blog post that I think a lot of people think about only after they get bitten by it is the idea of data gravity. I alluded earlier in our conversation to data egress charges, but my experience has been that where your data lives is effectively where the rest of your cloud usage tends to aggregate. How do you see it?Tim: Well, it's a real issue, but I think it might perhaps be a little overblown. People throw the term petabytes around, and people don't realize how big a petabyte is. A petabyte is just an insanely huge amount of data, and the notion of transmitting one over the internet is terrifying. And there are lots of enterprises that have multiple petabytes around, and so they think, “Well, you know, it would take me 26 years to transmit that, so I can't.”And they might be wrong. The internet's getting faster all time. Did you notice? I've been able to move some—for purely personal projects—insane amounts of data, and it gets there a lot faster than you did. Secondly, in the case of AWS Snowmobile, we have an existence proof that you can do exabyte-ish scale data transfers in the time it takes to drive a truck across the country.Corey: Inbound only. Snowmobiles are not—at least according to public examples—are valid for Exodus.Tim: But you know, this is kind of place where regulatory action might come into play if what the people were doing was seen to be abusive. I mean, there's an existence proof you can do this thing. But here's another point. So, I suppose you have, like, 15 petabytes—that's an insane amount of data—displayed in your corporate application. So, are you actually using that to run the application, or is a huge proportion of that stuff just logs and data gathered of various kinds that's being used in analytics applications and AI models and so on?Do you actually need all that data to actually run your app? And could you in fact, just pick up the stuff you need for your app, move it to a different cloud provider from there and leave your analytics on the first one? Not a totally insane idea.Corey: It's not a terrible idea at all. It comes down to the idea as well of when you're trying to run a query against a bunch of that data, do you need all the data to transit or just the results of that query, as well? It's a question of, can you move the compute closer to the data as opposed to the data to where the compute lives?Tim: Well, you know and a lot of those people who have those huge data pools have it sitting on S3, and a lot of it migrated off into Glacier, so it's not as if you could get at it in milliseconds anyhow. I just ask myself, “How much data can anybody actually use in a day? In the course of satisfying some transaction requests from a customer?” And I think it's not petabyte. It just isn't.Now, there are—okay, there are exceptions. There's the intelligence community, there's the oil drilling community, there are some communities who genuinely will use insanely huge seas of data on a routine basis, but you know, I think that's kind of a corner case, so before you shake your head and say, “Ah, they'll never move because the data gravity,” you know… you need to prove that to me and I might be a little bit skeptical.Corey: And I think that is probably a very fair request. Just tell me what it is you're going to be doing here to validate the idea that is in your head because the most interesting lies I've found customers tell isn't intentionally to me or anyone else; it's to themselves. The narrative of what they think they're doing from the early days takes root, and never mind the fact that, yeah, it turns out that now that you've scaled out, maybe development isn't 80% of your cloud bill anymore. You learn things and your understanding of what you're doing has to evolve with the evolution of the applications.Tim: Yep. It's a fun time to be around. I mean, it's so great; right at the moment lock-in just isn't that big an issue. And let's be clear—I'm sure you'll agree with me on this, Corey—is if you're a startup and you're trying to grow and scale and prove you've got a viable business, and show that you have exponential growth and so on, don't think about lock-in; just don't go near it. Pick a cloud provider, pick whichever cloud provider your CTO already knows how to use, and just go all-in on them, and use all their most advanced features and be serverless if you can. It's the only sane way forward. You're short of time, you're short of money, you need growth.Corey: “Well, what if you need to move strategically in five years?” You should be so lucky. Great. Deal with it then. Or, “Well, what if we want to sell to retail as our primary market and they hate AWS?”Well, go all-in on a provider; probably not that one. Pick a different provider and go all in. I do not care which cloud any given company picks. Go with what's right for you, but then go all in because until you have a compelling reason to do otherwise, you're going to spend more time solving global problems locally.Tim: That's right. And we've never actually said this probably because it's something that both you and I know at the core of our being, but it probably needs to be said that being multi-cloud is expensive, right? Because the nouns and verbs that describe what clouds do are different in Google-land and AWS-land; they're just different. And it's hard to think about those things. And you lose the capability of using the advanced serverless stuff. There are a whole bunch of costs to being multi-cloud.Now, maybe if you're existentially afraid of lock-in, you don't care. But for I think most normal people, ugh, it's expensive.Corey: Pay now or pay later, you will pay. Wouldn't you ideally like to see that dollar go as far as possible? I'm right there with you because it's not just the actual infrastructure costs that's expensive, it costs something far more dear and expensive, and that is the cognitive expense of having to think about both of these things, not just how each cloud provider works, but how each one breaks. You've done this stuff longer than I have; I don't think that either of us trust a system that we don't understand the failure cases for and how it's going to degrade. It's, “Oh, right. You built something new and awesome. Awesome. How does it fall over? What direction is it going to hit, so what side should I not stand on?” It's based on an understanding of what you're about to blow holes in.Tim: That's right. And you know, I think particularly if you're using AWS heavily, you know that there are some things that you might as well bet your business on because, you know, if they're down, so is the rest of the world, and who cares? And, other things, eh, maybe a little chance here. So, understanding failure modes, understanding your stuff, you know, the cost of sharp edges, understanding manageability issues. It's not obvious.Corey: It's really not. Tim, I want to thank you for taking the time to go through this, frankly, excellent post with me. If people want to learn more about how you see things, and I guess how you view the world, where's the best place to find you?Tim: I'm on Twitter, just @timbray T-I-M-B-R-A-Y. And my blog is at tbray.org, and that's where that piece you were just talking about is, and that's kind of my online presence.Corey: And we will, of course, put links to it in the [show notes 00:37:42]. Thanks so much for being so generous with your time. It's always a pleasure to talk to you.Tim: Well, it's always fun to talk to somebody who has shared passions, and we clearly do.Corey: Indeed. Tim Bray principal at Textuality Services. I'm Cloud Economist Corey Quinn and this is Screaming in the Cloud. If you've enjoyed this podcast, please leave a five-star review on your podcast platform of choice, whereas if you've hated this podcast, please leave a five-star review on your podcast platform of choice along with an angry comment that you then need to take to all of the other podcast platforms out there purely for redundancy, so you don't get locked into one of them.Corey: If your AWS bill keeps rising and your blood pressure is doing the same, then you need The Duckbill Group. We help companies fix their AWS bill by making it smaller and less horrifying. The Duckbill Group works for you, not AWS. We tailor recommendations to your business and we get to the point. Visit duckbillgroup.com to get started.Announcer: This has been a HumblePod production. Stay humble.
About TimTim's tech career spans over 20 years through various sectors. Tim's initial journey into tech started as a US Marine. Later, he left government contracting for the private sector, working both in large corporate environments and in small startups. While working in the private sector, he honed his skills in systems administration and operations for largeUnix-based datastores.Today, Tim leverages his years in operations, DevOps, and Site Reliability Engineering to advise and consult with clients in his current role. Tim is also a father of five children, as well as a competitive Brazilian Jiu-Jitsu practitioner. Currently, he is the reigning American National and 3-time Pan American Brazilian Jiu-Jitsu champion in his division.Links: Twitter: https://twitter.com/elchefe The Duckbill Group: https://duckbillgroup.com TranscriptAnnouncer: Hello, and welcome to Screaming in the Cloud with your host, Chief Cloud Economist at The Duckbill Group, Corey Quinn. This weekly show features conversations with people doing interesting work in the world of cloud, thoughtful commentary on the state of the technical world, and ridiculous titles for which Corey refuses to apologize. This is Screaming in the Cloud.Corey: This episode is sponsored in part by Honeycomb. When production is running slow, it's hard to know where problems originate: is it your application code, users, or the underlying systems? I've got five bucks on DNS, personally. Why scroll through endless dashboards, while dealing with alert floods, going from tool to tool to tool that you employ, guessing at which puzzle pieces matter? Context switching and tool sprawl are slowly killing both your team and your business. You should care more about one of those than the other, which one is up to you. Drop the separate pillars and enter a world of getting one unified understanding of the one thing driving your business: production. With Honeycomb, you guess less and know more. Try it for free at Honeycomb.io/screaminginthecloud. Observability, it's more than just hipster monitoring.Corey: Welcome to Screaming in the Cloud. I'm Corey Quinn. Periodically, I have a whole bunch of guests come on up, second time. Now, it's easy to take the naive approach of assuming that it's because it's easier for me to find a guest if I know them and don't have to reach out to brand new people all the time. This is absolutely correct; I'm exceedingly lazy. But I don't have too many folks on a third time, but that changes today.My guest is Tim Banks. I've had him on the show twice before, both times it led to really interesting conversations around a wide variety of things. Since those episodes, Tim has taken the job as a principal cloud economist here at The Duckbill Group. Yes, that is probably the strangest interview process you can imagine, but here we are. Tim, thank you so much for joining me both on the show and in the business.Tim: My pleasure, Corey. It was definitely an interesting interview process, you know, but I was glad to be here. So, I'm happy to be here a third time. I don't know if you get a jacket like you do in Saturday Night Live, if you host, like, a fifth time, but we'll see. Maybe it's a vest. A cool vest would be nice.Corey: We can come up with something.[ effectively, it can be like reverse hangman where you wind up getting a vest and every time you come on after that you get a sleeve, then you get a second sleeve, and then you get a collar, and we can do all kinds of neat stuff.Tim: I actually like that idea a lot.Corey: So, I'm super excited to be able to have this conversation with you because I don't normally talk a lot on this show about what cloud economics is because my guest usually is not as deep into the space as I am, and that's fine; people should never be as deep into this space as I am, in the general sense, unless they work here. Awesome. But I do guest on other shows, and people ask me all kinds of questions about AWS billing and cloud economics, and that's fine, it's great, but they don't ask the questions about the space in the same way that I would and the way that I think about it. So, it's hard for me to interview myself. Now, I'm not saying I won't try it someday, but it's challenging. But today, I get to take the easy path out and talk to you about it. So Tim, what the hell is a principal cloud economist?Tim: So, a principal cloud economist, is a cloud computing expert, both in architecture and practice, who looks at cloud cost in the same way that a lot of folks look at cloud security, or cloud resilience, or cloud performance. So, the same engineering concerns you have about making sure that your API stays up all the time, or to make sure that you don't have people that are able to escape containers or to make sure that you can have super, super low response times, is the same engineering fundamentals that I look at when I'm trying to find a way to reduce your AWS bill.Corey: Okay. When we say cloud cost and cloud economics, the natural picture that leads to mind is, “Oh, I get it. You're an Excel jockey.” And sometimes, yeah, we all kind of play those roles, but what you're talking about is something else entirely. You're talking about engineering expertise.And sure enough, if you look at the job postings we have for roles on the team from time to time, we have not yet hired anyone who does not have an engineering and architecture background. That seems odd to folks who do not spend a lot of time thinking about the AWS bill. I'm told those people are what is known as ‘happy.' But here we are. Why do we care about the engineering aspect of any of this?Tim: Well, I think first and foremost because what we're doing in essence, is still engineering. People aren't putting construction paper up on [laugh] AWS; sometimes they do put recipes up on there, but it still involves working on a computer, and writing code, and deploying it somewhere. So, to have that basic understanding of what it is that folks are doing on the platform, you have to have some engineering experience, first and foremost. Secondly, the fact of the matter is that most cost optimization, in my opinion, can be done on the whiteboard, before anything else, and really I think should be done on the whiteboard before anything else. And so the Excel aspect of it is always reactive. “We have now spent this much. How much was it? Where did it go?” And now we have to figure out where it went.I like to figure out and get a ballpark on how much something is going to cost before I write the first line of code. I want to know, hey, we have a tier here, we're using this kind of storage, it's going to take this kind of instance types. Okay, well, I've got an idea of how much it's going to cost. And I was like, “You know, that's going to be expensive. Before we do anything, is there a way that we can reduce costs there?”And so I'm reverse engineering that on already deployed workloads. Or when customers want to say, “Hey, we were thinking about doing this, and this is our proposed architecture,” I'm going to look at it and say, “Well, if you do this and this and this and this, you can save money.”Corey: So, it sounds like you and I have a bit of a philosophical disagreement in some ways. One of my recurring talking points has always been that, “Oh, by and large, application developers don't need to think overly much about cloud cost. What they need to know generally fits on an index card.” It's, okay, big things cost more than small things; if you turn something on, it will never get turned off and will bill you in perpetuity; data transfer has some weird stuff; and if you store data, you pay for data, like, that level of baseline understanding. When I'm trying to build something out my immediate thought is, great, is this thing possible?Because A, I don't always know that it is, and B, I'm super bad at computers so for me, it may absolutely not be, whereas you're talking about baking cost assessments into the architecture as a day one type of approach, even when sketching ideas out on the whiteboard. I'm curious as to how we diverge there. Can you talk more about your philosophy?Tim: Sure. And the reason I do that is because, as most folks that have an engineering background in cloud infrastructure will tell you, you want to build resilience in, on the whiteboard. You certainly want to build performance in, on the whiteboard, right? And security folks will tell you you want to do security on the whiteboard. Because those things are hard to fix after they're deployed.As soon as they're deployed, without that, you now have technical debt. If you don't consider cost optimization and cost efficiency on the whiteboard, and then you try and do it after it's deployed, you not only have technical debt, you may have actual real debt.Corey: One of the comments I tend to give a lot is that architecture and cost are the same thing in the world of cloud. And I think that we might be in violent agreement, as Liz Fong-Jones is fond of framing it, where I am acutely aware of aspects of cost and that does factor into how I build things on the whiteboard—let's also be very clear, most of the things that I build are very small scale; the largest cost by a landslide is the time I spend building it—in practice, that's an awful lot of environments; people are always more expensive than the AWS environment they're working on. But instead, it's about baking in the assumptions and making sure you're not coming up with something that is going to just be wasteful and horrible out of the gate, and I guess part of that also is the fact that I am at a level of billing understanding that I sort of absorbed these concepts intrinsically. Because to me, there is no difference between cost and architecture in an environment like this. You're right, there's always an inherent trade-off between cost and durability. On the one hand, I don't like that. On the other, it feels like it's been true forever and I don't see a way out of it.Tim: It is inescapable. And it's interesting because you talk about the level of an application developer or something like that, like what is your level of concern, but retroactively, we'll go in for cost optimization houses—and I've done this as far back as when I was working at AWS has a TAM—and I'll ask the question to an application developer or database administrator, and I'm like, “Why do you do this? What do you have a string value for something that could be a Boolean?” And you'll ask, “Well, what difference does that make?” Well, it makes a big difference when you're talking about cycles for CPU.You can reduce your CPU consumption on a database instance by changing a string to a Boolean, you need fewer instances, or you need a less powerful instance, or you need less memory. And now you can run a less expensive instance for your database architecture. Well, maybe for one node it's not that biggest difference, but if you're talking about something that's multi-AZ and multi-node, I mean, that can be a significant amount of savings just by making one simple change.Corey: And that might be the difference right there. I didn't realize that, offhand. It makes sense if you think about it, but just realizing that I've made that mistake on one of my DynamoDB tables. It costs something like seven cents a month right now, so it's not something I'm rushing to optimize, but you're right, expand that out by a factor of a million or so, and we're talking serious money, and then that sort of optimization makes an awful lot of sense. I think that my position on it is that when you're building out something small scale as a demo or a proof of concept, spending time on optimizations like this is not the best use of anyone's time or brain sweat, for lack of a better term. How do you wind up deciding when it's time to focus on stuff like that?Tim: Well, first, I will say that—I daresay that somewhere in the 80% of production workloads are just—were the POC, [laugh] right? Because, like, “It worked for this to get funding, let's run it,” right?Corey: Let they who does not have a DynamoDB table in production with the word ‘test' or ‘dev' in it cast the first stone.Tim: It's certainly not me. So, I understand how some of those decisions get made. And that's why I think it's better to think about it early. Because as I mentioned before, when you start something and say, “Hey, this works for now,” and you don't give consideration to that in the future, or consideration for what it's going to be like in the future, and when you start doing it, you'll paint yourself into corners. That's how you get something like static values put in somewhere, or that's how you get something like, well, “We have to run this instance type because we didn't build in the ability to be more microservice-based or stateless or anything like that.”You've seen people that say, “Hey, we could save you a lot of money if you can move this thing off to a different tier.” And it's like, “Well, that would be an extensive rewrite of code; that'd be very expensive.” I daresay that's the main reason why most AS/400s are still being used right now is because it's too expensive to rewrite the code.Corey: Yeah, and there's no AWS/400 that they can migrate to. Yet. Re:Invent is nigh.Tim: So, I think that's why, even at the very beginning, even if you were saying, “Well, this is something we will do later.” Don't make it impossible for you to do later in your code. Don't make it impossible for you to do later in your architecture. Make things as modular as possible, so that way you can say, “Hey”—later on down the road—“Oh, we can switch this instance type.” Or, “Here's a new managed service that we can maybe save money on doing this.”And you allow yourself to switch things out, or turn different knobs, or change the way you do things, and give yourself more options in the future, whether those options are for resilience, or those options or for security, or those options are for performance, or they're for cost optimizations. If you make binding decisions earlier on, you're going to have debt that's going to build up at some point in the future, and then you're going to have to pay the piper. Sometimes that piper is going to be AWS.Corey: One thing that I think gets lost in a lot of conversations about cloud economics—because I know that it happened to me when I first started this place—where I am planning to basically go out and be the world's leading expert in AWS cost analysis and understanding and optimization. Great. Then I went out into the world and started doing some of my first engagements, and they looked a lot less like far-future cost attribution projections and a lot more like, “What's a reserved instance?” And, “We haven't bought any of those in 18 months.” And, “Oh, yeah, we shut down an entire project six months ago. We should probably delete all the resources, huh?”The stuff that I was preparing for at the high end of the maturity curve are great and useful and terrific to have conversations about in some very nuanced depth, but very often there's a walk before you can run style of conversation where, okay, let's do the easy stuff first before we start writing a whole bunch of bespoke internal stuff that maps your business needs to the AWS bill. How do you, I guess, reconcile those things where you're on the one hand, you see the easy stuff and on the other, you see some of the just the absolutely challenging, very hard, five-years-of-engineering-effort-style problems on the other?Tim: Well, it's interesting because I've seen one customer very recently who has brilliant analyses as to their cost; just well-charted, well-tagged, well-documented, well—you know, everything is diagrammed quite nicely and everything like that, and they're very, very aware of their costs, but they leave test instances running all weekend, you know, and their associated volumes and things like that. And that's a very easy thing to fix. That is a very, very low-hanging fruit. And so sometimes, you just have to look at where they're spending their efforts where sometimes they do spend so much time chasing those hard to do things because they are hard to do and they're exciting in an engineering aspect, and then something as simple as, “Hey, how about we delete these old volumes?” It just isn't there.Or, “How about we switch to your S3 bucket storage type?” Those are easy, low-hanging fruits, and you would be surprised how sometimes they just don't get that. But at the same time, sometimes customers have, like, “Hey, we could knock this thing out, we knock this thing out,” because it's Trusted Advisor. Every AI cost optimization recommendation you can get will tell you these five things to do, no matter who you are or where you are, but they don't do the conceptual things like understanding some of the principles behind cost optimization and cost optimization architecture, and proactive cost optimization versus react with cost optimizations. So, you're doing very conceptual education and conversations with folks rather than the, “Do these five things.” And I've not often found a customer that you have to do both on; it's usually one or the other.Corey: It's funny that you made that specific reference to that example. One of my very first projects—not naming names. Generally, when it comes to things like this, you can tell stories or you can name names; I bias for stories—I was talking to a company who was convinced that their developer environments were incredibly overwrought, expensive, et cetera, and burning money. Okay, great. So, I talked about the idea of turning those things off at night or between test runs, deleting volumes to snapshot, and restore them on a schedule when people come in in the morning because all your developers sit in the same building in the same time zones. Great. They were super on board with the idea, and it was going to be a little bit of work, but all right, this was in the days before the EC2 Instance Scheduler, for example.But first, let's go ahead and do some analysis. This is one of those early engagements that really reinforced my idea of, yeah, before we start going too far down the rabbit hole, let's double-check what's going on in the account. Because periodically you encounter things that surprise people. Like, “What's up with those Australia instances?” “Oh, we don't have anything in that region.” “I believe you're being sincere when you say this, however, the API generally doesn't tell lies.”So, that becomes a, oh, security incident time. But looking at this, they were right; they had some fairly sizable developer instances that were running all the time, but doing some analysis, their developer environment was 3% of their bill at the time and they hadn't bought RIs in a year-and-a-half. And looking at what they were doing, there was so much easier stuff that they could do to generate significant savings without running the potential of turning a developer environment off at night in the middle of an incident or something like that. The risk factor and effort were easier just do the easy stuff, then do another pass and look at the deep stuff. And to be clear, they weren't lying to me; they weren't wrong.Back when they started building this stuff out, their developer environments were significantly large and were a significant portion of their spend. And then they hit product-market fit, and suddenly their production environment had to scale significantly in a short period of time. Which, yay, cloud. It's good at that. Then it just became such a small portion that developer environments weren't really a thing. But the narrative internally doesn't get updated very often because once people learn something, they don't go back to relearn whether or not it's still true. It's a constant mistake; I make it myself frequently.Tim: I think it's interesting, there are things that we really need to put into buckets as far as what's an engineering effort and what's an administrative effort. And when I say ‘administrative effort,' I mean if I can save money with a stroke of a pen, well, that's going to be pretty easy, and that's usually going to be RIs; that's going to be EDPs, or PPAs or something like that, that don't require engineering effort. It just requires administrative effort, I think RIs being the simplest ones. Like, “Oh, all I have to do is go in here and click these things four times and I'm going to save money?” “Well, let's do that.”And it's surprising how often people don't do that. But you still have to understand that, and whether it's RIs or whether it's a savings plan, it's still a commitment of some kind, but if you are willing to make that commitment, you can save money with no engineering effort whatsoever. That's almost free money.Corey: So, much of what we do here comes down to psychology, in many ways, more than it does math. And a lot of times you're right, everything you say is right, but in a large-scale environment, go ahead and click that button to buy the savings plan or the reserved instance, and that's a $20 million purchase. And companies will stall for months trying to run a different series of analyses on this and what if this happens, what if that happens, and I get it because, “Yeah, I'm going to click this button that's going to cost more money than I'll make in my lifetime,” that's a scary thing to do; I get it. But you're going to spend the money, one way or the other, with the provider, and if you believe that number is too high, I get it; I am right there with you. Buy half of them right now and then you can talk about the rest until you get to a point of being comfortable with it.Do it incrementally; it's not all or nothing, you have one shot to make the buy. Take pieces out of it that makes sense. You know you're probably not going to turn off your database cluster that handles all of production in the next year, so go ahead and go for it; it saves some money. Do the thing that makes sense. And that doesn't require deep-dive analytics that requires, on some level, someone who's seen a lot of these before who gets what customers are going through. And honestly, it's empathy in many respects, becomes one of those powerful things that we can apply to our customer accounts.Tim: Absolutely. I mean, people don't understand that decision paralysis, about making those commitments costs you money. You can spend months doing analysis, but those months doing analysis, you're going to spend 30, 40, 50, 60, 70% more on your EC2 instances or other compute than you would otherwise, and that can be quite significant. But it's one of those cases where we talk about psychology around perfect being the enemy of good. You don't have to make the perfect purchase of RIs or savings plans and have that so tuned perfectly that you're going to get one hundred percent utilization and zero—like, you don't have to do that.Just do something. Do a little bit. Like you said, buy half; buy anything; just something, and you're going to save money. And then you can run analysis later on, while you're saving money [laugh] and get a little better and tune it up a little more and get more analysis on and maybe fine-tune it, but you don't actually ever need to have it down to the penny. Like, it never has to be that good.Corey: At some point, one of the value propositions we have for our customers has always been that we tell you when to stop focusing on saving money because there's a theoretical cap of a hundred percent of the cloud bill that you can save, but you can make so much more than that by launching the right feature to the right market a little sooner; focus on that. Be responsible stewards of the money that's invested with you, but by and large, as a general piece of guidance, at some point, stop cutting and go back to doing the thing that makes your company work. It's not all about saving money at all costs for almost all of us. It is for us, but we're sort of a special case.Tim: Well, it's a conversation I often have. It's like, all right, are you trying to save money on AWS or are you trying to save money overall? So, if you're going to spend $400,000 worth of engineering effort to save $10,000 on your AWS bill, that doesn't make no sense. So—[laugh]—Corey: Right. There has to be a strategic reason to do things like that—Tim: Exactly.Corey: —and make sure you understand the value of what you're getting for this. One reason that we wind up charging the way that we do—and we've gotten questions on this for a while—has been that we charge a fixed fee for what we do on engagements. And similarly—people have asked this, but haven't tied the two things together—you talk about cost optimization, but never cost-cutting. Why is that? Is that just a negative term?And the answer has been no, they're aligned. What we do focuses on what is best for the customer. Once that fixed fee is decided upon, every single thing that we say is what we would do if we were in the customer's position. There are times we'll look at what they have going on and say, “Ah, you really should spend more money here for resiliency, or durability,” or, “Okay, that is critical data that's not being backed up. You should consider doing that.”It's why we don't take percentages of things because, at that point, we're not just going with the useful stuff, it's, well we're going to basically throw the entire kitchen sink at you. We had an early customer and I was talking to their AWS account manager about what we were going to be doing and their comment was, “Oh, saving money on AWS bills is great, make sure you check the EBS snapshots.” Yeah, I did that. They were spending 150 bucks a month on EBS snapshots, which is basically nothing. It's one of those stories where if, in the course of an hour-long meeting, I can pay for that entire service, by putting a quarter on the table, I'm probably not going to talk about it barring [laugh] some extenuating circumstances.Focus on the big things, not the things that worked in a different environment with a different account and different constraints. It's hard to context switch like that, but it gets a lot easier when it is basically the entirety of what we do all day.Tim: The difference I draw between cost optimization and cost-cutting is that cost optimization is ensuring that you're not spending money unnecessarily, or that you're maximizing your dollar. And so sometimes we get called in there, and we're just validation for the measures they've already done. Like, “Your team is doing this exactly right. You're doing the things you should be doing. We can nitpick if you want to; we're going to save you $7 a year, but who cares about that? But y'all are doing what you should be doing. This is great. Going forward, you want to look for these things and look for these things and look for these things. We're going to give you some more concepts so that you are cost-optimized in the future.” But it doesn't necessarily mean that we have to cut your bill. Because if you're already spending efficiently, you don't need your bill cut; you're already cost-optimized.Corey: Oh, we're not going to nitpick on that, you're mostly optimized there. It's like, “Yeah, that workload's $140 million a year and rising; please, pick nits.” At which point? “Okay, great.” That's the strategic reason to focus on something. But by and large, it comes down to understanding what the goals of clients are. I think that is widely misunderstood about what we do and how we do it.The first question I always ask when someone does outreach of, “Hey, we'd like to talk about coming in here and doing a consulting engagement with us.” “Great.” I always like to ask the quote-unquote, “Foolish question” of, “Why do you care about the AWS bill?” And occasionally I'll get people who look at me like I have two heads of, “Why wouldn't I care about the AWS bill?” Because there are more important things to care about for the business, almost certainly.Tim: One of the things I try and do, especially when we're talking about cost optimization, especially trying to do something for the right now so they can do things going forward, it's like, you know, all right, so if we cut this much from your bill—if you just do nothing else, but do reserved instances or buy a savings plan, right, you're going to save enough money to hire four engineers. Think about what four engineers would do for your overall business? And that's how I want you to frame it; I want you to look at what cost optimization is going to allow you to do in the future without costing you any more money. Or maybe you save a little more money and you can shift it; instead of paying for your AWS bill, maybe you can train your developers, maybe you can get more developers, maybe you can get some ProServ, maybe you can do whatever, buy newer computers for your people so they can do—whatever it is, right? We're not saying that you no longer have to spend this money, but saying, “You can use this money to do something other than give it to Jeff Bezos.”Corey: This episode is sponsored in part by Liquibase. If you're anything like me, you've screwed up the database part of a deployment so severely that you've been banned from touching every anything that remotely sounds like SQL, at at least three different companies. We've mostly got code deployments solved for, but when it comes to databases we basically rely on desperate hope, with a roll back plan of keeping our resumes up to date. It doesn't have to be that way. Meet Liquibase. It is both an open source project and a commercial offering. Liquibase lets you track, modify, and automate database schema changes across almost any database, with guardrails to ensure you'll still have a company left after you deploy the change. No matter where your database lives, Liquibase can help you solve your database deployment issues. Check them out today at liquibase.com. Offer does not apply to Route 53.Corey: There was an article recently, as of the time of this recording, where Pinterest discussed what they had disclosed in one of their regulatory filings which was, over the next eight years, they have committed to pay AWS $3.2 billion. And in this article, they have the head of engineering talking to the reporter about how they're thinking about these things, how they're looking at things that are relevant to their business, and they're talking about having a dedicated team that winds up doing a whole bunch of data analysis and running some analytics on all of these things, from piece to piece to piece. And that's great. And I worry, on some level, that other companies are saying, “Oh, Pinterest is doing that. We should, too.” Yeah, for the course of this commitment, a 1% improvement is $32 million, so yeah, at that scale I'm going to hire a team of data scientists, too, look at these things. Your bill is $50,000 a month. Perhaps that's not worth the effort you're going to put into it, barring other things that contribute to it.Tim: It's interesting because we will get folks that will approach us that have small accounts—very small, small spend—and like, “Hey, can you come in and talk to us about this whatever.” And we can say very honestly, “Look, we could, but the amount of money we're going to charge you is going to—it's not going to be worth your while right now. You could probably get by on the automated recommendations, on the things that already out there on the internet that everybody can do to optimize their bill, and then when you grow to a point where now saving 10% is somebody's salary, that's when it, kind of, becomes more critical.” And it's hard to say what point that is in anyone's business, but I can say sometimes, “Hey, you know what? That's not really what you need to focus on.” If you need to save $100 a month on your AWS bill, and that's critical, you've got other concerns that are not your AWS bill.Corey: So, back when you were interviewing to work here, one of the areas of focus that you kept bringing up was the concept of observability, and my response to this was, “Ah, hell. Another one.” Because let's be clear, Mike Julian—my business partner and our CEO—has written a book called Practical Monitoring, and apparently what we learned from this is as soon as you finish writing a book on the topic, you never want to talk about that topic ever again, which yeah, in hindsight makes sense. Why do you care about observability when you're here to look at cloud costs?Tim: Because cloud costs is another metric, just like you would use for performance, or resilience, or security. You do real-time monitoring to see if somebody has compromised the system, you do real-time monitoring to see if you have bad performance, if response times are too slow. You do real-time monitoring to know if something has gone down and then you need to make adjustments, or that the automated responses you have in response to that downtime are working. But cloud costs, you send somebody a report at the end of the month. Can you imagine, if you will—just for a second—if you got a downtime report at the end of month, and then you can react to something that has gone down?Or if you get a security report at the end of the month, and then you can react to the fact that somebody has your root keys? Or if you get [laugh] a report at the end of month, this said, “Hey, the CPU on this one was pegged. You should probably scale up.” That's outrageous to anybody in this industry right now. But why do we accept that for cloud cost?Corey: It's worse than that. There are a number of startups that talk about, “Oh, real-time cloud cost monitoring. Okay, the only way you're going to achieve such a thing is if you build an API shim that interprets everything that you're telling your cloud control plane to do, taking cost metrics out of it, and then passing it on to the actual cloud control plane.” Otherwise, you're talking about it showing up in the billing record in—ideally, eight hours; in practice, several days, or you're talking about the CloudTrail events, which is not holistic but gives you some rough idea, but it's also in some cases, 5 to 20 minutes delayed. There's no real-time way to do this without significant disruption to what's going on in your environment.So, when I hear about, “Oh, we do real-time bill analysis.” Yeah, it feels—to be very direct—you don't know enough about the problem space you're working within to speak intelligently about it because anyone who's played in this space for a while knows exactly how hard it is to get there. Now, I've talked to companies that have built real-time-ish systems that take that shim approach and acts sort of as a metadata sidecar ersatz billing system that tracks all of this so they can wind up intercepting potentially very expensive configuration mistakes. And that's great. That's also a bit beyond for a lot of folks today, but it's where the industry is going. But there is no way to get there today, short of effectively intercepting all of those calls, in a way that is cohesive and makes sense. How do you square that circle given the complete lack of effective tooling?Tim: Honestly, I'm going to point that right back at the cloud provider because they know how much you're spending, real-time. They know exactly how much you spend in real-time. They've figured it out. They have the buckets, they have APIs for it internally. I'm sure they do; it would make no sense for them not to. Without giving anything anyway, I know that when I was at AWS, I knew how much they were spending, almost real-time.Corey: That's impressive. I wish that existed. My never having worked at AWS perspective on it is that they, of course, have the raw data effective immediately, or damn close to it, but the challenge for the billing system is distilling and summarizing and attributing all of that in a reasonable timeframe; it is an exabyte-scale problem. I've talked to folks there who have indicated it is comfortably north of a petabyte in raw data per day. And that was a couple of years ago, so one can only imagine as the footprint has increased, so has all of this.I mean, the billing system is fundamentally magic from the outside. I'm not saying it's good magic, but it is magic, and it's something that is unappreciated, that every customer uses, and is one of those areas that doesn't get the attention it deserves. Because, let's be clear, here, we talk about observability; the bill is still the only thing that AWS offers that gives you a holistic overview of everything running in your account, in one place.Tim: What I think is interesting is that you talk about this, the scale of the problem and that it makes it difficult to solve. At the same time, I can have a conversation with my partner about kitty litter, and then all of a sudden, I'm going to start getting ads about kitty litter within minutes. So, I feel like it's possible to emit cost as a metric like you would CPU or disk. And if I'm going to look at who's going to do that, I'm going to look right back at AWS. The fun part about that, though, is I know from AWS's business model, that if that's something they were to emit, it would also cost you, like, 25 cents per call, and then you would actually, like, triple your cloud costs just trying to figure out how much it costs you.Corey: Only with 16 other billing dimensions because of course it would. And again, I'm talking about stuff, because of how I operate and how I think about this stuff, that is inherently corner case, or [vertex 00:31:39] case in many cases. But for the vast majority of folks, it's not the, “Oh, you have this really weird data transfer paradigm between these two resources,” which yeah, that's a problem that needs to be addressed in an awful lot of cases because data transfer pricing is bonkers, but instead it's the, “Huh. You just spun up a big cluster that's going to cost $20,000 a month.” You probably don't need to wait a full day to flag that.And you also can't put this on the customer in the sense of, “Oh, just set some budget alarms, that's great. That's the first thing you should do in a new AWS account.” “Well, jackhole, I've done an awful lot of first things I'm supposed to do in an AWS account, in my dedicated test account for these sorts of things. It's been four months, I'm not done yet with all of those first things I'm supposed to do.” It's incredibly secure, increasingly expensive, and so far all it runs is a single EC2 instance that is mostly there just so that everything else doesn't error out trying to divide by zero.Tim: There are some things that are built-in. If I stand up an EC2 instance and it goes down, I'm going to get an alert that this instance terminated for some reason. It's just going to show up informationally.Corey: In the console. You're not going to get called about it or paged about it, unless—Tim: Right.Corey: —you have something else in the business that will, like a boss that screams at you two o'clock in the morning. This is why we have very little that's production-facing here.Tim: But if I know that alert exists somewhere in the console, that's easy for me to write a trap for. That's easy for me to write, say hey, I'm going to respond to that because this call is going to come out somewhere; it's going to get emitted somewhere. I can now, as an engineer, write a very easy trap that says, “Hey, pop this in the Slack. Send an alert. Send a page.”So, if I could emit a cost metric, and I could say, “Wow. Somebody has spun up this thing that's going to cost X amount of money. Someone should get paged about this.” Because if they don't page about this and we wait eight hours, that's my month's salary. And you would do that if your database server went down; you would do that if someone rooted that database server; you would do that if the database server was [bogging 00:33:48] you to scale up another one. So, why can't you do that if that database server was all of sudden costing you way more than you had calculated?Corey: And there's a lot of nuance here because what you're talking about makes perfect sense for smaller-scale accounts, but even some of the very large accounts where we're talking hundreds of millions a year in spend, you can set compromised keys up on GitHub, put them in Payspin, whatever, and then people start spinning up Bitcoin miners everywhere. Great. It takes a long time to materially move the needle on that level of spend; it gets lost in the background noise. I lose my mind when I wind up leaving a managed NAT gateway running and it cost me 70 bucks a month in my $5 a month test account. Yeah, but you realize you could basically buy an island and it gets lost in the AWS bill at some of the high watermarks for some of these larger accounts.“Oh, someone spun up a cluster that's going to cost $400,000 a year?” Yeah, do I need to re-explain to you what a data science team does? They light money on fire in return for questionable returns, as a general rule. You knew that when you hired them; leave them alone. Whereas someone in their developer account does this, yeah, you kind of want to flag that immediately.It always comes down to rules and context. But I'd love to have some templates ready to go of, “I'm a starving student, please alert me anytime it looks like I might possibly exceed the free tier,” or better yet, “Don't let me, and if I do, it's on you and you eat the cost.” Conversely, it's, “Yeah, this is a Netflix sub-account or whatnot. Maybe don't bother me for anything whatsoever because freedom and responsibility is how we roll.” I imagine that's what they do internally on a lot of their cloud costing stuff because freedom and responsibility is ingrained in their culture. It's great. It's the freedom from having to think about cloud bills and the responsibility for paying it, of the cloud bill.Tim: Yeah, we will get internally alerted if things are [laugh] up too long, and then we will actually get paged, and then our manager would get paged, [laugh] and it would go up the line. If you leave something that's running too expensive, too long. So, there is a system there for it.Corey: Oh, yeah. The internal AWS systems for employees are probably my least favorite AWS service, full stop. And I've seen things posted about it; I believe it's called Isengard, for spinning up internal accounts and the rest—there's a separate one, I think, called Conduit, but I digress—that you spin something up, and apparently if it doesn't wind up—I don't need you to comment on this because you worked there and confidentiality is super important, but to my understanding it's, great, it has a whole bunch of formalized stuff like that and it solves for a whole lot of nifty features that bias for the way that AWS focuses on accounts and how they've view security and the rest. And, “Oh, well, we couldn't possibly ship this to customers because it's not how they operate.” And that's great.My problem with this internal provisioning system is it isolates and insulates AWS employees from the real pain of working with multiple accounts as a customer. You don't have to deal with the provisioning process of Control Tower or whatnot; you have your own internal thing. Eat your own dog food, gargle your own champagne, whatever it takes to wind up getting exposure to the pain that hits customers and suddenly you'll see those things improve. I find that the best way to improve a product is to make the people building it live with the painful parts.Tim: I think it's interesting that the stance is, “Well, it's not how the customers operate, and we wouldn't want the customers to have to deal with this.” But at the same time, you have to open up, like, 100 accounts if you need more than a certain number of S3 buckets. So, they are very comfortable with burdening the customer with a lot of constraints, and they say, “Well, constraints drive innovation.” Certainly, this is a constraint that you could at least offer and let the customers innovate around that.Corey: And at least define who the customer is. Because yeah, “I'm a Netflix sub-account is one story,” “I'm a regulated bank,” is another story, and, “I'm a student in my dorm room, trying to learn how this whole cloud thing works,” is another story. From risk tolerance, from a data protection story, from a billing surprise story, from a, “I'm trying to learn what the hell this is, and all these other service offerings you keep talking to me about confuse the hell out of me; please streamline the experience.” There's a whole universe of options and opportunity that isn't being addressed here.Tim: Well, I will say it very simply like this: we're talking about a multi-trillion dollar company versus someone who, if their AWS bill is too high, they don't pay rent; maybe they don't eat; maybe they have other issues, they don't—medical bill doesn't get paid; child care doesn't get paid. And if you're going to tell me that this multi-trillion dollar company can't solve for that so that doesn't happen to that person and tells them, “Well, if you come in afterwards, after your bill gets there, maybe we can do something about it, but in the meantime, suffer through this.” That's not ethical. Full stop.Corey: There are a lot of things that AWS gets right, and I want to be clear that I'm not sitting here trying to cast blame and say that everything they're doing is terrible. I feel like every time I talk about billing in any depth, I have to throw this disclaimer in. Ninety to ninety-five percent of what they do is awesome. It's just the missing piece that is incredibly painful for customers, and that's what I spend most of my time focusing on. It should not be interpreted to think that I hate the company.I just want them to do better than they are, and what they're doing now is pretty decent in most respects. I just want to fix the painful parts. Tim, thank you for joining me for a third time here. I'm certain I'll have you back in the somewhat near future to talk about more aspects of this, but until then, where can people find you slash retain your services?Tim: Well, you can find me on Twitter at @elchefe. If you want to retain my services for which you would be very, very happy to have, you can go to duckbillgroup.com and fill out a little questionnaire, and I will magically appear after an exchange of goods and services.Corey: Make sure to reference Tim by name just so that we can make our sales team facepalm because they know what's coming next. Tim, thank you so much for your time; it's appreciated.Tim: Thank you so much, Corey. I loved it.Corey: Principal cloud economist here at The Duckbill Group, Tim Banks. I'm Cloud Economist Corey Quinn, and this is Screaming in the Cloud. If you've enjoyed this podcast, please leave a five-star review on your podcast platform of choice whereas if you've hated this podcast, please leave a five-star review on your podcast platform of choice, wait at least eight hours—possibly as many as 48 to 72—and then leave a comment explaining what you didn't like.Corey: If your AWS bill keeps rising and your blood pressure is doing the same, then you need The Duckbill Group. We help companies fix their AWS bill by making it smaller and less horrifying. The Duckbill Group works for you, not AWS. We tailor recommendations to your business and we get to the point. Visit duckbillgroup.com to get started.Announcer: This has been a HumblePod production. Stay humble.
This week, Anne's guest is Tim Heller, who's currently recording his vocal clone. Ready to evolve with AI? Lots of doom & gloom out there lately about AI “stealing” voice acting jobs, which means now's the time to get educated and learn to evolve with new technology. In this episode, voice actor Tim Heller shares his AI experience - choosing an ethical company, the benefits of creating a clone, the role of human voice actors, the importance of emotion, and more… Find out how AI can help rock your business #VOBOSS style! About Tim Tim Heller is an actor and voice actor based in Austin, TX. He's voiced VR trainings for the Air Force, commercials for Fox Sports, ads for Spotify, ADR and dubbing for international cartoons & animated features, corporate narration projects, and eLearning modules around the globe. Recently, Tim was interviewed in the BBC article “Voice Cloning of Growing Interest to Actors and CyberCriminals.” Top 10 Takeaways An AI voice clone could be a way for talent to increase passive income streams. Voice actors must properly record an AI voice for it to be successful. Look for a company that has a clear and fair user agreement and offers licensing opportunities. Don't know who to trust? Seek companies that provide an open communication flow and opportunities to ask questions. Get it in writing - all agreements between you and the company should be part of a contract before recording. An ethical company will give you control over how your voice clone is used. The actual process of creating a voice clone is very expensive, so expect the company you are working with to take a portion of your AI earnings. Avoid fear in the AI sphere. Stay curious and ask questions so you and the companies you work with can learn together. AI voices aren't meant to replace humans, but should allow for quicker turnarounds and greater content accessibility options. Being human is your job security - clones can't fabricate emotion, so use yours to its best advantage! References in this episode Learn more about VocalID >> Visit Tim's website at TimHellerVO.com >> Recorded on ipDTL >> Transcript >> It's time to take your business to the next level, the BOSS level! These are the premiere Business Owner Strategies and Successes being utilized by the industry's top talent today. Rock your business like a BOSS, a VO BOSS! Now let's welcome your host, Anne Ganguzza. Anne: Hey everyone. Welcome to the VO BOSS podcast, the AI and Voice series. I'm your host Anne Ganguzza, and today I'm excited to have special guest Tim Heller, who is an actor and voice actor based out of Austin, Texas. Tim has a long line of credits here and has voiced VR trainings for the Air Force, TV commercials for Fox Sports, podcast advertisements for Spotify, ADR and dubbing for international cartoons and animated features. And he's also voiced, of course, my favorite, corporate narrations, children's English e-learning modules in Korea and done local commercials and more. And so he also, before he got into VO was in musical theater and plays in New York City and around the world with some on-camera jobs mixed in there as well. Hoo, wow. Tim: Hoo. Anne: A multitalented [laughs] guest. Thank you so much for joining me, Tim. It's wonderful to have you here today. Tim: Yeah. Thank you so much for having me on, Anne. I'm excited to be here. Anne: Well, you have been in the news lately. I've read quite a bit of press with you in the news. And at first, I guess, saw and met you. And I'm not quite sure how I don't know you already, what with that long list of credits, but I saw you in the article from the BBC news that was en- -- it was a great article, but it was entitled "Voice Cloning of Growing Interest to Actors and CyberCriminals." Always -- Tim: Yes. Not -- not scary -- Anne: -- a little bit of click bait there. Tim: -- at all, right? Yeah, exactly. [laughs] Anne: But the article I thought had a really positive spin on it, but yet they put that title on there to associate, I feel like, oh, are you associating voice actors and cyber criminals? Like in the same -- Tim: Yeah, I got, you know, I had a lot of people reaching out to me afterwards saying, you know, are you, so which one are you? Are you a cyber criminal or a voice actor? I said, well, guess you're just going to have to find out, huh? Anne: Oh gosh. So, you know, I've interviewed quite a few people already for this Voice and AI series, and I've noticed a kind of a trend with what a lot of people will say as a pro of having an AI voice. And they use the argument that it's all about adding work for the voice actor. So I guess I'd like to ask you, first of all, how do you feel about that? What do you feel is the benefit of having an AI voice in your repertoire of talents and skills? Tim: Yeah, so initially I, like, I thought that it would be a great tool to have just to future-proof my job. I sought out more information and tried speaking with lots of different people and ultimately ended up meeting Rupal Patel with VocalID, just because I was curious about like where things were going, and where people thought they were going, and hearing Jim Connelly talk about -- like, he's always thinking about what's next. And so through my experience with Rupal and VocalID, I feel like it is, it is potentially adding more work, work that I wouldn't necessarily have to book a session out in my studio, for which believe me never upset to book my studio up for a session. And I, and I love my job. And so I'm not trying to work less or get rid of any work that could potentially come in. But -- Anne: Well, I think that's a good clarification because I think if I talk to many voice actors, they would say, well, I don't think it's a matter of getting more work, I don't have a problem handling more work. But I don't think that it, it really grabs voice actors in the way that people are trying to sell it. You know, like, oh, you can do more work. And I don't know really many voice actors that say, well, I'm really, I can't handle the amount of work I'm getting. So -- Tim: Yeah, oh gosh, I'm just double-booked all the time. Poor me. Anne: Yeah, that's, that's a very interesting spin on it, but I will say that, I think that it's really good for us to hear these things because there are perceptions out there, right? And these perceptions come from people who we sell our voices to. Tim: Yeah. Anne: So I think it's good for us to really get an idea as to like what their perception is and what their ideas are about voicing, and you know, what it takes to voice and what our job really entails. Tim: Yeah. Yeah, absolutely. I agree. And it's, you know, like, so many people have said before on your series, which also thank you so much for doing this whole series on voice and AI with so many different perspectives. Anne: Thank you. Tim: It's so diverse, and educational, and fascinating just to hear like how different companies are approaching all of this, you know? But so many people have said too, that you can't just take like our conversation that we're having right now, rip my voice, and then have a, like a beautiful clone of, of me or -- and you can also just do like five minutes of like the "Cat in the Hat," you know. It's, it is, it takes a voice actor to properly take direction to, you know, recite these prompts that they have in the VocalID interface. And it's still a skill to have. And so I think it's -- Anne: So anybody off the street, if we had hours, and if we had -- I'm just going to say, I know that there are some companies out there that might have a lot of media, a lot of media, of people, of celebrities, of, you know, people in the entertainment industry. And they theoretically don't need a whole lot of additional material in order to create a voice. However, I think the big thing, and I want to get into a discussion about ethics with you, the big thing is the licensing, right? Tim: Yeah, absolutely. Anne: And how can we protect, you know -- we might have audio out there. As a matter of fact, I have a ton of podcasts out there, and who's to say that somebody isn't going to go download those MP3s and create a voice. Tim: Yeah. Yeah. I mean, yeah. The ethical side of all of this is fascinating as well, because it is kind of still the wild west with, especially, I feel like between everything that happened with, like starting with Bev Standing and TikTok, and then from that point, it seems like every couple days, there's something new and fire and brimstone about AI coming out. Anne: But I think that could be good. Tim: Yeah. I think, I mean, it's, it's getting people talking, right? Anne: Right. Tim: It's, and it's -- Anne: And it's getting people in action, right? In, in action -- Tim: Exactly, yes. Anne: -- to get something done, to get laws enacted. Tim: Yes. And it's, and so, and it's unfortunate, and I wouldn't wish this on anybody, for anybody to have to go through any of that, but now we're talking about it. Now, we're like, when you work with people doing AI clones and stuff, you know, I've said this before is that you really need to make sure you're vetting who you're working with. Anne: Yeah. Tim: And I got very, very lucky that Rupal was already working with a couple of colleagues of mine in the VO world and with Jim and Sam at Lotas, like, and people who are incredibly trustworthy and, you know, really forward-thinking and trying to protect everybody involved. So. Anne: Mm-hmm. Tim: Yeah. Anne: I think that's a very, very important point. And I actually, one of my questions was going to be, what was your process in selecting VocalID and the people that you work with? What was your process in selecting them? Because I think that is now become a factor for people that might be considering having their voice cloned or having a voice dub, is working with a company because obviously we can't do it. We have to hire a company that can do that for us. And so I think that there's something to be said for vetting the company that you work with. What are the qualities of the company that you think voice talent should look for in regards to when they want to create an AI voice? Tim: In terms of my process with finding a VocalID, it started off as just kind of like a conversation with -- a check-in with a voice actor friend of mine when I was still in New York City. And I was hearing him talk about, you know, recording these prompts for this, like, AI clone voice that he was doing with Jim and Sam. And I was fascinated by it. And then a couple months went by, the pandemic started, and I kind of forgot about it. And then when we moved down to Texas, through like an entrepreneur group that I'm in, got connected to Rupal in a completely different way. And so through that conversation, finding out that we had all these mutual connections and stuff like that -- and it was a face-to-face conversation too, at least through Zoom. And that's something that's important to me. I love when I'm able to like, especially in a business setting, be able to have -- like look at somebody and really talk with them and not just communicate through email for something that's really felt as high stakes as this could potentially be. So with Rupal, she started off the meeting with just kind of the backstory of why VocalID was initially created. And I think she mentioned on, on her episode on your podcast, that it initially was created to help people who lost their power of speech. And so that was something that spoke to me as well, that like, okay, this isn't a company that's just like -- Anne: Yes. Tim: -- okay, where is that cash cow? How can we milk it and, and move on? Anne: Well, and she's been around too a little bit longer than -- it just seems like lately, there's just a ton of that have sprung up out of nowhere -- Tim: Yeah. Anne: -- creating AI voices. And so I think she's got some longevity to her having started, I think it was back in -- what was it? 2014. I'm not sure when she started. Tim: I'm not sure either. Anne: It's been a while though. Tim: But it's also coming from like an academic background too, like really having, like, I think -- something I always try to do is surround myself with people who are a lot smarter and better than I am. And so I think meeting Rupal really knocked that out of the park. And so really focusing on like the ethical side of things and she -- we have a contract that, you know, for the, for recording my dub, and I didn't even have to ask the questions of, okay, well, what if I don't want to do a project? Or how is this protected? She had everything laid out already. And, and the fact that she was working with Lotas, you know, like if you can really vet somebody by finding out who you know in common or asking people in the industry -- like for instance, I had another company reach out to me that was interested in cloning my voice again. And so like reaching out to the people that I know now through all of this and, and really trying to figure out who they are, and what they're doing, and making sure you're not stepping on anybody's toes. But does that kind of answer the question? Anne: And looking at every contract. Tim: Yes. Oh my gosh, contracts, contracts. Anne: You know, I actually have employed the services of my lawyer more than once in terms of looking at a contract. And I think that for today, it is so important that when we're talking about AI voices that maybe a lawyer get involved. I think it's a worthy investment to really check out those contracts. Tim: I agree. And you know, I've only been doing voiceover for three and a half years and full-time for the last year and a half. And so I haven't really needed a lawyer for any of this yet, but now that I've got my -- my dub has been fully created and I got my first job request today for it -- Anne: Ooh, congratulations. Tim: Thanks. I was, I was like, whoa, this is kind of cool. I don't know what to do next, but we're going to figure it out together. But it's definitely at the point where I do think that it is necessary to bring a lawyer into make sure that like everything going forward is protected for, for me and for VocalID, but -- Anne: Absolutely. Tim: -- yeah. Anne: And that you're fairly compensated. Tim: Exactly. Anne: Yes. Tim: And that's a whole other thing too, that I've gotten a lot of questions about since the BBC stuff came out, is that, like, can you charge the same amount? And it's right now, the answer is, is no, right? Yeah, because it's, I'm not the one that's going to be spending an hour or 20 minutes or whatever it is to book out my studio and do it. Anne: Your time is not necessarily required at this point. Tim: Right. Anne: To create that. Tim: And it costs a lot of money to create this dub. And so I'm not the one who has that machine learning and that computer who's running everything. Anne: Sure. Tim: I provided my voice, and I was able to build this for free because they're working on building it up and really polishing it to turn it into something that's more commercially friendly. Anne: Well, I, I should make note that companies are now charging to have your AI voice be created. Tim: Wow. Anne: And so it's absolutely, that's going to be -- Tim: Yeah. Anne: -- you know, that's going to be an industry there. So I don't necessarily want the BOSS listeners out there to think that they may necessarily have their voice just created. As a matter of fact, there have been some auditions that I've seen out there for TTS projects where I think they may or may not state that it's going to be used for creating a, a dub after that. But there has been some low pay per hour I've seen, and everybody's like run, don't, you know, don't audition for that. And it's interesting because I guess you have to figure out really, who is this company vet that company. And if you can, like you mentioned, meet face to face with the people from that company, are they transparent about the usage and what's going to be happening? And, and I of course would say to everybody at this point, I think it's great to get a lawyer involved. Even if the contract seems like it's got everything specked out, I would suggest that that would be a good thing to do. Tim: Yeah. It can't hurt. And, and with the vetting of the companies too, like I find that if you are just curious and really honestly, anything around AI is just -- with all the fire and brimstone posts that I've been seeing all over social media and in the news about all of this and like kind of damning those who are involved in it from other industry professionals, it's like, if we can just like, stay curious, ask questions and be kind, just like, just seek that understanding out. I think that's, like, the most important thing is that don't just take anybody else's word for it. Anne: Sure. Tim: Don't just believe like one article you read, but really like ask those questions. Anne: Sure. Tim: And so trying to make myself available to those who are curious or who are upset and afraid, and it's like, it's totally fine to be either/or. Anne: And, and understand that there will be clickbait [laughs] Tim: Oh yes. Anne: in terms of the publicity around this. There's going to be a lot of clickbait just because it is a very current, relevant topic of today. And it's not just people in the voiceover industry that are afraid of the robots or AI taking their jobs away. So there's going to be a lot of, I'm going to say, a lot of that going on. And so I think we just need to make educated decisions. So let's talk a little bit about how you've actually created the voice. Let's talk about that process. What did that involve? Tim: Yeah. So the way that VocalID works is that once you are brought on and sign the contract and everything is squared away, legally you get login information for their own interface online. So it's not me recording prompts into Logic on my own system. I'm actually recording directly into their interface, and it goes kind of line by line, and it's like different speeches or children's books just to capture all those individual phonemes that we create with speech, where I think with traditional text-to-speech modules like Siri or Google or any of those assistants, you record those prompts, and then it pieces those exact prompts together, where with this, it's really building it from scratch completely. And then you can manipulate it phonetically or modulate the pitch or change inflections on things. And it's, it's really, it's wild technology. It's really cool. Anne: So I've seen some of the technologies now that say that they can literally change emotion. I mean, have you seen that? I mean, what are your thoughts about that? I think that's a, I don't know. It's, there's so many nuances of human emotion, and to me -- Tim: Yeah. Anne: -- and I'm a tech girl, and I'm trying to envision and understand because that's what I always do. I mean, I was in technology for 20 years, so I'm trying to understand the process. And is it possible -- you know, we have, I want to say infinite amount of nuances as a human -- Tim: Yeah. Anne: -- and I don't know how possible that is to dial that emotion in like a straight, linear fashion, right? Like, oh, let's do -- Tim: It's hard because -- Anne: 20% happy. Let's do 40% happy. Tim: Yeah, exactly, 'cause like, what is that 20%? The 20% happy is going to be different for every person and different for every subject that you're talking about. So I think that alone, like having emotion and being human is our job security in the industry, right? Anne: Yeah. Tim: Like computers will not do stuff that we don't explicitly tell them to do. And so it's, you know, with the emotion side of things, I think it's, it has potential, but I think that it's hard to get it to really convey sadness. 'Cause then you have to like, you have to break down sadness then into code, into an equation. Okay. It's like -- Anne: Into an algorithm. Tim: Yes, exactly. So it's fascinating and wild to play around with, but I don't think like that true human emotion is there yet. And it might not be like what the point of having an AI voice is. Anne: Oh, I'm so glad you said that. It's exactly, it may not be the point. And I think a lot of people are just so afraid of, like, the ultimate, oh my God, it's bad. It's going to replace us. But I think that there's going to, in, in a few years, there's going to be like, it'll settle, it'll evolve into here's where it belongs or here's where it fits best. And it may not be -- I mean, I still believe that there's always going to be room for humans. Tim: Yeah. Anne: And I don't know if they'll try to develop the technology to make it sound completely human. I don't know if it's even possible. And again, humans are the ones that are creating the technology. Tim: Yeah. Yeah. And the company that just came out with the, they did the audio for the DLC, for The Witcher 3 expansion. Anne: Mm-hmm, yeah. Tim: I listened to some of their samples on their site. And in that sounds like pretty realistic, but that's also like that character is -- it's old right here and it's all very upset. Anne: Yeah. Tim: And it's like, it's very, it's not incredibly dynamic. That voice actor who voices him is dynamic and gives the dynamic performance. But like for, for that kind of stuff, like that can come in handy. That's where an AI voice is great because then they can just pick that up and it's quick. But right now I feel like it's more so along the lines of that e-learning, the traditional text-to-speech stuff, IVR, and it's not -- we're not looking to replace the human experience or the human emotion, right? It's just something to kind of augment -- Anne: Well, we aren't. [laughs] Tim: We aren't. I'm sure that there are companies that are working towards that. And I'm sure we'll see that at some point, right? Anne: Yeah, but you're right. There's going to be an attempt. I'm sure there's going to be attempts. Tim: Yeah. Anne: And it's, I think that's just the evolution. And again, it's not just affecting the voiceover industry. I think we're just here in a little bubble sometimes, and we need to really try to -- well, we really need to really try to, to see AI for what it is and try to evolve along with it. So let me ask you a question. How are you intending or how are you marketing your AI voice? Tim: That's something I'm still working on. It's a great question. So Rupal asked if I'd be interested in putting my AI profile on Voice123, and Rolf and their team has been working on putting these profiles on there just to try to get ahead of things and stay with the movement of AI. And so I agreed to do that, and I've got a profile on there, and then trying to figure out like what samples, like I have some samples I'm going to put on my website, and a little like VocalID badge, but it's going to be, it's still kind of in process of like, okay, how do I pitch this to clients too, or to potential new clients? And so I think it's going to be reaching out to those people like that you've brought onto your podcast, like Hugh -- Anne: Sure. Tim: -- that would have a better idea of like, okay, well, if you pitch it to this company for this reason, then that would be best case scenario, you know? But I think it's going to change a lot. Anne: This is great. I'm thinking so if you have it marketed through a pay-to-play, I think we need to make sure how are we being protected legally? How are our voices being protected? Are their usage -- is there something that's going to be put in place that will protect us if we sell it through that? Or if you sell it on your own, how are you negotiating that -- you creating a contract, I would think, I would hope, that you would create a contract that would -- and well, normally, I think in our emails, we specify usage and, and all of that. And I think that the same thing absolutely has to be for your AI voice. And again, I'm at this point, because of the newness of it all and the wild, wild west of it all, I'm always happy to have somebody consult with me that's in the legal field -- Tim: Totally. Anne: -- just to make sure that when I'm first starting to negotiate that voice, I wouldn't want that voice to be used for any purpose other than what it was intended. I would not want it to be sold. I would not want to say things that I didn't agree to with that voice. Tim: Yeah. Anne: And so I think that that's very important. So I commend you [laughs] for going ahead and, and delving into the new world of technology here, and kind of really you're, you're testing the waters. You're on the, I always call it the bleeding edge of technology. Tim: I love that. Anne: There has to be, you know, we have our trials, we have our, our successes and our failures, and that's how we all evolve and move forward and learn. And so I wish you all the luck with your AI voice and congrats on your job [laughs] on your first job. Tim: Thanks. We'll see how it goes. Anne: Yeah, absolutely. And we'll, we'll keep in touch with you. And so I thank you so much for spending time with us this morning and sharing your story with the BOSSes. And I am excited to hear about where your voice will go. Tim: Thank you so much, Anne. Yeah. Thank you so much for having me on and give me the opportunity to speak on this. And if any of the VO BOSSes out there have any questions, I'm, I'm here. Anne: Yes. Tim: You know, I'm easy to find. Anne: Absolutely, how can they get in touch with you? Tim: You can either reach me through my website TimHellerVO.com or @TimHellerVO on all the social platforms. So. Anne: Perfect. Tim: Yeah. Anne: Awesome. Well, thanks again. I'm going to give a great, big shout-out to our sponsor, ipDTL. You too can connect to like BOSSes and learn more at ipdtl.com. You guys, have an amazing week, and we'll see you next week. Bye! Tim: Bye! >> Join us next week for another edition of VO BOSS with your host Anne Ganguzza. And take your business to the next level. Sign up for our mailing list at voBOSS.com and receive exclusive content, industry revolutionizing tips and strategies, and new ways to rock your business like a BOSS. Redistribution with permission. Coast to Coast connectivity via ipDTL. 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Tim O'Brien along with his wife Becki, have created a unique vitamin, supplement and nutrition store that is more about helping people than it is about margins and commissions. As Tim says" Souls before sales!" It was a pleasure sitting down with Tim to learn more about The Healthy Place and what products and services they have to offer. After Tim educated me, I'm definitely going to lean on him and his team in the future, to help me make better and more educated decisions when it comes to my health. I hope you enjoy this episode and you walk away with at least one snippet that either helps you in your entrepreneurial journey or with you health in general. For 30% off, please use our affiliate link as it helps us to generate a little income to produce this podcast...thx so much! https://findyourhealthyplace.com/?rfsn=5901087.08b0f6 Thanks for listening! Joe Tim O'Brien Founder - The Healthy Place Website: https://findyourhealthyplace.com/ Website: https://livelyvitaminco.com/ Website: https://wildtheory.com/ Instagram: https://www.instagram.com/applewellness/ Facebook: https://www.facebook.com/thehealthyplaceTHP YouTube: https://www.youtube.com/channel/UCYQVVKB58mGd_YgxAL0LMGA/videos LinkedIn: https://www.linkedin.com/company/apple-wellness-the-healthy-place/about/ Email: tim@findyourhealthyplace.com Podcast Music By: Andy Galore, Album: "Out and About", Song: "Chicken & Scotch" 2014 Andy's Links: http://andygalore.com/ https://www.facebook.com/andygalorebass If you enjoy the podcast, would you please consider leaving a short review on Apple Podcasts/iTunes? It takes less than 60 seconds, and it really makes a difference in helping to convince hard-to-get guests. For show notes and past guests, please visit: https://joecostelloglobal.libsyn.com Subscribe, Rate & Review: I would love if you could subscribe to the podcast and leave an honest rating & review. This will encourage other people to listen and allow us to grow as a community. The bigger we get as a community, the bigger the impact we can have on the world. Sign up for Joe's email newsletter at: https://joecostelloglobal.com/#signup For transcripts of episodes, go to: https://joecostelloglobal.lybsyn.com Follow Joe: https://linktr.ee/joecostello Transcript Tim: My guest today is Tim O'Brien, the founder of The Healthy Place, an e-commerce store for healthy products. They also have for brick and mortar locations, one in Madison, Wisconsin, one in Fitchburg, Wisconsin, one in Middleton, Wisconsin, and one in Sun Prairie, Wisconsin. Tim's passion is health and wellness, and he has spent the last decade sharing his passion with the world on a personal side. He is married to Becky and together they have three children. In this conversation with Tim, I expressed how much health and wellness is important to myself and how convoluted the marketplace is and very difficult to trust who you buy from and which products you buy. I was excited to have Tim on the show so that I could learn more about the difference in what the healthy place offers over buying products at other places like GNC, Walgreens, the vitamin shop and obviously Amazon.com. So sit back and listen to the education that we get from Tim on how to buy better and healthier products in the health and wellness space. Joe: Hey, Tim, welcome to the show. Tim: Hey, hey, how you doing, buddy? Joe: I'm doing great, man, happy, what is it? Wednesday, I lost track, I just got Tim: Yeah, Joe: Back into Tim: It's Joe: Town. Tim: Hump hump day of the week, man, and Joe: Beautiful. Tim: I'm doing this to say thank you for giving me a chance to be on your show. Man, this is cool. Joe: Yeah, no, that's my pleasure, as as I mentioned before, we actually started this that I have, you know, I know that literally health is everything. Like you can have everything in the world that you ever, ever wanted. And without your health, it's just, you know, it's it's unfortunate because I know people go through things that had nothing to do with them not being healthy. They just got delivered a bad hand, Tim: Yahav. Joe: You know, so that's a different story. But those of us Tim: Jerome. Joe: That can make sure we stay healthy, there are things that we can do. But before we get into all of that, and as a lot of my listeners for the podcast and the viewers of a YouTube channel, now, I'd like to get the back story because a lot of the people who listen to the show are my hope is that these entrepreneurial spirits that are trying to figure out what they want to do are there in the midst of doing it. And they they need ideas from people that are being successful doing it. So I would like to go back as far as you're willing to go back to allow myself and the viewers to understand how you got into what you're doing today. What Tim: I love Joe: For? Tim: To share that. Yeah. Joe: Yeah, like what triggered the fact that you're now in this world of, you know, Tim: Supplements, Joe: The health world Tim: Natural Joe: And. Tim: Alternatives, Joe: Yeah, Tim: Yeah. Joe: Yeah, yeah. So I'd love to hear that and then we'll get in, Tim: I'd love to. It's Joe: Ok. Tim: A cool story, I kind of like telling it because it's just cool to see how things can work together to sort of bring you to the place that you're at. And it's sort of confirmation in some different ways. So I love to share it, man. I'd be happy to do so when my when I was like five or six years old, my mom fought through thyroid cancer. And I remember her like going through the chemo radiation and losing the hair, like seeing her at the hospital. I have four siblings, so just a lot of fear in the home, worried about mom. And then I remember this time where she came home and she was sort of like excited and sort of like filled with a little bit of hope because she had gone into this health food store in a little town called Muskego, Wisconsin, just this tiny little town that had a health food store. And she talked to this guy named John for like an hour and a half. And John shared with her all these natural alternatives that had some good science and some good reason to believe that it could help her in her process recovery, treatment of the thyroid cancer. And so she would like go in there like once a week, whether it was a refill for some supplements or whether it was some more education, because there was a lot of literature that this guy handed out as well, like books that he gave her. Tim: And I would go with her. And through this whole process, she she was benefited quite a bit from these natural alternatives that helped her and her recovery process. So I remember hearing about that as a little guy. And through that process, she got a job as a manager at this health food store. And she was there all the time, 40, 50 hours a week kind of thing. And us kids were home schooled. So we would go with mom often sitting in this back room of this health food store, doing our math problems, doing our schoolwork. And I watched over the years these testimonies produced of people coming in with chronic pain, depression, sleep issues, other folks that battled cancer, that my mom held their hand through the process, educating them. And so that was like my whole upbringing. And it really got into my DNA that there is natural alternatives out there that work and the general population just doesn't know about them, because the way our medical system set up pharmaceutical medications, you know, we have some of the best doctors in the world. And, you know, you go to them, you get a prescription, you don't Joe: Mm Tim: Necessarily Joe: Hmm. Tim: Get a natural alternative recommendation. So I got a bit passionate about that in my late teen years. So I got a job at a GNC franchise and worked for the owner who invited me to move out to Madison, Wisconsin, to manage some of his GNC stores after a little while. So I was like, man, OK, my boss thinks I'm good at this. I really enjoy helping people, encouraging people. I just happen to like like people in general. So it was it was sort of a fit. Like I got this passion for this natural alternative thing. I feel like I'm helping people. I'm impacting the world. I want to make a difference. And I was managing these GNC franchises in Madison, Wisconsin. Well, there was a corporate takeover, dude, in twenty seven where everybody lost their jobs, like corporate took over these six franchises that my boss owned. And it was like, OMG, like, what am I going to do now? And so I determined, you know, hey, I want to do something. And that's natural alternative space. I have always been sort of passionate about business in general. I had like three paper routes when I was 11 and I hired my sisters for a quarter a day. I was making bank Joe: Right. Tim: And I was so I tried a network marketing business for a little while that was suppliments and that was brutal. Multi-level marketing can be really hard. And I was like, OK, I don't want to go that route. Maybe I should open my own health food store. And at that time I had just met dating, married Becky, my wife. So we're prayerfully like thinking through this. Should we do this, put the house on the line, open up our own health food store and risk everything. And we decided to take the plunge. So our first brick and mortar store, 2010, was in a town called Fitchburg, Wisconsin, which is right outside of Madison, Wisconsin. And then twenty fifteen, it was store number two in the Madison area and then twenty nineteen with stores three and four. So that was going well. We then moved towards ecommerce where like, hey, if we're making an impact and a difference here locally, which is really exciting, we really enjoy it together. We work as a team like let's let's hit the nation. That sounds fun. And so we started to see a little bit of success there, especially ones covid hit of last year because our in-store traffic took a hit. So our pivot as a company, like a lot of smart companies, was, let's focus on e-commerce. And so that really helped us talk about a blessing in disguise, really helped Joe: Mm hmm. Tim: Us figure out the e-commerce space a little bit. So really exciting. In December, January of this last year, we got our little warehouse. So now we have a warehouse in Madison and we're shipping packages out all over the United States. And that's the story. And the mission is about impacting, empowering and educating as many people as we can to just like, learn, grow and create a lifelong foundation of health and wellness. It's like a fanning a flame. You know, somebody already just has a little spark. You know, they're putting the cigarette out outside my store, throwing the McDonald's bag in the trash and like, I need something for my chronic pain all the way up to the health enthusiasts. And no matter what, to me, it's so encouraging to just fan the flame of someone's health and wellness. Because you said it earlier, life is a gift and people need to remember that. Joe: Yeah, and so have you always, based on the background of sitting in that store with your mother and seeing what the proper nutrition and supplements and things like that did for her? Did you always pretty much lead a healthy lifestyle? Tim: Funny is Joe: Don't Tim: No. Joe: Tell me you're a fast food junkie. Tim: No, I wasn't. Yeah, I was, and I always felt very bad if I was going through that fast food line, but my diet really didn't really take a huge impact until I married Becky. So for whatever reason, I would I knew a lot about supplements, really passionate about natural alternatives. But I was I was not the guy who is eating ultra clean, raw, organic, clean. I was like, OK, I'm going to eat a basic diet cleaner than most know what kind of excuses that. And then I'd lean on supplements for nutrition. And so when I met Vecchi, this is two thousand eight, she's like, wow, this doesn't even make sense. Like you can't go eat at pizza, frozen pizza, you know, and then go take your supplements. And so she really convicted me. And it's been a pretty cool team because that's always been her passion is very clean eating. And she didn't understand or know about the supplement natural alternative thing. And my passion has always been for my mom's story of natural alternatives and supplements can change a life. And so then getting married and working together as a team to educate Madison and our social media platforms and on YouTube, it's like there has to be a marriage between nutritional deficiencies, making sure we don't have them eating well, eating clean exercise. So we should work together. And I've improved since meeting, Becky. Joe: Wow, so are you actually telling me that she was already before you guys even met, she was interested in this sort of thing or she was she was Tim: Yeah. Joe: A healthy, clean eating person. Tim: Yes, she was Joe: Wow. Tim: A health enthusiast, yeah, I mean, just health, and that's part of what drew me to her is like, man, this girl's got discipline, like extreme self-control. For me, that's been an area of struggle, just like in general, like discipline waking up early. I'm the guy that would, before I met Becky, like stay up till one and then sleep till nine till I had to quit, get to work. And, you know, he's like, man, we got some work to do. But, yeah, she sure inspired me and a few of those areas. Joe: Ok, so without prying too deeply then, because now you're really piqued, my interest is the fact that you guys are lying so well. How did you meet? Tim: Yeah, so we there was like a young adults meeting through it, through church called Metro Believers Church in Madison, Wisconsin, you know, I'm a Christian, she's a Christian, and in my early twenties, it was like, hey, I really enjoyed finding people like minded. And I think in the back of my mind, I'm like, I'm searching for a life, you know? So I would go to a couple of these different churches, young adult ministry meetings, whatever, 20 something groups. And we just started hanging out. So it was like a group of like six or seven of us. And I was about six months in. I pulled her aside one day after church and said, I still laugh at what I said. I said, Hey, Becky, I've taken a shining to you and I'd like to continue on to marriage. And she's like, oh my gosh. Like, OK, I'm kind of like you, too. It was weird way to ask, but OK. Joe: It's also that's Tim: Yeah, Joe: Old school, Tim: I don't do it right. Oh, yeah. Joe: But also Tim: Oh. Joe: All right, cool, well, that's that's great. So how did you change or why did you change the name from Apple Wellness to the healthy place? Tim: Yeah, really good question, you know, Apple Wellness was a good name, you know, in the sense of like Apple a day keeps the doctor away and we just had too many people thinking we are the Mac Apple store. So I literally get calls, at least weekly, Joe: Wow, Tim: And Joe: That's so subtle. Tim: At least I know, and then I'd see my employee across the way and he'd be talking to somebody and he'd be like, well, try turning the phone off and then turn it back on, you know? Joe: Oh, my Tim: So Joe: God. Tim: Especially after he got the e commerce thing going, I started, Becky, as the graphic designer and kind of branding expert within our company for a long time. She's like the Apple word's taken. That's just gone. And I should have consulted with her a little bit more before we chose the name. Joe: Uh huh. Tim: And so she's always kind of wanted it changed. But then I found out that Apple, the company, has an Apple wellness program Joe: Oh, Tim: For employees Joe: Of. Tim: Like it's trademarked. I mean, so I figured it was just a matter of time before I end up getting some sort of litigation letter from Joe: Yeah, Tim: Apple. Joe: Yeah, well, OK, that's interesting. Tim: Yeah. Joe: So you stole one of my questions, but it was perfect because it was actually in line with what you were talking about. But I want to go back to it because Tim: Sure. Joe: It's important, again, for like the entrepreneurs that are listening to this and what we just went through with covid, you talked about shifting. They're not shifting, but literally adding to what you've already established. Right. So you were Tim: You. Joe: You were a retail store, people walking in foot traffic. That's what you counted on to make a living. Right. So when covid hit, obviously, everyone stayed home. So there goes all the foot traffic. So did you already have the e commerce portion of this set up before this happened when you said it was a blessing in disguise? Were you already ready to go the moment like that? Tim: Really Joe: The Tim: Good. Joe: You know, Tim: Yes, Joe: The doors. Tim: Yes and no, I Joe: Ok. Tim: Mean, it's like we had the website, we had the ability to set up ship products out. We had maybe three hundred out of the four thousand products that we have in our stores on the site. So we were ready in certain ways and then not ready for a lot of things. And we had no idea on the digital side of marketing, Google ads, Facebook ads, SEO optimization, email marketing. We hadn't done text messaging. We hadn't done very much of that, very basic and each one of those areas. So it was all of a sudden like pedal to the metal once March hit, where it was like, OK, we have some of these basic fundamentals. And I always tell a business owner like you, if you don't already, you have to have a website like I mean, covid showed us all that pretty quick, like Joe: Yeah. Tim: Have to have a website and you can get free ones are very inexpensive. Wick's dotcom. I'll tell business owners, like even if you're not a photographer, don't don't try to be don't don't get some real basic a white posterboard. Put the product right over it. Just take a picture by a window. Don't don't try to get real clever with it because Vecchi tells me that it can end up looking really bad if Joe: Mm hmm. Tim: You're trying to do so. Basic things like get a website, get a social media, you know, ask your grandkid if you don't know how to set one up sort of thing. So we had all the basics, but then for us it was like, OK. Let's get live chat on our website, because we are one of our difference makers, is consultations Joe: Huh? Tim: With we change lives because we ask questions and we figure out the best products and forms and brands for their specific issues, problems. So let's get a live chat on our website so we can have those conversations. Let's get free shipping. Let's make it really easy. Even if we lose money on maybe one out of five orders, let's just like make it easy, reduce friction in any way that we can. Let's get on Google ads and Facebook ads. So we hired a digital agency for that and it's pretty cool. A year later, we had 30 percent overnight of our foot traffic was just gone once we were able to stay open, thankfully. But that 30 percent in one year's time, we were able to build that on our e-commerce platforms. We were able to replace what was lost. So I'm still head spinning, so thankful for my team able to bring that together because it's quite the operation and it takes a lot of work. Joe: Yeah, did you did you keep the stores open themselves or did you? Tim: We did Joe: You did OK. Tim: Not. Joe: Ok, Tim: We Joe: And Tim: Were Joe: Was it. Tim: Scrambling in the beginning of if we could be classified as essential or not, and my belief is that the immune system is something that can really be strengthened. I'm more passionate about terrain versus the germs so we can strengthen our terrain, strengthen our immune systems, both defense and offense. I mean, there's incredible science behind simple nutrients like sand, mucus from elderberry. The University of Sydney showing the prevention which with elderberry prevention of viruses entering the cell. I mean, it's some pretty cool science. So at the beginning of the covid thing, it was like, OK, I'm not going to tell anybody I can cure or prevent Joe: Mm hmm. Tim: Whatever, but I'm sure as heck going to yell it from the rooftop that you can strengthen your immune system and a strong immune system. Strong health is the best defense against any disease, virus, sickness anywhere. So I got pretty passionate about that a year ago. Joe: Cool. Yeah, that's great. So I'm normally pretty good at not bouncing around, but in this case, I want to go back to when you decided to do this. You know, obviously when when someone gets released from a corporate environment and they're like, oh, my gosh, I don't have control over my own destiny because these people Tim: The. Joe: Just literally rip the rug out from underneath me, which is another thing that a lot of entrepreneurs know because this is how they got to where they are there that happen to them. Like I'm not letting someone else dictate how my life is going to turn out. Right. So Tim: Yeah. Joe: But what's really crazy is I don't know if it if in Wisconsin or the places where you have these stores, obviously we know that you already brought it up at GNC is a big brand around the country. There's also where we are. There's the vitamin store. Right. Are the stuff that one of those Tim: Yeah, Joe: Is a vitamin Tim: Yeah, Joe: Shopper. Tim: Yeah. Joe: So there's a lot of these places. So it's almost like you saying you and Becky going, oh, yeah, we're going to create the next pizza delivery like pizza Tim: Now, Joe: Delivery Tim: There's already Joe: Franchise. Tim: 10 right around Joe: Yeah, Tim: The corner, Joe: Right. Tim: So let's see number 11, yeah. Joe: Right. It's we're going to be the next Pizza Hut or Papa John's or whatever. It's just like that that industry Tim: Yes, Joe: That's it takes a lot Tim: It's Joe: Of guts. Tim: So competitive. Joe: Yeah. So when you thought about it, as all entrepreneurs, do, we always come up with these ideas and then we sometimes will kill our own ideas without our spouse or partner or someone will say they'll be the sensible one and say Tim: Right, Joe: That's Tim: Right, Joe: Never Tim: Yeah. Joe: Right. But then you have all these outside influences of of friends and things. And, you know, at any moment, if you would have said, hey, we're thinking of opening up a vitamin supplement, healthy sort of Tim: John. Joe: That people would look at you. But what about all of these major brands? So tell me about how you got over the hump to make to pull the trigger. Tim: Yeah, do that's such a good question and, you know, to identify and I had some friends who opened a coffee shop, you know, and a year later, you know, the coffee shops not doing so well is unfortunate with covid timing and everything. And it's like the supplement thing where you, like, hear this and you're like, oh, I don't know, you know, I wish him well, but I don't know if that's going to work because it's just like there's a hundred of them, you know. Joe: Right. Tim: So I think for me what happened was I worked for GNC for, I don't know, five years. And you start to see good stuff. You start to see bad stuff, you start to see their model. They were purchased by China a while back. So, OK, it's all sourced from China. Forms of nutrients are in their synthetic forms or not so absorbable forms. And you start to learn like, OK, a better product would help this person more than this form of curcumin that's not absorbing into their system from China or wherever, you know, so you start to see where you could make a difference and you sort of start to see your difference makers. So in the supplement world, there's two veins of supplement stores. There's the type of stores that are all about muscle gain and weight loss, you know, weight loss, thermogenic high caffeine, ephedra, and then trim and tracks Hydroxycut. And a lot of that isn't super healthy for Joe: Hmm. Tim: People to be taking steroids or pro hormones, you know, not super healthy. So that's like one vein of supplement stores. And then there's another vein of supplement stores that just they sourced from China. They use synthetic nutrients. It's a little bit more about margin and profit than it is about quality and making a difference. And so that is something I realized pretty early on. And there's not too many supplement health food stores that have a lot of knowledge where you walk in. And there's not just like a high schooler selling the huge jug of protein because it gets a two dollar commission on it, you know. Joe: Yes, I do know. Tim: Yeah, yeah. And there's just not a lot of those out there. So then all of a sudden starting to dream about, you know, originating from my mom's story where somebody really helped her out, where I can really make a difference, because if I open my own stores or store at the time, I can bring in some of the best brands in the world. And pretty quick, in any industry, you find out, good, better, best. And I want to be in that best category. And all of a sudden you're working with some of the best brands in the world and you have the knowledge to be a to guide somebody with Crohn's disease. Let's just Joe: Mm hmm. Tim: Talk over asthma on natural alternatives that really work. And if you impact them, if you help them, if you change their life a little bit for the better, now they're going to keep coming back forever. And they tell everybody they know because there's such a vacuum, such a desperate need in this day and age for knowledgeable resources in the natural alternative space. We have a ton of medical, we have a ton of pharmaceutical drugs. We just don't have information coming to the general public on natural alternatives that work. And I get to be that resource in Madison, Wisconsin. So I think that's why we have done well in our brick and mortar stores. And I think that's probably why our attention is higher for our e-commerce is because of that customer service, that knowledgeable resource, that going the extra mile to impact their lives. And I'll give you an example. A lady might hit our live chat from California and say, hey, I'm looking for a V12. Can you give me a recommendation? And then we might ask the question like, absolutely. Here's a couple of options. Do you mind if I ask while you're while you're taking V12? Oh, my doctor said because I have really low energy, I have nerve pain and my mental clarity and focus, I get like foggy brain all the time. So then all of a sudden we say, awesome, OK, I'm actually going to encourage the method in form of V12 because it absorbs much better than this sign form that I first sent you, because I really want you to feel the difference. And since you're feeling fatigued, a little brain fog, I'd love for you to consider this adrenal boost product that has adapted genic herbs in there, like Atul Gawande wrote Rodeo Mocca because ninety two percent of fatigue is related to your adrenal glands. So then you recommend that product. They get it. And this lady two months later goes, Oh my gosh, my energy is a little better, my focus is better, my stress is reduced, which I didn't even bring up. But that adrenal product helps with stress, too, I guess. Joe: Mm hmm. Tim: Then all of a sudden they're leaving a review like, wow, that wellness consultant, Ryan, he's one of our our wellness consultants. He really helped me out. And so it's a very different sort of dynamic than a typical GNC store, health food store, vitamin shop type experience. They're Joe: Huh? Tim: All great stores. I mean, I love Natural. Anywhere you can get them. So that was like our difference maker and that's why I thought I could make a go out of it. Joe: Ok, cool. I have so much to ask you now, because you keep opening up like Kansas. So. So before again, I, I want this stuff to be helpful for the entrepreneur. And then then we're going to help the consumers that listen to this. So how when you decided on doing this and said, OK, and let's pull the trigger, how did you figure out the place where you're going to open up store number one, that you do all that extensive, Tim: Oh, Joe: You know, Tim: Good question, yes. Joe: Traffic, you know, what's going to pop up around us? What Tim: You know, Joe: Is, you Tim: Find Joe: Know? Tim: Find a good broker, a real estate broker that can find you spaces. So I had a guy named Kent in Madison, Wisconsin, and he you don't have to pay these guys. You know, it's the landlord that pays them. Joe: Right. Tim: And so as a young entrepreneur about to, like, risk everything you had, that was really important for me to know. Like, I I still am shocked by that. Like, you can just call one of these guys, try to find a reputable one, find somebody that trusts that can make a good referral. And they do all this scouting for you. They send you all the reports and you don't pay a penny. You know, I am a bottom line at the end or something, but you don't pay a penny for this. They get paid from the landlord. So he was bringing me idea after idea after idea. And he had been in the industry for a long time. So he knew the city really, really well. And he was able to guide me through, hey, this has a really strong anchor. The anchor in Fitchburg was Joe: Yeah, Tim: Target. Joe: Yeah. Tim: It was a super, super target. So I was like, oh, learning about anchors are important, Joe: Yeah. Tim: Really important. So I tell you, if you're listening, like, look for some strong anchors, because that's really going to help you for traffic. Joe: And just for the listeners and the people that don't like it, like when they talk about like a small strip mall or a plaza or something like that or even in a in a mall small, an anchor is an anchor store. That is when they go in, there's a really good chance they're not going away like they are a big thing like Target or Wal-Mart Tim: Exactly. Joe: Or Nordstrom or whatever. So I just wanted to clear that up because I didn't know at one point. But I know when you're looking at retail space like that, you want to be surrounded by an anchor store that has been around forever and is not going away. Tim: Yes, and just to further drive that point home, we have for brick and mortar stores and the one that's doing like the worst is the one that doesn't have a strong anchor by it. So just get one with a strong anchor and then look at price points and definitely negotiate. So we had that broker that was able to help us out. He was able to negotiate tenant improvement. Our big deal when you're opening a store, because you you could use money towards the build out and you can ask landlords for that. So if, again, if you have a good broker and you tell them your story, what you're trying to build out, a lot of times you can get a number of things paid for by the landlord because they're about to ask you to sign a five year lease. Joe: Mm hmm. OK. So at this point, the four locations that you have, you are in a lease situation Tim: Yes, all for you Joe: At Tim: And I've Joe: Any Tim: Looked into purchasing. Joe: Ok, so there is yeah, that's my question. It's like when do you pull the trigger on saying, OK, I want to actually start to own some of these buildings are these spaces. And that's a huge job. That's that's really put your Tim: Yeah, Joe: Neck out. Right. Tim: So in all four, I looked at them and each one has a different story, the first one I looked into though, at the Fitchburg location, the buildings were not for sale. So I was like, all this is so cool. So I looked into it and it was seven million dollars for these two buildings because it's in a strong anchor, high traffic area. So it is difficult to buy the spot by the strong anchor Joe: Maha. Tim: Because it really it would have been risking I couldn't I couldn't do it. But then the idea next idea is like, well, maybe I should move locations now that my name is established, if I can buy a strip mall down the way or something like that. So that Joe: Te. Tim: Idea is in the back of my head. But then you move away from the strong anchors. That's Joe: Right. Tim: Been called me back. Joe: Right, cool. See, that was perfect because that was like all of the things that you have to consider and Tim: Right. Joe: It's yeah, that's a tough decision, man. That's a lot of money. Tim: It is, Joe: Yeah. Tim: Dude, I Joe: Yeah. Tim: Know and I have a buddy who owns a dentistry office and he Joe: We. Tim: Was able to purchase his location and it's awesome. He's about to pay it off after ten years. And I'm super excited. So Joe: Yeah. Tim: It is depends on the situation. Joe: Yeah, OK, so now let's get into what I consider in the world that you're in and I'm a huge fan of natural like I is, it's a there's a difference between naturopathic or is. Right. Is that pronounced correctly? Is that they say it Tim: Yeah, Joe: Now Tim: Naturopathic Joe: Or Tim: Medicine Joe: Or homoeopathic. Tim: Homoeopathy yupp homoeopathy Joe: Right. OK. Tim: And integrative medicine is kind of like medical and naturopathy together. Joe: Yep, yep, so Joel and my life partner went through a battle of breast cancer where she had some lymph nodes and luckily, you know, Tim: Giese. Joe: Through through chemo and radiation, she came out on the other side and everything's great. But Tim: Good. Joe: The big thing that she also had was she had a naturopathic doctor Tim: Hmm. Joe: That went that came from the cancer world. So the advantages is that he understood the treatment that was happening with the normal medicine and he knew what to give her to not take away from what she was doing with the chemo and radiation, but at the same time helped to keep her system built up and not offset any of that. So there was a perfect marriage between the two. And Tim: That's. Joe: I swear to this day, I feel like that was the reason that she was Tim: Wow. Joe: Fairly, fairly normal through the process, like we were doing 90 X and she was in the middle Tim: That's Joe: Of chemo Tim: All Joe: And radiation. Tim: Right. Joe: Yeah, it was ridiculous. So Tim: Dude, that's Joe: So Tim: Awesome. Joe: I'm a big fan of the naturopathic side of things and natural remedies and all of that. So Tim: Not the. Joe: So that's why this was a cool episode for me, because it's hard to talk with somebody that is in this niche that you're in without it being the big stores. And so my first question, because I got so many of them Tim: I Joe: First question and the first Tim: Love Joe: Question Tim: It. Joe: Is how do you become with all of the misinformation that's out Tim: The. Joe: In the world? Right. And this is what confuses all of us as consumers. You go to Amazon and you say, I need a B vitamin of Tim: Right Joe: Some B supplement. Tim: Now. Joe: And the habit is you you click on the five star rating, things that you want. You think that's going to be the best because people are taking their time to read it, which Tim: Yeah. Joe: I think there's enough Tim: What Joe: Conversation Tim: Did he. Joe: In the world that says that's not necessarily true. Tim: Right. Joe: And then you literally are just like throwing darts at a dartboard with Tim: I Joe: A blindfold Tim: Know that, Joe: On. So. Tim: I know. Joe: So how do you get through all the misinformation that you feel so confident enough that when you when you suggest something to a client that you haven't been taken advantage of by the misinformation, like Tim: Yeah, Joe: How do you get through Tim: Because. Joe: All of that stuff? Tim: A great question and even the reviews, if a company markets really well and they're incredible at marketing, they can get a billion, five star reviews and they can be like synthetic sourced from China, not NSF certification. So over the years, you start to be able to read between the lines and you start to be able to say, hey, this is B.S. over here. This is marketing. Only not met with quality. And like any industry, you start to learn the good, better and best. So there's a few things. So first and foremost, I think everybody needs somebody on their team. Like your wife has that naturopathic doctor now as a resource that she can probably shoot an email to or make an appointment with and ask these questions. I think everybody needs somebody on their team because most people have a medical doctor and beyond that and they might have a pharmacist. Right. And they're good to have on your team, but we need somebody with. Expertise, knowledge, history in the supplement space, because even a naturopathic doctor, they know way more than I do about the human body, about maybe. Yeah, just just how to treat maybe disease. Tim: Right. When you're in the supplement space, there is you get to deal with hundreds and hundreds of brands. And over the decades, which I think 18 years now, you start to find out what brands are good and trustworthy and which ones aren't because the FDA doesn't regulate all the supplements. So you can say whatever you want on the label about me, your romantic drink here, but you can say whatever you want and. FDA isn't going to necessarily nail you if you're lying, if your label is making false label claims and this happens, there was a clinic in Milwaukee, Wisconsin, where not real clinical, but where they took products from a number of stores, GNC, Walgreens, Wal-Mart and Target. They took supplements from those four stores and then they had them tested at Chavannes and it was Chavannes Labs. And all four of them had discrepancies with what the label said and what was actually in the capsule. And one product was an Asia product, which is good for the immune system. And it had zero percent echinacea in there and a little bit of garlic like Joe: Oh, Tim: What Joe: My Tim: The H Joe: Gosh. Tim: Now? Yeah. So that exactly what you said. It's shooting in the dark. Is it marketing that's producing these reviews? Is it quality? Is it going to help me? Is it a waste of my money? Am I being sold. Right. So there's all those questions and the privilege that I'm so thankful for is just being submersed in the supplement world long enough. You learn a couple of things. So sourcing is vital. Where is it coming from? There is vitamin C that you can get our China, that there's some concerns there with chemicals, heavy metals, arsenic, or you can get vitamin C from Scallan, which happens to have a really rich ascorbic acid form of vitamin C clean, great place to source it from. So where a product is sourced from is really important. Number two is does the brand have NSF certification? So NZDF C, GMP grade facilities that they work with, which they're paying money to NSF to a third party test and ensure that they're having all of these practices that are healthy for supplements, they're sourcing their cleanliness. Has it been tested? Is it clean? Those questions? And NSF doesn't care about the company. They care about the reputation. So there sure as heck going to just that's a good certification is trusted in the supplement world to ensure that what's on the label is actually in the product. Tim: So sourcing No. One, NSF, GMP certification, number two and number three, which all of these take some sort of expertise or having somebody on your your team. You know, that's why I say to have somebody on your team first. But number three is the forms of nutrients. So E 12, which I gave the example earlier, Psion Kabalan and B 12 is synthetic. So your body has to convert it and you lose a lot of the content in that conversion versus a methyl form B 12, which is the natural form that your body absorbs really, really well. So four items, number one and two, saucing and NSF, you can have a very clean form of sign Kabalan and B 12 source, very clean. You could have NSF facility ensuring that you have that 50 micrograms of cyanide Kabalan B 12 in the B complex. But then it would take some expertise to know, like, OK, that's fine, that's good. But we would prefer a methyl form would be 12 because it absorbs so much better Joe: Mr.. Tim: And every single nutrient. This blows my mind because every single nutrient has good, better, best. You know, whether you're talking about vitamin C, ascorbic acid, sodium ascorbic calcium ascorbic B 12, which I'm talking about the six paroxetine hydrochloride versus toxified phosphate turmeric. You can get the the turmeric that colors your Indian curry orange and you can take that capsule and it's good for you. It just doesn't do very much for inflammation unless you extract the curcumin out and then even that doesn't have a good absorption rate. So blending it with the turmeric, essential oils and the sunflower lecithin launch the absorption where it's literally absorbing two hundred to five hundred times better than the turmeric Indian spice that you started with. And that's the form of ninety five. That's the form that Baylor University of Texas is using to literally treat cancer and chronic pain with incredible results. I mean, the cancer story is very cool. Inflammation is the root of the root system of cancer. Joe: Mm, huh. Tim: So that's an example where it's like oh man form so saucing, NZDF, GMP, great facility forms of nutrients. Those are the big three that you want to look at to know quality. Right. So that's what I always tell somebody, find somebody that you can trust. So for you guys, it might be your your doctor that your wife worked with for in Madison, Wisconsin. A lot of people trust the healthy place to help guide them, know we don't do commission so that we can just recommend what's best so Joe: Right. Tim: People can use that live chat feature on our website to just ask those questions. But find a health food store maybe that is trustworthy in your home town, that you do meet a job like my mom met John Joe: Mm hmm. Tim: Or find a store like mine that you can connect with and you can go to when health strikes, health problems strike because everybody has some conditions, some problem, something, even if it's something as simple as fatigue, you know. Ninety two percent of fatigue is related to your adrenal glands. You can strengthen your adrenal glands and you can have more vibrant energy every day. And people just don't know that. So they keep reaching for the coffee or the soda or the caffeine pills, what have you. So get somebody on your team that you can trust. Joe: So go. So you said at one point in this conversation that do you have over 4000 Tim: Products, yeah. Joe: Excuse now, right? OK, so let's just take that as an example. It's a full time job for someone like you to be the Tim: Yes. Joe: Gatekeeper Tim: Yeah. Joe: Of your of the healthy place. You have to be the gatekeeper to say, yes, this comes into our door and gets put on ourselves or in our e-commerce store or Tim: The. Joe: No, this doesn't meet the criteria. So to me, it feels like it's continuing education and literally a full time job for whoever that person. Let's just say it's you at the moment that Tim: Yeah. Joe: Is the person that says yay or nay on these products. So it's just mind boggling what is out there and what you have to do to sort of educate yourself to to say, yes, this makes the cut, not only doesn't make the cut, but it's in a product. It's not a product and not a C product, you Tim: Yeah, Joe: Know what I mean? Tim: You're Joe: So. Tim: Absolutely right. And it's like reading a book, though, you don't want to minimize what I do, it's like it's not hard for you to read English, you know, after you've learned it. But if you're learning a new language, it looks like totally confusing. Overwhelming can take me forever to learn this language. And it might take some years to learn it. Once you have that language mastered, it's just like reading a book, you know, Joe: Yeah. Tim: You just check the boxes, right. OK, where is the source from NSF? GMP, what's the forms of these nutrients? Because you start to learn and then you have experts that you follow. A lot of people smarter than me that I follow. Dr. X, Dr. While, Dr. Whitaker, Dr. Northrup. And you start Terry Lambrew and you start to follow these gurus in the southern industry that have been there for 40 years, that know so much more than you. And you're reading their literature, listening to their podcasts. They're the symposiums around the planet that are going on for this breakthrough, that breakthrough. You get the subscriptions right to the. So I just tell everyone, get plugged in at least where you're getting encouraged on a regular basis to own your health, build your terrane strength in your health and all the ways that you can inspire yourself on a regular basis and then get somebody on your team that you can trust to help guide you in the space, because it is a new language, right? Joe: It's nuts, it's just it's so frustrating. Did a three month vegan plan Tim: Nice. Joe: Because Tim: Yeah. Joe: I'm not vegan, but I loved it like it was good for me. But I Tim: Yeah. Joe: Actually I actually, in the process, lost a lot of muscle mass because I was also going always going to the gym. But all of a sudden I started to shrink both, Tim: Right, Joe: You Tim: Like, Joe: Know. Tim: No. Joe: So, yes, I'm like, I'm doing all this hard work. And it's just I needed to get on a B 12 vitamin of something. And it's funny because I don't even know what I'm taking, but it's something that I got from Amazon and Tim: Your Joe: I Tim: I can do it. I've been assigned to general Joe: I'm sure. Tim: Check that Joe: So Tim: After Joe: I'm going Tim: The program. Joe: To look when yeah. When we're done, I'm going to look and then I'm going to and then I'm going to say I need a direct line to Tim in Tim: There Joe: The Tim: We Joe: Chat Tim: Go. Joe: Room. Tim: Yeah. Joe: So have you ever thought of franchises? Tim: I have, I Joe: And Tim: Have. Joe: And I'm Tim: You Joe: Just interested you don't have to you don't have to Tim: Know, Joe: Say to. Tim: I'm so I am very interested and I have been kicking that ball around in my head for a long time because we are we specialize in education, right. So you got to find ways to duplicate yourself in a franchise. And so we created a three month curriculum that our wellness consultants have to go through. They have to pass quizzes and tests and they have to get certifications from this company, this company and MKB certification, all the enzyme certifications to understand the industry, know what questions to ask customers and how to make recommendations. So that's one of the hardest things that we've done that would make it more easy to duplicate the knowledge side of our company and our brand. And as I've talked to people who have created franchises, the the legal side to it is one hurdle and then enforcing them to actually maintain your model as representing the healthy place. What we have created is the two big unknowns for me as far as difficulty. So then the choice came, should we just keep adding brick and mortars in our own territory? Right, right. In the Madison area and then put all of our energy and focus into our brands that we've created and our website because there's infinite you can do in the business world and you kind Joe: Mm Tim: Of Joe: Hmm. Tim: Have to choose. Joe: Yeah. Tim: So we decided to park the franchise idea for now and really go after lively vitamin CO. This is one of the brands that have been borne out of our brick and mortar stores. So now we're selling that to other health food stores around the country. And the number two is build find your healthy place dotcom, because just like Amazon is a freakin mammoth, there's so much opportunity to impact and power and educate everything that I'm passionate about on that website. So currently with four kids, we are chilling on the franchise idea. But I think it's brilliant because there's not there's not the option out there, which is why it keeps coming back to me Joe: Yeah, Tim: Like Joe: Yeah. Tim: There's not that many health food stores out there that really care. Soulsby for sales. You know, as one of my Joe: Mm Tim: Saying Joe: Hmm. Tim: That, Joe: I Tim: I really Joe: Love that, by the way, I love that. Tim: Thank you. Thank you. There is a time I was praying and it was like not I it going to make my friggin mortgage. When I first opened the store, I was praying to God for sales and I was like, God to declare bankruptcy here is brutal. And it was like an arrow is like, do you care about their soul as much as you care about the sales? Joe: Yeah. Tim: And it was kind of striking. So, yeah, there's not that many stores out there that really care about the human that have knowledge to help guide them and a model that works to help people, you know. So it's still an idea that keeps coming back to me. So Joe: Right. Tim: We'll see. Joe: Yeah, well, good luck if it happens, I'm sure it'll be great. Tim: Thank you. You see one popping up next door, you'll know where to get your V12. Joe: There you go. So you hit upon this a moment ago with the whole franchising thing of how to actually create this template and create a strict thing where where the people that are talking to your customers are very educated and they're giving the right information and asking the right questions. So how have you done that with the people that are at your current stores and how have you done that with the people that are on the other end of the chat? When somebody files in to ask these questions, Tim: Yeah, so. Joe: How do you get something like when is somebody OK? You're ready to take a call, you're ready to be on the chat, you're ready to to advise a customer in the store, like, what's that process? Tim: Yeah, Joe: And you don't Tim: So. Joe: Have to go too deep. I just Tim: No, Joe: I Tim: No, Joe: But Tim: That. Joe: I'm sure somebody is going to say, like, hey, Tim, super educated on this. So every time I talk, like I just said, you know what I call him on the chat, I want him, you Tim: Right. Joe: Know. So Tim: Right. Joe: How to how do you duplicate Tim so that everyone that's coming in on the chat or walking in the store says this is just a clone of Tim like he may. He's already run them through the ringer, you know? Tim: Yeah, that's so the three month curriculum that we created is our pride and joy. I'm so thankful for that. It was brutal to create. So I created one hundred videos, having a five minute conversation where I'm explaining different parts of the world and explaining brands and what to look for and how to explain it. And then we'll go through they'll have to pass quizzes and tests based on each module. So there's nine different modules to this curriculum. They have to go through trainings with specific companies. They have to do a number of roleplaying activities with our managers where they pretend to be the customer Joe: Mm Tim: And Joe: Hmm. Tim: Coming in, hey, I'm looking for some CBDs. What do you got? And so they get tested there and they have to get these certifications from each of these brands, so they have to pass it. So there's one guy who got to the end and he is like, OK, dude, we got to rewind because you're not retaining this stuff. So either you did the last minute cramming for this quiz the night before. And like I didn't I did that in high school. Joe: Ok. Tim: And then you don't retain it, right. Joe: Yeah. Tim: So do you really care about this or not? So he had to start over. He had to go through it again. So it's a team. We have a leadership team of five. And so we have these nine modules, the quizzes, the tests. They have to pass them. They have to do the role playing. And then the leadership team of five will say, OK, this person's ready or they're really not ready. And there's still a couple of parts of our team where we're like, OK, where they can be a wellness consultant in the store, but we don't think they're ready to be on live chat. So then we'll wait maybe six months until they have a little bit more experience, because where our team learns the most is from the customers coming in asking the questions and they don't know the answers of how to treat colitis Joe: Mm Tim: With Joe: Hmm. Tim: Whatever. So then they have to go find out to get back to that customer and then they learn something. So right now, I'm proud to say our live chat feature on our website, if you go to find your other place, dotcom lower, right. You get that little live chat bubble, the seven different consultants that you might run into over there are, I wouldn't say clones of Tim because I think they're smarter than me, but they are really well equipped and able to match, kind of hit the mark of where they need to be. And they all know and are passionate enough about helping people to not. One of the first things that I'll tell them is, dude, never bullshit. Joe: Yeah, yeah. Tim: That's a real thing. And I came from a I won't say anything negative where it's just more about getting the sale, about getting that commission. And and that's part of why we don't do commissions. So it's a fun process for intense. Joe: Well, that's great, man. Yeah, so I want to respect your time. We're down to the wire. I want to make sure I didn't miss anything that you want to talk about. So you have four stores in Wisconsin. Tim: Madison, Joe: Correct. Tim: Wisconsin, the. Joe: Ok, and you have the website Tim: Find your healthy place, Dotcom. Joe: Buying your healthy place, Dotcom. Anything else that I missed that is important that we talk about? Tim: You know, dude, I mean, as I was thinking about this program and your followers, like what your mission is, you're trying to encourage entrepreneurs, trying to encourage people to be thankful for life. You don't Joe: Mm Tim: Take Joe: Hmm. Tim: To treat life like the gift it is, you Joe: Yep. Tim: Know? So I did want to offer your followers a coupon code. If they don't have you know, if you have a health food store in your own home town, that's great sport. Those guys, if you have somebody on your team, that's awesome. That's my main passion. And if you need a resource that you can trust, if you go to find your healthy place dotcom and you get something type in coupon code, Castelo, and that'll give 30 percent off the full price on anything on our whole website, we have thousands of products. So anything from V12 to something more intense. And regardless if you buy something or not, use that live chat feature to ask questions. You know, I've had people call my cell phone bill. Hey, Jim, you know, I'm in Wholefoods right now and I'm looking at three different multivitamins. Like which one do you think I should get? You know, and I get to tell them and it's fun and you can share the love. And so use that live chat feature as a resource, because more than ever, dude, we need natural alternatives. We need some education we at least need to know about, like Joel and your Joe: Yeah, Tim: Life partner. Dude, Joe: Yeah. Tim: What if she didn't have that naturopathic doctor that gave her some natural supplements through one of the most intensive crisis's that she ever faced in her life? Like, you know, in your gut that that helped her in a dramatic way because you watched her do P ninety three, the cancer experience. Joe: Yeah. Tim: I mean, that's a miracle, dude. And it took somebody reaching out and it took a resource being willing to respond to create that miracle, you know. And so that's what I want for people. Joe: Yeah, it's I can't stress it enough that Tim: Right. Joe: What I saw before my very eyes every single Tim: Right. Joe: Day and it would and then I see people that are going through cancer of some type and they're only being treated, Tim: As Joe: You know, Tim: A medical doctor, yeah. Joe: And they're their body is just being crushed. Tim: Yes. Joe: And there's and there's nothing, no nothing helping to offset the chemicals and all of the harshness Tim: Know. Joe: Of that treatment. And so. Tim: Right, and let me say, you know, you saw it with somebody you loved very much, I saw it with my mom when I was five or six. And since then, I'm getting goosebumps. I have seen it for thousands of people through the last 11 years that the healthy place has been a company, thousands of people, not always cancer, but but we're talking depression, chronic pain, Crohn's disease, asthma, like people suffering like megacorp. There's so much suffering going on Joe: Mm hmm. Tim: In the world and there is natural alternatives that people literally don't know about. They have nobody in their world telling them. So they just listen to whatever mainstream media or their medical doctor Joe: Yeah. Tim: Or their pharmacist. And there's a lot of good people with good intent in those areas. It's just there's not the voice of natural alternatives. So we need to know about this stuff. We've got to get the word out. Joe: Yeah, it's great, man, I love what you're doing, and this Tim: Think. Joe: Was exciting for me and and I think I actually have your personal email, so I'm just going Tim: That's Joe: To I'm Tim: Awesome. Joe: Going to go I'm going to go ten. I need Tim: You Joe: More Tim: Should. Joe: Energy, Tim. I think I think I have inflammation. And I'm going Tim: Yeah, Joe: To be like. Tim: I know you should, and if anyone's listening to and they because sometimes, you know, they just have a trust factor or whatever, Tim at Find Your Healthy Place Dotcom. I am happy to take emails. This what I get to do all day, dude, and it's just fun. It's so rewarding. You just get to point people in the right direction and help them out. So I love it. Joe: I wish you all the luck in the world, this is a Tim: Thank you. Joe: This is a great thing that you're doing. It's nice to have somebody who is, like you said, it's it's Soulsby before sales. It's a great it's a great way to do it. And I think Tim: Thank Joe: You'll be Tim: You. Joe: Rewarded continually be rewarded for doing Tim: Thank Joe: It that Tim: You. Joe: Way. I'll put everything in the show notes. Thank you for the coupon for the listeners Tim: Now. Joe: And I'll make sure I have all the correct links. So find your healthy place. Dotcom is the website. The company's name is the Healthy Place for locations in Madison, Wisconsin. You eventually might franchise someday, Tim: Yes, Joe: But Tim: And people on Facebook, you know, Joe: Yeah. Tim: The healthy people on Facebook, my wife's a genius as far as really caring for our community there. So you'll find a lot of good content and Instagram as well. So thank you, dear. This Joe: Yeah, Tim: Is. Joe: Tim, thanks so much, man, I really appreciate your time today and thanks for all the insight and I really do wish you the best of luck. Tim: Any time, brother, and wish the same to you. Joe: Thank you, Matt. Tim: I hope you enjoyed this episode, and I want to thank you for listening to my podcast. I know you have many options to listen to various podcasts, and I'm honored that you chose to listen to mine. I would love it if you were to rate my podcast Five Stars and write a nice review. It really helps to bring up the rankings of the podcast. Other listeners, once again, thank you so much for listening to the Joe Costello show. I appreciate you very much.
02:21 - Corey’s Superpower: Reading 3,400 WPM * Increasing Reading Speed 05:35 - Keeping Up w/ AWS * Last Week in AWS (https://www.lastweekinaws.com/) * AWS Morning Brief (https://www.lastweekinaws.com/podcast/aws-morning-brief/) * Screaming in the Cloud (https://www.lastweekinaws.com/podcast/screaming-in-the-cloud/) 08:45 - Delivering Corey Quinn – Personal Evolution * Speaking Truth to Power (Kindly, but Snarkily) * Privilege * Sonia Gupta and Corey Quinn - Embarrassingly Large Numbers: Salary Negotiation for Humans (https://www.youtube.com/watch?v=jK6yrvsSaFs&list=PLK3MtoG6xjv_eLXKEVKG_uuYCZWqKfAaa&index=101) * Holding Yourself Accountable * Defensiveness * This Cloud Computing Billing Expert Is Very Funny. Seriously. (https://www.nytimes.com/2021/02/17/technology/corey-quinn-amazon-aws.html) (NYT Article) * Intentionality 25:51 - Career Snarkiness * @SimpsonsOps (https://twitter.com/SimpsonsOps) * @killedbygoogle (https://twitter.com/killedbygoogle) 28:05 - Approaching and Handling D&I as a Business Owner * Discussing Salary Compensation 43:44 - Making and Delivering Jokes 45:08 - The Prospect of Being a Public Figure 50:03 - Recognizing Your Own Failure Mode * The Art of Delegation 54:32 - Approachability * Admitting Mistakes * What’s the point? Reflections: Rein: Systems derive their purpose from how they relate to larger systems. Tim: Iterating on oneself to become a better person. Becoming a human optimized. Arty: Holding yourself accountable. Taking responsibility for how other people see you in a public context. Mando: There’s a power in not hiding who you are. Apologizing for not letting people know what’s going on. Corey: Words are loud. Words are heavy. Words carry weight. Words carry impact. There is a balance. This episode was brought to you by @therubyrep (https://twitter.com/therubyrep) of DevReps, LLC (http://www.devreps.com/). To pledge your support and to join our awesome Slack community, visit patreon.com/greaterthancode (https://www.patreon.com/greaterthancode) To make a one-time donation so that we can continue to bring you more content and transcripts like this, please do so at paypal.me/devreps (https://www.paypal.me/devreps). You will also get an invitation to our Slack community this way as well. Transcript: PRE-ROLL: Whether you're working on a personal project or managing enterprise infrastructure, you deserve simple, affordable, and accessible cloud computing solutions that allow you to take your project to the next level. Simplify your cloud infrastructure with Linode's Linux virtual machines and develop, deploy, and scale your modern applications faster and easier. Get started on Linode today with $100 in free credit for listeners of Greater Than Code. You can find all the details at linode.com/greaterthancode. Linode has 11 global data centers and provides 24/7/365 human support with no tiers or hand-offs regardless of your plan size. In addition to shared and dedicated compute instances, you can use your $100 in credit on S3-compatible object storage, Managed Kubernetes, and more. Visit linode.com/greaterthancode and click on the "Create Free Account" button to get started. ARTY: Hi, everyone. Welcome to Episode 228 of Greater Than Code. I am Artemis Starr and I am here with my fabulous co-host, Mando Escamilla. MANDO: Thank you, Artemis. I'm delighted to be here with my good friend, Rein Henrichs. REIN: Thanks, Mando and I'm here with my friend and brand-new co-host, Tim Banks. TIM: Thanks, Rein. I am Tim Banks and I am delighted to have our guest for this show, Corey Quinn. COREY: Thank you. It's an absolute pleasure to be here to once again, indulge my ongoing love affair with the sound of my own voice. TIM: Just so everyone knows, Corey is the Chief Cloud Economist at The Duckbill Group, where he specializes in helping companies improve their AWS bills by making them smaller and somewhat less horrifying. He also hosts the Screaming in the Cloud and AWS Morning Brief podcasts; and curates Last Week in AWS, a weekly newsletter summarizing the latest in AWS news, blogs, and tools, sprinkled with snark and thoughtful analysis in roughly equal measure. COREY: I would agree that that is a fair characterization of what I do. Excellent work. Thank you. MANDO: Corey, we like to start off every podcast with asking our guests kind of the same question and that question is what do you consider your superpower to be and how did you get it? COREY: I would consider my superpower to be the fact that as tested and certified by some random site on the internet, I read 3,400 words a minute and the way that I got there was growing up, most people have friends, I had books because of the wonderful thing that happens in my world namely, having a personality that is pretty obvious to anyone who's spoken for more than 30 seconds. In my early phases of my life, this didn't resonate super well so I turned to escapism in the form of reading. Later in life, this turned into something of a superpower when you're trying to do something like, I don't know, read every release that comes out of AWS in a given afternoon. MANDO: Yeah, that'll do it. [laughs] REIN: There are so many. MANDO: I went to a private elementary school for a year and one of the less weird things that they had us do was do speed reading training. They had this little cylinder and you would feed in a piece of paper and the cylinder had room for, I don't know, 8 to 10 lines of the paper and it would scroll automatically at a certain rate and you would read the story and then take a test afterwards and then as you pass the tests, they would both speed up the cylinder and then also shrink the amount you could see at one time to point where it got to just reading line by line and this thing's scrolling superfast. It was really weird and really struck my competitive juices like, I really wanted to show the teachers that I could read as fast as possible. So that's the one thing from that weird private school that I went to that I think has had any sort of payoff in my adult life. COREY: There are a bunch of tools and techniques that people can use to increase reading speed, and I've never done any of them. I don't know how I do it, I just do it. It's easy to sit here and think that, “Oh, I'm going to read super quickly. That's a superpower. That's something I can use and leverage, too,” and then what? The skill, or the talent is necessary, but not sufficient the way that I do things and you have to refine it and apply it in different ways. Sitting here and doing it as a spectacle or sport on a conference panel or something and look at how fast I can consume information, not much of a party trick. Using that and applying it to something that for, in my case, distilling vast quantities information down in an understandable and meaningful way, that was the outcome. It was never about just “being smart,” which is how I often hear other folks talking about various superpowers. “Oh, I have a natural innate intelligence.” Great, what do you do with it? How do you apply that? That's the thing that often gets overlooked; at least by folks in a somewhat early stage of the development that they're dealing with professionally. REIN: So let me ask, you do the Last Week in AWS podcast, why do you give a shit about that stuff? COREY: Functionally, what I do and what I started doing when I started The Duckbill Group, it was understanding the AWS bill so that I can reduce it. Sure, it's easy to do that from a pure numerical analysis perspective and figure out oh, what reservations, or commitments you can use. But a lot of it required insight into what the application was doing because the worst consultants in the world are the ones that walk in, look around, have no idea what they're looking at, and then start telling you that you screwed everything up. That's not helpful, it's not compelling, and it's the sign of a terrifically awful consultant, in most cases. I see something that looks like it's ridiculous, my first question is: great, can you help me understand this? I don't tend to, by default, assume the person I'm talking to is a moron and similarly, I had to understand the various economic impacts of different capabilities, features, and services. They're changing all the time. I had to keep up with this stuff so I shoved a bunch of things into my RSS feed and I was tracking this because there was nowhere else to do it. That got me 80% of the way there to being able to share this with the rest of the world. I figured, ah, I can make other people do my work for me. I figured I would launch a newsletter, run it for a few weeks, someone would chime in, “Well, why don't you just read, insert other thing here?” and then great. I can turn off the newsletter. I found the thing that does this for me and I can focus on other things. Instead, 550 people signed up for the first issue and it's been growing ever since and it turns out that thing that people should read to solve this problem is the thing that I built. It still surprises me and the reason I care about it all is because my customers need to know these are the things, but they don't want to read all of it. They don't want to know all of these things. They want to solve their problem. REIN: It seems relatively easy for a consultant to go in and say, cut here, trim there, and then you'll get 20, 50% off of your AWS bill. But isn't the thing that you want for the people who will be there long after you're gone to be able to make better decisions about their own spend? COREY: One of the nuanced areas of what I do is this idea that, “Oh, I'm going to come in and lower your bill,” That virtually always happens, but that's not the actual goal. The goal is to inform the business so that they can make decisions around managing spend, managing capability, and managing risk. In some cases, we suggest spending more on certain areas such as, “Huh, you claim that that thing is an incredibly critical to your business set of data and you're not backing it up anywhere. Perhaps, you should consider doing that.” It's the idea of doing the right thing, not the cheap thing. It's we don't ever charge for example, by percentage of savings, or percentage of bill, it's flat rate only because once that's done and we agree on what that rate is, there's no other conflict of interest. I'm not trying to rack up savings to claim a percentage of it. I have no partnerships with any vendor in the space, so I'm not getting a kickback if I say, “Oh, use this tool or that tool or that service.” Instead, it purely reduces me down to, “This is what I would do if I were in your position, take it or leave it.” TIM: So I think Corey, it's fair to say that people recognize your expertise, both in optimizing of costs and optimizing the practice. Writing good tools, adopting best practices, having sound resilient architectures, and saving money. But it's also fair to say that that's not why people follow you. You have a voice and a particular way of analyzing things that appeals to people. Snark has its place and it's very well-placed in your commentary, but what it mostly involves is true insight. So can you give me the story behind what really empowered you and made you comfortable in delivering your full Corey Quinn to people in an industry where maybe people aren't really supposed to be their whole selves? COREY: My entire career, I had a core competency that I was always the absolute best in the room at, across the board and no one could step to me as far as being good at that thing and that thing was getting myself fired because of the things that I said. My entire career, every boss, every mentor, every teacher, every family member, every vague acquaintance that I pass on the street has given me the same advice: “Your sense of humor/personality is going to hold you back in your career.” When I started this place, I was so tired and beaten down from hearing that, that I figured that either everyone I've ever spoken to is right and I'm wrong, or I'm right and they're all wrong. And with the confidence born of being a mediocre white man in tech, I figured let's try it and see. Because worst-case, if the whole thing blows up in my face, well, I can go back to using my maiden name professionally. I can effectively shove the Corey Quinn identity as it is down the memory hole and I can go back to being an unhappy employee somewhere else. It started to resonate and it took on a life of its own and for the first time in my entire career, I don't feel like I have to hide who and what I am and that is a powerful thing. TIM: So one of the things that I think people appreciate, especially in your very active and humorous Twitter feed, is saying the things that everyone is thinking about the Giants. You speak truth to power, but you do so in a manner that does not insult nor mischaracterize the people who make the technology, who make the decisions. Can you talk to us a little bit about how being kind while still being somewhat snarky guides – what's your thought processes and how does that guide your commentary? COREY: You say this like it's a done deal, but it's very much not. Earlier, the week that we're having this recording, I wound up doing a snarky, sarcastic rebuttal of the profile of me that appeared in the New York Times in the voice of AWS. I made some snarky offhanded comments that implied basically that AWS marketing was crap and I heard from several people inside that team that, that they thought that hurt them and to be very direct, I got that wrong. If people are hearing what I have to say and feeling bad about themselves, about their work, then I've gone in a wrong direction. It's a very fine line to walk, given who and what I am, but when people see what I have to say and hear it and they walk away hurt, I failed. I don't always get it right, clearly. All I can strive to do is be better and not make the same mistake twice. It's a constant process of evolution and learning. And to be very direct, I am incredibly grateful by people feeling that they have the psychological safety to reach out to me and say, “That hurt my feelings.” MANDO: One thing that I've seen you do, Corey, as an accessory to that is be on the lookout for people who maybe don't feel that same kind of psychological security, but also feel some, or have some negative impact, or connotation with what you said. I've seen this a couple of times. I saw it once this week, when you were talking about – you had a Twitter thread talking about how to find a job in tech, how to negotiate salaries and stuff like that. And then there was a Slack group that we're both involved in and someone made a comment saying that they felt put out a little bit by the tone of what you had said and I personally found it impressive and a little bit inspirin, the way that you responded to that individual. Would you mind building on that a little bit, why you think that's so important and then how you address and maybe manage those kinds of situations? COREY: Sure. Privilege is a funny thing because we all swim in it in various ways, no matter who you are or what you do, there are elements of privilege that are inherent to you based upon aspects of your life and to you. That's not something that you're generally aware of in a conscious sense. Instead, it's very much a part of the background of your own lived experience and it's difficult, at times, to put yourself in the shoes of people who have different stories. The natural response, in some cases, when being told about privilege is to push back, “Excuse me, nothing was handed to me. I had to work and build this thing and sure, maybe that's true on some level, but you did not have to deal with a headwinds against you that a lot of other people did.” And there is an element of, “Well, I was born on third base. I didn't hit a triple.” Yes, that's true. It absolutely is. But you still got to go from third base to home on some level. It's easier than someone who's starting off on home and having to round all of the bases and there's still work that has to be put in. But it's important to understand that this is an important thing and a lot of people struggle with it because our society is inherently unjust. There is no way around that. The differences is that I'm not sitting here when I have these conversations, talking about how I wish the world was, or how it should be. I'm one of those people that sees the world as it is, or as I assume, as I interpret it to be, and I speak from a position of this is how I function in the environment in which I find myself. Now, some aspects of what I do, do not apply to people who don't look like I do. I generally go out of my way to avoid airing those things. I don't want to build a conference talk on how to handle job interviews for white guys, because that's awful. It's about getting interesting perspectives on this one. I did that actual talk, or something close to it back in 2016, or so and when I realized what I'd built, I was horrified and didn't give it again for a couple of years and then I gave it as a keynote at devopsdays Charlotte. I did that with my co-speaker, Sonia Gupta, who she and I sat there and gave the talk called Embarrassingly Large Numbers: Salary Negotiation for Humans. Her background is as an attorney. She also doesn't look like I do. And it became a much more equitable talk, it became a much more universal talk, it was better in every respect, and it remains one of the talks I'm proudest of giving. It's a matter of when you realize that you have done something that inadvertently causes harm, or perpetuate some of the inequality that is rampant around us, it's incumbent on you, if you want to continue to be a good person, even if nowhere else other than you're in your own mind, to correct the misbehavior, say, “I'm sorry about that,” and then this is the key part, strive not to do it again. We're all works in progress. TIM: I think that notion of us all being a works in progress rings more true than I think most people like to admit. We constantly iterate on ourselves as we should be doing to find our mistakes, correct them, and then implement those corrections as we go forward. The thing that I think most people miss is the fact that they have to admit the fact that they did something wrong in the first place, especially in the form of public opinion. In a very public place like Twitter, Corey, you have done really well at that and I think there's a lot of wisdom that people can gain just by watching how you say, “Hey, this was not right,” or “I can do better,” and holding yourself accountable when especially other people hold themselves accountable. How do you think that we can promote this type of behavior in our culture and in our industry? COREY: Okay. Let me tell you a dark secret then because I don't want people to get an unrealistic expectation of who I am, or what I do. When I get it wrong, very often someone will either say something on Twitter or DM me with a, “This isn't a great take,” and every time like clockwork, my immediate response is to get defensive because no one likes being called out. What I learned I going by through the process is when I feel that flash of defensiveness: shut up. I do not respond. I step back for a minute. I go for a walk. I think. I wait for that reaction to subside and then really think about the feedback that I'm given from a place that is not in the moment, fraught with emotion. There are times that I can do that in seconds. There are times it takes me days. Usually, what happens is I realize that they have a point. Very occasionally, I disagree with what they're saying either because I didn't communicate clearly, or they misunderstood, or on some level, past a certain point, it is so far below even the level of rising to microaggression that it's one of those. Yeah, I have a bit of a hard time accepting that feedback where easy example of this is, I wound up having a gag recently called AWS Hambone, where they had some line art drawings in some of the AWS stuff that was put out, and I wound up having an event called AWS Hambone. Twitter Safety blocks someone who tweeted the phrase at one point, it was, “What is this?” Someone said, “Ah. Well, on Urban Dictionary, if you look up the word Hambone and scroll down a few things,” and of course, it's something horrific. There's always something horrific for three quarters of the words in the English language and at that point, you're so far into the weeds that I don't know that I necessarily would agree with that in that sense, but it's also not going to be a recurring gag that I use all the time. When I named my company, The Duckbill Group, and slapped a platypus up on as our mascot, I spent a week researching is there anything problematic on any aspect of the platypus and every bit of research I could do was no and here we are and no one has ever told me, the platypus is problematic. At this stage, that offer has expired. Please don't email me. But it's about doing your best to make these things right when you get it wrong, taking people's advice seriously and again, I don't do this in a vacuum. I have a number of people whose insight I trust and with whom I have a sense of psychological safety that I can reach out to and ask them, “Is this too far afield or not?” I want to be very clear, the majority of those people that I reach out to look an awful lot like me, because I'm not asking folks who are not overrepresented to do additional on paid free labor. REIN: I’d really liked to dig in a little bit more deeply to the part where you said you get defensive and then you take a moment because that seems like the key to me and it also seems like something that's really, really hard in the moment to do. Virginia Satir says that the problem isn't the problem, how we cope as the problem and that these emotions come unbidden to our consciousness, and then we get to decide, we have an opportunity to decide what we do with them. So what I'm hearing you say is you make a conscious effort to decide what to do. You feel defensive. You don't have control over that. What you have control over is what you do with it and so, my question is how do you create the space for yourself to cope? COREY: It helps tremendously in that the most common form that I use for my aggressive shitposting, hot takes, et cetera, et cetera, but also testing new things out is Twitter. There is no SLA around responses on Twitter. I don't need to respond within 30 seconds or so. Right now, we're having a conversation, if I stop for 2 minutes to really think something through, you're going to wonder if the call dropped. Twitter doesn't have that problem and from where I sit, it's a place of, I don't believe that I can control my own emotions to the point where I don't that defensive flare, but that's on me. That's something I need to think through. I don't wind up turning aside and kicking the dog, or punching a hole in the wall. I sit there because it never feels great, but it's where growth comes from. If you've doubled down on being wrong when people whose lived experience are actively telling you that what you're saying or doing causes harm, I don't believe that you are being the kind of person that in your heart of hearts, you wish you were. Now, some people want to be shitheads and that's fine. Good for you. I don't want to be around you. REIN: I want to make it possible to say your real yeses and your real nos. COREY: Yes, absolutely. Punch up. It's hilarious. I mean, I'm a hell of a cyber bully to a company that's worth $1.6 trillion, the last time I checked. If they can't take it on the chin, they need to deal with it. But there are individual people who work there and they don't deserve getting dragged. As I mentioned previously and repeatedly, the single exception to this is of course, Oracle co-founder, Larry Ellison. Because even if someone's garbage, they have friends and family who love and care for them and Larry Ellison is an asshole who does not. Nobody likes Larry Ellison and the best part of that is I got a lot of pushback and a lot of feedback on that article in the New York Times and the one thing that I thought was notable is not a single person defended Larry, or said that I was wrong because I'm right. He's an who has no friends QED, but everyone else, off the table. REIN: You're obviously very intentional about this. So what do you do intentionally to stay on the right side of that line? COREY: The honest and easy way is I talk to people. I fall into the trap personally of forgetting people behind things. To my worldview, a big company is one that has 200 people and when I don't know anyone on a service team at AWS who is involved in building a project, or launching a service, I just view it as this thing, this enormous behemoth thing and then I make fun of it. As soon as I talked to someone who was involved with that it's, “Oh crap, I need to understand who these people are.” Honestly, one of the reasons I've been so rough on Amazon Marketing is that no one in that group talks to me. It's basically a void so it becomes almost a punchline and then I have to be reminded from time to time that there are people there. That's an area I get it wrong in. Now on some level, the Amazon corporate posture is if we ignore Corey, he'll probably go away, which is absolutely the wrong direction to go in. It's akin to, “Well, if we kidnap the bear cubs, then may be that grizzly will let me pet her.” It doesn't work. [laughter] It's like smacking an alligator over the snout with a rock in the hopes it'll make him friendlier. Don't do that. I guess, I'm saying I crave attention. Well, roll with it. REIN: I think you compared yourself to an alligator. COREY: Oh, absolutely. TIM: Oh, that sounded deliberate. [overtalk] REIN: It’s fair. TIM: Alligators, to my recollection, do not have bills, correct? COREY: No, no. Those are reserved for generally ducks, geese, and platypuses. TIM: Is it platypus or platypi? COREY: Platypi is a myth. It's platypoes, if you want to go down that particular Latin root. TIM: I don't know if there's a witty monotremes joke in general so, I'll just let that go. COREY: Exactly. There are, but you have to look for them. That's why my mascot is an extreme monotreme. REIN: I like that you explicitly tried to avoid being [inaudible] platypus. COREY: There is always that aspect of things. REIN: All right, so I can tell you that platypus is actually extremely racist! [laughs] COREY: Exactly. No, no. The platypus for the mascot that we have is not racist. Well, insofar as other than the [inaudible], we are all racist to some extent, which is problematic but it is a thing to say in some quarters, but let's be a little more intentional of how we say it. The platypus isn't a bigot. The platypus isn't even usually angry most of the time. The platypus is just disappointed in all of us, because realistically, we could be doing better than we are. REIN: Do you have any advice for any of our listeners who might want to make a career out of being snarky? COREY: Quite honestly, don't do it. I'm serious. They're either a number of folks who try it periodically because they see what I'm doing, or they reach out to me and ask for advice and the advice is the same: don't do it. The reason is that with almost anything else that you're trying to do, the failure mode is just, okay, no one cares. It doesn't make a splash. It doesn't work. Okay, great. The problem with being snarky is the failure mode isn't obscurity, it's being an asshole and that failure mode is potentially very damaging. To that extent, when I see various parody accounts on Twitter, the novelty accounts that are doing snarky, or sarcastic things, I generally don't engage for a while. I want to get a read on them. Two of the parody accounts that absolutely nail it are, what is it? @SimpsonsOps is the parody account there. MANDO: Oh god, that’s fantastic. COREY: And @killedbygoogle. Both are phenomenal. They get it. I talk with the people behind those accounts regularly and I learn from them. There are times, I get it wrong and they correct me and very occasionally, I will give feedback to them when I think they've gone in a different direction and we all sort of make each other better for it as a result. But most folks do it. It doesn't end super well. There's an Andy Jassy parody account and has been for years and it's just mean. It's just mean, I'm sorry. One of the most distressing things I ever heard, that got to me through the grapevine. was that some exec at AWS was convinced for a little while that it was me and that hurt because to be very honest, I don't operate like that. I'm not here crapping on people individually, with a remarkably small subset of exceptions to that and those exceptions universally have something in common and that is that they punched down, they drive good people away, and they're small people in positions of inflated importance. Think the corporate equivalent of a number of senators that I'm sure already leaped to mind when I say that. TIM: So Corey, I'd like to ask—we talked about how you handle things on Twitter, we talked about your personal evolution—now as a business owner in the tech industry, a small business owner, B2B, not a large trillion-dollar company yet. But how are you approaching in handling diversity inclusion, especially around hiring and retention and salary equity in your own company? Q: Fair question and no one has ever asked me that, if you can believe that. The answer is that in order to build and hire diverse teams, it takes effort. The easiest thing in the world to do is to reach out to the people you know from your background. Well, that's not generally hugely diverse because regardless of what we look like, you're generally encountering them in the same types of environments, doing the same kinds of things, and you basically wind up accidentally hiring half your fraternity or whatnot for those who went to college and that's a bit of a challenge. So you have to be intentional about it, for one. You have to be prepared to expand your hiring pool. Do things that don't necessarily come naturally. There are folks who specialize in diversity, equity, and inclusion who have tremendous advice on how to do this, pay them for it. Advice is worth what you pay for it and have them assist and then from there, it's do your best. Have a way to measure what you're trying to achieve and whether you get there or not. As far as salary goes, that's relatively straightforward for us because we publish the ranges when we put the job position up and the ranges are relatively narrow and we stick to them. We are very transparent internally with what our structure is and how we approach these things and to be very direct, the delta between the highest and lowest paid employee is smaller than people would expect. MANDO: I've got a question about salary ranges. I have a hard time understanding what good reasons a company might have for not making their pay scales and salary ranges transparent, at least within the company. I've worked at several places where if you're lucky, your manager may know what the salary ranges are, but as an individual contributor, you're not supposed to find out and I have a hard time coming up. Are there any good reasons why, other than exploitation? COREY: There are a bunch of bad reasons, but not many good ones, but here's one that we can try on for size. If you and I have the same job and we work at the same company and I discover that you make $20,000 more than I do, there are a few different ways that I can react. I can get angry at the company, which is not generally constructive in that context. I can ask what I would need to do to get to a similar level of compensation. If I want to be nosy, I can start digging into well, why do you get more? And there are a bunch of answers to that. Maybe you've been doing this for a longer and a better experience. Maybe you have a skillset that was challenging. Maybe it's competitive bid situation. Maybe it's an accident of fate. Maybe you asked for it and I didn't. But there is a very common mode where now that I know that you're making $20,000 more than I am, I'm going to be a shit heel to you. I am going to hold it against you personally, because I'm envious and jealous and instead of asking how I can get up to your level, my immediate response is how to drag you down to mine. That can be a subtle and pernicious thing and if I look like I do and you don't, then that manifests in a whole bunch of other ways that are reinforced by systemic biases and as a result, it winds up impacting some of the folks that that transparency would be designed to help. That is one expression of a good reason. Is that outweighed otherwise? I don't know. I really don't. We speak in generalities and total budget. We don't disclose individual's compensation internally because that is not – MANDO: True. COREY: Again, it's a weird thing if I tell your coworker how much you make and then they're mad at you. Same type of problem. We strive very hard not to have that culture and I don't believe that we do, but I'm not willing to risk someone's psychological safety on that. MANDO: Yeah, no, I get that. I think in my experience, it's been a little more, I can't find out what the top and bottom band is for this role, unless I have people working for me in those roles and that's where, at least for me, it makes it difficult to understand why that's the case. It's hard to talk to people who you're managing about moving in different directions, moving possibly to other areas of the company, or even up and down the ladder without being able to say, “Here are the numbers that you could be looking at.” COREY: I'm also coming at this from a different/possibly privileged position where we do not offer equity in The Duckbill Group. The way we're structured, it doesn't support that. We're a services company that does not have anything approaching an exit strategy. I'm not looking sell the company to the very types of companies I energetically and enthusiastically insult. So we're not offering the brass ring of equity because there's no expectation of ever turn into anything. Instead, we offer cash comp and we have a bonus structure that is tied to what the company does. It becomes very easy for you to look at what we're doing and if you're toying with a role here, we have those conversations and figure out what your compensation is going to look like. Is it comparable to Netflix pay? Of course not. They pay top of market and tend to, but that's okay. We also don't have you on edge every day, wondering if you're about to get fired. So there are benefits to the way we approach things. There are drawbacks as well. Again, it's different people want different things and that's okay. At a company that has a significant equity component to compensation, that usually is removed entirely from transparency in compensation, unless you're a named executive. How many shares have you been granted? Are there options? What was the strike price? How is the vesting work? Did you come aboard as part of an acquihire? In which case, there was a very distinct compensation structure, that was almost certainly set up for you, that does not apply to other people. Do you have a particular rare skillset that was incredibly valuable? Let's be direct here, is your cousin the CEO of a target customer and having you there has that nice, quiet benefit that no one is ever going to dare whisper out loud? There are a whole bunch of reasons that compensation will vary, that companies don't necessarily want to explain to each other. When I worked at an agency consultancy, they would periodically have a consultant/engineer who would discover one day that the company was billing it out for roughly twice what they were being paid, which is a fairly standard and reasonable structure given the overhead cost, and they would be incensed by this because well, sales and marketing, how hard could that be? I should just go direct and wind up making all that extra margin myself. It is never that simple. If you can do it, good luck. It's a near certainty you can't because no one can, not at any step and that's scale. There is the lack of maturity that is understood, or not understood by folks you're dealing with and especially as you grow beyond a certain size, you can't expect everyone you're talking to in your company that you hire, or potentially hiring to come in with that level of maturity. So it's far easier just to avoid the topic altogether and then of course, there's a nefarious thing if we want to see how much we can rip people off. I have a hard time accepting that as being a genuine reaction, because for example, from a company perspective, the difference of a $10,000 or $20,000 to make someone happy versus angry, your payroll costs at a certain point of scale is never going to notice or feel that you don't want to waste money. But if that's all it takes to make someone happy, why wouldn't you spend it? MANDO: Has anyone here worked at a place where payroll numbers accidentally got sent out to the entire company, or is that just me? TIM: I have not worked at a place like that, but I wish that had happened. MANDO: It happened to me super early on in my career. I've been doing this professionally for maybe 2, or 3 years and it was a small little dev shop here in Austin and it was, you had your classic accidental reply all situation from whoever's in charge of keeping the books and the next day, like 8 people out of the 30 who worked there just walked out. It was kind of bad and ugly, yeah. COREY: One of the things that I find the most interesting about that type of story is that when those things come out and half the company is in flames over it, this was preventable. When we started The Duckbill Group, we did the exact same thing. We have always operated in such a way that if our internal documents and chats and everything else were to become public, there would be some missing context we'd have to fill in, but there's no one that would, or at least no one who has understanding of the relevant issues would look at this and say, “Well, that's just not fair, or just.” That even goes down to our pricing structure with our clients. Like we don't disclose what our margins are on certain things, but if they were to see that they would look at that, understand the value of that process of how we got to those price points and say, “Yes, that is fair.” That has always been our objective and it's one of those if you act as if it's going to be made public, it turns out that no one can really hold things over anymore, which is interesting because given the nature of what we do with AWS bills, confidentiality is super important. It's critical because some of our largest customers do not let us admit to anyone that they are in fact, our customers and I get that; there's a strong sensitivity around that. Other customers are, “Yeah, by all means, please talk about us all you want. Put us on the website.” I mean, the New York Times mentioned that Epic Games, Ticketmaster, and The Washington Post were customers of ours. Yes, we have logo rights. We are very clear in whether or not we're allowed to talk about folks publicly. It's great. We love our customers, but what are the tricks to getting there incidentally is if you don't respect a company's business, you probably shouldn't do business with them. We're not sitting here making massive value judgements about various companies that we look at. But when it's one of those, you make landmines, not so much. Whereas, I noticed, I was like, “Okay, you’re ad tech, do I love it? Not usually, but I also understand how the world works. It's fine. Don't worry about it.” Unless, you're into truly egregious territory, there's never one of those, “Do we work with them or don't we work with them?” The “Do we work with them or don't we work with them?” question honestly distills down to, “Can we actually help them get to where they need to go/think they need to go and is it the right thing for them?” If the answer that's no, then all we're going to do is have an unhappy customer story out there in the world. We don't want that. It's not that hard to act ethically, as it turns out. REIN: There is an interesting contrast between Corey, your story about salary disclosure and Mando's, which is you made the point of that it could be in your employee's best interest to not disclose. I don't think you're lying, but I bet if you had asked Mando's company's executives, they could have very well may have given the exact same story. The thing that, I think is difficult is when you have to trust in the benevolence of capitalists to figure this thing out. COREY: Absolutely and from my perspective, again, I have this position that I'm coming from, which is, I assume good faith. From my position, if our salary compensation numbers were to be exposed internally, the external is a whole separate thing. Because honestly, if there's a certain implicit expectation of privacy, if you work at my company and suddenly without warning you, I tell the world how much you're being paid. That's not necessarily a situation you would be thrilled to find yourself in. So let's remove that from the table entirely. When we speak internally about what you're making, I have always operated with the expectation that you will exercise, in the US, your federally protected to discuss your compensation with your coworkers, because not discussing your compensation with your coworkers only really helps those capitalists, as you put it, who run companies themselves. If I want to exploit people, yes. Step one, make sure that they're all scared to talk about how much they're making with each other. That doesn't align with anything I ever want to see myself doing. So from my perspective, why would I not disclose salary information? The only reason I can think of that would really matter is that, does it make it harder either first, most importantly, for my employees to operate as they want to operate and two, does it do any harm to my business in any meaningful way and that is a nuanced and challenging thing to figure out. I don't know the answer is the short response to it. I don't think there'd be anything necessarily good that would accelerate my business if we're suddenly talking about compensation numbers publicly. I don't know that necessarily anything bad would happen either, but it's not the story that I want people telling about the company. We're small. We don't have a marketing budget. We have a spite budget. So when people bring us up, I don't want it to be in the context of compensating employees. I want it to be in the context of fixing the AWS bills since that's the thing that lets us compensate those employees, [laughs] It's a fun and interesting nuanced issue and it's easy to take a singular position from all of the different stakeholders that are involved in something like that and make strong pro, or con arguments from that person's position. But one of the weird things about running a company that I discovered is you have to put yourself in multiple shoes simultaneously all the time, where you have to weigh the opinions and perspectives of various stakeholders. You ask someone in engineering what they think we should be focusing on strategically, the answer is probably going to align around engineering, but is engineering going to align with what the company needs to do? If you're getting no sales coming in, is engineering going to be the way you fix that? Maybe not. Maybe you invest in marketing or sales as a result and it's always about trade-offs and no one's perfectly happy with what you decide. The world is complicated and for better or worse, one of the bad tendencies of Twitter is to distill these principles down to pithy soundbites that fit 280 characters and the world doesn't lend itself to that. REIN: Okay. Let's try to distill this down into a pithy soundbite. COREY: By all means. REIN: No, I was just kidding. COREY: And I'm sure someone's going to be pithed. It'll be fine. MANDO: Hey! TIM: I was waiting. Took longer than I expected. [laughter] COREY: Latency. REIN: What's the most important thing in comedy? TIM: It's timing. COREY: Timing. REIN: Timing! [laughter] It’s easier to love that joke in-person. TIM: It is. COREY: Or if you’re going to put that in, just make sure you insert a bunch of time before audio engineer can wind up doing that. [laughter] TIM: Right. I was going to ask if an audio engineer can actually make that joke funny, or is that? [laughter] COREY: Yeah. Or it’ll just come off as corny. So many jokes work super well when you deliver them in-person or face-to-face with a small group, but then you deliver into, to an audience of 5,000 people and they fall completely flat because the energy is different. That observation right there is why so many corporate keynotes are full of jokes that bomb horribly, because with the 20 people who were in there and have context and nuance, it's great in the rehearsal, but then you have a bunch of people and it just feels lame. TIM: Yeah, I thought the corporate keynote jokes, they failed because the 20-person focus group was a bunch of sycophants ready to laugh at anything they said. Whereas, the audience, maybe not so much. COREY: Yes. Do you end up with the entire executive committee watching it? They're just a bunch of yes men and the one token yes woman, but diversity is important to them. Just look at their website. No, no, the point that makes the statement about diversity being important, not the pictures of their team. MANDO: That part. One of my favorite speakers in the technical circuit is Aaron Patterson and I think part of the reason why I love his delivery so much is that he himself personally laughs at all his jokes. Like it really [laughs] like he cracks himself up and so you just can't help, but get pulled along with him. COREY: I find that most of my jokes that I put in my talks and whatnot are for me, because without it, I get bored and I lose interest and have other people come along for the joke, great. And if not, well, that's okay, I'm still laughing. MANDO: [laughs] Yeah. TIM: So Corey that I have a question that I had wondered and then never got to ask out loud. But seeing as how, although we pretty much knew that Andy Jassy was going to be the new CEO of Amazon, would obviously need someone to replace him at AWS. What would you say to the AWS recruiter when they offered you the job and why? COREY: Directly, that would be one of the most thankless jobs I can possibly imagine for the way I see the world and how that job has to be done, in all seriousness. It is the ultimate expression of responsibility without the ability to directly impact an outcome. You will have to delegate absolutely everything and it's paradoxical, but the higher you rise in a role like that, the less you're able to say. Every time Jeff Bezos makes a comment in public, it hits the news. He doesn't get to go effectively shitposting on Twitter. How Elon Musk manages to do it, couldn't tell you, but his random jokes move markets and that's why he's constantly in trouble with the SEC. The reason that I enjoy the latitude and the freedom that I do is that I am functionally, a nobody and that's okay. As soon as I start becoming someone who is under global public scrutiny, then that entire thing becomes incredibly misaligned. Every time there's a controversy or a scandal, I would never be allowed to sit down and be directly and completely honest about what I think about those things because you can't in those roles. These things are always nuanced and public messaging is a problem. I do firmly believe. For example, the reason I don't weigh in very often on a lot of the labor relations issues, for example, that Amazon winds up finding itself confronted with is, I believe firmly that there is a choice that I get to make as part of my expression of privilege. Here, I can be part of the mob on Twitter, yelling at them over these things, or I can have conversations directly with people who you are in a much better position to influence these things internally. I do not believe you can do both, simultaneously. We pick and choose our battles sometimes and I can't wind up going off about every outrage, real, or perceived, that accompany does, or I simply look like an endless litany of complaints. You have to find the things that make an impact and there's always a price to that. An example of a fight that I do go to bat for is Amazon's position on non-competes for their employees and their decision to pursue them after they leave Amazon. I think it has beneath them, I think it makes the entire industry poorer for it, and it's one of the areas in which I do not respect Amazon's position, full stop. Their employees are better than that and deserve more. That's an issue that I feel profoundly about and I'm willing to go to the mat on that one, but when I do it, it comes with a price. It makes them look at me like a little bit of a, “Oh, is he going to be one of those?” whatever those happen to be and maybe. There's a reason I don't bring it up casually. There's a reason I don't drag them with that in casual joke threads, but it's there and that's what one of those issues I'm willing to be known for. Now, labor organizing and the rest. There's an entire universe of people paying better attention to a segment of their business that I don't talk about, or know about and who are well-suited to lead a public opinion, to have conversations internally. I don't know about a lot of those things and this is why I've never cut out to be a VC either, by the way, where when I don't know something, I don't feel that I should be sounding off about that thing on Twitter. Apparently, that is not normal in D.C. land, but here we are. The beautiful part about being me is that I'm fundamentally in possession of a platform I can use to broadcast every harebrained idea that crosses my mind out to an audience to test it. So I don't feel constrained in what I can say. In fact, that's the reason that I am what I am is that no one can fire me. I'm an AWS customer, but I have no client that is a significant percentage of our revenue base, which means I can't get fired. The only real risk is something either systemic that happens globally, in which case, all bets are off, or we're at a scenario where I have surprise, become a secret dumpster goblin and no one is going to want to do business with me anymore and everyone abandons me. But that doesn't seem likely because that is not my failure mode. REIN: Do you know what your failure mode is? COREY: Oh, absolutely. I sometimes, as I mentioned, go too far. I find that things that are funny, just wind up being mean at times. A joke wasn't that great there. I mean, my entire company is fundamentally built around aspects of my own failures. I am possessed of a profound case of ADHD that manifests in a bunch of interesting ways. A lot of the company is functionally scaffolding around me and picking up the things that I am not good at and will not be successful at if left to my own devices. I feel bad about it on some level, but on the other, it frees me up to do the things I am great at. It's an area of being able to take the things that make me, for better or worse, borderline unique and really focus on those because I don't have to continue to wrestle with things like making sure that JIRA tickets get done for us to use an example from my engineering days. We tend to have this bias when hiring people to optimize for hiring folks who have no weaknesses rather than hiring for strengths. Yeah, there are a lot of things I'm crap at, but I'd rather be very, very good at the subset of things that are intensely valuable and that means that okay, maybe someone else can handle making sure my expense report gets filed, if you want to use a banal example. REIN: One of the first things that you talked about was sometimes to improve the way a customer uses AWS; they have to spend more money in one area rather than less. There's an interesting property of systems, which is that you can't improve a system just by making each individual part better and actually, sometimes you have to make some parts worse to make the system better. So I'm hearing a little bit of that here as well, which is you want to build a system that works well and takes advantage of the parts that you have, the people you have, their relationships, their strengths, how they work together, and you're not interested in everyone having to be perfect. You're okay with parts that work in different ways and accounting for that and focus. So the other thing is that a system is not the sum of its parts. It's the product of its interactions and what I'm getting is that you care about those interactions. COREY: Very much so. It's hard to build things in isolation. It's hard to wind up treating everyone as interchangeable components that you can shuffle up and have them do different things. You don't want to know what would happen if you put me in charge of accounting, for example. There's this also this idea as well that is endemic, particularly to the world of developers and software engineers in the context of – I saw this most prominently with a number of professors in my first job, as a Unix systems administrator at a university, where I have a Ph.D., I am a world leading expert in this very narrow field of knowledge and I am brilliant in it, which means I'm very good at everything else, too, ha, Getting the computer to work. Oh, they don't even offer Ph.Ds. in that so how hard could it really be? This idea that, “Oh, I am terrific at this one very valuable, highly advanced skill; I should be good at everything else.” Well, not really. It doesn't work that way and is there even value in you learning that particular skill? Let's use an example that's germane to what we're doing right now. When I record podcasts, I'm good at having the conversations. I'm good at making the word noises come out of my mouth to varying degrees of good and then we're done with the recording and what tends to happen next? Well, it has to get edited, put together, and the rest, and I don't know how to do that. Now, do I go and spend a year learning how audio engineering works and then spend my time doing the audio engineering piece, or do I find someone who lives in that world, who loves it, who they are great at it, and they want to do it and they want to do it more and wind-up paying people for their expertise and let them come out with a far better product than I'm ever going to be able to deliver? If it doesn't need to be me doing a thing, I might want to tag someone else in to do it instead. That's the art of delegation and increasingly, I have to be more and more comfortable with letting more and more things go as our company continues to grow. It's a hard lesson to learn. I mean, the biggest challenge of running a business bar, none, I don't care what anyone else tells you, it's always the same and it is managing your own psychology. ARTY: So you mentioned earlier with you were talking about psychological safety and people being able to give you feedback about when their feelings were hurt, or things that are challenging to talk about. What factors do you think contribute to your approachability when you have the stance of being this kind of snarky identity? What makes you approachable still? COREY: I think it's that when I get it wrong, I'm very vocal at apologizing. Let me use an example of the time I got it spectacularly wrong. A while back, I did a parody video of Hitler Reacts, the Downfall parody thing that everyone's doing and it was Hitler receives his AWS bill was my entire shtick. I did a whole dialogue thing for it, as one does. There's generators for it—this was not an artistic endeavor whatsoever—and one line I have in there is one woman turns to the other and says, “Yeah, I get gigabytes and terabytes confused, too,” and it goes on. People started liking it on Twitter and I went to bed. The next day, I get a message from someone that a number of women were having a thread somewhere else that they thought it was offensive because that was the only speaking line women had and it was admitting that math is hard, more or less and when I heard that my response was, “Holy shit.” I took the video down and did a whole thread about here's how I fucked up and some people were saying, “Oh, it wasn't that big of a deal. It's fine.” You are wrong. I'm sorry. People felt shitty because of what I said and that's not okay and just deleting it, or not talking about it again is a response, but it's not an instructive one and what I did ideally, will help people avoid making similar mistakes in the future. Again, this stuff is not easy. We're all learning. I've made jokes when I was – if I go back in time 10 years, I made a whole bunch of jokes and had a sense of humor of now I look back and I am very honestly ashamed of them and I'm not talking about things that the kind of joke we have to look over your shoulders before you tell anyone to make sure that someone doesn't look like you isn't within earshot. No, I'm just talking about shitty jokes that punch down. I don't make those jokes anymore because guess what? They're just not that funny and that's important. We all evolve. So that's part of it is I vocally critical of myself when I get it wrong. I also have DMs open for this specific reason. Again, I am not in the demographic people going to harass me by a DM. Not everyone has that privilege so people can reach out to me when they think I get something wrong, or they just want to talk and I view confidentiality as sacrosanct. If someone says that wasn't funny, I always thank them first off and then I try and dig deeper into what it is that they're saying. If someone says it on Twitter, because they don't feel that a call-in is warranted—no one knows you would call-in—a callout is fine, too. I try to engage in the same behavior just because if nothing else, I can set an example. I don't know if people feel they have a sense of psychological safety in approaching me, to be perfectly honest. No one knows their own reputation. But the fact that people continue to and I have never once broken the faith and thrown someone out under a bus publicly, or even mentioned who they were without their permission first, that's powerful and I hope anyway. I mean, again, no one knows their own reputation. For all I know, there are whisper networks out there that are convinced that I'm a complete piece of crap and if that's true, I'm not going to inherently say that they're wrong. I would be honored if someone would tell me and would let me know what I'm doing that has caused that opinion to form, because if possible, I'd like to fix it. If not, I at least want to hear the perspective. But feedback is an opinion and not everyone's opinion carries equal weight and I don't agree with everyone's opinion, but I would like to know how I'm being perceived. The biggest problem I get is with all the podcasts, with all of the tweets, with all of the newsletters, that most common response by landslide is silence. There are days I wonder I remember to turn the microphone on. There are other days where oh, I get emails and I love those days because I at least get to learn how I'm coming across. ARTY: I can imagine just seeing someone having a history of admitting when they make a mistake and trying to correct it and fixing it, turning you into someone that if you have feedback that feeling like you'd be heard, that your feedback would be listened to and taken seriously, I can see that really making a difference. I also really appreciate you modeling that kind of behavior, too because I think it is important. We are human. We make mistakes and having models to follow of what it looks like to be confident enough in ourselves that we can screw up publicly, I think is really important. COREY: I have the privilege and audience and at least apparently public reputation to be allowed to fail, to be allowed to mess these things up and if I can't own those things that I get wrong and what's the point, really. The honest way that I feel about all of this is I just recently crossed 50,000 Twitter followers, which is a weird, trippy, and humbling experience. But if I can't use that vast audience to help people, then what the fuck was the point of it all? Why did I do it? It's not just for my own self-aggrandizement, or trying to sell consulting projects. If I can't leave a little bit of a dent in the universe in the sense of helping people become better than they are then what was the point? Spoiler, the answer to what was the point never starts with a dollar sign. REIN: What do you think is the point? COREY: I think it has to be different for other folks. For me, the point has always been about helping people and I have a sense of indebtedness that I have my entire career because early on in my career and consistently throughout, people have done me favors and there's no way for me to repay them for the kindness that they have shown and the help that they've given. All you can ever do is pay it forward. But I help people with an introduction. It doesn't take much from me. You two people have problems that would be a solved by having an introduction between the two of you? Wonderful. Go ahead and talk. Let me know how I can help and it costs me nothing and when people are like, “How can I thank you for this?” Help someone else. It's always the same answer. It's a someday, you're going to be in a position to help someone else, do it. Don't think about how it's going to come back and help you. Maybe I will, maybe it won't. Cosmically, I found it always does somehow, but again, you don't have to take that on faith. Just assume it doesn't help you in the least. The more you help people, the more you wind up doing favors for people, the more it comes back around and that is something that opens up a tremendous level of, I guess, leverage. I guess, it makes sense of being able to make a difference in the world. Now, please, don't misunderstand what I've just said as, “Oh, you should do a bunch of uncompensated work for anyone who demands a moment of your time.” That's not what I'm talking about. I'm not suggesting you let people take advantage of you, but when you find someone who's struggling at something that you know would approach it, it really doesn't cost you much to reach out and ask if they need a hand. ARTY: That seems like a good note to switch to reflections. REIN: I think that's great. I was thinking about Corey, how you look at mistakes as opportunities to get better, not just for yourself, but also for how you participate in communities that matter to you. One of the interesting things about systems is that systems derive their purpose from how they relate to larger systems. So an engine drives its purpose from how it relates to the other parts of the car. If you take the engine out of the car, the car doesn't move, but neither does the engine. So I think that the best communities, whether they're basketball teams, or software development teams, whatever they are, are communities that make each person better and that we derive our purpose and our meaning from our relationship with other people. TIM: I can offer my reflection on this. I've often been either disappointed with, or very impressed by people's ability to learn about themselves and about the impact that they have on the world. I have observed in Corey and have been inspired to do self-optimization, where I have a course of action or behavior, or a line of thinking or reasoning presented into the ether and then based upon the feedback in whatever other means of observability, I amend and iterate on myself to become better. Never perfect—perfect is the enemy of good—but just to be better, to be continually improving. If I were going to find a term to describe Corey and the term that I would ascribe to myself to become a human optimist. I think if we take some of those examples that Corey has discussed and apply them, we can all reach that point to where we'll always know that there's always ways to improve and if we listen to those around us and we study the impact that we have on those people that we can do that. ARTY: It's been interesting listening to you talk and have this description of you in my head of this kind plus snarky being and what does that look like. One of the things I've seen you model repeatedly as I've listened to you talk is holding yourself accountable. In one context, being able to take in one-on-one reflections from other people and really take it in and think about what people say. But two, also taking responsibility for how other people see you and your position in the world and how those things you do end up affecting other people. So, I really appreciate your
Improving movement options is legit, but at what cost? We know that this breathing stuff works, but are there drawbacks to this approach? Can we really make the changes “stick?” These are a few of the many problems that Dr. Tim Richardt and I sift through, in a podcast where the script is flipped and Tim interviews me. In this podcast, you'll learn: How I structure my own training What's better, time management or energy management? Forget following your passion, focus on this instead What my biggest failure was and what it taught me? The dichotomy of the type A personality Movement behaviors: How do we get them to "stick" The dark side of internal cueing The best way to communicate effectively to clients and more! Is there a darkside to all this movement stuff? Is there a better way? Look here to watch the interview, listen to the podcast, get the show notes, and read the modified transcripts. Learn more about Tim Tim Richardt is a Doctor of Physical Therapy, Strength and Conditioning Coach, and Owner of Richardt Performance and Rehabilitation located in Denver, CO. He specializes in the treatment and preparation of humans that like to run, lift, or play in the mountains. He currently offers personal training, physical therapy, and professional mentorship services. His website More Train, Less Pain Podcast – Tim's podcast that is specifically designed around engineering the adaptable athlete. Instagram: @Tim_Richardt_dpt Show notes Here are links to things mentioned in the interview: Elevate Sports Performance and Healthcare - Where ya boi works Francis Hoare - An excellent coach who works with me at Elevate. How to Fail at Almost Everything and Still Win Big by Scott Adams - One of my favorite books. This book taught me to emphasize systems over goals Millionaire Fastlane by Mj DeMarco - This book completely flipped all that I know about business upside down. Unscripted by MJ DeMarco - This book will keep you pushing forward in all things business Extreme Ownership by Jocko Willink - A book that helped me take ownership of all my own problems. The Obstacle is the Way by Ryan Holiday - If you are going through a tough time, this read is essential. The Ego is the Enemy by Ryan Holiday - This book will help squash any ego issues you may have The Subtle Art of Not Giving A Fuck - Basically modern Buddhism. A must-read Everything is Fucked: A Book About Hope - Why hope is BS and how to start a religion. It's an awesome book. Aline Thompson - One of the best PTs in the Denver area. Georgie Fear - My incredible nutrition coach. A master at behavior change Lorimer Moseley - One of the best pain researchers in existence. David Grey - An excellent physio Gary Ward - All things foot, he's the guy Seth Oberst - One of the best at all things trauma-related from a movement perspective. I reviewed his course here. Michelle Boland - Coach Bo. One of the best coaches in da game. I reviewed her course here. Boo Schexnayder: Rehab Insights from Track and Field - This podcast made me appreciate intensity and its importance How to Win Friends and Influence People by Dale Carnegie - The OG book on interacting with others. The Truth Detector by Jack Schafer - An awesome read on elicitation and interaction with others. Bill Hartman - Daddy-O Pops himself. My mentor. Modified Transcripts How I structure training Tim: So, my man, I thought we could start with your own training. And I'm wondering if you could describe the last workout that you personally did? Zac: Well, that would have been yesterday. I train mostly at night after work. Yesterday, it was chin-up day. I start with vision exercises because I did some vision therapy, so I'm just trying to maintain the visual skills that I currently struggle with, which is the ability to diverge. So, divergence is the eyes moving apart. You basically stretch them out, which is kind of like external rotation of the eyes, if you can think about that way, which is expansion. And guess who doesn't have that? Ya boy, same thing with everyone else. So, I do some moves to work on divergence, but then focusing within the divergence, which is accommodation. I spent a few minutes doing that. And then my warmup, I kind of do the same thing. I just roll around on the ground for a while, do just a few moves to - yes, I just literally - they were finishing class at Elevate and Francis is like, "Don't worry about the Ninja who works here in the background." Which was funny. So, just warm-up and then... Tim: Just some spinning flying kicks? Zac: Yes. Something like that. Tim: Yes. Like three sets of five...? Zac: Nunchucks. Tim: Sure. Zac: Yes. Tim: Yes, of course. I saw those in your office. Zac: Yes. Tim: I was going to ask about that. Zac: Once I do that, then I do my main move for the day, which yesterday involved post-activation potentiation combo. So, I'll do med ball throws up against the wall, rotational-style, and then chin-ups with some weight. I did these in the 3-6 rep range until I can't do that anymore. And then I ended up doing a trap bar squat and overhead press. https://youtu.be/CJgcqP_X8jM And then I usually do like a circuit of some - like something single leg. I did like a single-leg squat off a box. I do pushups. I do one-arm dumbbell row. And then, like the body saw. I did a circuit of that with just, you know, whatever reps I need. https://youtu.be/uBRYEyebmAY And then sometimes I'll follow with conditioning. But I did my favorite conditioning yesterday, which is kicking my man Francis ass and spike ball. Boom! You heard it internet. We usually play spike ball once a week and we have some good competition. We both have gotten pretty good. We did this thing where we were just playing Spikeball one on one for months because we both sucked. Tim: Sure? Zac: We didn't tell anyone. Tim: One on one spike ball? Zac: Yes. It's weird, but it's fun. And so, Francis was killing me and I can't have that happen because I hate losing in all things. So, I'm like consuming YouTube videos and figuring out how to serve. And so, now I can serve with both hands... Tim: Walking around with the spike balk all the time and go for it? Zac: Yes. And so, now we have some great games and we're just like hitting it way good. And we finally played two on two, not together, but it was way more competitive than we ever did. So, that was the skill that I learned. And that was my training session. Tim: How do you think kind of in the macro about structuring your own training? Like, do you have short, medium long-term training goals, and you kind of period eyes to accomplish those? Or are you more like a fly by the seat of your pants kind of guy? Zac: I have my main moves that I alternate between. So, what stays the same, and I got this, it's the mass effect program from Daddy-o Pops himself, Bill Hartman, just with some slight modifications. It looks like this: Lift one: 4-6 reps Lift 2: 6-8 reps Lift3: 10-12 You do each of these until you fatigue out of those rep ranges. And then I just do, you know, two to three rounds of whatever else I feel like I need, which can be like eight to 12 reps. And if there's a day I need to condition, I'll do that. If I want to do some extra arm farm, I do that. So, the three mains are there. I keep trying to get better at them. But the other stuff just varies depending on what I'm feeling. Because my main goal training-wise is just to look good naked. Tim: Okay. Zac: And maintain decent body comp. Tim: No, more fat Zac? Zac: Yes. Fat Zac is done. Tim: Fat Zac's not coming back? Zac: He's done. Tim: That guy was fun though. Zac: He was fun. Yes. He had the beard. He is like a young Santa. Tim: Couldn't touch his toes. Zac: Yes. Definitely couldn't squat. I still can't touch my toes, but I can squat now. So yes. And then like, you mentioned like periodization, I need to train enough that someone can take me seriously from a movement standpoint. It's kind of like looking the part when you're being a PT because I do think that that matters to some extent. https://youtu.be/UEZZEWyBN78 Tim: Yes. Zac: But right now, the highest priority is work, teaching, all that stuff, learning the craft. And so, that's always going to be the A1 for right now. Tim: The A1 of life. Yes. A2 is fitness. Time management vs energy management Tim: You gifted me a Scott Adams book about five or six months ago. In it, he talks a lot about this myth of time management and argues that time isn't necessarily the resource that we should be seeking to manage, but it's instead energy. And that in managing your own energy and taking on projects that seem to give you energy rather than drain them or tackling endeavors that seem to increase energy, you can get a lot more done versus just trying to very efficiently kind of micromanage your own time. So, you're one of the most kind of efficient, effective, prolific people that I personally know within our field. What do you think about this energy management concept? Is that something that kind of lets you do the amount of work that you do? Zac: It's very easy to waste time on frivolous things and I try to do my best to minimize that now. But I think because I have a little bit more freedom to do that now. I can, I think, for example, a couple of years ago I had the shackles of student loans, so it's like, I'll take on anything I can do to try to manage that. But I do think about that when I'm thinking about things that don't bring joy into my life, like social media, for example. Tim: Sure. Zac: I try to stay off that as much as humanly possible. Because it does take energy, even answering texts. Like I'm horrendous about getting back to people via text message or phone calls because I eliminated notifications on that. Because even that takes energy out. Tim: Yes. Zac: Even being around certain people who suck the life out of you... Tim: Exactly the black hole type of thing? Zac: Yes. But at the same time, I do think time management to some extent is important as well because, sometimes you might have to do things that are energy-draining, but they help move the needle forward. Does he talk about following your passion as well and how that's BS? Tim: Yes. Zac: Okay. Tim: And I've probably had that conversation with like 10 people over the past week that like passion is fleeting. It's, you know, rocket fuel, but it's not actually going to sustain you over the longer. It opposes a lot of advice that you conventionally hear. Zac: Yes. Well, what you have to do and there's another good guy you should read it. I might have an extra book. I'll give it to you. MJ DeMarco. He wrote "The Millionaire Fast Lane" and "Unscripted." He talks about that as well in the sense that you don't want to do things that you're passionate about. You want to do things that are going to have a positive impact on the world and change things forever. And then if you do that and you make enough money from that, you eventually will become passionate about it becauseyou're making an impact. Tim: Yes. Zac: I love video games, but I'm not going to be making money, playing video games unless I started... Tim: I was thinking about Twitch and Onlyfans. And I'm like, is there a way to combine those concepts and maybe have people pay you to watch you play video games in a reduced amount of clothing? Zac: Haha right? But even with that, sure, you can make money, but Twitch is not going to change the world. Tim: Sure. Zac: And I want to try to make the little world that I'm in, that we're in, a better place in that sense. And that's really the crux of what I do. That's why I try to take complex things and simplify them so most people can carry it out. I have a lot of good friends who are really smart, but they might not be able to devote the time and energy to diving deep into topics because maybe they got kids to worry about and all this stuff and well, they still patients to take care of. Tim: Yes. Zac: And so, if I can help that person get better a little bit faster, then I think we all win. Tim: I mean, and is doing that something that you find gives you more energy than it drains or drains kind of a minimal amount of energy? Zac: Yes, absolutely. I could teach, talk all the time. I love that. Even doing these podcasts. It's so much fun and then it's just time flies by. Because then it's also, you're just interacting with people and... Tim: Also real-life people. Zac: I know. Right? The failure that changed everything Tim: That's useful. I think along the same lines of that book, it's in the title that he's amassed a massive amount of failures and yet still is an extraordinary success. Thinking about kind of your own life professionally in the past five or 10 years, what are some of your favorite failures? Zac: Professional basketball. The thing that I had going into that was getting to pro basketball kind of a big deal. And I probably let that get to my head a little bit. I think I had a little bit of a Dunning-Kruger effect kicking in. Even though like I still would say back then, I was a pretty good practitioner. I'm much better now. But I think I let that get the best of me that I was in that setting. I can't say that that's why I was fired, but after that happened, it completely flipped everything. I did a lot of soulsearching during that time period. And there were four books that I read that just like changed everything. Tim: I bet I know one of them. Zac: Which one? Tim: "Extreme Ownership." Zac: That was definitely one of them. That was one, "The Obstacles is the Way," "Ego is the Enemy” both by Ryan Holiday and then "The Subtle Art of not Giving a Fuck." by Mark Manson. I read those four and that's when I realized my behaviors, my issues were the problem. And I was able to do things to flip that and just be more humble, reacquire the beginner's mindset, interact better with peers and people who I'm working with. And it really made a big difference. And I'm grateful for that. I'm grateful that I was out of that situation. It pushed me towards more of what I really like, which is this. And the fact that now I have a bit more freedom flexibility than I did in the league, was huge. That's probably the biggest failure that has flipped things for me. [caption id="attachment_13675" align="aligncenter" width="375"] the failure that led to this[/caption] Tim: Going back to something that we discussed, like removing things in your life that are not really serving you. The hard truth is those are people and probably people that you've known a really long time. And you know, If you can't kind of reflect back on your own life and make a decision about which people you're spending time with, you're liable to get trapped in a lot of, and trap is probably a strong word, but waste the resource of energy on relationships that aren't getting you to where you want to go. Zac: Is that something that you ever struggled with? When you knew you had to move on from a situation or a person? Tim: Yes. The job I took right out of school being a director of rehab in rural Colorado. That was so nice because it was lucrative. It was flexible. I think I could still do a lot of the things that I wanted to, because it was a three-day work week. In a lot of ways, it was the perfect situation, but it didn't have any upward trajectory to it. I started at the ceiling. I'm immensely grateful that I had that opportunity. And I think it changed me for the better, in many ways. But after my three years and change out there, I knew it was time to do something else. Something that had a little bit more of an avenue for growth. Zac: Yes. It's hard when you get comfortable like that because the chance of getting stagnant is significantly higher. And so, you always got to put yourself in slightly uncomfortable positions, I think, to really grow. Tim: Yes. It's a really interesting juxtaposition. I mean, that's something I think about all the time that type A people, kind of people like you and I, a lot of what drives us is we're not happy with the way things are. But if you let that mindset pervade everything, then you never really enjoy what you have. So, it's a really interesting tight rope to balance kind of, as physical therapists, as athletes, as human beings, how do we hold these two seemingly opposing ideas in our head simultaneously and not kind of fall apart? Zac: Yes. That's hard. Tim: Yes. Zac: I definitely let that bleed into areas that it shouldn't bleed into. Tim: Yes. Some things in life are just fine and they're okay the way they are. They don't need to be optimized. Zac: Yes. There are some things too that you got to just keep pushing. Tim: Absolutely. I mean, that's how people do great things. You're not going to just get this great opportunity kind of plopped in your lab. Zac: How do you find the balance? You probably are better than me. Tim: I don't know. I don't think I have a really good answer. I was talking to a mutual friend that we have, Aline Thompson. She was mentioning this friend that she has an incredibly high-powered tech broker of some type, makes boatloads of money. But he's a really, really good chef. And he says that the second he no longer has time to cook each day, that's the line in the sand that he draws between. That means he's striving too much. That means he's packing so much into his day that he can't just enjoy what he already has, which is quality time doing something good for himself, for his family, for his children. That really hit home. I love to cook as well. I also like to play Frisbee with my dog, Molly. If I can't take 10 or 15 minutes to do that like that's another - like I just want that to be built into my day-to-day. And then if I can maintain these things and then continue to strive and see certain life, key performance indicators trending in the right direction, I am doing an okay job. Zac: That's something I probably struggle with because I'm thinking about like, as you were saying that I'm like, "That's brilliant. Like everyone needs to find their cooking." And I don't know what mine is. Tim: I think for a lot of people it's working out. Zac: Yes. Tim: Probably not in our industry, because I think we are the people that will probably sacrifice in order to train and train at very inconvenient times. But I think for 99% of the American population, that's one of the early things to go. Zac: Yes. That's very reasonable. See, I can't fathom not having that. It's so automatic at this point that - there was one time where maybe I didn't work out and I'm like, I'll notice that one day, if I had a plan to workout, I can't do it. But I've never gotten to the point where I've worked so much that I've had to cut that out. Tim: And you do, and it's like a super power. But you go about the rest of your day supercharged, you know that you've done something that's probably more difficult than 90% of the people that you're going to interact with have completed that day. Especially for people like I'm a big morning trainer. Zac: Really? Tim: Yes. I'd love to train at like 6:00 AM or 7:00 AM. And that's recent. That's as I've gotten older, but in terms of the Scott Adams concept of adding energy to your life, it's like, that is something that so acutely drains you of energy and yet so quickly fills you right back up. Zac: Yes. It is interesting how that works. Isn't it? Can we get postural changes to stick? Tim: You and I, both physical therapists, we commonly see people that present with particular movement behaviors or positions. And I think one of the most pervasive ideas in our industry is that there's a bad posture or a bad position. Right? Like extension, anterior, pelvic tilt, rotation. What have you? Zac: Oh sure. Tim: There's this idea that there are these bad postures and people have bad postures and well just swap it out for a good posture and they're going to be good to go. Something you and I have talked about before is these postures positions, movement behaviors emerge in order to solve a particular problem? To manage gravity, to breathe, to better prepare you for a training stressor that you've experienced before. So, I guess how do you think about replacing a less than ideal movement behavior or pattern with a better one, because that's kind of what we do with these resets, with these drills to regain mobility? And how do you think about making that intervention like quote-unquote, "sticky" enough so that a person doesn't revert back as quickly as possible? Zac: I don't think it's replacing one for another. I think the key is giving more options. So, for example, if we go with like the forward head, I'm sitting at the chair for an extended period of time, you do that long enough, something might get cranky just because of tissue ischemia or whatever. At the same time, if you sit perched upright and have a good posture, and you hold that long enough, you could probably run into similar issues. [caption id="attachment_13676" align="aligncenter" width="376"] Cranky AF[/caption] But if you can get into each of those and a bazillion more, well, then you're never really overloading any specific areas. And I think it makes you more adept to surviving in several different environments. And I think really that's the key and that's like, what movement variability is all about is you need as many different ways to perform the task as possible even if you're getting the same consistent output. So, like if I did 10 squats and even though they looked exactly the same to the naked eye, if I have to remove that variability, there should be subtle differences with each one of those squats, but it's when I don't have those options available that problem ensue Tim: In both coordinative and endpoint variability. Zac: Exactly. I think that's really where the money is. Now, how do we get that to stick? It's basically, getting people into positions that they can't normally get into or struggle maintaining into and then being able to demonstrate that at progressive intensities and complexities. So, for example, you know, if we look at you and you know because we worked together for a minute. In the beginning, we started with some simple drills, some single leg positions, more supportive, really emphasized breathing. And look at where you're ay when we worked together the other day. Now we're giving you loaded-based strategies... Tim: Kicking ass, taking in? Zac: Yes, yes. Getting you a ridiculous pump. But the thought process is still there because you have the same needs, but can you maintain the positions that we had you get into that we'll get you those needs under higher intensities? Yesterday he did. Tim: And I like that. It's just it's incredibly intriguing to me, this notion that human beings lose movement options, either via physical structure or secondary training adaptations, lifestyle factors. And then it kind of, and I say this as a physical therapist who makes these changes on a daily basis, it shocks me that anything that we do has the power to override whatever stimulus came before to lead to that decrease in variability. Zac: Yes. Tim: You know what I mean? Zac: Yes. Because you're looking at reps time, all that stuff. Tim: Right. I mean, it's almost to think anything in the gym could actually have that prolonged, have an effect. I mean, it also brings up the issue of in a perfect world. Nobody would need activities to regain movement options. That would be the goal, right? You just walk into the gym and you train and your body adapts to the training with no deleterious secondary consequences. That's obviously not the world that we live in, but it does seem like some people need a far lesser volume of these reset low-level types of activities. And they can kind of progress away from that over time. Whereas some people, for whatever reason, you know, need that consistent manual therapy, stimulus or consistent low-level stimulus in order to make these changes stick. Zac: Yes. Well, I think the key is the body has to deem it meaningful and novel and salient. And I'll give you an example. If let's say, you witnessed something terrible happened, anything. Something of 9/11 proportions and it happened right before your eyes. You would remember that for the rest of your life. And it might be just one moment, one instance. And that could shape and shift everything that you thought before that. And I remember when I listened to Lorimer Moseley, he was talking about - I think my buddy Eric was talking about how taking NSAIDs could impair learning. And Lorimer gave the analogy if someone shot a gun right by you, you would remember that that happened, even if you were dosed up on NSAIDS. Tim: Sure. Zac: Of it's meaningful and novel enough, I think it could still lead to long-lasting changes. Tim: Right. Zac: Right? Now, does that mean the equivalent of you doing quadraped breathing is something like witnessing a horrific event? No. But your body might deem it novel and meaningful enough that it does remember that. And it does stick for some people. Tim: Yes. Zac: So, my point by bringing that up is we just don't know what's going to cause things to stick. Whereas some people might need continual reinforcement over and over and over again to get meaningful change. Tim: Something that, like David Gray and Gary Ward talk about all the time is, essentially that same thing, putting people in positions. But then if the nervous system likes that position, it'll remember that position and there's no need to revisit it as long as that's what it reaches for the next time it tries to solve a particular environmental or movement task. And that kind of makes some sense to me because if we think again about the Genesis of these like maladaptive, postures and positions, they are trying to solve a problem, get air in, maintain your ability to view your monitor while you're sitting in a chair, they don't emerge for no reason. This is a Seth Oberst quote, but everybody's body is doing exactly what it needs to do. The dark side of sensorimotor cueing Tim: What you and I do with people involves a high degree of sensorimotor cueuing, right? Having people maintain particular positions. Do you think that there's a potential dark side to sensorimotor cueuing and that it might put people sort of two in their own bodies if kind of left unchecked? If most of their program is find your heels, tuck your hips, breathe this particular way, shift left. Do you find yourself needing to pull that out at certain times for certain people when you design programs? Zac: Yes. I definitely think there's definitely a certain portion of people who can fall victim to that. Tim: Yes. What are those people typically like? I think I know what you're going to say, but I'm interested. Zac: Yes. They're almost hyper-aware of everything in a negative sense. And then that becomes their identity essentially. I feel twisted. I feel twerked. It's the person who gives me the laundry list of anatomical terminology that they shouldn't know, but they know. That can definitely be a problem because it's almost like when they get so intune to their bodies, but focusing only on the negatives. So, with those people, yes, a lot of it is education "It's no, you do not have to tuck your hips with every step you take every move you make." Tim: Because Zac's going to be watching you. Zac: Yes. In the creepiest way possible. Tim: From a deep squat with a really long beard. [caption id="attachment_13677" align="aligncenter" width="500"] Like a boss![/caption] Zac: Yes. And then just like, no, you don't have to feel your heels all the time when you walk and stuff like that. And it's educating them that, "Look, we're just using this as a strategy to increase your movement repertoire." And yes, I think if you can do that and frame the right mindset that can potentially mitigate some of that. Or I think that could also be where, especially when you get to loaded activities, a focus more towards external queuing might be useful. You know? Tim: I like that. I think something that Michelle Boland, Coach Bo, and I talk about frequently. Shout out to coach Bo. Is the need to have things in a programmer or in your life that just make you feel like you're a strong, capable human that doesn't need to think him or herself into positions to be able to execute a task. All of my practices have always been in CrossFit gyms. And I think that this is something that CrossFit gyms do incredibly well. And no CrossFit gym is perfect. And I have my issues with the moves that are commonly prescribed the over-reliance on barbells, but they do a really good job of getting people that haven't been doing anything intense and getting them to not fear doing a hang snatch, doing a deadlift from the ground. And I think that's really impactful in a completely different way. Because I think people like you and I take into one extreme sort of becoming those clinicians, those practitioners that are really potentially propagating a lot of this like fear of movement. Zac: It's something I definitely think about as well. Because I do get people who come to me and it's like, they've learned similar things to me, but they think about it in such a negative way. Like "I have to fix this anterior tilt." Well, if you're standing against gravity, you're always going to have that because that's the norm. There's a good podcast that Doug Kechijian did with Boo Schexnayder. He mentions that you should always be exposing them to intensity. And in order to produce intensity or move fast, you can't think, and relaxation is paramount. And I think if there's one thing it's probably shifted this year, is really appreciating that. But and here's where I still think respecting biomechanics comes in. You have to make sure that you choose activities that are appropriate for that individual, that they can execute without having the risk for potentially performing it in a negative manner. So, that could be doing a seated box jump, which it's almost like the constraints of the activity, get them into positions that they need to. Or, I've been using a lot of fake throws lately. https://youtu.be/riB-dGofs98 Tim: To load a cut? Zac: To load a cut or just to get them rotating pain-free or anything like that. Because you have to relax enough and move fast, but then you also have to stop fast. So, it kind of hits everything or just med ball throws. Like even though I talk a lot about biomechanics and stuff like that, if you look at how I actually program for someone, it has all of those other elements. And I keep the concepts the same and the progressions appropriate with within movement options that they have available. But they're not always having to think. They might think about the setup, but then when they're executing the movement, I don't have to think about anything. Because when you are thinking you can't move fast, that's when you get beat. Tim: Yes. That's what I like. I mean, one of my favorite lifts of all time is a single-arm dumbbell floor press, for that reason. Because like there's still enough range of motion to load and you can let 98% of people that would ever walk into your training facility can do that drill. https://youtu.be/oGKufR-a4Mg And the single-arm just forces some innate sense of not having the weight, rotate you off your back. T he goblet squats is another one. It's like, it's these things that people in our industry have been doing for a really long time, because they're just so simple and people can try hard, like you said, relax not think. Zac: Yes. Or like sleds, med ball throws, and carries. Those are all - if you have someone who is not exposed to much loading, that's a great way to produce intensity and not have to think "Oh, you know, man, I love machines." Love them. Tim: I know. We know you do. Zac: love them. In fact, one of my training is I'll load up the BFR cuffs and I'll go into my complex and just go ham on a leg press and all that. That's great. I look good for one day of the week. And that's my day for about 20 minutes. Tim: Got a sick leg pump. Zac: Yes. Just the veins out... Tim: Bursting out of your khakis? Zac: Exactly. How to maximize patient communication Tim: Speak to your journey in regards to your communication. How have you arrived at your current strategy for how to best communicate with probably both your clients and colleagues? How has that changed over the past five years? Zac: A lot. I was for a while, obsessed with learning about how to best interact with people. I think I was a pretty shy kid growing up. Quiet, uncertain of myself. But I found that whenever you got someone else talking, people would end up really liking you. Tim: Dale Carnegie. Zac: Honestly. Exactly. Yes. I forget the phrases that he says in his book? There's another one... Tim: Is it be interested, not interesting? Zac: Yes. Another quote I heard somewhere or this woman had met like these two higher-ups in English government and she talked to them about the first one. And she was like, "When I talked with this person, I thought he was the most interesting person in all of the UK." And then she said, "But when I talked to the other person, I thought I was the most interesting person in all of the UK." And that really hit home for me. And I try to, when I'm interacting with people, get that vibe. But at the same time too, the issue that I've run with when I've spent all of this time, learning with my interactions is in the beginning, I was just asking a lot of questions, almost interviewing people. And sometimes that can be off-putting if done in that way. So, to mitigate that, instead of asking a bunch of questions, there's a technique called elicitation that I've been experimenting with. And how people are going to be like," How is he eliciting me?" But basically, it's like getting information out of someone without coming off as a threatening thing. So, like if I come to Tim and I say, "Did you do this?" And say you did something wrong, whatever. Your inclination might be to go on the defense. And so, you might lie or you might say, "Well, yes I did. But it was because of this, this, this, this, and this." And that's not good. But if I wanted you to admit to that, I might say something or like a presumptive statement. It's like, "So what was it like when you did that?" Or "So you did X." And almost making assumptions to try to understand the other person or inferences based on what they said. I think helps build a greater connection because it shows that you not only are listening to them, but you're also understanding where they're coming from. And I think that's really important when it comes to human interaction and what I really focus on. And here's the cool thing about it. And there's actually a really good book by this FBI agent that goes into this, "If you're wrong about the assumption that I make..." Tim: The inference. Zac: The inference, that's still, doesn't lead to a negative interaction because people are so willing to correct any mistake that you make, but you'll still get the interaction. Like in the book, he talks about, if you're talking politics with someone, you might actually say someone has, I don't know, they say something and they're a Republican and you make the inference like, "Oh, well it sounds like something you might've gotten from FDR." And they might get so adamantly taking it back to like, "Like no, that's because Ronald Reagan did this, this and this." And so, then now you actually know their political bias and you didn't even have to ask... Tim: That direct question. Zac: Yes. And so, I think not having direct questioning can provide a lot more useful information because when you question can come off as interrogation. That's like some of the logistical things. But I think even more important than that is having good body language with someone. We were talking about Bill Clinton. One of my clients knows Bill pretty well; has met him multiple times. Everything you read about Bill in a positive light, obviously he's done some questionable things. But from an interaction standpoint, is a hundred percent true. And he has five different things that he thinks about when he's interacting with someone to build a rapport: Eye contact Close proximity The person's name Direction facing Tocuh Tim: Okay. Zac: So, like now if you do all of that at once, that can be a bit much. But if you're alternating among all of those variables, you can build an intimate connection with someone and have good rapport. And so, when I'm interacting with someone, I do think about those things. Not so overtly that it's like, "Okay, let's hit point number five." But those are things I think about incorporating whenever I'm interacting with someone, you know? And there's a reason why I try to sit on people's left most of the time, aside from it makes my neck more comfortable. And that's because the right hemisphere of your brain is where your emotional centers are. So, in theory, if I'm sending more information to that side, I could potentially build a greater emotional bond with you. Tim: Yes. Zac: You might be hearing this and it's like, "Oh gosh, this just sounds like every interaction is Zac making is this calculated thing." But it's not that. It's not if it's genuine. I think the reason why I dove into that so much is that I just wanted to connect with people, you know? Tim: Yes. Zac: I think back in my younger days, I was not in the best place mentally. I'm shy. And I didn't want that because human connection is something that we crave. So, if you can do anything that maximizes that, so it's beneficial for both parties or all parties involved. I don't think there's anything malicious about that. And that's something we should practice as a skill just like anything else. Tim: And it's intentional until it becomes automatic. Zac: Yes. Tim: And then it becomes automatic because frankly, a lot of those things are probably some of the best ways to connect with people. And I'm right there with you. Like you know, I think 90% of the reason why I do what we do is the ability to connect with people. I used to think it was the biomechanics and it's not, that evolves, that changes, but that connection... Zac: Absolutely. Tim: You know, we're in kind of rarefied air in terms of healthcare practitioners. Zac: Yes. And that's why I always wax and wane with manual therapy, but I always come back to it to some extent. Because touch is a form of connection. Tim: Yes. And its proximity without threat. Right. It's not this interview type of vibe. Zac: Yes, absolutely. Tim: Although we have a good 90-degree angle situation going on right now, [caption id="attachment_13679" align="alignnone" width="810"] Bruh on the left has it figured out (Image by uh_yeah_20101995 from Pixabay) [/caption] Zac: And there's a reason for that. So, and especially too, this is an interesting, a little difference between the sexes. If women, when they're interacting with each other, they generally face each other. And that's probably because they're generally more social creatures than us. They have more agreeableness and things of that nature. So, if you think back to like Hunter-gatherer times, that would be a useful thing. And so, that helps build more intimacy, but men who are close generally do not face each other. And the reason why is because when you're facing a man directly, it almost comes off as aggressive. Like you're going to challenge someone. So, that's why like, you know, bros, when they're hanging out, they're always like sitting. Right. And I think that there's a reason for that. And so, you can also based on whether it's someone's male or female, that can also influence the interaction depending on what direction you're trying to go. So, it's important. It's an important thing to recognize if you're working with people. Sum up Choose activities and people in your life that bring more energy, whioch will allow you to be a more productive member of society. Failure allows you to learn from your mistakes and create the life you want to live. You must push to great, but reconcile that some things are good as is. Movement beheavior change requires novelty, which is different for everyone. Sensorimotor cueing can have negative impacts on certain people; mitigate this through education and appropriate exercise selection. Pleasant interactions are acheived by being interested, elicitative language, and effective nonverbal communication.
03:31 - Uncovering Patterns * Making the Covert Overt * Reasons for Covertness 13:22 - Taking Care of People as Whole People * People Are Dynamic – Not Stagnant * Roles Are Constantly Changing * Iterating on Practices * William A. Kahn: Psychological Conditions of Personal Engagement and Disengagement at Work (https://journals.aom.org/doi/10.5465/256287) * Financial Compensation * Metrics and Observability 28:43 - The Tech Industry: Now vs Then (aka we still have A LOT of work to do) * Gatekeeping * Accountability * Inclusivity * New Zealand Maori leader ejected from parliament for refusing to wear 'colonial noose' (https://www.reuters.com/article/us-newzealand-politics-necktie/new-zealand-maori-leader-ejected-from-parliament-for-refusing-to-wear-colonial-noose-idUSKBN2A9329) * Whitewashing 45:59 - The Messaging Around Diversity and Inclusion * Doing the Right Thing 51:26 - Changing Mindsets * Using Privilege to Speak to Power Reflections: Rein: Capitalism and White Supremacy are the same thing. The Invention of the White Race (https://www.google.com/books/edition/The_Invention_of_the_White_Race_Racial_o/G4elgqb-MjwC?hl=en&gbpv=0). We have an obligation to not just make it possible for people to exist in the industry, but to also make it healthy. John: It’s always great to have these conversations as reminders. Tim: Figure out why something makes you uncomfortable. Look and uncover the pattern underneath that in yourself. Be comfortable with being uncomfortable. If you run away, you’re never going to grow and things are never going to get better. This episode was brought to you by @therubyrep (https://twitter.com/therubyrep) of DevReps, LLC (http://www.devreps.com/). To pledge your support and to join our awesome Slack community, visit patreon.com/greaterthancode (https://www.patreon.com/greaterthancode) To make a one-time donation so that we can continue to bring you more content and transcripts like this, please do so at paypal.me/devreps (https://www.paypal.me/devreps). You will also get an invitation to our Slack community this way as well. Transcript: PRE-ROLL: Whether you're working on a personal project or managing enterprise infrastructure, you deserve simple, affordable, and accessible cloud computing solutions that allow you to take your project to the next level. Simplify your cloud infrastructure with Linode's Linux virtual machines and develop, deploy, and scale your modern applications faster and easier. Get started on Linode today with $100 in free credit for listeners of Greater Than Code. You can find all the details at linode.com/greaterthancode. Linode has 11 global data centers and provides 24/7/365 human support with no tiers or hand-offs regardless of your plan size. In addition to shared and dedicated compute instances, you can use your $100 in credit on S3-compatible object storage, Managed Kubernetes, and more. Visit linode.com/greaterthancode and click on the "Create Free Account" button to get started. JOHN: Hello, everybody. This is Greater Than Code, Episode 225. I’m John Sawers and I’m here with Rein Henrichs. REIN: And I’m here with our guest, my friend, and Dungeons & Dragons party member, Tim Banks. Tim Banks has a career spanning over 20 years through various sectors. Tim’s initial journey into tech started as a US Marine in avionics. Upon leaving the Marine Corps, he went on to work as a government contractor. He then went into the private sector, working both in large corporate environments and in small startups. While working in the private sector, he honed his skills in systems administration and operations for large Unix-based datastores. Today, Tim leverages his years in operations, DevOps, and Site Reliability Engineering to advise and consult with engineering groups in his current role as a Principal Solutions Architect at Equinix Metal. Tim is also a competitive Brazilian Jiu-Jitsu practitioner, having won American National and Pan American Brazilian Jiu-Jitsu championships in his division. Hi, Tim! TIM: Hi! Good to see everybody in here. REIN: Yeah, I did that on the first take and I'm very proud of myself. TIM: I am so, so proud of you. That was amazing. REIN: Tim, it's time for the question. TIM: Right. REIN: What is your superpower and how did you acquire it? TIM: So my superpower is using empathy to uncover patterns that people haven't seen in the past and I think that's a superpower because a lot of people can look at something, there's a lot of folks out there that can see a pattern just on the surface like this does that, this does that, this does that. But when you really talk to groups and you talk to people, you can see some common things that aren't necessarily things that are going to have an output or a metric, but you can see how people feel about a thing. And then when you get enough people who feel a certain way about a thing, that's not going to be a coincidence, it's going to be a pattern. So finding those patterns is my superpower. As far as how I acquired it, it's hard for me to say. The easy way to say is over time, but over time and myself being a person who necessarily wasn't listened to, or seen, or heard trying to explain how things are, why things are the way they are without having metrics. So having been on one side of that equation, I've been able to see people on the other side of it. REIN: So Tim, you said “to uncover patterns.” Can you say a bit more about the word uncover? Because I feel like that might've been a specific choice that you made to use. TIM: Yeah. There are typically, as we see with anything else, especially being tech or people that like to take things apart, I'm sure as we all did as kids, there are things that you see on the surface. There are things that you see, this pattern or this thing happening here, but you take the face plate off of something, or you delve down below the API, or you delve down below the operating system and there are so many other things that are happening beneath that. If you kick over amount of dirt and you see an ant hill, the ants have their own system, how they do things down there that you don't necessarily create, but you're just going to see it and you have to uncover a few things. You have to move things around. You have to look below the surface to see some of these patterns that happen just below the surface that bring the things at the surface to fruition. REIN: This reminds me a lot of I guess, it's a mantra that I learned from Virginia Satir, which drink if you're playing that game, make hidden things visible, make the covert overt and make the general specific and related to you, me, here, now, and the current situation. TIM: Yeah. I think that's actually a good – I had not heard of that one before, but I do like that a lot. REIN: So when you say uncover, that makes me think, make the covert over. TIM: Yeah, I think so. I like that. It's interesting because people sometimes think that things are covered up to make them hidden and it's not necessarily, they're hidden like someone has hidden them so you can't find them. A lot of times they're hidden in plain view. You don't find them because you're not looking for them and when you actually start to look for some of these things, some of the underlying causes, you'll be surprised what you find. It's like a lot of us here have done RCAs on things and oftentimes, if you do a good RCA, you're going to go through a few levels and different layers to find what the actual root cause. Like, most of the times the root of something is not at the surface, it's way down. So you actually have to go down and dig to uncover these things, to really find out what's at the base of something. REIN: So since this is the show where we talk about the social side of things, I want to ask you about these things that are covered that are maybe covered for a reason and maybe that the reason that they're covert is that people are trying to protect themselves and they don't feel safe to make them overt. So do you think about these situations and how do you go about making that safe to talk about? TIM: So I do think about these situations and there's a couple of reasons why. First, obviously, is in the professional world you can't always call people out immediately for things. Even if you know that there's something that's a lie or something that's not right, there are the political reasons why you have to be tactful or you have to be very deliberate and cautious about how you uncover these things because even if people aren't necessarily intentionally hiding things, or it is their mind that I must hide this as he'll feel safe, people's egos are the number one obstacle, I think to innovation. Someone has staked out a claim. Someone has a territory. Someone has some domain that they have, that they are a gatekeeper thereof and it is their ego that makes sure that you have to pay homage to them or to that ego in order to get anything done. So figuring out what they're protecting, whether they're protecting their job, whether they're protecting their ego, whether they're protecting levels of influence so that they can rise in their career. You have to figure out what that is, that what that thing is that is important to them so that way you can make sure that it's either protected, or you can make sure that there are more than one person that have access to that thing so you can make your way. At personal levels, there are things that people cover up because they don't feel safe and doing the work of trying to make them feel safe so you can talk about these things, I think that's the hardest thing that we do in the industry. Solving technical problems is easy compared to solving people problems, or cultural problems, or societal problems because those are the problems that we've had for millennia that we, collection of people in a common industry, are trying to figure out. Saying to somebody, “Hey, I see these patterns here of work, or absenteeism, or productivity, or whatever it is and I need to know what it is that's going on so that we can fix that,” and make them understand that you are there to help them and there to fix that problem, whatever it may be, that takes some work on the part of the person who's trying to uncover that pattern. It takes vulnerability and it takes confidentiality. It takes empathy. Especially if it's something that you've never dealt with before. Someone's going to tell you, “Hey, I have this problem,” and you're going to say, “All right, well, I know leadership or I know management or unknown this senior technical professional here, but I don't know the answer to this problem, but I can say that I will help you find it and then we can work together on it.” And a lot of people don't like to say, “I don't know the answer.” We see a lot of people that are very technically savvy and because they're very technically savvy, they are now considered to be experts in all kinds of domains. Nobody in particular—Elon Musk—but there are people that are looked to be some kind of great genius just because they happen to know how to code something, or architect something. I think when you display the vulnerability of saying, “I don't know.” Or you are upfront about your problems or upfront about your struggles, it makes people feel safer about being upfront about theirs and then you can go through the work of trying to solve those problems. Well, first of all, identifying if it's a pattern, and then solving the problem that's causing those patterns. JOHN: I like that you use the metaphor of anthill earlier on in this, because rather than when you describe something as pattern, it's very abstract and feels like an object. But when you talk about an anthill, it's individual entities working together in a system. It's something that exists on its own, made up of other individuals. It's not just some object that we can examine and I think that brings it into thinking about it in a different way and much like the way you've been describing how you talk about these things and how you work with people. Very humanizing and I like that. TIM: Yeah. I do think there's a lot of us when we're looking at an organization, whether we're looking at a society, or government, or whatever it is, a neighborhood even all of us have the role that we play whether we're aware of it or not. It's a role not necessarily either we're assigned, that we signed up for, or that we just have by nature of and by coincidence of our birth. But we all do something that contributes in some way to the organizations that we're in. When we look at that as that – okay, that role covers a lot of things. No one is just one thing; no one is just a software developer, or no one is just a cashier at a grocery store, or no one is just an artist. No person is monolithic. No one is defined by their job save except maybe the police and that's not a slam—they're always at work apparently. But there are all these things that we have that yes, as you look at an ant farm, this one ant does all these various things, but they have this contribution to the colony as a whole. And I do think that when we look at it as a pattern, if we look at one individual person and all the things that they do, it is important to see that they are more than just a worker. We are not ants. We're not that specialized. We have all kinds of things that we contribute to. So like the colony metaphor breaks down there just to understand that all of us have different things that we do outside of just what our role is to make money or to contribute. We all have dreams. We all have hopes. A lot of times, the fact that these dreams or hopes have been unrealized or worse yet, they have been forcefully deferred by the society as a whole affects that role that we have. It affects how we view ourselves. It affects how others view us. That's what we bring when we sit down at our desk every morning, that collection of all those things rides along with whatever your skills are, that is it's not compartmentalized. As much as people may want to say they can't compartmentalize these things, you can't. You can’t contain it forever. So when these things start to manifest themselves in different ways, we as people—whether we are neighbors, whether we are leaders in government, whether we are coworkers, whether we're management—need to do whatever we can to make sure that these people can become a whole and they can thrive. When people thrive on a personal level, they thrive on a professional level. Maybe not at the job that they're in, maybe not at the company that they're in, but wherever they end up, when they thrive as people, they are going to thrive as professionals. REIN: I also want to throw in another element of the ant colony metaphor, which is that ant colonies are dynamic. They're constantly changing. Tunnels are caving in, new ones are being constructed; the colony itself changes over time. You were talking about the complexity of a person in a given moment, but their roles within the company are also constantly shifting based on how they interact with other people. TIM: That's true; how they interact with other people and how the companies need change. I mean, no company is typically monolithic in and of themselves. They always have to be growing, they have to be thriving, and they have to be moving into different segments and as that happens, your roles change within that company. What's been being kicked around Twitter these past few weeks is people talking about like, “I don't understand why people leave jobs,” and I was like, “Well, yeah, they leave jobs because they want to go do other stuff.” People don't like to stagnate, typically and people who do like to stagnate, most companies don't want to keep them around. So stagnation is not really in human nature. As resistant as we are to change, we are all extremely adaptable. It's built into our damn DNA so we tend to do that well. I do like the fact that people are dynamic, or if you look at what maybe people had expectations of what 2021 was going to be in 2019, it's clear that a lot of things have changed due to the various circumstances around the world—pandemic, social uprising, Nazis, whatever it is. We've all had to make some big changes and even though it sucked and it has sucked, we're still here. We are in the new normal because we are adaptable and so are the dynamics of our existence lend ourselves to the fact that our roles are constantly changing. What does it look like when you were a working parent 2 years ago versus what does it look like you're a working parent now? What does it look like if you were a single person with a job 2 years ago versus if you're seeing a person with a job now? So many things have changed and it speaks to the fact that we are adaptable. That all said, if you're looking at how we can improve and make better for people, we can't look at the ideal state or the state we were in 2019 or whatever it was. We have to look at how things are now and then we had to look at what we have learned in the past year, year and a half will prepare us for what's yet to come because we know that shit is always going to roll downhill. So we have to figure out what have we learned here and what can we do next? I think a lot of the things that we still need to embrace is how to take care of our people as a whole people, and not just employees and not just take care of how they can contribute to us. How many commits can they do? How many tests can they write? Or anything like that. We need to take care of their needs as people and when we take care of their needs as people, they are more likely to be able to take care of us, our needs from them as companies and orgs. REIN: What Russell Ackoff always says when people talk to him about total quality management and all of these things about how to improve the quality of your business, what he always says is, “The quality that matters is quality of work life.” The quality of the lives of the people who are doing the work. TIM: That is absolutely true. It's absolutely true. Some of the worst cases of burnout that people ever have, some of the worst working environments, it's because they do not treat their people like people. They treat them like any other resource, like print, toner, cartridge, and the people personally as people cannot thrive and people burn out that way. People have a hard time setting and maintaining boundaries around their work life. Yay, capitalism. That's one of the things that we start from. It's like, if you want to get ahead, you’ve got to work real, real, real, real hard. Well, yes, to some extent, but the higher up you go, let's be honest that “hard work” looks way different. You're working hard on a yacht apparently, or you're working hard on a vacation to Paris apparently, but the people that are actually doing the labor to enrich the people higher up the chain, those basic human needs for rest, relaxation, recovery, they're oftentimes not being met and I think that's a fucking shame. REIN: Yeah, and if something is particularly incumbent upon leadership to show that by example and to encourage that behavior because I think lower down in the ranks, if they've probably been punished for any sort of thing like that, or they've seen people punished for that kind of thing, they're going to be highly resistant to doing that unless you can prove that it's safe for them to do so. TIM: Oh, absolutely. I think it's interesting when you talk about what it is for a person lower down in the rung and the common gatekeeping tactic you see is “Well, they've got to pay their dues.” They've got to suffer through this role so that way, they can make it for other people or they can be a better employee going forward. That is so horribly bassackwards. I mean, you really want to nurture junior folks. You want to nurture people coming into the industry. You want to nurture people who are just starting. You want to mentor them. You want to give them knowledge and guidance. You don't want to push their nose into the grindstone. I don't know what you're trying to accomplish there. That's fine if you're in the Marine Corps. That's fine if you're going into the military service. That's obviously, a consequence of the choice you made to join. But if you're not doing that, you don't need to punish people at the bottom ranks, really You should be, as a leader, like you said, modeling those behaviors, but you should also be making sure that they can thrive, whatever that looks like. Thriving for a junior person doesn't look like giving them a half hour lunch break and watching them clock in and clock out. It doesn't look like monitoring their bathroom breaks, or some of the stuff that I've seen the junior folks have to do. These people are whole people, they are not servers. They're not computers. They're not billed by the hour like that to perform X number of tasks. They really have to be nurtured and they have to be guided and mentored. The other thing we have to take into the fact is that not everybody learns the same. People are neurodivergent. So what productivity looks like for some persons, it’s going to look completely different for another person. For me, the worst thing I had as a senior person was to be expected to sit down and work 4 hours, take a half hour break, and then work another 4 hours straight. I have ADHD and anxiety and that is torturous for me. Now I did it and some people will turn around and say, “Well, I did it. So you can do it. too” like the motherfuckers that talk about student loans. But I would say, “I had to do it and it sucks. So I don't want anyone else to have to go through that.” That's what we should be doing. We should be iterating on our practices as an org, iterating our practices as a society to say that, “Oh, well, just because I had to suffer, that doesn't mean that you should have to as well. We should actually fix that so that you don't have to go through that.” Typically, in capitalism, that's how they say you're supposed to do. A 2021 Ferrari has more features than the Model T because you add features, and you add features, and you add features. So I don't see why we can't do that for the people that actually build these vehicles, or build anything else for that matter. REIN: There's a study that whenever this topic comes up, that I refer people to, because I think it's really, really good. It is from Kahn in 1990 and this is interesting because this is the study of the “Engagement of the Human Spirit at Work.” So even the idea that in a capitalist country, you could get a grant to study the engagement of the human spirit at work is amazing to me. But the idea is that there are three psychological conditions that relate to this. What I wanted to do was list them and then get your thoughts. TIM: Sure. REIN: Add them, change them, do they resonate with you? The conditions are meaningfulness. Do I find meaning in the work and my job title, my tasks, and so on? The second is psychological safety. And the third is the availability of emotional and psychological resources and this includes things like, am I emotionally drained at the end of the day? Do I wake up looking forward to going to work? Am I being supported by my manager or my supervisor? TIM: I like all of those. I think those are all really good, but I do think it overlooks the financial aspect and the reason why I say it overlooks the financial aspect is because those things are important for how you feel about your work. But if you are struggling financially, your ability to deal with the normal rigors of work are significantly decreased when you have to then go home and figure out how you're going to make the ends meet. Are you living paycheck to paycheck? Are you going to pay off debt? You're trying to figure out how to take care of your children. You're going to have to figure out how to do all these other things. Your overall capacity is reduced because you have these other concerns as well. So I think it cannot be overstated, the impact of making sure that people's needs outside of work are met to make sure they can also, you can also take care of the needs inside of work. But going back, I do think those are very, very important aspects of people feeling spiritual engagement at work. I think the meaningfulness and the psychological safety to me are the two most important. You can do meaningful work, but if you're getting harassed all the fucking time, it's not a great place. Or you can have a great loving and nurturing environment, but you're just toiling away in dumb anguish and it's like, “Oh, well, I don't know why I'm doing this job. Everyone's super happy and I'll stay here for a while because I really like everybody, but I don't really get any meaning out of what I do.” So I think I like that list. I would just add a fourth one talking about making sure people are financially compensated to make sure their needs are met plus, plus. REIN: And actually, the study doesn't consider that and I think you're right that that's a huge oversight. There's a second study that attempts to quantify these relationships to say how much each of these influence engagement and the result is that meaningfulness was the highest correlation, but the way they did this is interesting. They did a quantitative survey and the survey would include different sections with questions on for example, rewarding coworker relations with questions like, “I feel worthwhile when I am around my coworkers.” I think we should be asking questions like that more often. I think that the engagement surveys you get in the modern world are superficial. TIM: Oh, they absolutely are. They absolutely are. Well, I mean, it goes back to a lot of topics we have in observability. What are your metrics if whatever you measure is what you're going to do? I learned this lesson working in tech support call centers right out of the Marine Corps where if they're going to reward you for the number of calls or they're going to – the primary metric is the number of calls you took in a day. So people were going to do whatever they can do to take the most number of calls, then to like, “Oh, then we're going to do NPS scores after that.” But they set the NPS score pretty low and saying, “Well, we just need you to answer the calls. They don't have to be that good.” That's what you're going to get. If you were measuring things like, “Oh, did your manager make you feel good this month?” If you ask that and they answer honestly, maybe they made you feel good once a month or something like that since the last one, but primarily, they made you feel like crap. That's kind of what you need to ask. I do think the interpersonal relationship aspects, they're hard to quantify because it looks different for everybody and even the nature of the questions are different for everybody. What that question looks like to a cis, white, straight male is going to look way different to say, a queer Black woman. REIN: What if the question is: “I feel a real kinship with my coworkers and I'm like a little, eh about that one?” TIM: Yeah, that goes back to that we're a family thing and I don't necessarily like that at all because we aren't a family. You can't fire your family or lay your family off. REIN: But then there were questions like: “I believe that my coworkers appreciate who I am,” and I like that one a lot. TIM: That's a good one. The appreciates who I am, that speaks to being a whole person and the more that we can be whole people at our jobs, the better off we are going to be. If you have to bite your tongue, if you have to cover your tattoos, if you have to make sure your hair is undyed, or you have to wear clothes that you don't necessarily like because they’re considered “professional” whatever that means. That the more that a person has to distance themselves from who they are as a whole person, probably the less happy they're going to be in that environment. Less safe they're going to feel in that environment. JOHN: Yeah, I find that there is a gap between the rhetoric about bringing your whole self to work and the practice of building a space where it's safe to do that. Like I myself know some things that can lead us in that direction, but I don't feel like there's a great playbook on building that all out. TIM: There really isn't and part of the reason is that the tech industry started out, by and large, as an artifact of the US government, US military, which is never not really known for being very welcoming and safe for people outside of a certain demographic. You talk about what the industry looked like when I got in back in the late 90s, IBM had just stopped requiring people to wear suits to work and they were allowed to wear polo shirts and khakis. That look was what you had. It was the “business casual.” Couldn't have long hair, couldn't have accessed piercings, no visible tattoos; not unlike dress codes or appearance regs that you would see in the military. So you make everybody look like the stereotypical white guy, essentially, because this is what you have to wear because some old white guy said, “This is what people should look like.” Those things are hard to break because who still has power in those things and it's a self-perpetuating society. People that do not fit that mold do not last in that industry, or the people that do last in industry had to divorce themselves of who they are so much that it becomes hard to break that mold once you get into places of power, because you can very quickly be run out for rocking the boat too much and it was very, very self-standing. This is the one thing that I think came out of the .com bubble burst after Y2K and the early aughts was that it broke up a lot of these big companies, big old legacy companies and you saw a lot of smaller startups come out. A lot of these smaller startups that came out of it maybe had a different way of thinking because they weren't run by 70-year-old white guys who were defense contractors. But I do think, when we get into that, if you look at what a person in the tech industry looks like in 2021 versus what they look like in 2001 is dramatically different. I can have my hair long. I can expose my tattoos. I can have a beard. I can say, “I'm a queer, ADHD, Black-Mexican man,” whereas such a thing would be dangerous career-wise and maybe even personally, 20 years ago. I remember in the industry when the first person that I knew personally came out as being transgender and the harassment that she had to go through was horrifying, but it was considered perfectly normal in 2001. We have come a long way, but that just speaks to what a shitshow it was before. Not that we're doing great now, because we have so much farther to go and we are still here in 2021 seeing all white panels, all white male leadership, diversity being heralded when you bring a white woman onto a board or when you bring a gay white man onto a board. And that ain't it chief. That is not it. We have so much more to do and the hard part about that is convincing people that you can't rest on your laurels. Convincing people that you haven't done enough in the first place. Convincing people that there are still problems. That goes back to what you're saying about some of these questions, about some of these metrics that we have about people in the workplace. The questions that you have to ask on these to really get an idea of where you are, have to be uncomfortable. They have to be uncomfortable. They have to challenge people's safe spaces and not just a safe spaces of other people who are marginalized, but certainly, the safe space of the people who are overrepresented. It goes back to talking about, “Hey, do you realize that you have gotten where you are largely by privilege?” or that you've been able to fail up, or that doors have been opened to you that haven't been opened to others, or bars have been lowered for you that weren't as lower for others, or even at the bar wasn't lower, the bar was not raised for you like it was for others? People don't like to hear that. People get very upset when you challenge the notion that maybe they haven't had to work as hard as other people have to get where they have. If you tell somebody, “Well, you got here because you had a fair amount of pillars to help you along the way.” People don't like to hear that. Now I will very much, I've said in the past I may be Black and I may be queer but I'm still a man so I have some privilege that goes along with that that women and non-binary folks have not been able to enjoy. I typically don't have to go to a conference and worry about whether I'm going to be sexually assaulted. God help the person that tries at least with me. But that is a worry and a concern that people have to have going to a conference that's supposed to help their career and that's a big detractor. That is a big obstacle that people don't realize that they have and then worse. I mean, heaven forbid, we even talked about motherfuckers that actually do the harassing there that are still allowed to enjoy their place in the industry, that are still allowed to hold positions of power, positions of influence where they can continue to do this. Not even just keep their jobs, but they keep being by to back these places and they can continue to perpetuate that kind of harassment and making the industry hostile to brilliant people. But it's funny that I will say that here I am on a podcast and every podcast I've ever been on with the exception of one – well, no, all the podcasts I've ever been on hosted by all white people. Every last one. Some have had white women in them, but it's all white people. So when we talk about these subjects, it still comes from a certain perspective that white folks aren't going to have, or that men aren't going to have. It's good that we're talking about it, but we need to do something about it. We need to have more of these voices routinely, not just in our panels at tech conferences, but in our normal, everyday consumption and I think that's important. We talk about what do these things look like? What are the patterns we're seeing? If you look at a tech company, especially in Silicon Valley, tech companies look like the neighborhoods. It's not very diverse. People refer their friends, people refer their coworkers, or they have these things about what was that Google employee letter? “We only want people with Bachelor's from Stanford or Ph.Ds. from these places and no one else gets accepted.” Those places are already quite exclusionary in and of itself. They list no HBCUs on that piece of paper, because they don't value HBCUs. They don't value schools that allow people of lower economic or lower in the socioeconomic strata to attend. It's literally self-perpetuating, that kind of gatekeeping. These people who pass through these gates erect those exact same ones and only the people that fit that mold are going to go through it and you never fix the problem. We do not do enough to break those gates down. We don't do enough to model that kind of behavior that we should be expecting. It's good that we're talking about it, but we need to be more about doing it. REIN: Yeah, and our whole panel for this show is majority not white dude, but it might not surprise you that the people who most often have the spoons and the privilege to take time out of their workday to do this podcast are the white dudes. JOHN: Yeah. TIM: Yeah. But I think when we talk about going forward, it's one thing to see a pattern and I think people who, if they're looking, they can see what it is, but what do you do? Do you just throw up your hands, go, “We tried, it's hard to do, so we're not going to do”? “Ah, all right, we gave it a shot. We asked some folks, but they can’t do it.” Or what do you do? I've seen a couple of folks, to call out the good behavior when I see it, I know Ashley McNamara when she had said that she was going to step aside from doing conferences, she was like, “Don't talk to me about conferences. Go talk to underrepresented minorities about these roles. Don't talk to me. I'm not going to take it.” I've seen folks that will say, “I'm not going to speak at this thing if it's an all white panel or if it's all male panel.” “If you're not paying your speakers, especially of color, to come, I'm not going to do these things.” That's how we see it in action. Holding the people that build the platform accountable to make sure that everyone has access to it. I think the thing that the pandemic has taught me that I've seen, for the most part, is a lot of these conferences have become free or very, very low in price because there were virtual, a lot more people showed up. People that couldn't necessarily go before and sometimes, it was harder even for them like you mentioned before Rein, just to get off of work and now they can kind of manage to do it in between because they don't actually have to leave. So when we get to a point where we can have in-person conferences again, I think it behooves the organizer of these conferences that if they're really serious about doing something about being more inclusive about breaking these patterns, not to have them in Silicon Valley, in the most expensive real estate on earth. Have them someplace less expensive to lower the cost for people, if they charge it at all. If anything, you cannot tell me that AWS cannot put the cost of an entire – AWS, Microsoft, all these panels’ sponsors cannot put the cost such that you don't have to charge people for a standard price of admission. You can't tell me that they can't sponsor it to the level where you can pay your speakers, especially women, underrepresented minorities, people of color, like that to come in and appear and talk about these things. Especially if it's a topic on which they have to do the emotional labor for. That's what I want to see us do to break some of the patterns that we're seeing, to make things better for everyone else, and then once some start doing that, that is going to be it. Once you start modeling that behavior, you're going to see other conferences do the same, where these big trillion-dollar companies that are sponsoring these orgs or sponsoring these conferences can actually put some money into it so that more people can come. I don't really have a good understanding yet as of why that hasn't happened and I'm sure folks who organize conferences will probably have plethora of reasons. But I feel like the time has come to do these kinds of things and if it means we have fewer conferences, okay. Move them more virtual, it's fine. REIN: Yeah. I have liked that some conferences are starting to do two tier tickets where if the company's paying, you pay the higher price and if you're just an individual or whatever, then you're paying a much lower price, and then usually, there's also some sort of scholarship program again, to try and bring people in. But I think you're right. Especially if it's the much more company focused things like AWS re:Invent or whatever, why is there a cost to attend that? Even for the tickets, but on top of that, there's all the travel, there's taking time off work, there's childcare; there's so many other attendance costs to going to a conference at a place that even if the tickets were free, there's still a huge barrier there. TIM: You could even go as far as say some of these venue choices. You go to a place like D.C., or New York City, or someplace that have HBCUs, those HBCUs have [inaudible] and conference centers. You don't have to go to some Richie rich hotel. Why don’t you give Howard some money to use their facilities? Why don't you do it in the [inaudible] area? Why don't you give Home by the Sea Hampton University some money? Or Atlanta? Any of these places where you have – or some of these are just lower income schools that serve underprivileged communities, give them the money to host these conferences. Not some hotel. Have it catered by minority-owned businesses, have something, do some things to get more people in. Like, have scholarships for HBCUs CS students where if you're a student—junior, senior—looking for internships where they're like, “Hey man, you know what, come to this conference, we’re not going to charge you and we're actually going to give you a stipend for travel.” That's doing something and it is almost the peak of intellectual dishonesty for people to try and act like the money isn't there because it's there. We've seen time and time again, all these earnings calls coming out, all these market caps going up and up and up and up. The money is there; just people don't want to open up them purse strings, I guess. REIN: Before the moment passes, I do want to point out that you call this podcast out for not doing enough to schedule things so that all of the panel can attend. I gratefully appreciate the rebuke and we're going to go work on that. TIM: I appreciate that and I appreciate you for giving me a space that I feel safe to say that. That matters. Like, if you want to do something, give people space to talk about it and don't get butthurt when they say something. REIN: So when you were talking about white person dress codes and the need to assimilate into that, I was reminded of this thing that actually just was published by CNN about a Maori representative in New Zealand’s parliament who was objected for refusing to wear a tie. TIM: I think he called it a colonizer's noose? REIN: He did and when they changed the rule and he was allowed back in, I am still thinking about what he said, which is, “The noose has been taken off our necks and we are now able to sing our songs.” TIM: It's true and it's a big deal because I know for me as, especially as a young Black male, it is imperative for our survival to not be threatening and I'm not overstating that. It is imperative for our survival to not be deemed as threatening. If you go into a workplace and you don't have a comfortable appearance whether your hair's cut close, you can't have dreadlocks, you don't want to have anything that's let's say, too Black. You have to look a certain way. Your car has to look a certain way. You can't listen to certain music. Can't talk a certain way. Those are the guardrails which I had to perform under and I say perform early on when I was early in the industry, because that's what was expected. You would see when the few Black people in an org would get together and the white folks weren't around, we would relax and it looks a whole lot different. If you're a fly on that wall, you would look and sound a lot different because we could be who we were and the problem happened was that you would see, you'd have to go out there and you'd be like oh, man. “Hey, Tim you have a blah, blah. You don't really sound Black.” Hm, okay. REIN: You’re so articulate. TIM: Oh yeah, that's a good one. “You're so articulate,” “You know a lot of words,” and that kind of stuff. The problem with that is that in order to do that, in order to assimilate into that culture to make a living, you have to do that and then we have to go back to our communities and hear about it. Hear about selling out, hear about – and it's one thing to get a job. People like to see people succeed, but what they don't like people have to do is change who they are in order to succeed. But that's what was expected of us to fit into this predominantly white culture. White people didn't have to change. Not really. I can't recall how many dudes I saw walking around with mullets. Even to this day, you see guys walking around with khakis, the polo shirt tucked into the belt, the mullet, the wraparound sunglasses. That has been unchanged since like 1985. But Black people now are starting to be able to be our whole selves, but how many didn't last in the industry because they couldn't? There's a lot and that was just for being Black. Heaven forbid, people who are gay, people who are trans, people who were immigrants first generation, or immigrants that really had a hard time. It's not great. We have not done, this “progressive tech industry” has not done a lot. Did not do a lot early to be welcoming or to do anything, really towards inclusion. It had to be done kicking and screaming by people who have kicked down the doors and I think, honestly, we really need to be. I am grateful that you are kicking down the doors for me and I've done my best to kick down doors for people behind me, who've come after me. But we need to keep doing that and I don't think we acknowledge really, how bad it was because it's uncomfortable. Especially the folks who are still in the industry that were part of that. You catch a lot of these high-tech level CEOs, C-levels SVPs who say they've been in the industry 20 plus years. They were complicit. No one was talking about that. They want to talk about what they're doing now, but no one wants to come up front and be like, “Yeah, I actually participated in this. This is the things that I was doing back then.” Or “I didn't speak up for whoever, whoever.” I guarantee you, if people had an honest disclosure of all that, you're going to see that. It talks about what US history looks like if we don't whitewash it. If we're really honest about it. We can prevent making the same mistakes, hopefully because we don't have this narrative that we were great all the time. Companies are the same way, managers are the same way, people who are long in the tooth of this industry are the same way and I think it's important that we talk about that especially when we talk about even now. You take salespeople, that is a good foray into tech for people that don't have a technical background, especially people of color and women and they still have to look like they're fucking bankers to sell a SaaS to people who are wearing hoodies and boardshorts to work. That doesn't make any sense. It doesn't make a damn bit of sense. REIN: Can I share a hot take with you, Tim? TIM: The hottest of takes, please give me lava. REIN: I'm getting really frustrated with the messaging around diversity and inclusion that works and the fact that we have to use it, which is look how good this is for the business and I have a huge amount of respect for the people who do that work, sell that message. A lot of the people I've talked to who are doing this are Black women and they know how to get it done better than I do, but it must be grading to not be able to just say, “Look, we do this because it's right. We do it because it's just.” TIM: It's because the people that they have to placate in order to get this signed off on. Who are they? They are, by and large, white men and to try and give a message to them of doing it just because. People who are a hundred millionaires, billionaires sometimes, if you don't tell them it's going to be good for their bottom line, they're not going to do it. For the most part. Then there are some folks that I'm sure that wouldn't, but in the most part, you're talking about raging capitalists that will be glad to cut off. That would be the same people that didn't offer health insurance to their employees because they didn't have to. The same ones that give them shitty healthcare, but the executives get really, really nice healthcare. The stratification of the value that you hold to the companies is very apparent in the benefits package, pays, and other kinds of things they offer them. To expect them to do it for altruistic reasons is the peak of naivety. So yes, the people that can get those people to sign off on a diversity and inclusion program are fucking miracle workers. REIN: Yeah, and to be clear, I'm not mad at them for choosing that messaging. I have a huge amount of respect for their ability to be pragmatic and use the messaging that gets the job done. I mad that that's what they have to do because of how the system is. Because of how racism is. TIM: I wished we could live in a society where we can say, “This is the right thing to do so we're going to do it.” I've talked about this before, where you look at that AWS Leadership Principle of leaders are right. There's no impetus on doing the right thing. You can say, “Oh, I was right about this.” Well good, congrats on your fucking jeopardy win. But do you do the right thing? Doing the right thing is an ethical question. Do you do the right thing? Not for the business, right thing for the business. There's no parenthetical after that, there's no qualifying clause. If you are ethical, you will do the right thing and if that right thing isn't necessarily good for the business, okay. That's fine. All right. There's more money to be made and if your business cannot withstand you doing the right thing, then you're probably a shitty business in the first place. REIN: It’s not a means, it’s an end. TIM: Exactly. REIN: Okay. Well, there's my hot take for the episode. TIM: That was like medium hot. That was like jalapeno hot. JOHN: It's something we've all noticed, that language always comes up the moment you start talking about DE&I. TIM: What I think for me, the hurtful part is when I watch these things especially as you see these things like what you're seeing at Google because of fucking course, Google is that when people really start to move the needle, when people start to make a real impact, the powers that be get uncomfortable and then they start to let people go and they replace them with someone that they are more comfortable with. They don't realize that the discomfort that they feel is what's supposed to happen and you can make it very, very simple for them. If you were to talk about this as a digital transformation, as we say, it's like, “Oh, well, we're going to go from this monolithic gigantic system that we’re running on to microservices, cloud-based API, stuff like that,” and people say, “Well, these old school database administrators are very uncomfortable with it and they tell them.” It’s like, “Hey, well this is how it is now. You're going to have to deal with it, or you're going to probably have to find a different way to get the industry, because this is the way it's going and it's better for everyone involved.” They explain all these benefits and they tell people that discomfort is part of this journey. You're going to have to learn to swim in new waters and things are going to be different, but they're going to be better overall once you get on the other side of that, but they can't apply that to them fucking selves when it comes to about diversity and inclusion and I don't get it. JOHN: I mean, that's the privilege that they haven't had to be practiced at being uncomfortable in those situations, or even if it's a little bit of technical discomfort versus the much more impactful discomfort that comes when you start actually talking about race. TIM: Yeah, there's a level of introspection that they haven't had to do and they are seemingly unwilling to do. That's the part that's most frustrating; the people that have the least to lose in this are the most unwilling to change. REIN: Oh, do you think it's worthwhile if what we're talking about here is a change in mindset? It's a change in what these people strive for, what they want and I think that that change is incompatible with let’s call it, white supremacy and capitalism. So do you think that it's worthwhile to try to pursue that, or do you think we have to continue doing these pragmatic things? TIM: Well, first of all, I would say that white supremacy and capitalism are redundant, but I would say that we cannot change the minds of the people in power with anything other than pragmatic reasoning because if we could, they would have already. There has been more than enough reason, appeals to emotion, consequence, societal collapse, all these other things that we've seen, especially these past 18 months or so. A reasonable person would say like, “You know what,” or all the people who are reasonable about this and who are ethical about this have already changed their minds. At this point, anybody who doesn't see the need for it, the self-evident need for it without for the justification for business reasons, but the self-evident need for it will not be convinced. So you have to appeal to pragmatic reasons until they leave the industry. REIN: This is a Kuhnian paradigm shift: the people with the old views have to die or otherwise go away and be replaced. TIM: Essentially, that's it and so that's why it's so important for us to nurture the junior folks coming into the industry and the people who are mid-career to make sure that people who understand this, to make sure that the people who are underrepresented, and to make sure your LGBTQ, your people of color, any manner of folks that are not properly represented or that have been heretofore unsafe in this industry, stay in the industry by any means necessary. To make sure that the industry can change in the long run. It is incrementalism and as unpopular as it is in some circles to say, “Oh, we can't just change everything right now because we're inspired to do so.” I'm sorry, you don't steer a ship that quickly. This is a large thing we have to change. The industry is a lot of people and it's a lot of money. So you're going to have to change it a bit at a time and the only way to bring that change about is to bring and keep people in the industry that can affect that change. REIN: And for those of us who are more securely in the industry, whether it's because we're white dudes or we have experience, whatever it is, we have an obligation to do what it takes to keep them around you. TIM: You absolutely do and you also have an obligation to continue to push on the folks that don't see the value in keeping them around. Very openly. You have to use your privilege. You have to use your privilege to speak to power. You don't have to take anyone else's voices. You don't have to pick up someone else to sign a waiver on his own, certainly, but you have to keep them from being silenced and that is the important thing that we need to do. If you are a straight white male in this industry and you have seen the necessity of the industry being more inclusive, diverse, and to have a good sense of belonging, then what you have to do is you have to check your peers when people speak. REIN: And not just keep them around, but make it possible for them to thrive. TIM: Absolutely, absolutely. They have to have strong roots in the industry. They have to feel like they're safe here, that they can grow here, and that they belong here and then when they do that, that's when they can affect change. JOHN: Yeah. That is how you keep them around, either that, or you don't want to them to have to rely on just complete bloody mindedness to have the perseverance to go through all of the pain to stay in the industry. You want it to be them thriving in the industry. Like you said, they can be the tomorrow's leaders that can start that real change. TIM: The last thing I want to do is also say, I want to make sure that when we talk about doing that thriving, that again, we're talking about not just taking care of them in the workplace, but taking care of them as whole people. I will beat this drum every time I can get on, we cannot let, we cannot let women leave this industry. We cannot do it. We're losing too many women because they have to make the choice right now in 2021, in this pandemic, as to whether or not they have to be mothers or whether they have to be career professionals and it’s bullshit. It is bullshit and it goes two ways with that: we're not supporting mothers and we're not supporting our fathers. We can support our fathers, then they can play a more active role in raising their children and Mom doesn't have to take care of everything. Now obviously, work can't influence whether a father is a piece of shit father or not and there are a lot of them out there, I'm going to be honest about it, that won't change a diaper, that won't clean the house, shit like that. We can't do that, but we'll at least avail them the opportunity and not have them use work as an excuse. So we have to change the way we do business to make sure that working mothers can be whole people so they don't have to choose between raising their children and doing work. If we don't protect these women, and the reason I say that is because it is the women of color that are the most susceptible to having to make this choice, because they have fewer resources outside of that, typically. So we need to protect people. We need to protect these people so that they can stay in the industry and we need to do that now. Because we are bleeding off too many women as it is like way, way too much. And that goes beyond whether or not we're actually treating them as they should be treated like equals, like the brilliant engineers they are in the conference rooms. So that's a whole other problem. We need to tackle that too, but we need to at least keep them from saying, “Hey, I’ve got to leave the industry because I got to take care of my kids.” We should be fixing that and we should be fixing that yesterday. JOHN: Yeah, that’s part of bringing your whole self to work is the other selves that you're taking care of. Like, if you can't have that baby on your lap for the meeting, then you're not going be on the meeting and then it's snowballed from there. TIM: Absolutely. Absolutely. When we start coming back, whatever that looks like post-pandemic, think about what they did in World War II and beyond to keep women in working. They had daycares, like the companies had daycares. But why fuck can't we do that now? We have so much money. You mean to tell me Amazon can’t have a daycare at the facilities You mean to tell me that Microsoft can have a daycare facilities? You mean to tell me that fucking WeWork can't have WeWork fucking daycare that companies pay for? Like, there's no reason for it. People just don't want it and it comes down to greed and it’s bullshit. REIN: So maybe now is a good time for us to do reflections. I usually have two things, I guess, that's my pattern now. One is I wanted to point out that Tim said that capitalism and white supremacy are the same thing and I didn't want that one to go under the radar either. If you're a white person who doesn't know what Tim is talking about, I can recommend a book called The Invention of the White Race. Maybe Tim has some of his own recommendations. My reflection is that we have an obligation not just to make it possible for people to exist in the industry, but if we're dragging them through the barbed wire that is this toxic garbage industry, we're hurting them, too and so, our obligation is to make it healthy. JOHN: Yeah, I think that's really just been reinforcing a lot of my own thoughts on things like, I don't know if this is a reflection other than just it's always great to have these kinds of conversations as reminders. These are thoughts that happen, but sometimes they happen in the background or you're not quite sure to connect them to action and continuing to have these conversations to continually remind me what the priorities are and what the other perspectives are is incredibly useful to me. So Tim, if nothing else, I appreciate you spending the time talking with us, talking to me in specific about your perspective on this. So thank you. TIM: I want to take a moment again, to acknowledge and thank you all for giving me a space and a platform. I know it's difficult sometimes to hear criticism especially if you're doing what you think is right for someone to say, “Hey, well, you can do better.” It's hard, but I think it's important for us also acknowledge that growth is uncomfortable. Improvement is uncomfortable. One of the things that I learned in jujitsu, if it has taught me anything and it's something that I've reinforced in my life, is that adversity makes you thrive in some ways. Not adversity for adversity’s sake, but when you exercise harder, you get stronger. If you run faster, run harder to get faster. If you spend more time being crushed under a 300-pound man, you get better at jujitsu. In this context, the more time you spend listening to some of these things, the voice of the people that have been marginalized and it makes you uncomfortable, figure out why it makes you uncomfortable and don't figure out how to disqualify the person talking. Think about why you're uncomfortable, look and uncover the pattern underneath that in yourself and in your world and how you interact with it, and then once you find that pattern, fix the problem. Once you do that, you can then help others do it. But you have to at first be comfortable with being uncomfortable and to do, if there's maybe sound a little cliche, but it's true. If you just run away from that feeling, you're never going to grow, you're never going to improve, and things are never going to get better. JOHN: Thank you so much for coming on the show, Tim. TIM: I appreciate it, John. Thank you all for inviting me. I’m honored and humbled. Special Guest: Tim Banks.
Achieve Wealth Through Value Add Real Estate Investing Podcast
James: Okay. So let's get started. Hey audience, this is James Kandasamy from Achieve Wealth Podcast. Today, we have Tim Bratz from Legacy Wealth Holdings. Tim is a multi-family syndicator/sponsor who owns almost 3200 units almost valued at 250 million dollars in value. Hey Tim, welcome to the show. Tim: James, I appreciate you having me, buddy, thank you. James: Absolutely. Happy to have you here. I've been trying to get you on the show for some time and we have been playing tag on the appointments. That's good. So, can you tell me which market are you focusing on right now? Tim: I'm actually in six different markets, six different states. I'm pretty heavy in the Southeast. Majority of my property, about 70% of my properties are in South Carolina and Georgia, but I'm also in Ohio which is where I live. And then I'm also in Texas, Oklahoma and I got a couple of vacation rentals down in Florida as well. James: Okay. Without going too much into detail just quickly, how did you start? And then how did you scale to 3,200 units within how many years? Tim: Yeah. Well, I mean, I was going through college when the last market cycle was going gangbusters. So 03 to 07, I'm going through college, everybody said if you wanna make money get involved in real estate. I ended up moving out to New York City because my brother was living out there. And I became a commercial real estate agent for businesses. You know, so I broker leases and I brokered a lease that was 400 square feet in Manhattan. It was $10,000 a month and so I was like the wrong side of the coin. I need to be owning real estate not brokering it. So I got into a lot of the residential stuff. I think a lot of investors get into real estate because of the lure of passive income and residual income, but then many of us get stuck doing this transactional stuff of flipping houses and wholesaling. And I went through that same phase, you know, I thought I had to stockpile my own cash. I didn't understand that you could syndicate, that you could raise private money and bring in equity partners and how your sponsors to then cosign on loans. I didn't know that that was possible. So I went through the whole residential side of things and bought my first apartment building the end of 2012. So just like seven years ago. It was a little eighth unit building and I fixed it all up, put tenants in place and I was like man, I'm making better returns on this than I am flipping houses and it's way less headaches. And so I bought another eight-unit and kind of built up a portfolio about 150 units with some partners. That partnership ended up going bad a few years later. In 2015, I ended up liquidating everything and then just going back out on my own. And so I started on my own and just kind of partnered up with a couple of people that they just started raising money for different projects and I partnered up with good operators and bring money to those projects and help sponsor those loans or I started buying my own properties here locally in Cleveland. And over the past four years, pretty much in August of 2015, I started buying my own stuff. So it's been right at four years now. I built up a little over 3200 units, 3207 units as of today, about 251 million dollars worth of property value and my model is based on the residential realm, actually. I buy properties and I got to be all in for 65% of the stabilized value because that's what the model was. I never read a book. I never went to a seminar before. I just kind of developed it myself and I started buying properties, apartment buildings, the exact same way. So I have to be able to buy it, renovate it, be all in for 65% of that stabilized value. And so a lot of the buildings that I buy, you know, I'm into a building that's worth 10 million dollars for about six-six and a half million dollars. So on the 250 million dollars worth of property, I only owe to lenders and my equity investors, it's like right at 150 million dollars. So we have a lot of equity in our properties too. James: Got it. Got it. So it's very interesting you bring up that 65% because that's the exact number that I had when I was doing my single-family for zero money down. So I counted if I get at 65% ARV, which is after repair value, you should be able to do a second load, which is I call it as a double closing of a loan. I have two loans; one loan is like you do like a short term loan and at 65%, you buy it, you take a rehab loan and then you flip it to the long term loan. Tim: Yes. That's my entire model. So I don't traditionally syndicate, I buy distressed assets. I'm bigger than some of the smaller investors but not quite a hedge fund or a Reit and I'm willing to get my hands dirty, I'm willing to actually do the work. So I take on a little bit more distressed type properties. I only buy in A and B Class areas, but the properties are typically C-Class type properties that need physical improvements, better management. Like really not just value-add but like a total repositioning a lot of times. We're remarketing, rebranding, all that. And so, we come in and we fix it all up and because we force appreciation because we can make it happen and really create the appreciation versus speculating on appreciation and hoping values go up over the next five years, we're able to create a lot of equity in that first 12 months and then we're able to turn around and refinance and cash out our investors. So instead of selling, I just refinance at like a 70% loan to value that gives me enough money to then, pay off my bridge loan. Or that short-term construction loan is and it helps me pay off my investors and to me, it's more predictable. It's more predictable to know where interest rates and where the economy is going to be 12 months from now or 18 months from now than it is like maybe 5 or 7 years from now. Five or seven years from now, we could have a very different economy, very different political circumstances; could have three different presidents in the next five years, right? So we just don't know. And for me, I like the predictability of buying at a wholesale price, creating an appreciation and then cashing out my investors. Now it's you know for lack of a better term house money in play, right? So now we can let the property ride and we can hit sit on it. It doesn't matter what happens to the economy for the next 10 years, I have a long-term, long amortization schedule fixed interest rate loan, non-recourse loan in place; where the market can go up it can go down, I still have tenants in place paying the debt service, paying the operating expenses, and putting cash in my pocket and I could ride this thing out because I don't owe any of my investors any more cash. James: Got it. Got it. So yeah, that's exactly the deep value add, that's how I position it where you buy it at really good value; very, very low level. You really put all your effort to push up the first appreciation and then you go and refi in 12 to 18 months, I guess right? Tim: And we built some new construction stuff too, down in the Southeast. We built some townhouses. Like we'll do new construction, it'll be like an A or B plus kind of an area but it's not luxury. We do only workforce type housing so we can build townhouses for about $85,000 per unit, 80 to 90,000 per unit and they'll rent for about 1,300 bucks a month for us. And so that allows us to get the values where we need it to then refinance and do the exact same thing just for new construction. So we do a little bit of that and more repositioning of existing assets though. James: Yeah, very interesting. I really like the model. I was doing it like two-three years ago. I mean, for me, I got worried about the market and I start, not looking for deep value add and also deep value add is harder to find. Even though you find it, what happened the sellers are basically taking the value by pushing up the price on the deep value add and because of that, it's not a deep value add anymore. Tim: Right. I don't pay a seller for the value that I'm going to bring to the property, right? So there are some sellers that you know, they're like, oh, well, this could be worth this much. Yeah, but I have to create that value. You're not creating that value. So we find we're a lot of times direct to seller, off-market type property. You know, we're big enough now, especially in Georgia and South Carolina, we have the broker relationships where we're one of the top five buyers in town and you get those deals before they actually hit the market. But in a lot of other markets, I'm not, you know, the biggest buyer in town so I have to go off-market, direct to seller, kind of stuff. And we get a lot of our properties from Mom and Pops who have owned it for 20 30 years or inherited the property. They just didn't put any more money back into it. You know, the total debt on the property is very low if at all and they just don't want to put any more money into it. They don't want to do the work so we buy it from them. Or I buy a lot from smart entrepreneurs, really sharp people who make a lot of money in their traditional business and they just put their money in real estate and then they didn't have a joint venture partner. They never got educated. They don't know how to manage a management company or interview a management company and they just get abused in the business. So they're like I'm making too much money in my traditional business, this thing is going to sink me. Let me just fire sale this apartment building. So that's where we buy most of our properties from. And then again: we reposition it, we do the stuff that that hedge funds aren't willing to do, and we're qualified enough to take down a 200 unit building that needs a pretty heavy value-add. I do it that way. But like you said though, James, I'm starting to buy a little bit more stabilized assets, more like 85-90 percent occupied of just a little bit of tweaks in the common areas and amenities and then bumping up some rents. We're doing a little bit more of that right now just because of where we are in the market cycle. James: Yeah, correct. But you gave a lot of details that I want to go a bit more detail into that. So you said you look for deals that are in class A and B, but more distress. And I mean you're basically shrinking your funnel as well because you're going for that... Tim: Niche gets rich, right? James: Exactly. [11:02crosstalk] Tim: People say hey real estate's mine age. Now real estate's an industry, right? Apartments aren't even initial. You need to figure out what you are really, really good at. And one of the things that I'm really good at is 80 units to 100 units that are distress. It's bigger, it's too distressed for the small guys to get a loan on it because they don't have the background or the resume to go and take down that kind of stuff and the qualifications do that because they haven't done it before. It's a big project, big value add and at the same time, it's too distressed for the hedge funds because they just want to park money and let it sit, let it ride, and let it cash flow from day one. So this is my niche. It's A and B Class areas; good areas, desirable areas, just distressed kind of properties and we're able to get in there and we have all the financing, the relationships are all in place. We could raise the money pretty easily because we can cycle our money every 12 to 18 months. I don't have to wait five years to get my investors their money out; I can cycle at every 12 to 18 months. So as soon as I pay him back guess what they say, let's go do another one. And then they're involved in you know, three deals in five years versus one deal in five years and it makes my life easier because I don't have to go and raise money from new people all the time. James: Got it. Got it. That's a really good model. So that's the investors after you cash out when you pay them back, do they stay in the deal as well? Tim: Yep. So mine's a little bit different than traditional syndication. Usually me and my joint venture boots-on-the-ground partners, we keep 70 to 80% of the equity in the deal and then we pay a pref, a fixed pref to our investors regardless of the properties performance. So even if it's not cash flowing it's predictable because I know that if I'm borrowing 2 million bucks, I'm paying, let's say, 10% pref, I'm going to pay $200,000. That's just a cost of the deal. I got roofs, I got flooring, I got paint, I got cost of capital; it's an extra $200,000. So I build that into my model and then I can make those payments to them. They feel more confident, more comfortable because now they have a predictable return on their investment. Then I refinance, they get all their money back off the table and then they still maintain 20-30% ownership without any money invested and we're able to do that again and again and again. And so, you know with traditional syndicators if I try raising money from somebody who's used to traditional syndication, they're like, why would I ever do that? Well, you get a predictable return and secondly, you get 30% ownership. But if all your money is in three different deals, it's actually 90% ownership because 30% 30% 30%. And so overall, they're actually ahead of what they would do in traditional syndication where they might get 70 or 80% of the equity in one deal. So, it actually works out better for the investors, works out better for me but it's a lot of work on my part. We spend a lot of money. Sometimes we spend a lot of money on advertising in new markets until we have those relationships built up and then, in order to find those off-market direct to seller deals and it's a lot of work. Like my business partner down in Georgia that I own a bunch of property with, he goes and sleeps at the properties for three nights a week. He spends four full days there, sleeps in a B-class apartment, you know, on a blow-up mattress, the guy is worth 25 million bucks. And then his brother who's our other partner is worth another 25 million and they're sleeping at the properties, doing the work, kicking the tables, making sure construction ends up on time, on budget and that's what you need to do man. I see a lot of people who are trying to be this puppet master and they're not willing to actually do the work of taking ownership over this thing. They just want to go and syndicate and then go back off to whatever they're doing. And to me, like there's something to be said about just having old school diligence and work mentality and what you can get done if you're willing to do that kind of stuff. James: Yeah, real estate is very, very powerful; especially commercial real estate where you can force appreciate. And especially if you are going to get the majority of the equity in the deal, why not I sleep, right? In 12 months, 70 to 80% of this deal is going to be mine. Why not work hard, I'm with you. Tim: It's a season of your life. If you're putting your head down for a year or 18 months, but then you can generate millions of dollars of equity, why not do that? And so yeah, that's kind of the mentality that we take. James: Correct. Yeah, it's very powerful to create wealth and I think the investors appreciate that as well because now you're able to give them back their money and all that. But your model is assuming that you are able to refi into a long term loan in the 12 to 18 months, right? So what happened if that model breaks? Tim: Yep, absolutely. So that's the inherent risk with our model is what happens if rates change, what happens? If banking tightens up, what does that all look like? So a couple of things. One, I don't think rates are going to change as much in 12 or 18 months as they would maybe in five or seven years. So to me, we underwrite the deal - like right now, I just closed on 500 units. I got 2 buildings, around 250 units each last month and I got a 3.83 and a 3.88 interest rate. Even right now, rates went up back; they're hovering around for four and a quarter right now for stabilized assets. We're underwriting the deals with 4.75 to five percent interest rate on the back end for a stabilized property. So we're taking on some of that, some of that, we're underwriting it for that. We also underwrite our rents very, very conservatively and we're at such a low basis in the property, usually around 60% of what that stabilized value is, we have options. So Fannie and Freddie are tightening up big time right now. That's okay because we're at such a low basis that we can still go over to CMBS - commercial mortgage-backed security - or a life insurance company and even though they offer a lower loan to value, I'm okay with that because I'm at a low enough basis. I can still cash out my investors. So worst-case scenario, my investors still get their money back and we have a lower LTV loan. So maybe there's not some refi proceeds or anything like that that we can take off the table but at the end of the day, they're going to have more equity, you know, their equities gonna be worth more in the property and the cash flow is going to be more on a recurring basis for that. And the other thing is even when banks stopped lending to people in 2009-2010, guess what? They were still lending to somebody and it was the people with big balance sheets, with stabilized portfolios. And I have a big enough balance sheet and stable enough portfolio. I'll be able to get refinanced regardless of what happens in the next 12 to 18 months so I'm not that concerned about it. And again, because our basis is so low, we have such high cash flow on these properties. I have different options and have a good team of mortgage brokers. Who even if I had a slap another, you know three-year loan on there, even if it was at 6% interest rate or six and a half percent interest rate, I can still cash flow; it's enough. It covers my operating expenses, it covers my debt service, still puts cash flow in the bank. You know, it's a crappy conversation that I have to have with my equity investors, but they keep on making ten percent on their money so they're happy. You know, the worst-case scenario is they get their money back in 48 months; then, you know it is what it is. So I've taken a look at all the downside. I've talked to people with billion dollar portfolios and said, hey poke holes in my model. And that's the inherent risk is what if you can't refinance? So that's one of the things. The deals that I just closed last month, they were already in that 85-90 percent occupancy range. Like right at 90-91, I think is what they were. And so we got a Fannie Mae loan actually on it. That's a construction loan that we'll be able to put a supplemental debt on it. So, it's already a long term loan, 30-year amortization, couple years of interest only. And then, whenever we create the appreciation, 12 months 18 months from now, we'll be able to put supplemental debt, which is kind of like a second mortgage almost but through the same lender, so they're cool with it. And so the only real risk I'm taking is the interest rate on that portion of the debt. I owe 17 million dollar mortgage on it right now. And then the other will be about another 7 million dollars. So the only real rate risk is I'll get home at three point eight percent on 17 million dollars, even if the other 7 million goes a 5%, my blended cost of capital still four and a quarter or maybe a little less. So, you know, that's another way that we're reducing that ongoing risk. James: It's very interesting. Now you're convincing me to do deep value add again. So because it's just so hard to mess up. Tim: I mean, the construction is where it all comes down to. I mean, if you stay on time and on budget, you're in good shape. But if you don't have a good construction partner like you can really get burn bad in the deep value add stuff. So you've got to understand what your team looks like, what your strengths are, what your weaknesses are. And for me, we're okay with it. We're pretty good at it and we have a really good construction team. My partner in Georgia, man, I put him toe-to-toe against anybody in the country from a construction standpoint. He can build new construction, he can renovate existing units. And because he has the mentality of 'let me go and sleep at the property' three nights a week, away from his family, away from his five kids, you know, he's willing to take that on because it's again a season of his life. Like that's kind of partners that I like to partner up with. James: Yeah. Hustlers, they will go really far in life and that's what we need. It's very interesting. So I mean, is there any deal that you find that you didn't do? That you think you should have done and after you passed on it, you realized, ah, should have done that deal? Is there a deal that you look at... Tim: That's a good question. Let me think on this. We try to kill deals. I try to kill every deal that comes across my plate, especially right now. I try to look for every reason to walk away from every deal that comes across my desk. If I cannot kill the deal then I know it's a good deal. And so, you know, as soon as you're like, 'hey, well, I think I can scale back construction and make it work', wrong idea, wrong strategy. Because the last thing you want to scale back is the construction of the value-add process. Because then your rents aren't going to hit where you expect them to hit because you're not able to attract better tenants or higher quality tenants and they don't see the value that you're adding to the property. At the end of the day, like people like, 'oh, I think we can make this one work.' No. The only way you can make it work is if you go back to the seller and negotiate a lower purchase price because that's the only variable in this equation. You know, what rents are going to be is what rents are going to be; what the construction budget is, is what the construction budget is. The only variable here is the purchase price. And you know, you make your money on the buy side. So are there deals that I passed up on that I should have moved on? Maybe but for me, man, I don't have much of a risk tolerance. I only buy stuff that I know that is very predictable to me. That's why I don't play the stock market. I can't control if you know Volkswagen - I can't control if Elon Musk smokes a joint on public television and the stock drops by 15%; you know, I can't control that. I like being able to control real estate and having very predictable returns for me and my investors. And sometimes it's a gut check, you know. Even if everything looks good on paper, but my gut doesn't feel good about it, I'll say no to a deal. It's just that I've seen enough deals go south. And as quickly as we can build our net worth, being in commercial real estate, one bad deal can take out your legs and wipe you out totally. So I'm just not willing to take on that risk, especially when it takes so much work in order to get to where we are. James: Yeah. Yeah. I mean I want to touch on your gut check thing because I know numbers don't lie and we are numbers guys and when underwriting, we want to make sure things work on paper and all that. But I've walked out of a deal because everything works very well and the numbers look good, but there is something wrong in that deal that I didn't discover and I've walked out from that kind of deal as well. And that's very important. I mean, real estate is not only science where everybody says a numbers game and people that are good in numbers will do it but there's a lot of odd to it as well where it's just something wrong somewhere and it comes from experience. Tim: That's the only way you get that, from experience and it's usually personnel kind of things that make me walk from a deal. I'm just not comfortable with that joint venture partner, with that management company or with whatever the seller is saying. You can kind of see through the lines once in a while, whatever that is. Yeah, I mean my model is I'm really good at raising money. I'm really good at sourcing deals. We're pretty good at creating - like we can handle a lot of the back office type stuff. I'm back in Cleveland, Ohio now, is where I live, we can handle a lot of the management side of things; collecting of rents, work orders, telecommunication; all that kind of stuff, all the administrative side. From here in Cleveland, we just need a local boots-on-the-ground partner and some local property managers, maintenance personnel, and I always have a joint venture partner locally. And so if that joint venture partner isn't strong enough, then usually I'll walk away from the deal. Because man, I think it's important to have somebody with vested interest, with equitable interest in the deal; who's local to the property, who can go put their eyes on it a couple of times a month; to keep everybody honest, to keep the management company honest, to keep the local property manager, maintenance personnel, leasing agents and just come in and kick the tables once a month and just let people know that we're paying attention. Because if you don't pay attention, then they take advantage of you. James: Yeah, it's hard work. I mean, I know exactly how you feel in terms of how much hustle and how much detail and how much you have to be on top of the property managers because it's not their baby, it's your baby. And there's so much of details that if you don't ask them, they're just going to slack off right? Tim: Yes. James: They are paid differently from what we have paid for and we are the owners and it's just completely different ownership level, right? So that's very interesting. Is there any deal that you think after you bought it didn't match from what you thought in the beginning. You thought this is how I'm going to execute it but once you buy, it's like, oh, it's completely different from what I thought and how did you overcome it? Tim: Yeah, I mean every deal is a learning experience and you to get punched in the gut enough times and eventually you learn. Fortunately, you know when I was growing my portfolio, I bought my first building in 2012 and I bought an eight-unit building for $30,000. So I'm in Cleveland, Ohio buying units for $4,000 a unit. I put another, I don't know, 50 grand into it. So I'm all in for $10,000 a unit. And it's hard to lose. And so in 2012 2013 2014 as I'm growing my portfolio, while I'm going through these learning curves, the market is getting better and that was able to absorb a lot of my screw-ups early on. So I still made money on every single deal that I did even though I was learning on a lot of these things. There's only one building, a 44 unit building, that I bought about 2-3 years ago maybe that I've lost money on. It was one of those things, hey, I saw the leases, I saw the rent roll. It was 80% occupied and I bought it from a guy that I know, somebody that I actually know. And so, I bought 44 units and he's like, "Yeah, man, 80% occupancy." "Great, man. I'm going to come in, I'm going to renovate the last whatever 9 units and turn those over. I got a local team." He was out of state. "So like my team can come in clean it all up clean up the common areas. I think I can make $300,000 on this thing in the next 12 months pretty easily and it'll cash flow a little bit in the meantime." So I buy it and I find out it's only 25% economically occupied. So there are 35 tenants or something in place and only 11 of them are actually paying rent. And so I learned my lesson there, you know. It's not about occupancy, it's about collections. And this is a buddy of mine. This is somebody I've known for many years and grabbed dinner with him, his wife, my wife and not a lot of times but a few times and close enough where I call him a buddy. And all of a sudden, he sells me a building, tells me it's 80% occupied, doesn't tell me it's only collecting 25%. And all of a sudden, I had to kick out 24 tenants and turn over 24 additional units. So imagine what that cost does now to the $300,000 I thought I was going to make? And this was one of the only times I brought an investor in and he wanted 50/50 of the deal: "Let me bring the money, you do the deal." "Okay, cool." And I'm stroking a check for about 35 40 thousand dollars when it was all said and done. And I could have gone to that investor and said, "Hey, man, I need 20 grand from you. I'm putting up 20 grand of my money. We're selling this thing. It's a pain in the butt. We're gonna lose money on it. But, you know, we gotta get rid of it. And that's part of the deal." Instead, I stroked the entire check, gave him 100% of his money back and because he didn't make a return, I gave him equity in another deal of mine, without him having to put up any money just to kind of soften that blow. And so I think when you do the right thing by your investors word spreads, you know, he says great things about me, he wants to invest in more deals with me and stuff now. It is, do the right thing knowing that there's always another deal. There's always another opportunity. That one, we could have held on to the property long-term and let it cash flow. That's a cool thing about buying apartment buildings. You can really screw up and if you had to, you can hold on to it, manage it, let it cash flow for the next 10 years and eventually, you'll actually make money on these things even with that big of a screw-up. But for me and where my long-term vision is and my team and everything else, it was just more of a C-Class type property. It took up too much management and too many headaches. It wasn't big enough. We couldn't really scale it. So we made just a business decision to sell it and to eat that loss. But it's the only building I ever really ever lost money on. Now we've gone through pretty much everything and we've gotten kicked in the crotch enough times where we know what to look for across every building. Like it's very hard to pull the wool over our eyes unless it's like grossly fraudulent on the sellers part. Another big thing that I didn't know early on that I wish I should have done that's always a consistent issue with every building we've ever bought is like the plumbing and the drain tiles leaving the building. It's always one of those unknowns. So now, we spend three to five thousand dollars to scope every single drain line, in every building that we put under contract to ensure that there's not going to be this massive plumbing bill, unexpected plumbing bill, once we buy the property. So that's one of the things that's been a big deal. And then just verifying collections. Like those two things from a financial due diligence and a physical due diligence perspective like those two things that we've dialed in now and we always did everything else. We always inspected the rooms in every unit, the electrical panels. One of the other things that I didn't do early on that I do now, we've done for the many years now, is I used to only walk the vacant units and the common areas and the mechanical rooms. And then all of a sudden, you realize that they're not showing you all the vacant units. There are other vacant units that they're telling you that they're occupied, they just didn't want you to see them. And like I bought buildings where tenants were turning on and off their faucet with a wrench because there's no actual faucet. So you don't realize a lot of that stuff early on when you're a dumb kid. But I've been through all man. I've been everything. We walk every single unit on a 500 unit apartment building. We will walk every single unit and we'll put a report together on every single unit. It's a one-page, just kind of condition report. We'll take 30 pictures of every single unit. We put it all into like a Google Drive or Dropbox folder. In that way, we have all the information we could ever need on this property. We're not relying on our memory to look up all that stuff. It's all there. Our contractors can see it during the entire due diligence period, all that stuff. And so I think everything's a learning curve. I think you learn from everything. The thing in this business though is like if you can get past all those learning curves, if you can get past some of those losses and some of those getting punched in the stomach, eventually, you're process is so dialed in. Like they can't pull the wool over your eyes that you cannot lose on deals. And that's why we walk away from a lot of deals that we do because they're waiting for somebody who's an idiot who doesn't know what they're doing to come in and buy their property and overpay for it or not do the due diligence that they're supposed to be doing and all these other things. But eventually, you know what you're doing enough, where your risk is so minimized because you've done all the due diligence on these things, it's a very predictable business at the end of the day. Like you said, it's all about numbers, right? James: Yeah, I mean, it's crazy nowadays, right? I mean with the market being as hot as it is right now, with so many people looking for deals and so many bidding war. So nowadays, the smarter thing that a lot of brokers and sellers are doing, they say day one hard money. Now, they lock you in. So you go into a bidding war, you pay this huge amount of hard money and sometimes they don't even give you early access., So now you're locked in. You can find a thousand and one things and yet we are locked in. Tim: No, I don't do that stuff. I don't play that game. You don't need to if your off-market direct to seller. If you're going through brokers, they're going to do that to you, you know. And there are some people who have crazy money and they're willing to risk that; I'm not willing to risk any of that stuff. A lot of people, they spend a lot of time on ROI - return on investment. I spend a lot of time on return on ROI - return of investment, you know, and making sure I get all my money back. I never ever want to risk principal. I mean that deal, that's just too risky of a deal. If they want hard earnest money from day one and I haven't already walked the entire property, I'm not interested in doing it. I think once you get to a point where if you're partnered up with a great sponsor or you are a great sponsor yourself and you have the business acumen that like you have James or that I have like I'm able to posture up with these sellers now and kind of say, "Hey. Yeah, no problem. You can go steal somebody's earnest money. That's okay. You can go ahead and do that. But they're not gonna be able to close on this deal because you're lying about the condition of the property or the financials whatever. Or if you're willing to actually sell it to me, give me my opportunity to do my due diligence and shoot straight with me on everything, I promise you, I'm more capable of closing than any of the other people that you're getting bids from right now or you're getting offers from right now." And so I've been able to kind of build up my credibility in that way where sellers are willing to take less money and offer me better terms than they would maybe with somebody else because they know that I can close on the property. They don't want to get dragged through the mud. James: Correct. Yeah, this is very interesting, nowadays, the way the market is being played. They're putting all these handcuffs of hard money, day one. And there's another handcuffed where they said you must do lending with our own in-house lending. So that's another handcuff. There are two or three handcuffs that brokers are putting on sellers. And the third subtle handcuff that they do; nowadays, when they close, they send out an email saying that, oh, this buyer paid day one, you know huge amount of money $500,000. They're telling everybody else. Tim: They're trying to set that expectation. James: If you want to come and buy deals nowadays, you better be ready. So many handcuffs are being put on buyers. But I think a lot of sellers, you know, if they want to work with a good buyer, people who want to really do business, they don't know want to just make the money on earnest money and waste a lot of time getting people to walk through all their units and getting their stuff all being nervous. So just find a guy who's willing to do it and who is the true buyer. Who knows what he's doing and can close. Tim: The good brokers with long-term visions and long-term goals, know how to find quality buyers and that's better than just anybody who raises their hand with earnest money, you know. In every hot market, there are people who are short-sighted, who got into real estate real quick just because they wanted to get rich quick, kind of a thing. And they'd rather just do it that way and then anybody who raises their hand, they're willing to go with and those aren't the brokers you want to work with. You want to work with the people who have been around the block a few times, who understand what a good buyer looks like, can build those ongoing relationships. Because as soon as the market shifts, if things cool off, it's going to clean out all the unqualified buyers and unqualified brokers as well. James: Correct. So, let's go to a bit more personal side of things. So what I like about you is you're very, very positive. So you like to look at life very positively and you know, it's hard to do because sometimes you always have something negative that comes in. So do you want to explain about in this business, yeah, you always want to say something negative that you always want to talk about but how do you maintain that positivity? Tim: Yeah, I mean, you know, I told you the story when we met up a couple of weeks ago or a month ago. I mean, just less than 90 days ago, I was out golfing and I got rocketed to the face with a golf ball, 100 miles an hour from about 30 yards away. It shattered my upper maxilla bone. It knocked out four of my front teeth and shredded my gums. And my lip opened and I was bleeding like crazy. I look down. I'm like, oh, I feel my teeth dangling from my gums and I look down at the ground and I kind of took a knee to make sure I didn't pass out. I looked down at the grass, I'm like, "Man, this grass is really well-manicured; like beautiful grass here, on this golf course." And I'm like, How the hell am I able to keep up such a positive attitude in this?" You know, I'm thinking about my thoughts. I'm very reflective in that regard. And I was like, "Well, here's why I can see it positive because I got hit my mouth and not in my eyeball or my temple. I could be blind or dead if this thing was an inch higher than where it was." And so, man, I don't know if it's the law of attraction. You can call it God, you can call it, you know the universe and call it whatever but I think when you put the positivity out, it comes full circle. It's kind of like you reap what you sow kind of a thing and I sow seeds of positivity. And so, I jump in the golf cart and I get taken back to the clubhouse. You know, who's dining in the clubhouse? There are two dentists and an ER nurse having dinner in the clubhouse. They put me in there. They look at my teeth. They drop what they're doing. They take me to their dental office, 15 minutes down the road. They stitched me all up. They put my teeth back in and I'm able to save my teeth and 90 days later, you couldn't even tell that this whole thing happened. Like I'm still going through some cosmetic stuff, but overall like it was a terrible situation, but I think because I was positive it all just kind of came to fruition. So, you know, one of the things I've always practiced is not saying I have to do something but saying I get to do something. When I go out to dinner with a bunch of my friends and I pick up the tab, they're like, "Dude, you don't have to do that." " No, I don't have to do it but I get to." The reason that I do what I do is so that I can help people out and I can pay it forward. "Oh, hey, you don't have to cover that bill. You don't have to do this" 'No, but I get to." I had to eat soup for about a month afterward, but I'm thinking you know, I'm eating a tomato bisque basil soup. I don't have to eat mud pies like people do on the other side of the earth. I don't have to walk two miles each way to go and get fresh water like people have to do on the other side of the earth and some people on this side of the earth. I get to eat soup, I get to eat something that's a bisque that has basil in it. Like are you kidding me? Like there are people who would kill to be able to eat that kind of stuff. I didn't have 14 teeth knocked out, I only had four teeth knocked out. I think when you just compare it and you put it in that type of perspective of, man, it could have been way worse, you know, like the situation could have gone - and there are still people even with me with my teeth dangling from my mouth, being in that circumstance, I'm still in a better circumstance than a lot of other people who don't have any food, who don't have any shelter, who don't have any clothes, who don't have any support. They're being trafficked by like human trafficking like all that kind of crazy stuff. Even when I have to go out and raise - I had to raise 7 million bucks for deals last month, and now I don't have to raise 7 million bucks. I get to raise 7 million bucks; that's a pretty awesome problem to have. And I think just putting it in that perspective of shifting your 'I-have-to' to 'I get to', will really make you more gratuitous or have more gratitude for life. James: Was it because of your parents or do you think because you just had some event in your life that you think now I have to change my time or it's just how you have been? Tim: That's a good question. My mom as always been very positive. My mom as always been, hey, you have something else to compare it to. Compare it to this, compare it to that. And I think that's probably what planted the seed of always looking at it from, "Yeah. You're right. I guess it could be way worse, right?" It could have been totally different circumstance. She always used to say, "Hey, if that's your biggest problem today, you've got a pretty good life, Tim." When I was growing up: "Ma, I don't know what I'm gonna do like my basketball just popped." "If that's your biggest problem today, it's a pretty good problem to have." You know, you're safe. You're secure, you're healthy, you have a family, you've got people who love you, you've got food with food on the table and clothes on your back and a roof over your head. Like all those kinds of things like you put in perspective. There's people dealing with a lot worse things. And yeah, I think my mom kind of rooted that into me maybe early on and it definitely stuck and man, I just show gratitude. Especially once you have kids, you know, and you realize man like all I want is their safety and their security and their healthiness and their happiness and as long as they're happy and I'm happy. That kind of a thing that's really amplified it over the past four years. I have a four-year-old and a two-year-old now. And so just putting things into in the perspective that way has been a big deal. James: Awesome. Awesome. Is there one proud moment in your life that you think you will be remembering it for your entire life? Tim: That's a good question, James. You've got some good questions there, buddy. James: I want you to think and answer. Tim: Yeah, you know, I mean, is there one... James: One proud moment that at the end of your life, you're going to say that I'm really, really proud that I did that and it's going to be you know. Tim: Yeah, I don't know if it's one specific moment, but maybe just like kind of how I live my life. I try to do it on a daily basis and maybe it's not something profound. Maybe it's not something that's like one specific thing that was a catalyst. You know, I'm driving to the office today to come and talk to you and some dude cuts me off. Maybe he's got some priorities or something going on. I don't know what other people are going through, you know and for me to judge or get pissed off because somebody cut me off, why would I do that? I'll tell you if there's a really proud moment, once my kids grow up to be decent human beings, you know, and making sure that I want to live my life as an example of what an exceptional life can look like. So I want people to be like, hey, if Tim Brax, some kid from a blue-collar family in a blue-collar town, outside of Cleveland, Ohio can build up a big portfolio and still maintain good health and still maintain positivity and still maintain great relationships with his wife and with his children, with his friends and still engage and and maybe not be balanced but have harmony in his life, like if this guy can do it, I know I could do it. If I can inspire people, whether that be one moment in time by a Facebook post or an event that I host or being on a podcast, if I can inspire people to just be their best which is what I have on my wall here and that's not 'do' that's 'be' you know, that's like consumed that all together. It doesn't have to be the best. It would be your best. There's always gonna be somebody more capable, more resources, more whatever. You know, I don't think it's healthy to compare yourself to other people but to compare yourself to yourself and making sure that you're advancing on a daily, weekly, monthly and annual basis is a big deal. And so, I think I just try to make my kids proud, make my mom proud, make my wife proud, make my friends proud. Inspire other people and I try to do it more in the daily activity versus just do it one time and look at that one moment. I try to give back and try to - like I had suites to the Cavs games when LeBron was here in Cleveland. All right, and so when was that, two years year to go? Two years ago, I think. No, it was last year, I think. And so last year, I had a suite to the Cavs. I got the entire series for the first series. I figured who they're playing, but essentially when you buy a suite, you get it for the entire series, however many games they play at home and they played four games at home. And so, you know the first game I went to, I brought some business partners and was able to pay for the suite that way. And then, the second game I brought some family and the third game, I'm like, hey, I was excited to go but like I'm not as excited as I was maybe the first or second time and I'm like somebody else deserves this more than I do because I've already had this experience right? Like, how can I pay this forward? And so I posted on social media, "I got a suite to the Cavs game. I have 18 tickets that I can give away, a couple of parking passes. It's stocked with food and drinks and whatever you guys want. Like does anybody know of a family or a few families that I can give these tickets to that maybe wouldn't have this experience on their own but really deserve because of how good of a people that they are?" And man, like it got so much momentum and got so many shares and then the news picked it up and came and did a story on it. And I had about 5-600 applications that came through for people nominating other people to get tickets to this Cav suite. And so, it was actually really hard to break it down and essentially I found four or five families. I think five families that four tickets a piece that I gave the tickets to. And it was pretty easy to narrow it down to like 25 because I wanted somebody who had maybe faced adversity, overcame the diversity and then found a way to pay it forward; not just overcoming it but actually paying it forward and creating a difference. So, you know, there was one girl whose sister died of an accidental overdose of drugs and now, this girl who's still alive, her younger sister goes around and speaks at different schools about opioid problems and drug problems and how to overcome that and different resources to plug into for that, you know. And so I'm like, wow, this girl, at the age of 16 years old is making an impact on the world; like she deserves some tickets. There was another gentleman who lost his daughter to a congenital heart defect. She was 3 years old, you know and loses his daughter to this congenital heart defect. And instead of like, I mean, I can only imagine how dark of a place he must have been in and he ends up opening up a nonprofit organization to help families with other kids with congenital heart defects to give them the support and help and the conversations and everything and making a massive impact up here in Cleveland, Ohio. This guy is such a good guy. I give him the tickets and he gives them to one of the people that are in his nonprofit, you know. And it's like, man, these people are just amazing individuals. And so I found five awesome families like that, that we were able to give the tickets to and like doing stuff like that really makes me feel good. And what's even better is that there were 500 people who I was able to create a catalyst by doing this who now, 500 people are thinking in a positive way about people who make a positive impact on their life. And just that positive ripple effect that's created, I think is really, really powerful and it was really, really cool to see. James: Yeah. When I talk to you, I get very inspired because it's not about the portfolio of real estate or [49:17unintelligible] rights, it's how you look at life and how you look at things. How you think positive and that's the most important when I look at a person. Tim: Yeah. And you do an awesome job with it, man. I mean, you realize that it's not the portfolio, it's not the money that's noble. It's what you can do with the money that's noble and utilizing it for good. I could afford a really expensive fancy exotic car and I drive a $20,000 Jeep just because I don't really care. I know that there's a bigger impact I can make by being a better steward of my Capital, putting it in more deals or paying it forward in ways like that. So I get more fulfillment from that than from maybe driving something fancy. James: Yeah, even for me, I can't really imagine driving exotic car because, do I really need it? Tim: At the end of the day, it'd be cool. I'd rather just go and rent one. I know I'd have buyer's remorse. I just know myself personally and I know that as soon as I bought it I'd be like, I don't really need this. And here's the thing. I like watches. I like clocks. I like taking nice vacations. I like traveling first class. I like that kind of stuff. I like making memories and traveling the world; I love all that. So that's where I get my drive from on making a lot of money. For other people, they like fancy cars, they like fancy houses; that's okay. I got a good buddy, man, he drives a Rolls-Royce and has multiple hundred-thousand-dollar watches, you know. But I know he doesn't do it for flashed and to impress other people. He does it because when he looks down at his watch and when he gets in his car, he always sits back and he's like, "Man, I had to overcome some adversity, I had to go through some shit in order to get this watch. In order to be able to afford this car. And I've had to grow as an individual, as a person and make an impact on enough other people's lives, positively, that then the universe came back and gave me enough money to be able to afford this car and afford this watch." And so, I think it depends on perspective and that's how you look at it. Like I have nothing against people who have fancy nice things, material type things. Because I know he's one of the most giving people that I've ever met as well and so it's perspective. James: Yeah, it's perspective. Yeah, awesome, Tim. So why don't you tell our audience how to get hold of you? Tim: Yeah. I mean, I'm pretty active on social media; you can find me on Facebook Tim Bratz. I run my own Facebook account, you know, it's not somebody else running it. I do some education stuff on how to get involved in apartments and things but hit me up with a message there if you're looking for formal education. I give a lot of away a lot of free content, a lot of free insight and I try to provide a lot of value on social media and stuff so just connect with me on Facebook. That's gonna be the best way and, yeah, man, James, I appreciate all the value that you give and all the value that you create and all the content that you put out there and, man, you're creating the ripple effect yourself on making a positive impact on people's lives. So appreciate you too, brother. James: Yeah, absolutely. Absolutely. Thanks for coming on the show. It was really a very inspiring show. I'm sure for me and for my listeners and everybody's going to be enjoying it. Tim: Appreciate it, brother. Thank you so much. James: All right. Bye.
Tim Smith of Chemistry on AOR vs project work, the Atlanta United campaign launchThe President of Chemistry, Atlanta talks about being named Ad Age’s small agency of the year - twice, the challenges with client agreements and the most successful campaign launch in professional sports history. Full shownotes and transcripts at www.creativeouthouse.com/podcastTranscript:Rudy Fernandez: Hey, this is Rudy Fernandez from Creative Outhouse. In this episode of Marketing Upheaval, I spoke with Tim Smith, President of Chemistry in Atlanta. Chemistry was named Ad Age's best small agency two out of the last four years, and we talked about that.Rudy: We also talked about what's not working with a lot of client agency relationships and new business, and we talked about the most successful launch in professional sports history and what we all can learn from that.Rudy: Check it out. Welcome to Marketing Upheaval.Earcon: You're listening to Marketing Upheaval from Creative Outhouse.Rudy: Hey, thanks for listening to Marketing Upheaval. My guest is Tim Smith, President of Chemistry in Atlanta. Chemistry won Ad Age's Small Agency of the Year in 2016 and 2018. They do great work and have some powerful case studies, including the most successful sports franchise launch in history, according to ESPN and Sports Illustrated. We're going to talk about that. Thanks for joining me, Tim.Tim Smith: Thanks for having me.Rudy: So I know you worked at a lot of big shops and big brands and stuff, and then you worked on Super Bowl spots and everything, and now small shops.Rudy: Well, first of all, why did you do that? Why did you go from the big agency, big budget to small shops?Tim: Yeah. So I started really right out of school, jumped right into the deep end and went to BBDO New York. Now, that was all big stuff, big budgets. I thought, "Wow, this advertising gig's amazing. We have huge budgets, and flying around, fancy hotels." It was fantastic.Rudy: I only get to hear about that kind of stuff.Tim: Right. Sadly, I got to experience it just long enough to miss it. So it was great. Well, I always wanted to live in the South, so I kind of would go to a big ad market, come back South. Got to a big ad market, come back South.Tim: Then an opportunity came up to be a creative director in a small shop, so I had the ego to believe that, wow, this small shop, they've got a few clients and I've done all this big stuff, I can certainly make them big, that's not going to be a problem. Found how difficult the struggle was. So we did some good stuff. We won a lot of business and stuff, but it was on a totally different level from all the ones I was used to. But I really liked it.More at: https://creativeouthouse.com/2019/09/18/tim-smith-of-chemistry-on-aor-vs-project-work-the-atlanta-united-campaign-launch/Support the show (http://www.creativeouthouse.com/our-work)
Tim Hur is the Managing Broker of Point Honors & Associates, a residential real estate firm in Duluth, GA. Tim has built a great firm and has also served on NAR's Fair Housing committee during 2018. Tim joins us to give life to the fair housing conversation and why it's important in our business. He also answers great questions around involvement in the industry and commitment to clients needs. Don't miss this episode. Tune in and listen to your favorite real estate podcast, reThink Real Estate. You can find Tim Hur at https://www.pointhonors.com The re:think real estate podcast is hosted by Chris Lazarus, Nathan White, and Christian Harris. Thank you for tuning in. Please subscribe so you don't miss an episode. Real Estate Podcast Transcription Audio length 36:42 RTRE 49 – Tim Hur, Managing Real Estate Broker of Point Honors [music] [Chris] Welcome to re:Think Real Estate, your educational and hopefully entertaining source for all things real estate, business, news and tech. [Christian]: I am Christian Harris in Seattle, Washington. [Nathan]: Hi, I am Nathan White in Columbus, Ohio. [Chris]: And I am Chris Lazarus in Atlanta, Georgia. Thanks for tuning in. [music] [Chris]: Everybody and welcome back to re:Think Real Estate. I am Chris Lazarus here with Christian Harris and Nathan White. Guys what's going on? [Christian]: Not much. Talking to my favorite people. [Nathan]: Speak for yourself. But I am glad to be here on recording so that's good. Excited we get to talk about some new stuff. For someone might be boring but I still find it interesting so I am excited about that. And this is about it. [Chris]: How is your CMA going? [Nathan]: My CRM…I am just slightly…I'm doing alright. [Chris]: CRM. I say CMA because Christian was just talking about could services and CRM. You know. [Nathan]: That is something I am still failing at. We won't talk about it. We have a guest and we don't want to bore people. [Chris]: We'll move on. We do. We do have a guest. We have great guest. His name is Tim Hur. For those of you who haven't seen him at NAR events, Tim is the managing broker of Point Honors. His bio is a freaking novel. So we're gonna let Tim. Tim thanks for joining us today. [Tim]: No thank you so much for the invitation. I really appreciate it. It's a lot of fun. [Chris]: It's great to have you on. So for…for our audience you have achieved quite a lot of honors. Why don't you tell us a little bit about yourself? And what you're doing. [Tim]: Sure. Thank you so much for that [laughter]. I appreciate that. Well my name is Tim Hur. Unfortunate not related to the fictional character Ben Hur otherwise I would be not selling real estate. Of course. But no I am…I was your 2018 chair, national chair for diversity for NRA based here in Atlanta. And I have been rocking and rolling ever since, been a realtor for what 12,13 years now. Kind of have been doing this right after college. [Chris]: Nice. So tell us your story. Did…Where did you grow up? How did you get into real estate? Where did you go to school? All the fun stuff. [Tim]: Sure. I was born in Huston. Moved to Atlanta than got too far away. You know, I went to high school here. I went to Georgia Tech right after that. And… [Chris]: [inaudible] [Tim]: I know. [laughter] Either you hate me or you love me. One or the other. But I had a really good opportunity going to real estate. So I got my license and got into real estate right before the crash. So it was really good. We all…I think a lot of us who have endured the pains of early real estate and have been in the industry at least for a while and everyone is complaining about interest rates right now but you know we started real estate when we were selling into it. It was 7,8,9,10,11,12%. So you know. The market tanked so I moved over to commercial for a little bit. And sustained myself with Doreos [phonetics] and commercial and came right back swinging and we've been…You know we have a small team here. We have about 18 agents in our company and we operate pretty well. So… [Chris]: That's awesome so you were the 2018 national chair for Federal Fair Housing and implementing that. [Tim]: Well slightly. So yeah I was 2018 chair diversity. [Chris]: Can you tell us on how that went on. [Tim]: Yeah so the 2018 yeah chair for diversity. [Chris]: OK. [Tim]: So the diversity committee from the national association of realtors we were…one of our tasks was to make sure that we helped launch the commemoration of the 50th anniversary of the fair housing act. So we were…we were very hands on on that last year. [Chris]: So what was the…like how did that go? What did you do for the 50th anniversary? I know I saw you at several events. But what was the whole…What did NAR put together for that? [Tim]: Sure. So you know a lot of us you know we think of fair housing and fair housing violations more as…I mean this...It is obviously a very dry subject and a very boring subject at times but it is very instrumental and very important. But a lot of us put their housing as a risk. More than something that you can violate… [Christian]: You can't [laughter] [laughter]. [Tim]: …Trouble and then we learn about it. But really we were trying to take it different aspect of it and try show that fair housing really should be implemented in the beginning where you really should know about fair housing. And the 50th anniversary was very, very instrumental and very…is very important because as realtors we are on the wrong side of the law. Back in 1924 our code of ethics actually said that we would not be instrumental in introducing members of the community that would actually bring down poppy values. It was a direct attack on you know Asians, Blacks, Hispanics. So there was actually red lining and we were instrumental in doing that. Obviously we…that's why it was very important. [Chris]: We as realtors, not… [Tim]: Right. Realtors [laughter]. Yeah that was in the code of ethics. And you know can you…Nobody really believes that 50 years ago that we were actually fighting against fair housing. And you know obviously people don't know this as well but you know Atlanta has a very strong history with Dr. Martin Luther King and he actually was a very big pioneer in fair housing. And the day after the assassination of Dr. King, about a week later was when the fair housing act was signed. So it kind of…you know it kind of…there was a lot of things that went out to it. And realtors got smart and the legal issues got smart and we started putting restrictions and covenants. And you know building you know, fair housing violations into them. But now it's obviously, it's all been taken away. You know as realtors or you know, people that are in the real estate industry we are now looking beyond race and all the…classes at the fair housing act and trying to include LGBT queue housing rights and stuff like that. So we are looking at the future as well to make sure that stuff like this does not happen again. [Nathan]: So question for you than Tim, and I don't want this to sound ignorant. [Tim]: No no. It's OK. [Nathan]: Right [laughter] you know, like fair housing you said it sounds boring but it's not but then again how big of an issue is it? Like it's not…Like I just don't…my mind doesn't think that way to say “Oh we can't take you here because of this, that or you know redlining as we talk” or steering. My mind does not work like that. Like it just… [Tim]: And that's like…that's the point. Right. So a lot of us…And that's why it was very important. Not a lot of us don't think to vio…Intentionally violate the fair housing act. Nobody goes out and says “I am gonna discriminate tomorrow” or “I am not gonna do this and that”. We do it unintentionally and it brings up…that's why it was brought up to light. You know when we…for example you know there is issues such as you know I know that you know we as realtors and tidal companies you know there is a lot of D distinctions where it says “This property cannot be sold to somebody of black descend or Asian descent”. It is actually built into the legal description. [Chris]: I saw somebody post one of those online the other day. Yeah. [Tim]: Right isn't that crazy? [Chris]: Yeah and it's the first time I have been in real estate since 2010, that's the first time I have ever seen it. [Tim]: Yeah and you…it's still there. What people don't realize is that Tidal companies they assure over it because it is illegal. They don't really remove that portion where it says, this portion you know “This must sold…”. So you know a lot of it is awareness but a lot of us don't go out and say “I am going to go and discriminate against you know, somebody in some, you know one of the protected classes.” We just don't think that way. That's why it's very important. That's why NAR really…and a lot of people took this as a moral of risk issue. Our committee was very…we were very adamant about you know rewriting the fair housing camp book. And making sure that everyone is tarter at the beginning. Yeah not to intentionally violate but a lot of us just don't know. And we just don't know. Sometimes you need a refresher. [Christian]: So I have a question so if some would say, I have heard you know going back… [Chris]:[inaudible] [Christian]: Yes. And I am in Seattle. So you know it should be much more progressive and more focused on… [Tim]: Sure. [Christian]: …Discrimination. That sort of thing. You know I have heard you know very well articulated points that you know the history of real estate is reared with if not has a lot of racism and discrimination in history. And sounds like back in the day NAR and probably the whole real estate industry as a whole is on the wrong side of this issue. When did that change? Was that kind of the process of the civil right movement as society started shifting? Or.. [Tim]: Yeah I think…So I think you know I can't speak on behalf…I am not a history bud, but you know a portion of it you know when FHA started issuing loans. You know a lot of after World War 2 a lot of our veterans wanted to have the white big fences and to live in suburbs. And they were denied that because of FHA insurability and saying there whole fair housing violations here. You know, as people came back and they were promised they could live in suburbs and they don't have to live in you know in the city limits sometimes and you know a lot of this stuff that were not allowed they weren't given the same rights so to speak. Some were African Americans but you know we also have to look at you know women. Women were not allowed to own real estate without the permission of their fathers or their husbands until certain parts of the country until the 70s or 80s. So you know, this is a very recent event. These are not stuff that again you know you talk about Seattle being very progressive and you know and California LA but you know fair housing violations come all the time. [Chris]: Really? No way. [Tim]: I know that there are several instances where I have been, when I go around the country for renters. Renters they see an interracial couple. And the landlord is like “No not renting to you”. But in the beginning it was fine because they look at the last name and they were like “Sure sure sure”. And than they come and meet the tenant and they're like “I don't want to rent to you anymore”. Why? “So what's really the case. Why are you not renting to me?” So you know there is a lot of those…there is instances and maybe there are one offs sometime but I think that if you talk to some of our women or if you talk to some of our multicultural clients or agents they may have a lot of different stories. And it was really interesting to hear a lot of stories. You know there was one case in Chicago. There was one of the champions that I know. And he was talking about how he opened a real estate company and people just kept his phone lines busy so that he cannot sell real estate. So you know back in the day we didn't have email so you know all we did was we had a group of people keeping his phone lines constantly busy so that nobody could call his real estate office. [Christian]: Wow. [Chris]: Because he was black. [Christian]: That's messed up. [Tim]: That's crazy. Yeah it's crazy. You would never think that. That's just something they thought about. [Chris]: You know what year it was? What year was that? Do you know? [Tim]: This is right…I think this is…I don't know. He does speak often. He is at the VLNAIR [phonetics] conference. Well…But yeah it's crazy just to hear this. [Chris]: It's nuts. [Christian]: That's in our generation. [laughter]. [Tim]: Yeah. [Christian]: That's… [Tim]: It's only a few years. So what can we do? [Christian]: Yeah for like your situation you're talking about with the…the rental discrimination with like mixed race couple or whatever. I mean what sort of resort they have because I mean let's say “Why don't you rent to us?”. I would imagine most landlords aren't gonna be dumb enough to be like “Well because you're black”. [Tim]: You actually would be surprised. [Christian]: OK. [Tim]: Actually you would be surprised. So you would actually be very surprised. And a lot of realtors you have to be very careful as well. [Christian]: Sure. [Tim]: Because you know and you know the way that you…You have to be puritan. If you report it you have a special dedicated line. You know you have to really be careful and they'll make the calls. [Christian]: Sure. [Tim]: You know if it's not any to you and they deny you. They may not sustain. They may not claim race or they may not claim sexual orientation or whatever the case is or classes. But they can…if you are denied they will call the landlord back and see if it is available for rent. And if it is they will try to go through the whole process you know with a very different case scenario. And see why they wouldn't rent. So you know if you don't report it, it doesn't get reported. So we encourage everyone. If you see violations, you have to report it. [Christian]: Sure. Now I would imagine that the violations, well I mean you know prior to the fair housing act you know it was just kind of part for the course. But I would imagine with those initially enacted those violations were much more obvious you know as they were struggling to civil rights and racial discrimination stuff. I would imagine it is much subtler these days. I mean what are you seeing as the most common violations you know and I would imagine a lot of those are even unknowing violations. What are you seeing now? [Tim]: Yeah I don't know if there is any common violations. Right. And again nobody goes out there and says “I am going to discriminate against a certain race or you know religion.” It's you know…it may be more nuanced or a little more subtle than before. It may not be so plain. But you know it does exist and it does happen. You know it depends…depending on what part of the country you may be in and if you're not aware or how to work with a certain culture you may…you may…you may be found in violation. Especially from the code of ethics not if you are a realtor. But you may be found guilty of violating their housing. And again it's a matter of reporting it. Rather than you know…And figuring out was it really a fair housing violation they really…”Are they doing something against me?”. [Christian]: Sure, do they take into account kind of intention versus ignorance or kind of just kind of if you were violated you violated it. [Tim]: That's…it depends on how that I guess would…how they want to…you know, how they want to approach it. You know I think a lot of the familiar status gets…gets you know found upon. You know being single versus with family right you know with 2,3 children,4 children, 5 children. You know what…I see that part often as well. You know, disability. You know, you have to make sure you don't discriminate on disability. So it's…I think some of the…You know…A lot of the stuff…some of this comes up especially during the rental process. No, I don't think you know someone says no to somebody when they buy or sell as much as you may see that in more of a lender, tenant sometimes. [Christian]: Sure. The ones I have seen…You own a brokerage, is that correct? [Tim]: I do. [Christian]: OK. As do I and Chris. And the thing I have seen most common that I had a couple of agents on would be like listing descriptions. Would be like “This is a perfect friendly house”. I am like “Yeah you can't say that”. You know, great for kids, you know. And the other think I heard recently you know was an agent who was working with an Indian buyer and they were like “I want to live in a neighborhood hat is primarily Indian”. He is like “I can't tell you that. You do your research, you tell me where you are looking and I will support that”. But you know… [Tim]: Yeah if you say like “Oh yeah this is…you know…I think I know where you would like to live because there is a very big Chinese community”. You know that…that's…you're steering somebody so you have to be very careful how you do that. You know the next kind of the big one you know is schooling. You know schools and how much is good schools. Is that also kind of rooted into fair housing right. Because sometimes some of the better schools will have certain races that would make them more predominant. And so people have been using sometimes, may be using schools for fair housing violations. So you have to be as an agent and as broker, be very careful of schools. Because they are looking at that now. [Christian]: So you're saying they're kind of using that as the avenue to be in a predominantly white neighborhood or something like that? [Tim]: Potentially yeah, potentially right. So you may need to be careful on how we present schools. You know if you're saying that this is a really good school it's very different form saying “Hey this school is predominantly white”. You know in a predominantly higher class subdivision, or a neighborhood so you have to be very careful of how you use school in it too because they can use that… You know it is interesting that you bring schools up too. Or I brought it up but you know the listing descriptions anyway. Because the other day I was browsing around and there is a couple of apps on…on target marketing. And some of the target marketing for properties I have seen clearly violates fair housing. And I brought it to their attention and they're like “Wow wow we don't do that”. But I am like “But you can click male or female and you can click how many children that they have and you can click you know…”Because the data is out there. So you have to be very careful on how you do your advertising as well and this is why Facebook got sued. Because you know make sure that you're advertising when you do decide to purchase ad space, that it is open to all. Because you know in certain people…and this is another unintentional case. So people have said “Hey this million-dollar house I envision this to be a certain client. You know it's gonna be someone with a certain amount of wealth. And you know a certain race and sex”. And so they target, hyper target it you know a certain demographics so to speak. And you know instead of targeting based upon salary they were doing it…you can literally click on the different options and I was telling them “This is very bad”. And then of course they redid their algorithm and they took out some of the choices but that it happens. So again another unintentional violation. You're not going out there as an agent to intentionally say “Hey I am going to market this property only to white people or only to Asians in this market or only to certain you know, Chinese”. You know whatever the case may be. So unintentional. [Chris]: That's interesting that you…you know with the whole schools and how Christian you mentioned being a predominantly white neighborhood for a school with…you know Harvard was just recently sued by Asian students for… [Tim]: Right. [Chris]: For not being able to get in because they were too good. So I mean it…cultures are changing. The demographics are changing and you know us as agents…what are some things Tim that really brokers or agents should know? Brokers can train the agents or things that agents should know to be aware of outside of the normal like federal fair housing. Because you mentioned online with algorithms. [Tim]: Yeah. [Chris]: There really has not bene anything that comes down formally that says “This is how you can use demographics online to advertise”. [Tim]: Right. [Chris]: In the past we've had…Say you're in the Buford Highway area and you're advertising in a Korean newspaper. In Korean. In…In my training it has been that if you were advertising that elsewhere in the general population that is sufficient but if you go online and you target that it's a completely different story. [Tim]: Yeah I think the intent is always a key factor, right. So you know as brokers our jobs are getting much harder. You know as an agent it's very important to train them but you know we…they're independent agents. You know we don't…They're not employees of our companies. You know we do have to watch what they do and what they say and I have seen a lot of employment agreement or…You know not employment agreement. I have seen a lot of independent contractors in the game that are actually saying that they are able to monitor social media. Right? Because that's one of the places where a lot of people do market their properties now. And it does get a little harder as our jobs you know, as you grow you firm and your brokerage firm gets bigger and bigger and bigger. You know, how do you control your 3000 agents in you know do not violate right and who is the one that gets the trouble the broker or the agent? Right? Who is the one that has to go through the whole process and who is the one that is gonna get fined? So it is you know…It's hard to always…Our job is you know to not employ…not only to encourage our agents to make money but to help them you know elevate their business. But it is a harder job for us. You know you mentioned advertising in different languages. And yeah you know I always say make sure that you just don't advertise it just to 1 community or 1 avenue. Make sure it is available to everyone. And I think just in general it's good practice anyway. You know, why would you put everything in all Chinese or in all you know or in Spanish. You're limiting your market sphere anyway so why would you do that? [Chris]: Yeah. [Tim]: You know it's good practice. [Chris]: So what got you involved with NAR? So you came into this before, divide, you got into commercial. What created your firm and why did you get involved on the level that you did? Let's steer a little bit off of fair housing. [Tim]: Yeah. It was fun stuff. NAR you know being a realtor, starting off in a realtor world, you know that is something that we kind of naturally gravitate towards. I was fortunate. I kind of took a different path. I went to NAR and started on committees at NAR first. I am kind of a little bit of a goof ball and I was taking a…auditing a class. ABR class. And I just happened to be with a lot of the past presidents and future presidents of NAR in the class. And it was really cold and being from Georgia I am always cold. I don't like snow and I took…I was in a hotel room and me and the instructor were just fighting you know over the thermostat and I just eventually took the hotel robe and I just brought it to class. And the minute he started playing with the thermometer I was like “Done, can't do it anymore”. Just put on my robe. Out at the NAR building. All the along had no idea. I didn't even know who I was even talking to. I was just like “Oh I came to take a class”. And then everyone was like “Is that the robe from the hotel? Did you just steal a robe? We're paying for your class”. And I am like “Oh no no I will take it back, I will take it back”. Come to find out that was Ron Vapes and Steve Brown and those were all the future presidents and the past presidents of NAR. So I think I made a little bit of an interesting impact rather [laughter]… [Chris]: Yeah that's a little bit of an impact. [Tim]: Yeah but and you know I started getting involved with the realtor world just because it's very important for us to really ensure that our business is sustainable. You know there's so many things that we do and one of the few plan to my president circle…planted our members in Georgia. And I just…you know. Right? [Chris]: Our Pack baby. [Tim]: Our Pack. Yes. I do believe in giving back. And so I do give quite a bit back just because I have seen the policy world. I am a policy wonk. I have you know as…I want to make sure that our housing rights are protected. And you know yours and my jobs are…you know we're not impacted every day and I see that. So I want to make sure that we give back. [Chris]: Well you know what Tim is a former Our Pact chair. I appreciate that. Thank you so much for your contribution. [Tim]: Of course. [Chris]: You did everything that Our Pact does. So what made you go out and start your own brokerage? How did you get back into residential? [Tim]: So I work with a lot of international clients. You know, the good thing about having a dip or diversifying in the real estate world, you know, when I jumped back into commercial I also started working with a lot of international clients and global clients. And so you know our firm is a little unique. Most or our agents actually are bilingual. They do speak more than 1 language in our firm which is nice just because we do cater to a whole different demographics of clients at times. And we can help them. So when I started working with a lot of international clients they weren't really affected a lot by the recession. So they were able to work with a lot more investment properties and stuff like that. So when I started coming back into the residential world they were looking for commercial and then they were looking for something to buy on the residential side. So I kind of put my foot back in and it was fun. I started my own firm because I wanted to have a little bit more flexibility you know. Back in the day I would have said that it was because of commissions but looking at it now as a broker you don't really make that much money. You…There is a lot more headache. But I wanted to… [Chris]: A headache [inaudible] changes [laughter]. Yeah. [Tim]: But I did want the autonomy. So I started the firm and ever since I did it has been going ever since out. You know there is a lot of changes going on in the industry and I hate the word “disruptor”, but there is a lot of change going on. But I think at the end of the day if you service your clients and you take care of your clients that's why they have always been with me and you know I think they will always come back. [Nathan]: A [censored] men to that. [laughter] [Tim]: Yeah so I just… [Christian]: Nathan said the first F bomb in the day. Ladies and gentlemen Nathan [censored]… [Nathan]: Well you know how I feel about that so you know you don't need a big name, you don't need a gigantic flag, you don't need to have all the tech in the world. Just need to take care of people. [Tim]: Yeah absolutely. And you know in that thing that is you know going to independence or working in a mega firm there is always pros and cons. But people always go…they go back to you. They back to Nathan White because they know Nathan White is in real estate. They go back to Christopher because they know that Christopher is in real estate. So I think that if you know…and that is what I try to teach my agents like “You guys can leave me any day, I mean I have to sign your release forms if you decide to leave tomorrow or today or within the hour. You know, I hope that you know, during the time that you were with me that you were able to build your own brand so they come back to you for ever and ever and ever for real estate purposes. And if you can't than tie yourselves with…if you're not gonna be in real estate than tie yourself with a referral company and make some money that way”. There are so many different avenues in making money in real estate. And I have a top agent, a top agent in my office. I call her top just because she doesn't sell real estate. She refers. And it's funny because she works for a company that does a lot of relocations and if they don't offer real packages she's like “Where are you moving? I know where you're moving to. Let me find you an agent”. And she just collects a referral check all day long. And so in my world that's a top agent who doesn't sell real estate but is able to collect and really utilize her license. But it's funny how…I know when the checks come in. And I am like “These are yours”. I know exactly whose check it is. It's fun. [Nathan]: So Tim I always like to ask some fun questions and I typically pluck them out of a great book by Tim Ferriss. [Tim]: So you're the one? [Nathan]: Yeah I am the one right. Tim Ferriss wrote a great book called “Tribe of mentors”. He asked everybody the same questions and I always like to ask guests a few of these questions that he asked people. So I will fire away with the first one. If you could have a gigantic billboard anywhere with anything on it? What would it say? [Tim]: A billboard with anything that I want on it? [Nathan]: Yeah what would that message be? [Tim]: [laughter] I think people very close to me would say…It would probably say “Leave me alone”. [Nathan]: Really [laughter]. That's great. [Chris]: Tim Hur wants to be left alone. [Tim]: You know when I am at home and I want to be by myself, I want to be by myself but you know you don't get that luxury as a broker and working with international clients. We're always…We're always doing something but you know just having the time alone to be like “Give me my 15 minutes”. You know I try to turn off my phone when I am working out just because I am like “That's my 1 hour that I have, don't have to worry about clients. You can wait”. But yeah I think that's…you know that was the first thing that popped into my head. [Nathan]: That is fantastic. Might be the best answer that we've gotten for that one yet. I don't know. Leave me alone. [Tim]: I think that's the most truthful one you could get on the show. Right? [Nathan]: Yes and I appreciate that. So... [Chris]: That's good. [Nathan]: So number 2, what are some bad recommendations you hear in our profession? What are bad recommendations you hear all the time? [Tim]: Bad recommendations. You know I don't think anything is ever a bad recommendation. I think you just...you're just…you're just very misguided, right. You just…people don't realize all the ins and outs of how difficult it is to buy and sell a home. Recommendations…Gosh I hear that every day. I hear bad recommendations every day. I will say that rather than giving examples you can probably tell by my face. My partner says that I have facial trots. And I can't hide it anymore. So when I hear something really weird or wonky my face just turns. So you know I don't say anything. You just kind of tell from my face. [Chris]: You just see the reaction. [Tim]: You see the reaction. So I have been told that I need to really control my facial [laughter]… [Christian]: Start doing Botox. Just numb your face. [Chris]: Yeah it will tone it all down. Just nothing to worry. [Tim]: Yeah just gotta tone it down. That's probably you know sort of recommendations I hear all the time. I will tell you that. Just kind of be careful of that. [Nathan]: Got you. So 3rd one. What is a book that greatly influenced your life? [Tim]: A book that greatly influenced…Who reads books? OK. [Nathan]: Audible counts. [Tim]: Yes I am a bad millennial. I like to have something in my hands. No this is… [Nathan]: I am a book nerd so… [Tim]: Oh you're a book nerd. You know I am a big fan of the Chronicles of Narnia and I do like reading a lot of of very you know I don't want to say Christiany but you know it's very interesting reads. You know things that are kind of up in the air and Scrutiny…One of my favorite books is the Scrutiny of Letters. It was…I re-read that book not long ago and it's a very good book. I would recommend it. [Christian]: Allegory. Allegory story. [Tim]: Yeah. I just like the title too. I mean Scrutiny of Letters. It's kind of like…you know. [Nathan]: I will tell you I like books. I do have to do a quick plug. For those that do listen and like to know what book…Right now I am reading a book called Men's Search for Meaning by Victor Frankl. If you haven't read great lately go grab this book. It's really interesting. He was an Auschwitz survivor. If you are having or struggling with your why in your life, go read this book. It will speak to you. Great book right now. This one right here. You can't see it because you're listening but those that are recording right now can, but an awesome book. So anyway, onto that. Well best answer ever. Leave me alone. Thank you for that. I appreciate it. [Tim]: [laughter]. [Christian]: I have a quick question as we're wrapping up here. So you own your own brokerage. So you're a managing agent. So are you selling real estate yourself? [Tim]: I am. I am a compete broker. [Christian]: OK. So you're doing that [inaudible]. Whatever. We know what you mean. You're still involved in NAR? [Tim]: I am. [Christian]: Right you're still committee. So what's…What's…I mean I don't know how you find time for all of that. But what's kind of your next move? [Tim]: Mainly. [Christian]: Because of your involvement in the association. [Tim]: You know in this…as long as you can constantly serve and you know I don't mean that there is always ways to always get involved. You know I am a big Our Pack guy. I am a big global guy. Big diversity guy. You put your hands in a lot of business. But the thing as…the important thing rather than what I want to do or what I see myself in 5 years with what the realtor world is really more of “Let's get everyone else involved too”. I think that's just really important on a local level. State level. International level. You know we hear all these different stories about “The realtor committee doesn't represent me” or certain things, “Certain communities don't represent me well”. We can find you a mission. We can find you a way to get involved. And I think that's the really more important story than trying to find where I really need to be plugged in the next life. We can all…We're all…We're realtors. We're selling real estate. We can bounce around. We can serve wherever we're asked. [Christian]: Yeah. Do you…Do you believe that non realtor, non-members have an ability to serve and make an impact without being a member of the NAR. Is there…is there diversity in that or… [Tim]: Yeah, so actually there's 4 multicultural associations that NAR recognizes rather. There is the agency of real estate association of America. There is a national association in… [Christian]: ARIA. [Tim]: Yes ARIA. There is the national association of Gay and Lesbian in Real Estate professionals. NAGLREP. And National association of real estate brokers for the black community and the national association of real estate…of Hispanic real estate professional. NAHREP. So you know just because you're a realtor…You know if you're not a realtor and you want to get involved with some of our multicultural associations that's where to go. And so they make an impact on their own communities itself. So yeah you don't have to be a realtor. We would always encourage you to be one but if you want to be one. But even if you're a part time or…you can still make an impact because there is so much to do in our world. And yes we don't have…There's only 24 hours in a day and we don't have a lot of time but you know there is always…You can shrug along and you can find something to do. [Chris]: I couldn't agree more Tim. Thank you so much for joining us today. We got a lot of really great nuggets both on the fair housing side, both on your background and getting involved. For anybody who wants to reach out how can they find you? [Tim]: You can find me again…My name is really easy just think of the fictional American character of Charles Helson and think of Tim Hur. Other than that you can find me on Facebook. I am easily available on social media all summer. It's always nice when you get hacked and someone makes a fake profile of you which I found very recently but yeah you can't miss me. But you can find me…the easiest way is just google me and find me. If you don't google yourself and do a vanity search of yourself I highly recommend it. [Chris]: Definitely. Awesome. Everybody thank you so much for tuning in for this episode of re:Think Real Estate. Catch us back next week as we celebrate our 50th anniversary…not anniversary. Our 50th episode. [Tim]: Congrats you guys. [Chris]: Could be a long year. But thank you Tim for joining us. Everybody if you haven't go to rtrepodcast.com. Put in your email and name in the little subscription form and be alerted every time an episode drops. So you can hear great nuggets from guys like Tim Hur. Thank you and we'll see you next Monday. [music] [Chris]: Thanks for tuning in this week's episode of the re:Think Real Estate Podcast. We would love to hear your feedback so please leave us a review on iTunes. Our music is curtesy of Dan Koch K-O-C-H, whose music can be explored and licensed for use at dankoch.net. Thank you Dan. Please like, share and follow. You can find us on Facebook at Facebook.com/rethinkpodcast. Thank you so much for tuning in everyone and have a great week. [music]
Tim Albright is arguably the most successful podcaster in AV. He started his career in radio, and somehow wound up becoming and AV consultant. He’s also worked as a control systems programmer and university technology manager before founding AVNation. AVNation is a network of AV professionals whose goal is to further the AV industry through education and knowledge. They do that through blog posts and covering industry events and they are most well known for podcasting. Their flagship podcast, AVWeek, was first recorded in 2011 and provides a weekly overview of the AV industry. Over the years they have launched several other podcasts like ResiWeek, EdTech and my personal favourite, A State Of Control. Transcript This transcription was created with IBM Watson's Speech To Text service. Computers aren't perfect. Please keep that in mind when reading the transcript. [spoiler title="Read More..."] Pat: Greetings everyone in AV lands my name is Patrick Murray and welcome to software defined survival, where we interview the people and companies in AV that you software to re invent themselves and the way they do business. We listen to their stories and asks for as for tactics and device on how to survive and even thrive in this software defines world. I'm excited about our first guest on the show he is arguably the most successful podcaster in AV and before you run away saying what the heck does podcasting have to do with software, I kind of see podcasting and blogging as software defined media. Right? That the podcasts and the blogs and things like that, they don't care where you are and they don't care how you consume it. They don't care what time it is like a radio show and things like that so this is definitely a software defined solution and that's why I'm excited to have this guest. He started his career in radio and somehow wound up becoming an AV consultant I'll have to ask how that happens and he also worked as a control system programmer and university technology manager before founding easy nation alienation is a network of AV professionals whose goal is to provide to further the AV industry through education and knowledge something that is near and dear to my heart and their flagship podcast TV week was first recorded in two thousand and eleven and it provides a weekly overview of the AV industry if you're in a movie you should definitely check out a few weeks it's a great way to get a a download of what's going on in the industry. Now over the years they launched several other podcasts like crazy week ed tech and my personal favorite state of control if your navy programmer definitely check out a state of control well ladies and gentlemen Tim Albright. Tim: Yeah, way too flowery. Pat: Welcome to the show Tim. Is there anything about that introduction that you'd like to add or expand upon? Tim: No you don't need me on the show now! Yeah yeah I'm good. Pat: Nice. Tim: How are you doing? Pat: Yeah I'm good I'm good. Tim: I'm excited for this dude. Pat: Thank you I appreciate that. I got a couple questions lined up here. We could also let this meander and go wherever it takes us. Tim: It probably will. Pat: It probably will. So I know you have kids I have a couple kids myself and one thing you'll never hear a child say is when I grow up I want to be in AV. At least, I haven't heard that one yet. So there's usually a story behind how people wind up in this industry so tell us how did you get started in AV? Tim: Why are you mention my broadcast and my broadcast background and I was working for radio stations and Lois and must show my my my wife and I Michelle had had had our first child and it was not conducive to having a child was not conducive to being on morning radio which is what I was because you know you get up at stupid o'clock in the morning and you go to bed at you know really early at night and just wasn't conducive for that and so I was starting to look around and the armada the college that I had had gone to school to school at was needing what they described as a in an engineer and somebody to take care of some projector installs once a month once a year and I was annoyed that day I'm, I'm somewhat technical and somewhat you know I can do that and I was already teaching already a production for them and so I was like sure I can do this and so they they they hired me on and what turned in what what started out as being do a couple of projector installs a year turned into holy cow we have no money and we have to upgrade all of these rooms and we have to adjust the programming in these rooms and we have to learn how to properly designed these these rooms so I quickly found myself taking Infocom classes and taking classes from various manufacturers and getting certified to program Sir your fax first and so I buy it we ended up having our own little small band of of designers and installers for our little college I mean we had a hundred ninety rooms which is not it's not small but it's not it's not the size of let's say young university of Illinois which is also listed above out for me but it was it was significant for us and so that got me only involved in AV almost from the get go. I mea, I went to my very first Infocomm shortly after starting there because of the lack of knowledge that I had and I need to get ramped up on so that's how I got involved was you need to do a career change and of finding myself you know in the ceiling trying to put together a five wire BNC and and getting a multi meter out to figure out why the heck my yellow look weird. Pat: Exactly switching that the black and white wires. Tim: Well, I started making cables with all kinds of short so that's why I that's what I used to multi meter is yeah every yeah eventually got better at it . Pat : So you mentioned your first visit to Infocomm do you remember what your first impressions were kind of walking into that hall? Tim: Holy crap, are you kidding me? I fell in love I honestly it well it wasn't the work and it was in the I love the work it was it was good work and I I still I still control is still my favorite part of of a B. and and probably always will be , but when I walked in the show floor this is this is back in the mid to late two thousands arm so wasn't the size it is now I was absolutely flabbergasted me, I had never been to anything like that like it before my life I'd never to the C. S. as as a as a journalist I'd been to a number of junk it's a movie junkets where they fight about interview people in this up now and go see movies and those are smaller by by a large margin but I never been to any be a detriment to CS and so this is my first trade show experience and I walked in the show for and I'm just awestruck and I'm like I don't want to do anything else I simply don't want to do anything else and I remember walking around and talking to folks and you know that was when I got to meet a lot of folks that I still you know consider friends today I mean I it was when when I will I met body mind his name is Kevin who happens to work for Crestron but you know met him there and I met them for the folks that just to kind of took me under their wing and said okay here's this here's as dumb kid that does not anything let's, let's show him a thing or two. Pat: Yeah there's nothing like having a mentor in those first years to know an explain things that are that are now probably totally obvious to you. Tim: And obsolete. Just for the record. Pat: Well, Yeah, RGBHV byebye. Pat: So everybody in AV usually has a at least one nightmare project under their belt. Let's not talk about that. Maybe you could tell me about your most rewarding AV projects and what made it special for you? Tim: Oh wow, see that one is harder. I can tell you can tell you my nightmare story off the top of my head. So this is not one that I specifically did but I was in charge of I mention the fact that I work for college and the largest the largest construction project that we were a part of the college I where I went to over the cards that I've I worked at was a small community college and it was it was bigger than what it should have been. It's it's it has delusions of grandeur at time and it's a good thing right I'm not I'm not saying that as a negative I'm saying that they have delusions of grandeur and all the times they meet those right so this is a community college who reaches beyond what the normal community college to play does they wanted to do a research center right this organization called script switches scripts ocean Oceana ocean out ripple oceanography is that right oceanic scripts motioning research center are they study the ocean well I live in Illinois, I live in southwest Illinois just outside of Saint Louis. We live on the Mississippi, the biggest outside of the Amazon the biggest of fresh water longest waterway in the in the North America there's nothing like that. Right there's nothing and so they wanted to develop a research center I community college, building a research center for the for the rivers. And where Alton is which is the whole time I live and it actually happens to be right at the confluence between the Illinois Mississippi and the Missouri rivers so not only are you on the biggest river in North America you're also at this very unique place between where all these three rivers come togther, right. So that's kind of the backstory here, they have this this grand idea are they partner with a bunch of people I know like we're gonna build this, right? It is a platinum level or gold level LEED certified building, right. I think when they started out they were going platinum and I think eventually they got gold. And we were tasked with doing all the AV in this research facility. Now there have been a couple other projects where they they built this this four story twenty million dollar research facility a year or two earlier and we spec'd out right. That was you're talking about thirty or forty rooms I think , six lecture halls that was subbed out we helped with the design and we we assisted with some of the direction but we did not do that. We did this research facility and at the end of the day when we had the grand opening and and this that and the other, you walk through and everything's working and everything's exactly you know what kind of the way you envisioned it as a designer so it was the first project as as a AV person as an A. V. professional, as a programmer, as a designer, as an installer you could sit back and go: „yeah we did that and it freaking rocks“. Pat: Nice! It does happen once in awhile. Has it ever happened again? Tim: No, well like that, I mean we've had a couple others while we were there like I said we were there and had the AV because we had to. Pat: Is that why you had that kind of success with it, because yeah because the control you have over the projects? Tim: Yes,absolutely! No it was one of these things where we were actually brought in early enough and every AV person in the world will tell you, the earlier we can get brought in the more successful going to half and we were able to do things like you know have conversations about you know the network and have conversations and this is early on with video over IP and integrating we used a,video conferencing system it was like the second or third video conferencing system college never had. We had two of them in this building because they were visiting scientists from all over the world who had their own water ways that they were concerned with they would come to this resurfaced research facility, because it was one of a kind of I believe it still as it was, one of a kind and so you had folks from China on you had folks from our member Argentina and Venezuela coming here. And so they needed to talk to their compatriots in a secure manner so we had we were tasked with creating a secure BTC system and something that was easy for them to use and understand and you know this was back way before anybody considered you know one button usability we had a one button system where they all they had to do was you know come in and and we were working with the the scheduling software and they can hit a button and they were connected to their people. If it was the right time and the right schedule. Pat: Very nice. There's a few things I want to impact there. Like somebody told me recently when a professor in a university for example. When they have a hard time with this technology, it kind of takes away from their credentials a bit. Right, if if they're like supposed to be this really smart person and they're fumbling around with the touch panel, it it kind of takes away from the authority that they have. So something like a one touch button, you know, where anybody could really use it, then they can get on with their own job. Tim: So, so I have a story about that. I have over the years worked with a couple integrators in Saint Louis. I still do work for one group. Just because I've known him for twenty years and they're good friends. One of the first times I was on a significant ,college and university in Saint Louis .I'm not gonna say which one. We were replacing a touchpanel and we get there and this touchpanel is concaved,right and this is an old, if you're familiar with the old Crestron quick media systems, it was a seventeen inch quick media touch panel, so this was not a cheap device to replace. It was somewhere between fifteen and twenty grants and the the entire center of it is concave and I'm like „what in the world happened to this?“ Pat: I think, I know what happened. Tim: There's this professor, who has like fifteen doctorates, probably like four or five, but still has a number of doctorates and is the first time using the system and just like any other good programmer you put in a cool down screen, when you're using a projector, especially back then right. Pat: Sure. Tim: And he said, how dare this thing tell me to wait two minutes so I can restart the system. And put his fist through it. Pat: Wow, he actually punched the touch panel. Tim: No, no he wailed on the touchpanel, to the point where it was busted. Pat: Yeah, I'm sure there's a lot of people listening to this, or I hope there are. Thant wanted to do that themselves once or twice. Tim: Oh, I'm certain. Pat: I know a guy, who threw his laptop across the room once, programmer. Tim: Laptop? I've done that too. Pat: Yeah? I always wanted to, never had the guts to do it. I wanted to believe it, but never had the guts to actually do it. So the other thing I wanted to talk about on that story was. I always like it, because a lot of times we do these projects and we go away and we never see how the rooms are used and usually it's some generic thing that you know we never really can appreciate at all. So I like the fact that you actually knew about people using the room and how they're using it. Like scientists coming together from all over the world and actually using your technology to collaborate and really produce results. That’s something I think we don't get to see often enough. Tim: Well especially folks like you, right. And you know folks, who are either independent programmers right. You guys are the mercenaries of the industry you get called in or subbed out and you don't. Alright, you go in and you know, I've talked about this before, you're kind of unique, because you're in Germany, you get to go around to different parts, different countries in you Amsterdam and done jobs. I've done jobs, not a whole lot of outside of Saint Louis but a couple of size and Louis. And you're right, if you are in this position, you're never going to go back to that job, hopefully. As long as everything worked correctly and see how they use it. Now being a tech manager, if you are a tech manager, yes, you get that you get that that ability you get that opportunity to do it on two different levels. First of all, if you're decent, if you are a tech manager worth their salt, you should at least be there or be available for folks especially new an incoming faculty to use your systems. Now you and I both know, that if you have to have instructions on how to use a touch panel the new done a poor job of designing the touch panel. But there are people with five doctor too that can't turn on a light switch successfully. Sometimes. Pat: They've got their minds on other things. Tim: Absolutely they do. So we actually developed a number of modules because we still had we're still going from one control system to another control system even when I left, because that we have had with at one standard we're moving to another so we had about three different, types of of control systems are at our college, so we had different models we had recorded them in and let met what made them available to new incoming faculty so I can get used to it right. If you're in this building with this is the type of system we have in this building this is how you access your but this building it's just a bunch of you know it's a it's a wall plate with a couple buttons this is how you do you you access it. And so, you would still be able to go and and and and walk through and and kind of be available the first couple weeks of of classes, to make sure that everything kind of works and and kind of comes off without a hitch. Pat: Very nice. Lets a shift gears for a minute and talk about AV Nation. Where did the... Tim: Why? I'm not very serious Patrick, you should know by now. Pat: Yeah I'm good I'm getting that, so I'll try to tone it down a little bit. Tim: No, you’re fine Pat: It’s my first podcast , give me a break, I'll loosen up. Tim: I have three hundred forty one AV weeks and I am not gonna count the other ones, so. Pat: Nice, so where the original idea come from? Tim: Oh Lord, so you mentioned very very nicely my broadcast background. I was weaned and kind of developed as a broadcast journalist at the the preeminent news talk stations at Lewis called KMOX. I had a job before I ever left college there and so I was able to rub shoulders with and learn from some of the best in the business it was it was owned by CBS at the time and so we were trained in the CBS way of of how to gather news. And said that that is my pedigree when it comes to the broadcast journalists part. And when I got involved in the AV industry and fell in love with it, that kind of put that down for a while I still taught on radio production in audio production, but actually since 2006, I was teaching students how to podcast I wasn't doing it myself, but I I saw it as an opportunity for up and coming broadcasters to cut their teeth and and and kind of stretch their legs and stretch their wings and see what's possible on in the realm of audio. And in 2005/2006 I was turned on to this week in tech by Leo Laporte. It's the twit network, yeah he has several podcasts, he's probably the most successful podcaster period. And possibly Adam Corolla has passed him at this point from a network standpoint I would say that Leo was probably up there. And so listening to that on a weekly basis, he does tech in general, right, so he does you know cell phones, computers and switches and all kind of stuff. Pat: Everything. Tim: Everything. And he also does for two hours a week which is way more than than I can I can do. So I was looking for something, right and, so there were a couple of people who have who have were already doing something not what I was looking for but they were doing something Essien at the time and that's when I see an atomic medications was doing a monthly video podcast are where they would bring people into a studio and they would talk about a specific project, right. So it was kind of white paper, a video version of a white paper. Pat: Okay. Tim: Wasn't what I was looking for. What I was looking for the twit version of the the AV version of twit, right. I want the news that I wanted it in a succinct way and I want it on a weekly basis. Nobody had it. Pat: Right. Tim: Right and I don't know that anybody's still does . Pat: Maybe in prints, but certainly not weekly, right. Tim: But not weekly, right. And so on it's one of these things where necessity breeds invention I didn't have what I wanted and so I made it. Pat: Scratch your own itch. Tim: Yeah, I mean I could see again I'm an old radio guy in and I've been in television as well and and I think that that medium has a lot to offer people. You get to learn people's voices and I don't mean that any any in the literal sense I mean, folks understand that I am as much, a lover of this industry, as I am not overly serious about it. And I was I don't take ourselves too seriously I've made the comment both on the air off the year it's our team and other people. If the projector doesn't work no one is going to die, right. You know it's not life and death and you have to understand kind of where your your places in the world. We make experiences. And I'm I'm gonna totally steal this line here, we make great experiences and our job as as a nation is kind of what we've developed into and what we were allies and and me still learning how to be a businessman, because I'm a producer that's my pedigree is, we speak directly to the integrators on a weekly basis, right. Way back when it when I was a radio we had, you will be called an avatar with this is the person that we're talking to. My avatar for AV nation specifically for a AV week are the folks the integrators who are are driving into their office on Monday morning: Why is it that they need to know for that week to be successful? Right? And that question has driven, darn near everything that we've done. It's driven the deep dive into the other, what I'll call niche podcast that we do on a monthly basis and that includes the state of control which is controlled automation that includes AV. social which is shell social media and marketing. Which is kind of developed into more marketing and social media because boxing in under understand how to talk to their clients, right. It drove a show actually from one of our underwriters, to look at the on the IT in A. V. and how they each influence each other. It drove a show that I developed probably a year ago with a consulting firm, called on the eighty profession. And that looks at you know ways to make your business better. Has nothing to do with the with the actual technology of AV, but it is about how to be better at your business. You know we've done everything from interview consultants who will help you with your business to interview business authors, on how to get consumer consumers. I'd just interviewed a guy who I was turned on to by a buddy of mine that I've developed a relationship with the Name Ian Altman. Ian is a fanstastic sales person to bend tastic sales consulting. He's spoken of a Bacchae spoke in other places you spoke with PSNI and super summit. Well, Ian turned me on this other guy by the name of Markus Sheridan. He is probably one of the best experts that I've ever read, when it comes to content marketing, he turned a like this closed bankrupt, swimming pool company in the middle of the recession, he turned around with about a year and a half through content marketing. And reading his story and reading his take on it, is fascinating and it's incredibly important to people in the A. V. industry. Title of his book is: „They asky you answer.“ It’s very simple. Pat: Okay. Tim: Your clients are going to ask you questions. Probably to the sales people, when they ask you questions, you answer it, in a not only obviously you know, Patrick is my client even assuming email say „Hey what about this and what what what's what's the steel with with HDMI to that on? How ist his gonna affect us?“ Okay, well first of all: Into the question to the client directly right now this is going to how it's going to do it this is this is what it's doing but then you send it to your marketing people and say „Hey we have a question, because, an old rule of thumb in broadcasting is that, between five and ten percent of your audience will ever ever contact you ever, I don't care if you're given a million million dollars will between five and ten percent of your of your audience will ever call and we'll ever email you ever contact you same is true in the business world. Between five and ten percent of your clients will ever ask you a question that is meaningful. You know, how they're going to be affected you take those nuggets, because I will guarantee you, that at least, twenty of the twenty other clients have the exact same question, they're just not gonna ask you. Pat: Sure Tim: Or potential clients may have that same question- they are not gonna ask you. Pat: Trash. Tim: But if you have this piece of content over here, right and they're searching how will HDMI two do affect me? Boom you have an article. Boom you have a video whatever, so it's stuff like this that has driven our content to say you know how it how can we best help integrators and in all honesty also tech managers do their job better and be more successful. Pat: Great stuff. I mean really does a lot of stuff to tackle their. How do you know what to write? That's something I always come up against, because of course this idea of putting content out there, that's all people find you. It's basically SEO, which sounds a little fishy, if you ask me, but if you are just writing stuff that people want to know about and they do find you, nothing is better than that. And I know what you mean like I ask, I have my online courses and I ask students all the time. „Please tell me what's wrong?“ and they never answer me. It's like pulling teeth getting any kind of feedback- out of anybody. And blog posting it takes a lot of time. It's really time consuming. It's a lot of fun, because it really makes you dig deep into a subject and become more knowledgeable about it and really start to look at it from different angles that you might not have considered, but again that time investment how do you decide what to write about. Tim: So we've done a couple different things. First of all we started taking our shows and regardless of the show there's going to be at least two or three different topics on each episode and and we've started pulling and culling information from there. But me personally, my personal blog it's what I'm interested in, right. It's what's hit me are within the last week or two weeks and right now this week I am formulating and doing some research for a blog about how the terrorists are going to impact the industry in North America large adversely beyond North America in the US our current president has put tariffs on steel, well let's not be silly a lot of our products are made with with feel , you know what the rack rack is a big giant piece of steel arm based metal and so I'm trying to do some research right now, because that to me is interesting and that's a question that nobody's asked yet. Is how are the how are the policies of not just this president every president, impacting our industry you know you look at what is it Brazil is one of the biggest exporters to us of steel. Guess what, they are also one of the biggest importer of what they are one of the biggest importers of US Cole. To make this deal. Pat: Okay. Tim: So you know, you're looking at stuff like this going, okay you know and at the end of the day whether it's you know Atlas or it's Middle Atlantic or its Chief and I'm just naming three you've got so many other people sure like a bank, that use steel every single day. And our listeners are users are clients or customers, how are they going to be impacted not today not tomorrow because they've already got a warehouse full of steel, but in six months or a year and then how do they decide whether or not to pass that shards alone? You know the first question is is there going to be an increase right. That's the number one question as you know this Atlas I eat is atlas and their racks had to they have to increase the price of middle when it comes to increase their price and if the question is yes it's almost like programming right, if yes then what's right and then you then the manufacturer has to make a decision without a past that that charge along most the time they have to, their business, they have to truck bass along the their their cost increases. And then okay so your you know H. B. can occasions are here city Iowa St Louis your rack price just went up ten percent okay you've designed a system you have a spec out will suddenly you're losing ten points right so how did you recoup that cost and hopefully you haven't done so are too far out right to where it's going to hurt you that much. But then how do you how do you adjust your prices again their business so they have to salute laces Hannah and so it just trickles on down to you know the final customer whether it's education reporter five hundred operation they've got to you know explain the situations I look you know. Our metal prices increased down the line, you know. Pat: It could, putting my programmer hat on, use less hardware. It could cause people to, right? Tim: That's actually a good point. Pat: Just their system design, put less stuff in the rac, right? That big matrix switch can be compressed down to a network switch and maybe the numbers would work out that way. Could be an interesting angle for to solve that kind of issue. Tim: Where people to more video over IP and not do it over a switcher. You'll also from a program from a control standpoint to you know move more toward software as opposed to you know a three to direct high, processor moved to software to where I somewhere in the cloud someone the network. Pat: Now how about that all due to the price of steel you the way things are all kind of connected to each other. You were talking about how the business podcast and I think that's another great subject because there really is no how to. And in A.V. for a long time everybody's always been busy. But with things changing, I kind of wonder, if in a few years from now, the flow of projects will change, just a little bit, if things do become more software based. Right the whole integrators maybe to change their business model. I mean it there was talk of this years ago, as margin started to go down with with Amazon you could buy display on Amazon. But the model still doesn't seem to be service based for the most part at all. It's still his margin based model of selling hardware. Tim: They trying. Pat: Yeah, well that's exactly the point. That I'm trying to make is like, there's no how to, to make that jump. And have you bumped into any resources on on a podcast to try to just help us you know take this thing apart and and figure out a new way to put it back together. Tim: Not on that possible broadcasters specifically. What I run into is some folks were doing it well. And I've run into those folks at different industry events. Two or three of my favorite events have nothing to do with the technology. They all had to do about the business of AV. Pat: Okay. Tim: And there's absolutely reasons to go to ISE, there's absolute reasons to go to Infocomm and all the other technology trade shows. Certainly you get to see cold things you get to do things you know it and and experience things, but what I would say is that there is more of a reason to go to these business centric our shows as well these business centric meetings. Pat: Do you have any examples? Tim: Well there's the three that I have is my super summit which that's only for PS my folks, in the CIA's BLC would stand for business leadership conference and then of ex is a back which is the A. B. executive conference. Is not taken out mean there's not there's not a technology showcase their. These are folks that are going to you're going to have a chance to talk with your peers, what other business owners. Pat: Right Tim: And find out what they're doing right and what they're doing wrong and how they can help you and honestly how you can help them. And in doing so, you know you're gonna be able to see what's worked in what's doesn't. You know we're obviously that there are regional differences in their cultural differences, not only across you know international borders but also on the scene in the US there's regional, cultural differences as big as we are. But the basics are the same, right and understanding that and it was it was actually at the BLC three years ago now, I ran into a young man who was in charge of emigration from up in Maine, which is singled out of the way. But but they were doing service and support, as a AV as a service and support through their clients right, they had they had taken the the sass model the software as a service model and convertible into AV rather successfully and they did it through number different ways number one was was the monitoring and maintaining of their systems. But that conversation and coupled with a couple different conversation with some other and integrators who had moved to AV as a service through not only monitoring but also leasing, the equipment. Pat: The equipment, okay. Tim: So it's not yellow you Patrick as the client you don't own anything, right. My contract with you says you're gonna have the latest greatest stuff within five years, every year, so it's my job to make sure that the system is up and running and maintained and that you have the latest greatest you don't have to worry about you know end of life for a projector or display or a control processor. Your stuff is just gonna work and it's my job to figure that out. Now you're going to pay me for that, right you gonna pay me for that, because suddenly you you don't have a need for a support team you know have a need for you know having somebody physically on site because I'm gonna come within and you know depending on base on the contract but within an hour five hours twenty four hours depending on what the contract says. I'm going to support you, to this to this degree. Pat: Do those numbers work out? Tim: It does for some people, it does for some organizations right for some for some clients they get, right. Pat: Is it really just an understanding thing or because you could put this in black and white: over the next ten years, system it will cost you X. and doing that as a service option will cost also X. Tim: X, plus some. Understand that, it's not, it's not the cheapest option, right. Pat: But you are not laying out the money up front. Tim: You’re not laying out the money up front: You're eliminating in you do you hate to talk about you know people line jobs for your limiting a jobber too are so your cost of off that. Number three you don't have to deal with the the half life of certain products of equipment and then you don't have to mess with what do you do with that product that that equipment once it's been taken out and that is actually one of the dirty little secrets of A V. Especially from a technology manager standpoint. Pat: Sure. Tim: What the heck do you do with this crap, once you've taken out of the rack. Pat: It's useless. Tim: Seriously I had the office I had it at Lewis and Clark, which is the college I worked at, it was, our head in for our master control for our our internal TV station, okay. So I had it you know five racks worth of equipment the set the other about time. I left there I had replaced everything in that rack, when I got there. It was all old CRTs and an old old analog equipment. Pat: Big stuff too . Tim: I all of my gosh I had, replaced everything in that rack to where it was down to two racks. I had a back room full of gear. Pat: Yeah, try ebaying it. Tim: Ebaying it is worth less right, because you you get five or ten Bucks. But then so we only end up doing electronic recycling our college had a green initiative in this and other once a year , we electronically cycle and that's where a lot of those old five wire switchers went right to a company that we knew that that are college had had bedded they knew what they did with the equipment once they got it and and they were responsible about the way that they dispose of it. But you know that's one of those things that folks don't really think about because you know I don't care what the VCR with the doc came from her years ago. This stuff has first of all has hazardous material and right now people think about that but you've got lead in there you've got ill do it like this electronics have got crap in it that probably shouldn't go into the ground how do you responsibly dispose of that and some companies absolutely do really good job of that they'll have a program to where the either get a credit to their their clients are the height say „Hey I'll take this off your hands and as we know how to properly dispose of it“. Absolutely there is that there's also I would say a large majority of folks we simply don't know what to do with you know a sixteen by sixteen BJ switcher, once they take it out and replaced it with the with a digital equipment. Pat: Right, so that's like another bonus of that as a service modelle right, they would take care of that that final tasks. So it sounds like this is all as a service model is more about convenience it'll cost a little more but you get a ton of convenience it's like kind of like what Rich does as a white glove service. So what's the hold up? Tim: Getting the AV sales people to wrap their head around it. Pat: Are we, so we are our own worst enemy, kind of. Tim: Absolutly, it’s just like every industry by way. Pat: Yeah, okay, sure, but this is like a real opportunity to grow, because you know within a service model, you know how much is coming in every month for the next five years. These are contracts as opposed to the way we do things now, a project comes in, you get it done and then you basically start from zero again. Tim: I think some of is also cultural, going back to that, but yet it's cultural as well, because you have a business that has a business plan. And it is in their business plan to sell ex amount in their hiring the salespeople to sell a system. Pat: Okay. Tim: I'm not so the contractor and some of that's it you know some that's also a cultural shift internally to say okay we're going to make the shift. I would say that the folks that I know they had gone to the service model alright there are sure to migrate to art are incredibly successful. Pat: Yeah. Tim: I am certain that there are failures out there. I have not heard of them, but I'm certain there are values out there, people who for whatever reason whether it's their market or their client base or whatever. Just couldn't get off the ground. Then gone back to to doing you know sales and and a service as a separate item. Pat: Okay, so to shift to an end as a service model, is obviously a big investment, right. It would it completely changes everything. Is there a pass to do it incrementally? Tim: That actually is how you almost have to do it, right? You can't exactly do on mass, you would have to take it , object right so you get an RFP, or you are selling to a client and you know you're listening to them and you're hearing their their big pain points. But that's the other part is this is not for everybody , there are some folks who eaten will never let you monitor their network okay ever let you monitor their system. So unless you can overcome that hurdle, it's not gonna be a very successful AV as in service installation. So that you use a limited arsenal system. Pat: That could be handled with staffing no? Tim: Yes and no. I mean yes, you can put somebody physically on on site, right. And then that's another cost. Pat: Right. Tim: Some cost, but yeah absolutely. Pat: Okay, interesting stuff. Let's shift gears back again to....you know that kind of reminds me of, is like you were saying, to start incrementally like I tell programmers just do something small you know find your smallest projects, if you want to learn a new programming language and tried on that something that you know you could go back to your old language and do in just a few minutes. But just just try it on a really small project first. And that's how you that's a gain confidence with these things- that's how you start to that so you go from crawling to walking. Tim: That's why the most famous phrase and all the programming is „hello world“. Pat: Yeah, there you go. Tim: Seriously, because that right there is you know if you can do „hello world“ in a language then you can go from there. Pat: Yeah, definitely. So speaking of control, „state of control“, but I'm a big fan of it, obviously. Tim: I am too. Pat: It's actually, you know, hearing everybody, she knows that I respect, talk about the different ways to approach AV control it's it's kind of inspired me a bit to follow up on some of my own ideas and develop them and even try out a new product or so on the market. They don't know it, didn't always work but. Tim: Oh they will. Pat: Do you know of any similar stories on estate control or any other podcasts where somebody's been inspired to really take action and do something with the information that that you guys are providing? Tim: There are a lot actually over the years. Pat: Pick your favorite. Tim: I'm trying to think, but I will probably will I'll stick with state control and the good lord this has been, two or three years ago now. I can't remember. Crestron came out with their diamond level programming. If you're not familiar with with Crestron sort of by programmers there are, number of years there was sweat three different metals and was bronze silver and gold and then they came out with platinum and then they came out with diamond. And we did a special episode with the first ever diamond programmers. Now two of them were Crestron employees but still there was there was four of them that were that were first ever and out of that Labadie Dave hats started talking about doing diamond and he became a diamond level year later the first ever diamond that I ever knew personally right. I knew the couple of the posters of the question that but I didn't know them really well the day was the incredible fantastic very talented diamond level programmerer. Pat: But we should also point out that it's about three weeks of work to do that certification. Tim: Well, more than that, because then you have to do it, you have to keep it you, have to teach every year. Pat: So it's a real investment. Tim: It's incredible investment and even with the one thing that I find fascinating, is you have to teach outside of your discipline and what I mean by that is, Dave is a network programmer, he could take you know network control and and and run with all day long he's a commercial programmer, he has done commercial programming for years, so the first class he did was buy a home. Pat: Was resi. Tim: Was residential automation. Fish out of water. As our water and that's with a duty right. That's what they do to you. To stretch your arms and to get you kind of on the path of making sure that you are not as a real well rounded, right. I'm obviously Hatz probably has you know, fifteen pro3's in this house and use fully automated the only service dog food every morning you know outlaw doc brown. But you know it it's, there is something where it's you're getting outside of your comfort zone and outside of what you do on a daily basis. Pat: So, I've had to make his decision myself and I decided for the time being not to make that huge investment in the next level of Crestron programming just because, yeah, does it really make a difference? And you know, from what you're telling me, this guy was inspired to make this huge investment, from one of your shows. I don't know, what do you think, does it really? Maybe it's a country thing, here in Germany maybe they just don't look at certifications the same way. They all kind of look the same and blur, but is there, yeah. Tim: This is why it depends: You're an independent programmer. I have been outside of the spec part of the AV industry for probably too long, so I understand that when I say what I'm gonna say. I have not yet run into a situation, where somebody has put on us back, that they want a diamond level programmer. It doesn't mean, that they're not out there. I'm just saying that I have not personally run into or heard about a spec I ate in our P. where somebody has put down but they want a diamond level I am certain that there is at least one or two out there that that they've asked for. And the other side of that is there very few situations where it be where it would be warranted. Pat: Well, that's the other thing, yeah. Tim: By and large most course for most programmers I know Crestron AMX external, most of them that are worth their salt and they get they get their certification, can handle a vast majority, of thrown at them. Yes, there are building automation's where you know what you're doing. right. And for that I would say a higher level of certification would be needed. And what you should be called out of respect, but if that's what your business is and that's what you talk about what you do on a daily basis a personal question then. Pat: You know, sure sure, got to be decided on a case by case basis Tim: Yep. Pat: Alright shifting back TV nation. I remember running into you a few years ago and you quietly whispered to me in my ear that you were I'm gonna go a hundred percent all in with AV Nation. Do you remember that time? Tim: I do. Pat: So what was the biggest reason was the biggest thing that that gave me the confidence to make that jump? Tim: Two things. First one the the support of my wife. Of any ship flight that you have to have the support of your partner, regardless of who that is. Pat: Absolutely. Tim: Certainly it was it was a weird combination. So we had just started monetizing aviation and and by what I said just I mean we had this was the first start, we had just started taking on money from other people up at that point it was completely financed by me. I was financing and by doing some outside jobs. We had just completed our first trip ISE, which was a can credibly successful Kickstarter for us. It was very humbling, because up to that point well Infocomm was a trip that almost went to anyway. So we were kinda able to kind of couple together and I could cover whatever nobody else could. But ISE was different, ISE was a big chunk of money. It was ten grand was our budget show and our listeners came through in our supporters came through in a huge winds quickly on more, but also prove something that we could do it and we could do it differently, than other people and that's kind of what our thing is. We cover the industry in a unique way because we're all in the industry. And so I wanted to finance it in a different way to kinda keep with with who we are. And so after I see that year was actually I was I is the twenty fifteen twenty fifteen to that I was looking around like, okay what's what makes sense to me and I'm a big fan of NPR and PBS and BBC in the UK and an image are an arcane and just the way they think their model is which is pretty much be a publicly financed but no undue influence, I guess the best way to put this. Pat: Okay. Tim: And so the way that we have our contracts with our underwriting structured is, there's no real influence. And you know that's just kind of the the way we we wanted to go. And so we were starting to take on some money, not a whole lot but enough to offset into where I didn't have to the side projects anymore. And the company that I worked for, was eighty eight, independent programming house. I was the they operate the ops manager for. We got sold to a local integration firm in Saint Louis of folks that I have a lot of respect for. Good friends with. They were one of our biggest clients at at the time. And some sitting in this meeting and not really knowing what to expect from them. They were very gracious, they had all these ideas for me. They wanted to do this and this and this and I'm sitting here in this meeting going „this is a unique place in my life, this is a unique time and I have an opportunity, I can absolutely take this job. I could take this job and I could work this job for a year two years five years whatever. But AN Nation at the time was in a unique spot that I was I it was it was when those moments where you either take it full bore and and and and take it out and spend it and take it out for a test drive and see what it's capable of. Or you just keep in the garage and it's something that you can tinker with on the weekend. And in that moment I just kind of decided well this is this is my time to figure out whether or not this is something real or not. Without this is something that people can really honestly sustain or not. And I told them that and I remember the owner, who's become a very good friend of mine and one of my business mentors, says „well it sounds like you're quitting, before you ever start“ and I said, „well I kind of am“ and so I left that meeting oddly on cloud nine. Not having a job. I was unemployed, thoroughly. And it has been the scariest and craziest two and a half years of my life and I would not do it differently. Pat: Excellent. I like how you mentioned you had to recognize the opportunity, that was happening. It was the it was a special opportunity that came you had the Kickstarter you had maybe a few underwriters so you kind of proven that there was a need for it that it could become something and then the company getting sold was kind of a catalyst to to kind of snap your into reality and say „wait a minute, I can either do this or that“ and then you chose this road. So what was what was really your biggest concern at the time what what were you worried about? Tim: Paying my bills. Pat: Yeah obviously. Tim: I mean so it's interesting, that when I tell people my story, they're the ones that one of the more common questions is „you have your wife“ and yet „you have kids right like „yeah yeah that I've a mortgage I have to to pay for in Ohio. Pat: Are you mentally stable? Tim: No, no I'm not. You know, but now that's that's the biggest concern every month you know and and you know there are months that are better than others. And well I have a really good friend, I have known Michael for over twenty years he has recently in the last year and a half he has gone out on his own is does he does IT consulting. And he will be on me the powerful, for advice and I'm you know is is one thing we were I'll tell him is like looking out there there are going to be days and they're gonna be months that are horrible, right where you are going to question your own sanity in question your own your own brains. But we've gotten to the point where we are are stable and we are solid. And I'm I'm happy with on or the underwriters that we have them happy with the group that we've got and so out of that stability you okay so what were stable now it's taken us two and a half years to get stable but were stable so okay so what does any good entrepreneur wants wants a stable, you try to grow right. And so we're in the process of doing some things that were were assessing some things and going okay you know what can we do to be a silly bigger for her sake but what can we do better? Right? What what can we do better how can we do things are even more differently and how can we reach more people and how can we do it more efficiently and how can we make our underwriters lives easier and how can we connect with more integrators and and what are we not just covering and were we not doing and you know we we started doing adjustments expo last year twenty seventeen. For the first time and we are doing it again this year, because our integrators are telling us that deals digital signage as a particle is important to them, so okay so you spend two days in Vegas right honestly Patrick it's the cheapest show that I do , from a from a cost standpoint, so it is the least expensive show that we cover and it's you know I'm in Saint Louis so I tell people, I'm spoiled as far as he is whites it takes me I get any place in the country in three hours you know at the most and Vegas is among those and you know southwest being southwest you can get in a fight pretty cheaply and you know hotels in Vegas Sir you depends on where you stay obviously but you know those little relatively inexpensiveunless you go during CIS, which I've heard really horror stories about that, but that's a whole nother issue: But you know it's it to you you grow from a stability standpoint and a you stretch and you see what's possible and you know we're not perfect by any stretch the imagination we have our own issues and and we're still learning how to be a website as opposed to in in addition to being a podcast company and that comes with that with its own challenges, because it's something that we never had to worry about you know was a website traffic because our our podcasting traffic is is what it does. And so that comes with is its own set of challenges and trying to shore that up and and learn because as a business owner I have to make I have to make intelligent decisions so the way that I make decisions, I want to learn everything about right I'll be an expert but I had to have I have to know enough to make an informed decision, so you know learning about you know things like you mentioned SEO and learning about things like making sure things are in proper categories and making sure that your , you're promoting so proper and all this other „hoo hah“ that I never had to worry about you know five years ago. So that's a learning. It's a way that we can we're able to become better and and serve our clients in in our our listeners better is okay, we're good you know we're or stable now now let's start stretching. Pat: Excellent, sounds great. Any plans for the future you'd care to share with us? Tim: Take over the world. Pat: Really? With a podcast? Tim: Absolutly. Here’s the thing- we I see online media, as not just the future of media in general, but I see it as as kind of where we're going as a society and I do mean it is a global society. I still believe in print, I think print is a is a fantastic medium, I think the journalists that worked at The New York Times SEM are fantastic people. Right? I think they do an incredible job of what they do, but I also look at what time magazine is doing on time magazine, if you've never heard of them is little magazine right, but they start out being being a print magazine. If you go to Times website you're going to see as much video as you are written conduct and you take the flip side of that company that started out as being just as video on that CNN, CNN start out being just video right. It was the cables news network, well with the the onset of of the of the internet are there is much written as they are video on their website now so you've got you've got to be as a media company you have to be everything are you have to provide folks written content as well as video and I would argue also as well as audio all you have to give your audience what they want in the format that they wanted an you regardless of whether you're covering audio visual or you're covering politics you have to give folks what you what they want in the way that they want it. And it took us a long time to realize that it really really dead because I thought blocks right I thought blogs I thought press releases I fought you know written content I'll let them right on the folks that help me run AV Nation will tell you that but I finally realize that you know what yet not everybody likes listening to me talk right not everybody likes looking and looking and then when watching some people just simply like to read , okay so you gonna go down that road as well. But no I mean I am I am fully ensconced in my business owners share. !I wanna take over the world, I want to be the number one you know audio visual media platform, I want to be the number one audio visual media company out there I would be number one and I I say that very humbly and but very honestly you know I am also a competitor, as well as a broadcaster and so how you do that you listen to your people you listen to you you listen to people who give you feedback , you make adjustments and you say okay to that just don't work and if it didn't well then you go back to the drawing board okay what what what's next. Pat: Excellent, excellent. Well, you're doing a great job you're definitely on the path. You know I'm a big fan. I remember the first time you called me for a programming job, that's the first time we met. Tim: Yep. Pat: And I was like holy crap, it's Tim, I heard your voice on the other side of a phone and not coming through my car speakers, so yeah there's a there's a lot about the power of you know audio and voice and things like that but but the other know die that you were mentioning it sounds a lot like the way people learn too. Like some people learn better with text, others with video and I guess the news is a form of of learning too. The next big change could be right, you're saying that there's this move to video. What happens when everybody has a pair of googles? Tim: No, not everybody will have a pair of googles. Pat: No, no, because then you're there, like it doesn't get more real. Tim: Well, the reason I say that is because I am, objects are right I am that you know that that lost generation between the damn boomers in the damn memorials and yeah so we're we're you know we're that we are the forgotten generation at and you know there there is you know our our kids are kids may very well have goggles the more likely than not our grandkids or great grand grand kids may very well have the goggles but in the meantime it is the augmented reality of the cell phone right and you know it it's the reason I say that we we probably don't have goggles is is does he goes back you go back to 3D. one of the main reasons the three D. never really took off to the people who were in the glasses if they don't have to wear glasses. Pat: Sure. Tim: I'm thirty three years old and I don't have to wear glasses knock on wood right so do you think Zak like you know my dad was forty when he started wearing his readers and I'm forty three and I still don't have to so I and I will fight it tooth and nail but I I'm legitimately I'm not I'm not fighting and there's a there's a box over there with the small print I can still read it now you know once I get to that point with wearing glasses you know I I don't know that I'll feel differently but I would say that if you don't have to wear glasses you're probably not really apt to even if it's going to give you some weird experiences however okay if you are already looking at yourself or let's be very Frank about it we all are right arm then you you kind of lean towards that and there's there's where some of the the I a are going to come from in our years honestly there's some games out there and there's some programs out there with that I'll let you you know see stuff on your desk if you know if you look at it through the through your lands and I'll give you an augmented reality experience. Pat: It's gonna be interesting however plays out. So given your background in the AV press do you have any ideas on for somebody if they're coming out with a new software based solution or even if it's hardware based something new and different approach to solving something in AV? Do you have any ideas or advice on how to raise awareness for something like? Tim: Two things. First of all get yourself a couple integrators to buy into it, because here's the thing so regardless of what the press release says this is the this is the latest greatest thing in the history the world and it will change how everybody does business in a brief period in the sentence right, I just wrote somebody's press release with, it doesn't matter if you don't have somebody to sell it to and to give the people in the press, a use case because with very few exceptions, the vast majority of audiovisual press have never been in the back of Iraq pulling cable. Pat: Okay. Tim: And as much respect as I have for them and I have a lot of respect for for everybody that that I work alongside in the process of the AB industry that is one thing that that they don't have as they do they've never worked anywhere right so that you're gonna tell them its latest greatest thing I don't care what the display with its control program over to switcher. They're gonna look at the specs and their comparison up to an old the on the previous model and they're gonna say you know this does X. amount more or this does this and the other and number one the kind of had to take your word for it unless you're there physically going to get a hold a bit and I have the testing equipment to test your hypothesis in in your your marketing speak or they're gonna talk to any writers that they trust that they've developed relationships with. They all do you know they're out there they all do their job right they did they have any brothers that they trust that they can bring to other they can bring a product to and say what do you think about this and why. And then no cultivate you know I'll use their their opinions is as part of their of their coverage because these are the folks are using on a daily and weekly basis, so I would advise you to obviously connect with the press but also connect yourself with some integrators and that you can point the press two and say look here is Susie's AV emporium who's been using this product for six months and this is what they think. Pat: All right. Great stuff, thanks for that. Tim, I think we can go on for a long time here, we're gonna have to do a part two some time Tim: Ok, whatever. You're in Germany so you can stay up as late as you will. Pat: Exactly, I think the kids will be knocking on the door here and running the podcast any minute so... Tim: It wouldn't be the first time. Pat: Exactly thank you so much for being on the show. Tim: Absolutely. Even with that shift in my head and and shipped in my philosophy, I sat there for probably, five minutes, yeah I'm wearing and blundering and just putting off quitting pressing record, before it will before we did our first show, once I pressed record and I started, it was down hill, but it was the active physically pressing record and saying what I had been trained to say which is three to one before ever start recording, it was that act that I was I was putting off right, I was it was that for whatever reason that pressing that record button was so difficult and in the moment. You know I had talked around I'd never met him before I had Linda from this who was a long time AV industry journalist, out her husband works for, okay booking audio and then I had my buddy Michael physically next to me right we're sitting in my college radio station that I top production and at the time and you know I've got things kind of Jerry rigged between two different computers and and a recording system and it's on the other, but it was until I hit record that it actually started doing anything in my head Pat: Yeah, have you heard about the war of art? Tim: No. Pat: He talks about exactly that it calls it the resistance he gives it a name he calls it resistance and he goes into this whole book is explaining how the resistance is out to get you and prevent me from doing everything you're meant to do it's it's a great book, are the war of art tour of art and, it's a good one to read for ten minutes in the morning to then she did to fix your head right. Tim: Okay. 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Spacee has staked out an interesting position in the sharing economy. Spacee enables companies and individuals to rent out unused meeting room space to people who need to hold a meeting. It's an interesting take on applying a sharing economy model to business. I’m generally very skeptical of startups who define themselves as “Uber for X” or “Airbnb for Y”, particularly in the B2B space, but Spaceee has already been in business for several years in Japan, and they are seeing strong traction and increasing revenues. They might really be onto something. Taku has some fascinating insights on why Japan, and Tokyo in particular, might be far more fertile ground for sharing economy startups than almost any other place in the world. It’s a great discussion and I think you’ll enjoy it. Show Notes for Startups Why the basic business case makes sense How large the meeting space market can grow The challenge of expanding outside of Tokyo Why Spacee turned down venture financing to bootstrap for three years Whats wrong with the current fundraising environment in Japan Which other companies are coming into the meeting room rental space Why Japan is uniquely suited for the sharing economy Links from the Founder Learn about Spacee Follow them on twitter @spaceejp Friend them on Facebook An interview with Spacee CEO on fundraising [shareaholic app="share_buttons" id="7994466"] Leave a comment Transcript from Japan Disrupting Japan, episode 59. Welcome to Disrupting Japan - straight talk from Japan's most successful entrepreneurs. I'm Tim Romero and thanks for joining me. You know, the world is full of start-ups that define themselves as “the Uber of X” or the “Airbnb for Y.” Frankly, most of those business models don’t really make sense when you dig into them. Spacee, however, might just be onto something. Spacee rents out unused space around Tokyo to salesman, co-workers, or people who just need a quiet place to conduct a little business. As Takuya Umeda explains in the interview, it’s not just meeting rooms that are being rented out. The sharing economy is relatively new in Japan and Takuya and I talk not only about some of the problems its facing here, but why, in the long-run, Japan might be better suited for sharing economy companies than anywhere else in the world. He also explains why Spacee decided to delay taking outside investment for almost three years while they built their business and how that turned into an advantage later on. But you know, he tells the story much better than I can, so let’s hear from our sponsor and then get right to the interview. [pro_ad_display_adzone id="1404" info_text="Sponsored by" font_color="grey" ] [Interview] Tim: So I’m sitting here with Takuya Umeda, co-founder of Spacee. Thanks for sitting down with me. Taku: Thank you, Tim. Tim: Spacee is kind of like Airbnb for meeting spaces, but that’s a really overly broad description, so why don’t you tell us a bit of how it works. Taku: Spacee is really like the Airbnb of business. In Japan, wherever you have a meeting, if you have an outside meeting, the only place you go is like Starbucks or a café. Tim: Right. Everyone meets in coffee shops. Taku: If there is a professional conference room, it costs really expensive. It’s probably like 5,000 yen per room, per hour. And at that price you can’t really do much, like brainstorming and start up some business plan. Stuff like that you can’t really do. And a café is not really good at it too. So we found that there is a gap between an expensive conference room and a Starbucks, so we fit into the gap. Tim: So something a little more formal and private than a coffee shop, but not quite as formal as a hotel meeting room or a service office. So tell me about your customers. Who is it that’s renting out these spaces and why are they doing it? Taku: You know, there is a lot of salespeople around and they stay l...
Tim: Several months ago, a woman named Elizabeth Salgado was last seen walking down the center street in one of the safest cities in the United States - Provo, Utah - and she went missing. Somebody apparently took her, and that left a family in absolute shambles. I have two members of that family here: Elizabeth’s mother, Libertad Edith, and Elizabeth’s uncle, Rosenberg Salgado. Thank you both for coming on the show today. Can you tell me what happened, or at least what we know about what happened to Elizabeth, and how that affected you and how that affected your family? Rosenberg: First of all, just so you know, Elizabeth Salgado was a missionary of The Church of Jesus Christ of Latter-day Saints. She wanted to come here to Provo, Utah, because she wanted to be associated with people that they had the same religious beliefs, and wanted to progress in her life and be able to open more opportunities in her life, and wanted to be in a great place, safest place on earth. And she thought that this would be, like, the best place on earth for her to be learning English. Unfortunately, three weeks later, on the 16th of April, she went missing, and as of right now we don’t have any leads, nothing that can help us believe to be able to find her. We are working also with the police department. They said the FBI is also involved, but right now there are no leads at all. Our family has been suffering a lot. My dad died because of the stress that we haven’t been able to find my niece. My sister is having high blood pressure problems and the father of Elizabeth is having high blood pressure problems as well because of the stress that we haven’t been able to find my niece. So it has been a terrible experience for a family. It is something that we never thought this was going to happen to my niece, especially in a city that is so safe. I mean, to me, we felt like probably Utah was just the safest place on earth. Tim: Sure, yeah. You know, I’m so sorry. We’ve been working on this investigation as you know, and it is a difficult case. It’s like she just vanished in the thin air. You know, it’s something that we, at Operation Underground Railroad - we see this all the time. We see it everyday. It doesn’t do anything to normalize the situation or to downgrade the pain at all. But I want to ask, before you lost Elizabeth, what was your idea or thoughts on things like trafficking and this kind of crime? Was it something that even touched you or affected you or that you knew about? Rosenberg: Honestly, before my niece went missing, I didn’t even think that existed that kind of problem here in the...I mean in this country, or any country in the world, because I think it’s something horrible, you know, people they go through that. I honestly didn’t even think it existed, to be honest. So I wasn’t even aware of that until right now, that now we are going through this, and that I feel like I want to even help out more people to be able to rescue these people because it’s terrible that you are going through this experience as a family. As a family member, we are desperate, we are... I mean, you can’t even live a normal life - you can’t even sleep thinking where your niece is, what happened to her, and why are they doing this to an innocent girl. So it’s something that we actually didn’t even think that this problem existed, to be honest. Tim: Yeah...I’m so sorry. Again, thank you so much for being willing to talk. What we are seeking is a solution, right. The purpose of Slave Stealer podcast is to make people aware. Unfortunately, the way you learned about it was absolutely horrific. There’s no worse way to learn about it. Have you learned anything? Have you... Could you help us? Because we don’t claim to have all the answers, right. But we are trying to find those answers. And so I ask you, and in a minute, I am going to ask you to talk to your sister - of course she speaks Spanish and we’ll have you translate her feelings about this as well. But again, I am speaking here with Rosenberg Salgado, the uncle to Elizabeth Elena Salgado, who, in April, was apparently kidnapped. She vanished in one of the safest neighborhoods in the world, in Provo, Utah. Rosenberg, what do you think needs to happen to minimize this kind of crime? Rosenberg: To be honest, I mean I feel like if a lot of people that were contributing to be able to rescue more people and now that I am aware that this organization exists, I’m even trying to see if there are any companies that they can donate time and money for you guys to be able to help out and rescue all the people in the world that need to be rescued. Because it is just terrible that families...they go through this and I feel like if there are a lot of people trying to contribute just a little a bit, it can make a better world. Tim: Right, right, and I couldn’t agree more with you. If everybody knew how large this was... And they just don’t. It is hidden. But it is the fastest growing criminal enterprise in the world. It is billions of dollars into the kidnapping and selling and abuse of people, whether it’s slave labor or sex trafficking. People need to know because we can’t solve this problem unless everybody knows. When we talk about these numbers, millions and millions, it’s important not to let those numbers desensitize us in any way because each of those numbers has a story attached to that, right, like yours. There is pain attached to it. There is lives altered and changed forever because of that, and it is important to know and recognize that there is that kind of a story behind every single number that equals and adds up to millions. That’s the kind of pain and suffering we are talking about. I think that your story really will help people to see it and wake up. Now, in terms of Elizabeth herself, what can people do? What can people do to help you specifically? I know that there has been an award offered for information. Tell me about that. Rosenberg: Right. There is a $50,000 reward that whoever gives us a lead that will help us find my niece, they get the reward. And also, I feel that a lot of people... If they are on the streets or, you know, they can be looking around to be aware if they happen to see her. My niece went missing during the day. I am sure that somebody knows something or somebody saw something. We are just asking the community that whoever knows something just please have compassion on this girl and just tell us what they know. I mean, they need to put themselves in our own place, and if this was your niece, you would want the whole world to help you find her. You will want everyone to be looking for her. And if they even knew - I mean, you know - the pain we are going through... It’s just terrible. You can’t even describe what we are going through. I mean, I can’t even find the right words to be able to describe what we are going through because it’s just impossible to describe everything that we feel as a family...besides that, praying and also fasting to be able to help us to find my niece. I feel like if they see also anything suspicious in their neighborhoods, even if it isn't significant, it can be significant to us. Tim: Yeah. Rosenberg: Just whatever they know. Because sometimes people, they might feel, "Oh no, I mean, I don’t think that this is something that can help them to find her." I mean, you know, for people that they have the experience, they might be able to be, "Oh, yeah, this is significant so let’s try to look at this lead," and so whatever they know, they just need to tell the authorities. Tim: Thank you so much. I’d like you to please ask your sister if she has any message to the world. If she has the whole world listening right now and she wants to tell them about what she’s learned about this problem, or if she has a message she wants to share about Elizabeth or even to Elizabeth - what would she say and would she be willing to say it? And if could you please translate that. Libertad: Muy buenas tardes a todo los, a todo la comunidad y a toda las lugares en que me están escuchando. Rosenberg: Good afternoon to everybody, everybody who is listening to me. Libertad: Este, quiero decirle que antras corrido ocho meses desde la desaparición de mi hija Elizabeth Elena. Rosenberg: I want to tell you that it has been almost eight months that my daughter disappeared. Libertad: Es mos passado muchos desafíos. Rosenberg: We have been going through very hard times. Libertad: Ansi de muy llenos de sufrimiento, de angustia y de dolor. Rosenberg: A lot of suffering, a lot of anxiety and a lot of pain. Libertad: Es un dolor inexplicable. Rosenberg: It’s a...pain that is...that we can’t even explain. Libertad: Nosotros hemos hecho estan impossible... Rosenberg: We have done the impossible... Libertad: ...por buscarla. Rosenberg: ..to be able to find my daughter. Rosenberg: We have gone through events to be able to pass flyers. Libertad: En mos sido a Palo Alto, California. Rosenberg: We have gone through Palo Alto, California to Facebook to be able to see if they can spread up the word for her. Libertad: Y hemos tocado puertas. Rosenberg: And knocking on doors. Libertad: Es una búsqueda incansable. Rosenberg: It’s a tireless search. Libertad: No vamos a parar... Rosenberg: We won’t stop... Libertad: ...a encuéntrala. Rosenberg: ...until we find her. Tim: Rosenberg, could you ask her what she has learned about this problem in general? I imagine she’d never imagined...she never thought this would touch her life. Tim: And, if she knows, what she would do... If she were the king of the world, what she would do to help solve this, not only for Elizabeth, but for everybody? Libertad: Como reina del mundo, le pediría ayuda a todo los...a todo los medios de comunicación de cada país... Rosenberg: As the king of the world, I would like to ask all the countries to be able to help us find her. I mean, you know, the communication, like any probably news and all over the world to be able to help us find, I mean, you know, people who are missing. Libertad: ...para que difundiera sus photos. Rosenberg: So that they could spread out the word. Tim: Well, I think she hit on it, I think she hit on it. I like what she said. She said there needs to be more communication with countries, right? And that made me think of something that... I don’t know if you are aware of this. The House passed a bill last year. It’s H.R. 515 - it’s International Megan's Law. Megan's Law, of course, is a law that takes criminals who have been convicted as sex offenders - child sex offenders. And after they finish their sentences, they are not allowed to live near schools, they are not allowed to live in certain places. And that’s Megan’s Law. And most states have adopted that law. The International Megan’s Law does it internationally. So if we, in the United States, have a known convicted child sex offender and that person is traveling to Mexico, then the U.S. government will notify the Mexican government. And tell them: "Hey, this guy is coming to your country. You should know this." It also creates something called 'angel watch', the Angel Watch Center. And what it is...it’s a place where government officials and non-government officials like Operation Underground Railroad - we can all meet and talk and make sure we know who the bad guys are and be in communication. I mean, I think that, Libertad Edith, I think you have... I mean, that’s what you essentially said. And the problem is right now, if you can believe this, it has been sitting in the Senate for months and months and months and they can’t get it through the Senate to create what is a solution - the very solution that the mother of a victim has, on her own, naturally kind of brought out as one of the solutions to this problem. Here we have this and it’s sitting on these senators' desks, and they are not even caring about it. They are worrying about things that are far less important than the kidnapping and the abuse of children. To me, it is absolutely outrageous. And I want to ask you both if you would help me with something. We are starting a campaign to finish, once and for all, this bill and get it passed and get it implemented: International Megan’s Law, H.R. 515. Would you be willing to help us? Would you be willing to be witnesses in this and be a voice from someone who knows the reality of this problem? Would you be willing to help us be loud and get the Senate to pass this bill and get it implemented and use it to start saving kids? Rosenberg: Of course we will be willing because we know what it's like when you are going through this pain. So it’s been, it’s been very hard like I’ve told you before. It’s impossible to describe what we are feeling and I feel like if they pass this bill, I mean, it will be... It will actually help out the whole world. And I think, I mean, you know, when my sister was saying about having other countries communicating, I mean, you know, to be able to help us spread out the word so a lot of people they can be aware that this problem exists. Because I’m sure that a lot of people...they are not even aware that this problem exists. Tim: Right. Rosenberg: They don’t even have an idea that we are going through this right now. I mean, before my niece went missing, I didn’t even think that there was sex trafficking at all until now that we are learning more about, "Ok, what could have happened to her?" Tim: Right. Rosenberg: And so, you see all the options and now we are like, "Let’s make this world a better place, and let’s try to save everybody that is going through this." Tim: And you are now in a position of influence. I mean, you are in a position because of what you have been through. You are witnesses. Rosenberg: Right. Tim: You are witnesses in a way that most are not and you can stand up, and I appreciate you doing that. I know you both. I’ve met several times with you, and I know you are willing to do that and we appreciate that. Another question I want to ask you is have you seen social media make a difference in the search for Elizabeth? And is this something that you think we should be utilizing more, perhaps the police should be utilizing more? Because it’s all about communication, right? You start this investigation - I know because I’ve been on many of these. The first thing you look for is a witness. You need information: where is she? Someone knows. Who knows? It’s all about disseminating information, requesting information, finding information. How do you do that? I mean, we do it every day with social media. Have you guys utilized social media at all in your efforts to find Elizabeth? Rosenberg: Yes. We have tried to put a lot of advertisements on social media, you know Facebook and - everybody is always on Facebook - but I feel like the police and the FBI, they can also get... When these cases, they happen, they can actually spread out the word and have a connection also with Facebook: "Let's stop the crime." I mean, you know, let’s actually... "Whoever knows something about this person, please let us know,"or "If you guys have seen this person, just let the authorities know." I feel like that would help out a lot, because a lot of people... They are using social media, they are always there, they know what’s going on, and I have known that...I mean, you know, like for example - when on the news they are trying to find somebody that social, they put it on social media, and then people, they start commenting, and they say, "Yes, I have seen this person," or whatever. And that would help out so much. I mean, you know... So if the police...they can actually have also connections with all those big social media networks. I don’t know, I mean, I feel like it can be a big help. Tim: Well, let’s work harder to make sure we are utilizing social media to the best of its ability. We are building software here at Operation Underground Railroad that will help the police identify where these people are, who are the perpetrators of this most heinous crime, and it really is the way you need to attack this problem. So I want to thank you both for coming in, and this is by no means the last meeting we’ll have with you. We know we have so many things; we’ve talked about so many projects that we want to work on. Most important, of course, is the search for Elizabeth; after that is what else can we do, what else can you do with us to help others? Because like I said, there’s millions in this position. And just because we don’t know about it - because it is such a hidden world - doesn’t mean that it is not there. People need to know it is there and people like you who are willing to come out and talk about it - you are the best witnesses because you are going through it. You are going through this hell. So I can’t thank you enough for having the courage to come on and talk about this because we believe that what you are doing is saving lives. Rosenberg: Thank you so much for inviting us and we appreciate everything that you do to make this world a better place. I feel like if there were more people like you in this world, this world would be a better place. And if everybody can contribute to be able to rescue these kids that are slaves, if they can contribute to be able to help you out, this world would be so much better. And thank you very much for doing what you are doing. Tim: Well, thank you both so much. I have a wonderful team that makes it happen, and of course the contributions are what keep us in place. So please, everyone, check us out at ourrescue.org and help us. Help us so we can help people like the Salgado family. So thank you both so much - thanks for coming on and let's continue this fight together. Libertad: Y a Elizabeth Elena... Rosenberg: And Elizabeth Elena... Libertad: ...si me estás escuchando... Rosenberg: ...if you are listening... Libertad: ...quiero decirte hija... Rosenberg: ...I want to tell you... Libertad: ...que no nos vamos a rendir hasta encontrarte. Rosenberg: ...that we won’t stop looking for you until we find you. Libertad: Tenemos buscado por cielo y tierra y mar. Rosenberg: We have been looking for you all over the place. Libertad: Y desde el día que desapareciste... Rosenberg: And from the day that you went missing... Libertad: ...nuestra vida cambió completamente. Rosenberg: ...our lives have changed a lot. Libertad: Te amamos. Rosenberg: We love you. Libertad: Te extrañamos... Rosenberg: We miss you... Libertad: ...y queremos ver tu cara angelical. Rosenberg: ...and we want to see your beautiful face. Libertad: Necesitamos tenerte en nuestros brazos. Rosenberg: We need you in our lives and be able to hug you. Libertad: Sentimos a nuestro corazón... Rosenberg: We feel in our hearts... Libertad: ...un gran vacío... Rosenberg: ...an empty hole... Libertad: ...porque nos has te falta. Rosenberg: ...because you are missing in our lives. Libertad: Te queremos tener de resto con nosotros. Rosenberg: We want you back in our lives. Libertad: Te extrañamos mucho... Rosenberg: We miss you a lot... Libertad: ...y queremos volver a ser feliz como antes. Rosenberg: We want to be happy the same way that we were when you were with us. Libertad: Necesitamos encontrarte. Rosenberg: We need to find you. Libertad: Y a los que te tiene... Rosenberg: Whoever has you... Libertad: ...les pido por favor... Rosenberg: ...I’m asking you ... Libertad: ...que tenga compasión de nosotros. Rosenberg: ...please have compassion on our family. Libertad: Nos han hechos sufrir mucho. Rosenberg: You guys have caused a lot of suffering in our lives. Libertad: Y les suplicamos... Rosenberg: And we are begging you... Libertad: ...que la entreguen. Rosenberg: ...to please give us our daughter back. Libertad: Que lo consideren como si fuera el hija de ustedes. Rosenberg: To please have compassion on this girl like if she was your own daughter. Libertad: Le pedimos al padre celestial... Rosenberg: We ask our Heavenly Father... Libertad: ...que mandes de ángeles celestiales. Rosenberg: ...to protect her with her angels. Libertad: No le hagas daño. Rosenberg: Please, don’t hurt my daughter.
Tim: Welcome to Slave Stealer podcast! This is Tim Ballard and Mark Mabry talking about the darkest plague that exists on this earth today and seeking the solution. We have a guest on today that, I think, is part of the solution. I really believe - and I have, for years, believed - that the reason we can't put our arms around this problem and squeeze it to death - this problem of trafficking and human slavery - is because people don't know it's there. They don't believe it's real. Or they see something and they turn their head as fast as they can. And so, at Operation Underground Railroad, we have a unique approach, I think. We're not just waving this banner of darkness. There's a lot of organizations - and God bless all of them for what they're doing. The programs that are about awareness often are just waving a flag of depression and darkness, and you look and you're like, "Eek, oh oh yeah, here's my five dollars - now never contact me again," and off they go. They don't want to see it. That's not our message. Our message is light. Light. Light in the darkness. Because we provide a solution. We're going in and extracting. We are providing law enforcement with tools: digital tools, computer tools, training, undercover tactics - everything you would need to know to run an investigation. Mark: You're staring the bad guys in the eyes. Tim: That's right. Mark: And how many organizations actually touch the bad guy? Tim: Yeah, we touch the bad guy, we throw his face in the ground and put him away. That's what we do! And that is light - that's hope. And so, we try to push out that light. And one of the ways we do that is by showing people what we do. There's a team of cameras that follows us around, and we show people what we do. And when those traffickers go away, the world gets a little brighter. And when the next trafficker goes away, the world gets brighter still. And that's the light that we're building. See, Montel Williams - who is our guest today - he understands that. He understands that if you shine a light, people will get on board. If you shine a light, the bad guys hate that light! So they're going to go away. If they don't end up in jail, they're going to be so antagonistic to that light that they're going to crawl up like little bugs and go away. And hide. And Montel gets that. And he's the kind of voice that we need to be loud and proud and share this light. So that's going to be his message. Mark: He's a passionate guy. As you're saying, he blew up Facebook a couple of times this year, and Twitter. And even in our conversation with him, he starts out kind of a low simmer and then just crescendoes. And I think you guys will enjoy... Tim: Yeah, yeah. You don't want to get in his way, man. Mark: No. Tim: When he starts moving, you do not want to get in his... I do not want to be a trafficker in the path of Montel Williams when things get hot. And things get hot with this guy. Mark: He was a Marine, he attended the Naval Academy, he had a career in the military. People don't realize how bad he actually is. Tim: Oh yeah, no no. He's...he's tough as nails. Mark: And he delivers, so it's a great interview. Tim: Yep. Mark: Let's go to it. Tim: Alright, roll it! Mark: Tim started to tell me about how you guys met, but his version was really weak compared to what I think yours probably is (no offense, Tim). Montel: It was literally the morning after the Stadium of Fire. I went up to the breakfast lounge in the place we were staying at, and literally, you know, Tim walked in the door and shut me down. And his speech was just ridiculous the night before. You know, I work on a lot of issues. I’m involved in things that most people don’t even have the slightest idea that I’ve been involved with for years now. Everything from...veteran issues, but I’ve also been deeply involved in trying to help heal some of the wounds that our veterans have faced from war. And those wounds are deep, especially when it comes to traumatic brain injury. And I was blessed to be able to get involved in a process...a study with a medical device that now is going to - over the next year to two years - prove out to be one of the first lines of defense, I think, for many symptoms of traumatic brain injury. We are in the middle of...doing one of the most comprehensive traumatic brain injury studies the world has seen at three centers of excellence. And I only say this because, you know, I’m involved in issues. And why? Because, you know, I got involved... I'm a board member of Fisher House. I was visiting our soldiers 3-4 years ago for...almost every three weeks, I was going down to see every new batch of soldiers that had flown in from Germany or from London, and just going down and visiting troops. So, you know, I’ve been moved by that issue, and then I’ve been involved in things from teen suicide prevention - it’s another issue that I’ve been in for, that I’ve been working on. And then to sit in that room and hear Tim discuss the mission - his emotional, moving story about saving children’s lives. Mark: Anything you remember in particular - like a line that he said, something that stuck? Montel: You know, I mean, I could say, sitting like...as I sit here right now and I think about what Tim had to say...you know, there was a call to action. There was a call to step up to the plate and understand what’s going on. And even though I understood as I was sitting at the table, I’m looking at the reactions of the people in the room around me, and you can look and see that some of these people...even though you hear about it, you see it on the news - it goes right over their head. It wasn’t until, I think, they caught the emotion that is involving what Tim had to say, that I saw the emotion start to well up in them. So again, I walk into this lounge, and I was again blown away. All I felt was that I needed to do whatever I could to help Tim make his mission more complete. So, you know, I think I said immediately - "Whatever you need from me, whatever you want from me, I’m there. And let's go." Tim: I think it was your birthday, wasn’t it, Montel? Montel: Yeah, as a matter of fact, it was on my birthday. As a matter of fact, it was on my birthday. It was the 3rd. That’s right. The night before was the event on the 2nd, and I had brought in four of [inaudible] dinner. One of the other award recipients was Master Sgt. Cedric King, who is a double amputee, a war hero of extraordinary proportion, who was on that stage. So it was very moving the night before to have had him come in and then to meet Tim. And then I wake up - it's the 3rd - and I told, you know, all the guys from the stadium...I said, "Look, I need to have at least that one day off." I was going to chill. Honestly, I think I worked for about an hour on the phone, just coordinating - trying to figure out who I was going to talk to as soon as we got past the holiday to figure out how we were going to come together. Tim: Man, it was an amazing experience for me. I mean, I was starstruck - I'm not going to lie - when you walked into the...you know, because the night before, I knew you were in the audience, and I'm like, ‘I wonder if I'll get to meet Montel.’ And then, the next day, I'm getting hot chocolate with my kids, and there he was! It was a small little kind of kitchen, you know, and there he was, face to face. And it was an emotional moment for both of us, I think. Montel: Yeah, yeah, really - an extremely emotional moment. And that’s part of the reason why I think I just really need to help and try to be involved. I have people who are of like mind, who think the way I do, who have been in my corner in my entire professional career, and especially the media. And, you know, those people are very vocal, and they want to be heard. And I think if I reach out to them and let them know that we are involved and we are going to now do some things that before today, I think, have not been done. Yeah, we call out some of these pigs - you know, there are so many shows and it comes and it goes. I want to really, really figure out a way so we get the message out there that is a continual message - in the face, bigger than, you know, the campaigns that they are running right now nationally to stop people from smoking. If you are so stupid that you’ll put a cigarette in your mouth right now and wreck your lungs, then I would rather take the money that’s being spent there to put a message out right now that our children are being exploited, raped, and sent around this planet, and you...really... If we can’t get to an understanding and get that in people’s faces, so much so... I hate the commercials that they have been running, you know, where you have the people who are in the hospital on the third lung, and they're showing me all the body parts of people who are ravaged by cancer because they are smoking. I want to show people the ravaging of what’s been happening with our children - get it in your face so hard that you say, "Enough, don’t show me that anymore!" and you do something about it. Tim: I love hearing this, Montel, because a confusion to me is why are we not seeing that, even in politics and in debates. It should be... I mean, this is the fastest criminal enterprise on the planet. Why aren’t we talking about it? What’s the reason, do you think, that people are shying away? Montel: Why is it growing so fast? Why is it growing so fast? Tim, I bet you, man, you’ve got this, man. Look, it’s growing so fast because of, I think, money. You know, we have the largest disparity of wealth in the world, but we have the largest number of millionaires, uber billionaires, millionaires, hundred... guys, people who have wealth, sitting around, that think that their wealth can hide them and keep them hidden from the truth. It got to be because dude, I mean, you know, the plane tickets cost money. To be able to buy a child, it costs money. You know, to be able to do this and not have anybody catch you: it costs money. And that’s what’s happening. And so why aren’t politicians talking about it? I don’t want to be a pig when I say this, but maybe some of them have friends or relatives or cousins that they know are the people doing this. Because that’s the only reason why this would not be... You know, it’s like all day long - I’m out here, I went snowboarding today, you know. This is the open season and it’s a beautiful day today, but then I realized I had this interview to do with you, and all afternoon I’ve been like...it’s been, you know, my heart’s pounding because I’m just so angry. And it’s just the same reason why, in the last three weeks, why all we keep hearing from our politicians is how quickly they want to send another American child off to die. They really...they want to go put 'boots on the ground, boots on the ground,' - you can’t even pay for the health care for the ones we have that have already put the boots on the ground! Tim: Yeah. Montel: But we want to put them on the ground. And yeah, we may need to, but let’s be a little bit more compassionate in our rally to send them off to battle. Now, if we're willing to do that, and these politicians are jumping up and down in every one of their debates to say those things, why do we not - in the same conversation and debate - talk about how are we going to help heal the delays in the treatment of those who have already served? We can’t say that because we know that we have...their friends are the ones who are part of the problem. So I’m starting to think that maybe that’s what's going on. We've got too many people of wealth who are hiding, just the same way as we have terrorists who are living double lives as Americans. And we’ve got rich people who can afford to do this - living double lives - they're right under the surface and we're letting them get away with it. And I’m open Tim - you know. dude, I’m not afraid. I am NOT afraid. I will take that shot, my friend. Tim: And we need you to take that shot - we want you to. And you know what we do. If these guys want to get into the market cause they want those kids, we meet them there and that’s where we can expose them. We meet them there - we’ve already done it dozens of times, hundreds of kids we’ve pulled out, over a hundred travellers or traffickers in jail... I think you and I were talking about this when we met over the 4th of July. It’s about shining those faces of those guys who are hiding - shine them everywhere, put them on billboards, make everyone know that you CANNOT hide behind your money. We will meet you in the dark place and we will expose you once you are there. Montel: I'm telling you... Call them out - that’s what we've got to do. So, you know what? You know, it’s going to be holiday season, we're going to take a little break, alright? I want to hit the ground running in January if we can figure out...like I’m working on some projects right now. You know, I'm working on a couple of projects right now that are media projects that... You know, if I do some things for some people, then maybe I can ask them to do some things for us. Let’s figure out a way then we can get something on the air - I mean, you know, ‘America’s Most Wanted,’ you know, whatever. Tim: Yeah. Montel: I got happy, I got tired. That did a lot of good in some cases because you did cover some of those cases of child abuse, but I really think that we need to have a steady stream - not just the TV show, but I’m telling you, like, I would love to right now in the middle of this live CNN... I’ve got CNN on and the second they go to commercial: bang-bang. I want to jump right to a commercial about a child that has been exploited - this is going on, and this is the guy who worked in Chicago at such and such bank, was a bank president, he lived in this neighborhood, this is his family, and you need to understand that this guy thought he was getting away with it, and he’s been doing it and now he's crying like a stuffed pig because he’s in jail, and he knows that when we let him out in the population that they don’t like little child molesters like that, and while he's crying like a piggy, he's talking about the fact that he’s been doing this for the last 10 years and got away with it right beside you. Tim: That’s right. Montel: How could you let this person live next to you?! That’s the story that needs to be told, man. Tim: Yes! Yes it is! Montel: And I want to help you tell them. Tim: And we need your help. We can get into the dark and shine the light, pull them out, but we need people like you to make it loud because we’re still learning how to do that. So we appreciate that. Montel: Well, just the fact that you're blogging right now, and the fact that people are going to tune in. Maybe they'll listen to me today. They'll say, I want to see what they're going to do. Montel, please, what are you going to do? You know, this could be a regular from us. Let’s come together every couple of weeks and let's talk about the plans that we put in place, the things that we can talk about. I also, you know, it’s like...you know, I think in some ways... I worked in intelligence my entire time I was in the military. I had top secret inside clearance - I can say that right now. I had one of the highest clearances that the military had at the time. I ran a couple programs. I get part of the problem that we are having right now when it [the military] looks at international terrorism. The problem is the fact that we keep giving out all the secrets. We keep telling them every level of encryption that we have the ability to break so they can find a new one that we can’t break. I don’t want to give them too much - I want to show America while you can complain all you want about the Taliban, you know...we're going to fix that problem. You haven’t even blinked at trying to fix the real one. Let’s fix this one, because this is the one that’s going to destroy us from within. We can see the devastation now in children as they grow older and older and now have the revelation of what was done to them. Those are the ones that weren’t even trafficked. Tim: Right. Montel: So, you know, I mean, honestly, America’s got a reckoning. And, you know, we can’t put one... You know, it’s like, you know, do you pick the worst problem and put that first, or do you fix the problems you have? I say we go after both of them at the same time, and I think America has got the stomach for it. It just hasn’t heard the voice loud enough. And I have a voice of couple of people that I think might want to bring this forward as part of their national campaign. Mark: I was going to ask you about that, Montel. I know, from your social feeds, you are a friend of Governor Kasich, and I about came out of my chair with glee the other night watching that debate, and I heard the words ‘human trafficking’. Montel: Yes. Mark: And they came out of his mouth, and those words have not been uttered in a presidential debate, in the last couple of debates. I need to go to do a word cloud or something to find out, but he did it. And so, we have a little segment on our show, called ‘The Big Ask’ with a K. And, I have a big ask for you. I thought...you know, when I heard him say that, I was waiting for somebody to wax poetic and do something lofty on trafficking, but of course they went right back to Donald calling Jeb not powerful, or whatever his word was. So, here’s my big ask for Montel Williams: I want you, because I know you are capable and I’ll be probably in tears by the time you’re done, to picture yourself on the stage, cameras on you - it is Montel Williams’, 'I want your vote for president, and my platform is human trafficking.' Can you give me that lofty speech that will make me hear the music coming in by the end? Montel: You know how they give you the highlights before the debates... Mark: Yeah, get me fired up a little bit. Montel: You know, maybe what I should say is that if right now we are living in a time in America where the entire focus of the nation...in some ways, I understand, because there has been enough fear-mongering to make us believe that the entire focus of everything we do as a government should be focused on terrorism. But, you know, America has to continue to survive, has to continue to grow, has to rely on its most sacred treasure, and that’s America’s children. Now, I don’t care what source you listen to, what side of the fence you're on: Republican, Democrat, conservative, liberal. It doesn’t matter. If you are listening to all of your pundits, they will tell you at worst case, worst case in this country today, we have probably, okay...twenty, forty, fifty, let’s say there might have been a hundred terrorists who snuck in - they are under the radar, we need to put money in finding them. I agree. But, excuse me, we have 1.5 million children who are victims in 2012 to human trafficking, and we know that 85% of them have been trafficked for sex. And these are children, American children. So, I say that that’s a million and a half lives that from this point forth will forever be changed, a million and a half a year. In fifteen years, they got 20 million children who have to as they grow to adults, as they’ve been saved, brought back into the society and trying to be contributing numbers to that society. I say we got the Taliban under control. I don’t care if it’s two years, three years - it’s thirty years. This is part of America’s structure, America’s fabric. So, I can stand around and argue about who’s got more money in the bank, who thinks that they are tougher at fighting bad guys who are trying to hurt us ideologically. I want to find out who’s tough enough to turn in their neighbor, who’s tough enough to fight the fight of saving and preserving America’s future beyond the next five years. So, 2.5, 1.5 million...on the other side of ridiculous. The United States alone should be in the position to raise enough money to impact this, and we will send money everywhere else in the world. We will fight everybody else’s problem to try to force something down on someone’s throat that doesn’t want it, and we are willing to protect America’s precious treasure right here. I don’t know... If you want to protect America’s treasure, vote for me, if you want to continue on this normal...pick the other guy. Tim: You got my vote! Mark: Montel 2020, baby! Woo! Tim: I love it, I love it! And, now the good thing is that we are going to do something about this, and I hope we can have you back on the show many many times as we develop our plan and say the things we can. But let’s do this! We’re going to do this. Montel: Let’s do it! Now, you got me to say publicly, I make it as a public promise, man. I’m working with you - we'll get this done. Tim: Awesome! We love you, man! Thanks so much! Montel: Thank you, sir! Mark: Montel for president, baby! You said, you know, the government is leading, but in terms of being loud about it, how often do you hear nationally-placed officials talking about human trafficking in prime time? Tim: They're not! And that’s where the leadership is lacking. There’s no strong leader in all of our potential leaders. It’s not even on their agenda and I don’t know why it’s not! I don’t think they all have friends...I mean, that’s an interesting point that Montel brings up - I don't think it's like they all have friends who are engaging in this kind of stuff. I mean, I’m sure some of them do. I think it’s a dark topic that no one wants to talk about. It hurts to talk about it. Mark: It’s weird because governments usually... These guys will go on talk shows and talk about something then not do anything about it, but this is the opposite. It seems that they are legislating and making a little headway, but they're not talking about it - it’s lacking the component that we hate the most, generally speaking, that is, the flapping gums of politicians. Tim: I think the reason... It’s not that they don’t know... Mark: Yeah they know, they just... Tim: They know it’s an issue. Here’s why they don't talk about it. Look, they're pandering, they are all pandering to voters, right. They need voters to weigh in. So, I really do think this: if they believed that the voters knew what was going on, they would talk about it. But they are saying to themselves, why am I going to introduce a new topic? - relatively new, right. Why am I going to introduce a topic that’s not going to help me get elected because the electorate doesn’t know? And if they don’t know, they don’t care. So let’s talk about things that we know they care about. So our job, more than try to convert or try to influence these candidates or elected leaders to do something... I think our job is to light a fire under the people - the Harriet Beecher Stowe approach, where she lit a fire under the people. They read her book by the millions, and they said, "What is going on?! I didn’t really know - I mean, I heard of slavery, but I’ve never seen it. I’ve never travelled down there, in the South, and saw it," and she lit a fire there. And then they got so loud that folks like Abraham Lincoln and others had to respond. Mark: Yeah. Tim: And the response ended slavery. So I really think a lot of this is exposing this issue, shining a light, letting the people see. When the people care, the candidates will care. Mark: And, it seems like Montel... He’s one of those populist heroes in the last two decades - had a huge show in the 90’s, he’s got total social clout now, he’s moved kind of into this activist realm, and he’s got tons, his hands on tons of pods, but it’s that type of guy that can talk to big groups. And the talk show people - Oprah, Montel, you know, from the heyday of afternoon talk shows that would make people cry every afternoon...that would be, seemingly, a way to engage people. And he could be that guy. Tim: Yeah. He’s going to be that guy. I mean, he’s that voice we are going to need. And he’s not going to be a ‘one and done interview’ - he is committed. I spent a couple of days with him, over the 4th... Man, I’m telling you he believes this. He believes in it, and he is going to help us. Mark: Yeah. Tim: He's going to be instrumental. Tim: This show is sponsored by one of my favorite companies on the face of the earth, Hylete. In fact, I’m wearing - let me stand up so you can see - I’m wearing Hylete shorts right now. Mark: Those are really handsome. Tim: I wear Hylete shorts pretty much every day, because here at the headquarters of Operation Underground Railroad is a CrossFit gym that is very fruitful for the foundation. All the money that we make in the CrossFit gym comes back into the foundation. So we’re grateful for the CrossFit gym, and we’re grateful to Hylete who’s been a proud sponsor, who’s been able to not only outfit some of our guys, but make some awesome contributions. They made an OUR shirt, Hylete OUR shirt - their clothes are designed for intense fitness, like CrossFit. They made a Hylete/OUR shirt that all the proceeds came back to us, and we’ve been able to make thousands of dollars, and we continue our partnership in the coming years. So thank you to our partners and friends over at Hylete. Buy their clothes, and go work out!
Tim takes on a recent initiative of Amnesty International to "Legalize" prostitution. His issue with their policy lies in the difference between "legalization" and "decriminalization". He argues that what they are proposing would endanger more children and ultimately undermine the efforts of many people to save kids from sex trafficking. Tim: Hi! Thank you for joining us! This is a very special bonus edition of the Slave Stealer podcast. If you have been listening to us for a while, you know that there are a lot of aspects to human trafficking. So many drivers, so many factors. Sometimes we don’t always get the chance to elaborate within the context or whatever it is that we are talking about, but one big issue that deserves more treatment is this current push by Amnesty International to legalize all prostitution. What they are trying to do now is go out to all the countries and influence them to legalize this work. Now, there is some merit to parts of their argument, but I contend, and I contend passionately, that this legislation, if it got that far, would absolutely devastate millions of children who would be caught up in the wake of prostitution. They would be caught up in the wake... They would be caught up as victims, they would be rapedthemselves. So after we spoke with President Vicente Fox of Mexico, we got on the topic of Amnesty International’s plan, and I think I got a little fired up, so I want you to go ahead and hear what I had to say. So, let’s go and roll that. Tim: And, people don’t believe us sometimes - "Oh bull crap, we don’t believe that"- or they will see a trafficking case, we will show footage and they see what looks like a victim going willingly into this place: "Well, they walked in. They weren’t dragged in by chains." And, I get it, but it is also very offensive because I know that these kids are slaves. I see them before and during and after. We could have Elizabeth Smart come in sometime and talk about that. Don’t say anything like that in her presence because she received that criticism: "When you were in captivity, why didn’t you just run away? Why didn’t you tell the policeman who you were when he confronted you with your captors in the library that day?" And she will tell you that a child’s mind doesn’t think like an adult’s mind, and it can be very easily manipulated and really brainwashed and rewired to the point that when Elizabeth was rescued, she didn’t even admit who she was. She was still denying who she was as she was even put into the police car and taken to her father, ok. And that’s the thing people don’t understand about human trafficking, and so they misidentify the victims. Police departments have been doing it for decades. I think...in the last decade or so, I think they are trying to get out of this where they treat all prostitutes as criminals. They didn’t even stop to ask the question, 'How did she get here?' Maybe she is 19 years old, but did you know that she was kidnapped at 12 and forced into this life? And yeah, now she is acting out, and she is yelling and cussing at you, and she "doesn’t want to be rescued." But she is a victim, and she needs to be treated as a victim until you figure out what is going on. And a lot more needs to be done there, but progress has been made where these women and children are not being seen as criminals anymore but as victims, but much more needs to be done in that area. Mark: That is a legislative issue, obviously. Are those national statutes that need to be passed or are they local? Explain prosecution of prostitutes. Explain that whole dilemma to me, I don’t get it. Tim: There is some legislative there, but there is also a lot of just how you administer or how the law enforcement administers or what questions they ask, right. Because to be prosecuted for say prostitution, requirements within that statutes have to be met. And part of that is willingly, and it was your intent to do these things. And it is easy just to make the assumption, 'that was your intent, you wanted to do this, and so you’re guilty.' So sometimes, it is not just the laws. The laws can be clarified, sure - you can always, you should add a requirement and say even if this prostitute, this person you have brought in...even if they are an adult, you have to prove that they meant to do this, that they wanted to do this, that this was the life that they chose. Mark: They weren’t coerced. Tim: They weren’t coerced into it. Mark: Ok. Tim: And so the questions, but the questions... The problem is, even when you have decent legislation and decent statutes, you don’t have law enforcement asking the questions, digging deeper: "Who are you? Where did you come from? How did you get into this? How old were you when you got into this?" And if they would ask that, then they would see that there is coercion here. They are not going to bust out their pimps. Mark: No, they are scared to death. Tim: They are scared to death. Their pimps have been beating them for ten years, since they were ten years old. So, you have got to stop and ask the question. You need experts in the field - social workers, psychologists in the field - to be able to be there and take this victim aside and talk to them. Frankly, in my mind, every country, every jurisdiction - whether it is federal, state, whatever - they all need to have legislation that decriminalize prostitutes altogether, absolutely. Every prostitute, in my mind, should be treated like a victim. Mark: So, you are saying legalize prostitution? Tim: I am not saying... No, you don’t legalize prostitution at all. You legalize prostitution and that means that the pimps and the johns get away. Mark: Ah. Tim: You criminalize 100% for pimps, for johns. Mark: But you can’t criminalize the prostitutes... Tim: You don’t criminalize the prostitutes. Mark: I like that. Tim: Yeah, I mean, there is Norway and Sweden who have both adopted that, and it is very effective. What happens there, when you do that, is those countries and those cities stop becoming havens for sex, for paid sex. Because you are criminalizing the johns and the pimps, johns and pimps don’t want to work there. Mark: So what you’ll have are a few entrepreneurial women who are kind of like 'Ma and Pa' stores, but you wipe out the industry? Tim: Yeah. You would wipe out the industry because the pimps and johns can’t... They are scared to go there. Mark: Yeah. Tim: And this is a huge debate right now going on with the Amnesty International’s new policy this summer they came out with in August, I believe. They came out with the sex worker shield where they are basically wanting to decriminalize prostitution for everybody - pimps, johns, and what they call sex workers - and make it legal. The idea is bring it all out into the light, and then you can take care of the sex workers and treat them like legitimate workers. You know, it is all focused on helping the sex worker. That’s their choice - they want to be a prostitute, support them, help them. And to do that, you can’t criminalize the pimps who, in Amnesty International’s words... This is very controversial. I mean, this is Amnesty International who is supposed to be looking out for the victims. And they feel like sex workers - who they call sex workers, others might call prostitutes - have been victimized and demonized and not supported in their occupational endeavors. And the problem is, is by decriminalizing this - and I see this in my work - by decriminalizing the whole process so that the sex workers can be seen as legitimate workers, like any other professional in the world and be given all the benefits... Mark: I think the middle management and HR and marketing...they get all the departments wrapped around them: "Hey, go see the marketing guy!" Tim: That is right! Mark: "Make a brochure on this chick." Tim: That is the idea! That is the idea, like you are not letting them live their dream. Mark: Wow. Tim: And then the argument is this - let’s play with it a little bit because there is a strain of logic to it, right. So, the idea is you get them structured that way and then the government...because then my question is, "Ok, what about the kids?" Two million kids or more are being trafficked, sold. How do you protect them in this? Amnesty International says, "It is very easy!" All you do is you tell these jurisdictions and the police officers... These pimps get licensed; they are a licensed business. You go to them and they have to show that they are not selling minors: "We don’t sell minors. Here, look - it's all willing adults." Mark: "Look at our brochure!" Tim: "Look at our brochure! It is very clear." Mark: "No kids!" Tim: And I am thinking to myself, "Ok, you are talking about these underdeveloped countries that, at Operation Underground Railroad, we are filling up their gas tanks so they can drive from point A to point B. You are telling me that your police force is going to have enough resources, time, manpower, so forth, to go and regulate these legitimate brothels to make sure that there are no minors?!" Do you know how easy it is going to be if you are Fuego, right? Fuego, who is the guy… Mark: I remember Fuego. Tim: We met Fuego on the beaches of Colombia and... Mark: And you took his hat! Tim: I still have his hat. I still have his hat. Mark: That guy is such a douchebag. Tim: Can you imagine… Can you say douchebag on this show? Mark: Hey, if I put a little E next to the...we are now explicit. Tim: Ok. Mark: No, douchebag is not explicit. Tim: Is "Slave Stealer Radio" an R-rated show? Let’s just talk about this and figure that out. Mark: I think we are PG-13ish. Tim: I just want to know what I can get away with. Mark: In context, we’re probably considered like an X-rated show just given the general theme, but we don’t really get explicit yet until we get you on the wrong moment. Hopefully we edit that out. Tim: Ok! Mark: Yeah. Tim: So, Fuego... You imagine Fuego, right. How hard is it going to be for Fuego? This is Amnesty International’s plan - Fuego should be a legal vendor as long as they are adults. The kids will be safe because they are safe with Fuego, aren’t they? You spent time with Fuego. Would you trust a 12-year-old girl to Fuego? I mean... Mark: Friendly guy. Tim: Here is what is going to happen: he will line up his 18-year-olds and 20- year-olds, and he’ll say, "Here’s all I got!" And those cops are not going to go the two miles down the road into the little storage facility, right, or the tractor trailer with the ten 12-year-olds and the three or four 9-year-olds. Mark: And they are not going to check his phone to see... Tim: No! Mark: ...you know, all the 10-year-olds with pagers. Tim: Right! He will have those, he will sell those. They are premium! You are going to sell those for $1000; these 18-year-olds you are going to sell for $300. He is going to have those. The infrastructure to sell those little kids is now supported by the state. And he will be able to make money, he will be able to invest whatever he makes legitimately, he will pay his taxes and everything else. He will be a businessman! He is going to sell the premium because it is too easy and now you have just supported his infrastructure. How are you going to protect those kids? Amnesty International decided to ignore those kids. Those twelve kids in the back of the tractor trailer down the road - they have ignored them. And now, guess what? You have created an absolute sex haven. And let's say that they decriminalized it like this everywhere in Cartagena. Every gross tourist from America, Canada, and Germany, and everywhere else - they are going to go to Cartagena, they are going to enjoy the adult sex, and then they are going to make a deal with Fuego on the side and say, "Hey, where do I get the 11-year-olds?" "Well, you come to this other place down the road." And it is a booming business. I am absolutely just astonished and sickened that Amnesty International could be so incredibly short-sighted and idiotic that they don’t see that they are completely neglecting the children. They are creating safe havens. They are making it so easy for the johns and pimps to rape children. Mark: That is pretty inflammatory. Tim: It is inflammatory! Mark: You just called them idiotic. Tim: They are idiots! Mark: What if we need their help? Tim: Well, we won't need their help. Mark: Ok. Tim: But do you know who does need their help? Fuego needs their help, and apparently he is going to get it. Mark: So, an entire industry... You might shut down an entire industry. There might be jobless Fuegos all over Colombia, all over Mexico. Tim: How sad. Mark: Have you ever ordered the 'Sin City'? Tim: No. Mark: Smashburger. You go down, and it is kind of like In-N-Out burger. You can show up and there is the menu, right, there is a Smashburger menu (and they are not a sponsor of this show), but you can order the ‘Sin City’ which is not on the menu. And it is kind of a niche thing for people to go in and they give you the wink and they say, "I’ll take the Sin City." Tim: It is like In-N-Out burger, it is the same thing. They have their Animal Fries, Animal Burgers. Mark: Yeah, the Animal Style. Now, I see prostitution becoming like that. Tim: That is exactly right! Mark: Under the Amnesty plan. Tim: Absolutely! It is exactly what it is. Mark: I’ll take Sin City (wink, wink). Tim: It is exactly what it is. Mark: She is in the back alley. Tim: It is exactly what is going to happen. Mark: It is a brand extension. Tim: It is exactly what is going to happen. And we know this! I know this! I know these guys! I have negotiated with them undercover, I sit across the table from them. And if it was legal to sell, for him to sell adults - which it is not in Cartagena frankly, ok. But if it were, if we all follow Amnesty International, and if they make it legal, and I am sitting across from him... Think about this, just play it out in your head - I’ve been there a hundred times. "Hey Tim, come to my office with the sign that says, 'Beautiful women for sale,'" right, because this is a legal business. I walk in there... I mean, we have set him up, he is totally legitimate. And you don't think we are going to have that little 'Sin City menu' talk? Absolutely we are going to! Because he is going to make double or triple off this sick, horny American who is sitting across from him. Mark: Yeah. Tim: Right? It is so unbelievable! When I saw Amnesty International’s policy, I thought there is no way, there is no way they are going to vote. Sane minds will prevail here. And they didn't. Mark: Who voted for it? Tim: It is the board of Amnesty International. This is a powerful organization that has done good in the world - they are all about human rights. They have done good in the world to protect innocence. Mark: Well, traffickers are humans. They have the right to traffick. Tim: Traffickers have rights too, I guess. Mark: Apparently. So now... Tim: It is unbelievable. Mark: So now, Amnesty International, for the uninitiated like me, Amnesty International now goes and lobbies the UN, they lobby Washington, they lobby... Tim: They lobby countries all over the earth. They will be going and saying, "You need to decriminalize prostitution!" And don’t get me wrong, I totally believe in decriminalizing prostitutes. They should all be treated as victims, absolutely, even if they are saying, "I’m here because I want to be - arrest me!" No, we are going to treat you like... We don’t know your story. I agree with that, that’s right. But what they do is, because the sex worker can’t provide her service if johns are scared to come buy them. So, who they are really protecting are the johns and the pimps. And they say that in their legislation, or in their proposed legislation. They say that... They don’t call them pimps, they are very careful with all the wording, but they call them 'security': 'security for the prostitutes'. Mark: They call them security? Tim: They need to have their infrastructure, they need to have their security, which means that there could be other people helping and facilitating in their business. So, it is unbelievable. Now, will there be a prostitute that would benefit from this? Will there will be a prostitute that would say, "I truly do want to be here"? Absolutely! I believe there are prostitutes who want to be there. And might they say, "We need this policy so that we can sell ourselves freely and be sex workers by choice," and all this, and this would help them. Yes, that would help them, but you have to weigh that against the twelve 12-year-olds who are sitting in the tractor trailer down the road from the legitimate brothel. Mark: Whom you have seen. Tim: I have seen them! They are everywhere! There are 2 million of them. And you have completely thrown them under the bus because you are so worried about the few prostitutes who want to be there, who love their job, and whatever. Mark: The company guys. Tim: I can’t say I am completely unsympathetic to that - maybe that is what their choice is and I am a libertarian in that way. I want people to be able to choose. But it is a balancing act and when you are choosing that over the children who will now be raped because you have provided the infrastructure for them to be raped, you are in the wrong. I mean, it is so clear that you are in the wrong. I know from our perspective, you know, we spend a lot time in the trenches and we see this. Perhaps the folks from the Amnesty haven’t. I have to assume they haven’t seen this, and see how easy they are making it now for children to be raped.
Interview w/ Timothy Ballard Mark Mabry January 11, 2016 Final Transcript Intro: You are listening to Slave Stealer. Tim: Welcome to Slave Stealer podcast, where we take you into the dark world of trafficking so you can help us find the solution. We are talking here with co-host, Mark Mabry. Mark: That’s me. And we did a little change in format. This is part two of our ‘Meet Tim’ series, because he has had a really interesting story. And what I found amazing in getting to know Tim over the last few years, is that sacrifice of peace of mind, sacrifice of kind of this level of innocence that 99.9% of the rest of us enjoy. And, to recap, we talked about Tim’s story a little bit, how he got into child crimes, and how he was invited by HSI to be on that team, and then we talked about his family. He has got young kids, and his son is now 15. And, the birds and the bees talk is awkward enough. What about that talk about what dad does for a living?” Tim: Well, you know, yeah..Let me say this first: I was scared to death some 15 years ago when I was asked to enter this dark world of child crimes. And the thing that scared me the most was the fact that I had kids, and I didn’t know how that would affect me. Would I see an image that reminded me of my kids, would that make me a paranoid father, would that turn me... My wife was scared to death that I would turn into just some cynical, just bitter old dude. And I was scared to death. I mean, you’ve got to wade through the sewer to find the crap. Mark: And what if the pornography took, I mean, worst case scenario, you turn into somebody that is actually into it? Not that that would happen with you knowing you, but... Tim: You know, what I have found that’s..a lot of people think that, and they go there, but... Mark: Those people are stupid. Tim: The people who had that suggestion are really idiotic. No, but it’s a logical conclusion. But what I have found is, frankly, kind of the opposite. Because when you are exposed to children - unless you are a pedophile, right - when you are exposed to that, it makes you want to distance yourself even more from all things pornography. At least that was my experience, and as I watched other agents who I have worked with, who have to be exposed to this. It turns you off so much to the whole industry, even the legal part of it, because it’s so, frankly, similar that it actually, at least for me, it has had the effect of major deterrent, even from any temptation my own part to even look at regular pornography. Does that make sense? Mark: Yeah! Tim: And, for the child stuff, it is just a punch in the stomach every time, and it is worse and worse every time. And you learn how to cope, you learn how to be able to see this stuff and still move on. But, like in the last show, I was talking about how the first thing I want to do when I saw particular images or videos, is just grab my kids and bring them to the safest place I know, which is my home, and just hold them. And so the whole concept, the whole idea to your question of how I bring together these two worlds, of what I do outside versus what I do inside - you have to factor in all these things. But my kids do start asking questions. I was addressing a group that was doing a benefit for Operation Underground Railroad just two nights ago. And they had the kids there and they wanted me to talk about it, and it was so hard, because I’m sitting there, and they say, “Tell us what you do!”, and I’m going, “All right, well I’ll start...” Mark: How old were the kids? Tim: Oh, the kids were as young as five, six, seven, eight, nine, ten, eleven, twelve. Mark: Oh, geez.. Tim: It was like all these neighborhood kids. And their parents wanted them to know that there are kids who are less fortunate and that we need to help them. That was the idea. So, I thought to myself, “I’ll start with the software that we are building.” The software is called ‘Stars’. It’s a pretty name. Until one of the kids says, “What does STARS stand for?” And it stands for Sex Traveler Apprehension Retention System, right? So, I say SEEEE ugh...I can’t say it, I can’t even say the name of the software! Mark: Super Terrific Apprehension... Tim: Yes! So, I couldn’t, and it was so..it’s so difficult. A little kid raises his hand after I’m talking about slavery in general terms, and he said, “Why would someone want to steal a child? Wouldn’t they rather steal an adult because they’d be better at being a slave and a stronger worker?” I just looked at this little kid, I was like, “I know exactly the truth of your question, I know how to answer that, but I cannot answer that.” And so these issues that I was grappling with at this charity event, are the same issues I grapple with every day with my kids. When they see something on the news, and with my small children I just tell them, you know, I help kids, we help kids, we help kids who’ve been kidnapped. That’s all they know, and they seem ok with that. But as they get older, they start asking questions. And it intersects at the same time that I need to start talking to them about the birds and the bees. My wife and I are very open, I mean, I think my job has made me the most desensitized to all things sex, like I can say anything to anyone, because the conversations that I have had with people, with perpetrators especially during interrogations, where we were talking about things, or undercover, where they’re selling me kids. There is nothing that makes me blush, right. So, I can just take my kids and sit down, and say, “Hey”, talk about everything, embarrassing things, everything from pornography to masturbation to dating and all this stuff. It is rare that we talk about that, somehow it leads to the fact that - again these are my more adolescent, teenage kids - it always leads to some kind of an explanation that they are asking me for about, “Why would an adult want to do that to a child?” Mark: When they say THAT, what ..I mean.. Tim: I mean they kind of..they know, I mean, they figured it out. Mark: Yeah. Tim: They do, because they know what is what we’re talking about. And so, I think, in the world of child pornography and sexual abuse of children, you don’t want to be graphic with the kids at all, even with my teenage kids. I kind of let them just figure it out and let their brain stop them where they should be stopped, because the brain will do that. Mark: Oh, adults don’t even grasp it. Tim: Adults don’t grasp it. I was sitting with my father-in-law - a brilliant man, PhD - we were in his kitchen, this was when I was an agent, and I heard him, he started talking.. What had happened was that I arrested one of his friends - not like a close friend, right, but... Mark: ”So, what did you do today, Tim?” “Well, I busted Larry.” Tim: Right! Mark: I have heard this story. Tim: He knew this guy, he had been to his home. So he knew this guy, and he started saying, “You know...I kind of feel bad for this particular individual, because it’s not really their fault. I mean, these girls dress in a certain way that is provocative, and it is not totally their fault.” And, I’m just dying. I’m like, “Wait, wait, wait, what?! You are telling me that a 5-year old puts on clothes, and now it’s not the pedophile’s fault that they look at the 5-year-old!” And his eyes almost popped out of his head! He says, “Five years old?! Why are you talking about 5-year-olds?!” Mark: He’s thinking the 17 ½-year-old. Tim: He’s thinking 17, 16 years old, where you can’t really maybe tell the difference between a 17- and an 18-year-old, right. His eyes popped out of his head, and he says, “What?!” I said, “Yeah...Dad, you don’t know this, but what George was looking at was 5- to 7-year-old children, boys and girls, being raped, ok?” Mark: They sent a picture in the tub. Tim: Exactly. Being raped by adults. And he just kind of put his head down, shook it, and he said, “Now, that is weird..” I remember he said, ”That is just weird...”, and he walked out of the kitchen. He couldn’t handle it, and I don’t blame him. Our minds don’t even let us go there. And this is the problem. This is the problem that, frankly, is the obstacle to the solution. And the problem is we don’t want to see, we don’t want to believe it. I remember in the very beginning, in the early 2000s, when we were taking cases, child porn cases, to the judges, federal judges and state judges on pornography cases, on child pornography cases. And they were sentencing them to the most minimal sentences. Like this one guy had this collection that was unbelievable, categorized it by the names - he would name the kids in the videos, and create little files for them. It was unbelievable. He had hundreds of thousands of videos, images and everything else. And when the judge sentenced him, he sentenced him to four or five months in jail, but weekends only. Mark: What?! Tim: And, I thought, “What is going on?!” The prosecutor I was working with, she said, “You know, the problem, Tim, is they don’t get it.The judges don’t get it!” They don’t get it. And we asked the judges if we could please show..during the sentencing they brought me in, and said, “Agent Ballard wants to show you the images.” He said, “I don’t want to see that junk! I don’t want to see that junk.” He’s embarrassed to even look at it. The human side of him doesn't want to even watch him looking at it, so he says, “I don’t need to see, I don’t need to see it!” So, we didn’t show it to him, and then that sentence came out. I guarantee you, I guarantee you that he doesn’t want to accept it. You know, the reports indicated that the kids were as young as five or four years old. His brain - my theory - wouldn’t let him grasp it, wouldn’t let him grasp it. And so he just gave him this super light sentence. But if I would have just opened that laptop, and say, “You have to watch this, you need to see this.” Now, I’m not advocating for showing child porn to people. Mark: Exactly. Tim: At all! At all! Mark: But, maybe we emphasize, highly illegal: if you download this, even for altruistic, I’m-going-to-expose-myself, but... Tim: You will go to jail. Don’t do it! Don’t do it! Mark: Yes! Tim: But what I’m telling you is, be aware that it is there, and we have got to talk about it. It hurts...You mentioned that when you talk about this, and this is why people don’t want to talk about it, you hit the nail in the head: you lose part of your own innocence. Mark: Absolutely. Tim: And every time you talk about it, some more of your innocence, even as adults, it goes away. You have to sacrifice that, but you sacrifice it for the kids. Because if we don’t sacrifice a part of our innocence to know this is happening, they have no hope, because we are the adults, we are the ones who will...if anyone’s going to save them, it is going to be the adults, that have the power and the influence and the ability. But if we don’t know about it, we are not going to save them. But to know about it, you must sacrifice some of your innocence. And so that’s what we ask people to do: sacrifice some of your innocence, listen to this show, go to our website, learn about trafficking. It’s the fastest growing criminal enterprise on earth. Two million children, and more, are being sold for sex, over ten million children sold for labor. Add all the adults, we’re on a 30-40 million range. I mean, wake up! Help them out! But it does require a sacrifice of innocence. Mark: So, back to the question at hand, did you actually have, have you had a sit-down, “Ok, let me talk to you about this, son”? Like, let me ask it this way: have your kids seen the documentary? Tim: Here’s my policy and my wife’s, I mean, every kid is an individual, right. Every kid you treat differently, because it is not a ‘one size fits all’ solution to raising kids. Mark: You have how many? Tim: I have six kids. Mark: That’s awesome! Tim: So, our kind of general policy, guideline on the documentary, which is ‘The Abolitionists’ documentary, which films my team going into different countries and helping the police infiltrate trafficking rings and so forth... Mark: Catching you soliciting pimps for underaged girls. Tim: Right. Mark: Asking “Hey, will she do this, will she do that?” Tim: Oh, yeah. Mark: Your kids have to hear you saying that. Tim: My kids are hearing that, yeah. So, what we’ve decided is, generally speaking, if this particular video or this particular documentary includes children, who are being sold, who are, say, 12 years old, then I’m going to let my 12-year-old watch it. And that is because I think it’s important for him to see what he has and what someone else doesn’t have. “Someone your age is being trafficked. You get to play football; they are being sold for sex.” And, I think it’s important for kids to recognize what they have, and then it instills in them a sense of responsibility: “How can I help that kid, who doesn’t get to play football? What can I do?” And it makes them aware of the world and aware of what’s happening. So, that is kind of how we deal with it. And then again I let them watch it, I don’t rehash it with them, I don’t bring it up too much, at least graphically. Mark: Yeah. Tim: I let their mind stop them where it needs to stop. Mark: Smart. I like that principle that you said with adults, with kids, with everyone - they will go to a point that they are ready to go to. Tim: Right. But here’s the point that I was making too - once you are an adult and you have real influence to help, it changes a bit in my mind, right. Mark: Especially if you are a judge. Tim: Especially if you are a judge. I don’t want it to stop where your mind wants it to stop. And this is our job at Slave Stealer podcast and other places, other people’s responsibility, who are in the know-how, who have seen it, you’ve got to say “No!” No, I’m not going to let you stop. I am not going to let you shake your head and walk out of the kitchen. I’m going to make you stay until your mind grasps this enough to where you are going to act. And that’s the problem, is people hit that point where their brain wants them to stop, and they shake their head and walk away. We can’t have that. If we do that, these kids will not be liberated. Mark: If that happens in 1860, you have still got millions of slaves in the South. Tim: Absolutely! Mark: Because we have talked about it. Tim: Absolutely. That’s why, because people shook their head and walked out of the kitchen. Mark: Yeah. You have got to show it to them. There are so many questions - I’m trying to think of a logical order here. You talked about it with your father-in-law, and we are not talking about 17 ½-year-old girls. Tim: Right. Mark: We are talking about kids that are groomed, And, maybe.. let’s define the term. We kind of need to have like a trafficking glossary on our site. But grooming, and, maybe in the case of Lady, that we talked about - that’s when you explained it to me, you know, when I was going to go be a scoutmaster. I had to go through the whole ‘how to identify a perv’, right, and one of the terms they used was grooming. And they’re like, “Well, when you prepare a child for…” whatever. But you really broke it down for me in the case of this 11-year old virgin, who was sold to you in Columbia. I was there watching, she was a virgin. Tim: Right Mark: However, she knew exactly what was going to go down. Tim: Right.. Mark: What do they do to groom a child and how were you made aware of it? Like, give me how you came to that knowledge. Because this episode is kind of about you and the topic. Tim: So I came to the knowledge the only way I think anyone can, and that is experiencing it firsthand. For me, that was going undercover, pretending to be someone, who is interested in that black market, and getting into that market, becoming a player in that market. So, in the case of this little girl, who they were calling ‘Lady’ - and that surely wasn’t her real name, it was a name the traffickers gave her - in that case, we were pretending to be solicitors of child sex. We were working with the Colombian police pretending to be Americans, who travel to Colombia to engage in sex with children. And what had happened in this case, because we were working in that capacity and because we presented ourselves as wealthy Americans, I hinted to the trafficker that we would be interested in sharing profits and investing in his trafficking business. The reason we did that was because that all of a sudden, if they believe us, that pushes them to open their books and open their business and explain the business plan. And that’s how we learn how they do this. I would say things like, ”Look, I could probably get you a million dollar investment in this, but I need to know how it works; I need to know how you get these kids; I want to know you maintain the kids, how you groom and prepare them,” and so on and so forth. And the guy was more than happy to tell me what he does. Mark: I have a photograph of your hands around this little pattern napkin. It was like a napkin business plan... Tim: Sure, yeah. Mark: Of a sex hotel for kids. Tim: That’s right. Mark: I have a picture of that. I’ll post it, because it is so disturbing when you realize what those numbers represent, volume and quantity and velocity of children and child rape. Tim: Yeah, it was the dirtiest, most evil business plan that anyone could ever dream up. Mark: Yeah. Tim: ..on that napkin. That’s right. Mark: I’ll post that. Tim: And that was like our third or fourth discussion about how their business operations work. So, what they explained to me was, “Look, it’s easy to get the kids. You find poor families.” You don’t want to do a hard kidnapping, you know like the movie ‘Taken’. Does that happen? Yes. Is that the likely scenario? No. Why? Because you kidnap a kid, a hard kidnapping - meaning go into their house, like what happened with Elizabeth Smart, go into the house, pull them out. Well, you are going to kick up a lot of dust around you. Why do that if you are a trafficker if you can instead make it a peaceful kidnapping. Not peaceful for the child, right. Mark: Yeah. Tim: Hell for the child, peaceful for the trafficker. In other words, they can kind of do this without fearing much consequence. So, what they do is they go to poor families, and these guys had actually hired or were working with, contracting with, a beauty queen in Cartagena. She had won a pageant, a beauty pageant. So, kind of people knew who she was; she had been on the news, she showed up in music videos, and so people knew who she was. So, they walk into the house with this beauty queen, and they say, “Look, look at this beautiful woman. She doesn’t have a worry in the world. She is paid, she is wealthy, she is beautiful, she is famous.” And then they point to the 9-year old daughter, and say, “we focus” - they told us “9 years old is where we start”. And they say to the mother and father: “Your 9-year-old daughter is just as beautiful as this girl; we just got to train her. We can train her, and she can become a model and an actress.” And they fill the parents with all sorts of dreams that they never believed were possible for their child. And certainly this is legitimate, because they are looking at the star, who is in their living room saying, “I can do this for you. And we’re going to give you a scholarship. You can come to our school and learn how to be a model for free.” At that point, they bring them into the modeling school, and they teach them some things. And when they get comfortable, they say, “Now you are going to watch this video.” And the video will be pornography. “This is part of being an actress, it’s part of…you need to understand this world.” And when kids are at that age - nine, ten, eleven - their minds are still developing and forming, and if someone tells you this is right, this is right, this is right, eventually your mind develops as a 9- or 10-year old into believing, “Ok, this is right, this is right.” And so they start seeing that. We had evidence that some of them were being drugged, you know, threatened: “If you go back and tell your parents that we are doing these things, you are going to be in big trouble.” And again, kids are very… Elizabeth Smart, when we get her on the show, she can talk about this, where a police officer walked up to her, while she was in captivity, and said “Are you Elizabeth Smart?”. I mean that, it would have been over! Mark: Yeah. Tim: And she said, “I am not. I am not Elizabeth Smart.” Because she was scared to death because they, her captors, had told her, “If you ever reveal who you are, we will kill your sister, and your family.” And as Elizabeth tells it, everything they had told her they are going to do to her, they did it. They told her they are going to rape her, and they did it. They told her they are doing this particular thing - sex acts - and they did it. They told her they’d chain her up, and they did it. So, when they told her that they are going to kill her parents if she reveals who she is, why would a 14-year-old not believe that they are going to do it? Mark: They’ve got all power. Tim: All power. And she has received criticism for that, you know, like, “Why didn’t you run away? Did you want to be there?”, you know... People just can’t comprehend how the mind of a child works. And that’s what these kids go through - they are scared into not revealing what is really going on. So, they groom them, and they said it, it will be a year and a half, or more, while they are grooming them, all under the hospices of this modeling school. And of course they are being trained to be models as well, and then eventually they say, “Ok, so this is your test. You are going to this party on this island, and these men are going to come from America, and you are going to do the things that you have seen being done in the pornography videos, and do whatever they want.” In a nutshell, that is how it works. I mean, that is how it works, that is the reality. Mark: And variations of. Tim: And variations of that. Mark: So, they can do everything up until the point that she is not a virgin to claim... Tim: Right. Mark: “Hey, it is a virgin.” Tim: And they can, and they want to do this because their virgins are premium, right. Already, a child, in most black markets, a child will go for about a double or more than double of what an adult prostitute will go for. But then, if that child is also a virgin, then it’s quadruple, or more of that price. So, it’s a premium to sell a virgin child. Mark: Wow...Give me, you’ve talked about it - like pulling people’s blinders off, and those moments where people are opened up, and the one with I think your father-in-law, who gets it now - that was pretty dramatic. What about..give me another one. You don’t have to name names, I just like hearing about people’s response. Are there any high profiles that you are allowed to share, that, maybe change the name, change the whatever? Somebody that you have shocked, that should have known? Tim: Yeah. I was in the office, probably a year or two ago, of a governor of a certain state. We were explaining who we were and what we did, and he was absolutely shocked. And, kudos to him for being honest, saying, “Wait, wait, wait, what?! There is how many kids? There is how many kids being hurt and trafficked in the world? And what does that mean? They do what?!” He didn’t know, he didn’t know anything! And again, I’m not blaming him for not knowing. It is not something you go seek out, right? It is not something that your advisors seek out to tell you. It is hard to talk about. And I don’t know that you know the answer - why aren’t we talking about it more? Why, why, why, why? I really believe because it is that.. it is so dark a topic. It is not even...you know, slavery in the nineteenth century - it was politically divisive. It was a political nightmare to get involved: go back to the Lincoln-Douglas debates and everything. I mean, it was a divisive and a political issue. This is not even a political issue. There is nobody standing on the side of the pedophiles - well there are some: NAMBLA, the North American Man/Boy Love Association, which deserves its own show someday. Mark: Do they have a logo? Tim: Well, there are all sorts of different..Look them up: nambla.org. Mark: Is that weird? Tim: You might have cops knocking on your door tonight. Mark: That is what I am saying. Tim: No, no, no, you won’t. You can look them up. Mark: What are the pop-up ads I am getting after that? Tim: Yeah, be careful when you go: nambla.org. I mean, it is a legitimate organization, legitimate in terms of legality, right. And, they are just a group that is pushing for a.. Mark: Oh hell! Tim: What did you find? You got...I told you to be careful when you go to that... Mark: No, it is not...and luckily, I’ve retained that innocence: I have never seen child pornography. It is a cartoon on the front their page - it is an adult asking a little boy, “What can I do to make you happy?” And the little boy says, “I like hugs.” Tim: Boom! And that’s their whole message. If you go into...When I was an agent, I would go all into it and learn about it, what they believe in. And they actually talk about how kids, psychologically and emotionally, need sexual healing and sexual exposure from adults. And why not adults, who know what they are doing? And so they make it sound as though the kid wants to be hugged, the kid wants to be touched. Why is it so bad? And they bring up science, where they show that children are sexual beings based on this story and that. Of course, they are human beings! Their sexuality is attached to everybody; we are born with it. But that doesn’t mean you are ready to bring it out and force it on a child, because that’s what you would be really doing, forcing it on a child. Their brains aren’t developed to the point where they can make those kind of decisions, or comprehend the kind of consequences of that activity. I mean it destroys...I’ve seen kids destroyed over this. And here they are saying they just want to hug, “Just hug me, that is all I want.” Mark: Oh, here’s the other one, right. They are just headlines and we’re not going to go off on NAMBLA forever, because it does deserve its own show. Maybe we bring one of these idiots in. Tim: Yeah, bring them in, let them take it. Mark: Or, we bring in some of the people they are attacking. And I thought of this this morning, ok. I’ll read a couple headlines: ‘When Labor Loved Liberty (And Before They Changed Their Minds)’ about the labor unions formally supporting..whatever. ‘Remembering Michael Jackson’, and they’ve got the old black version of Michael, ‘Remembering a Lover of Boys’, ‘Michael Jackson’s Dangerous Liaisons’, ‘The Non-Wisdom of Crowds: Defender of Anonymous Outraged by our Lack of Passivity’. Now, this one’s interesting: ‘Hipster Vigilantism and the New Populist Attack on Free Speech’. That is what they are calling it: speech, right. And then, they say ‘Anonymous Decidedly Illiberal Campaign to Silence Us’. Dude, is Anonymous getting on these guys, because they would be an awesome ally. Tim: I don’t know, but let’s check, let’s look into it - let’s absolutely look into it. But these guys have conventions; it’s a political movement to legalize this kind of behavior. Mark: They called Oprah a liar, by the way. Tim: And so... Mark: Saying she wasn’t, she wasn’t molested as a child. Ok, I’m off on NAMBLA. Tim: Ok. So, we’ll go back talking more about that, but the point is, that, except for these few total whackjobs, who think that this is a healthy thing for children, it is really just obviously serving their own selfish lust and pleasure and evil. Dark, dark souls...But, for the most part, this is not a political issue, right, it is not a political issue. Everyone will be on the side of solving this. So, what is the obstruction? It is simply, “I don’t want to know; I don’t want to see it.” It’s the ostrich, the ostrich effect, sticking our head in the sand: “I don’t want to see it, I don’t want to...I have kids, grandkids. I can’t think about it.” And that’s where we have to make the change, that’s where we have to convert people to look at it. Mark: What are the more offensive things that people have said to you? Maybe on purpose or not on purpose. I don’t need the top three, because it’s hard to think in superlatives, but give me five offensive things people have said to Tim Ballard, unknowingly or knowingly. Tim: Offensive, in terms of just this topic in general? Mark: Yeah, that you’re like, “I used to respect you three minutes ago, before that came out your mouth.” Tim:I think the one time I can remember where I got the most offended...and frankly, you actually just did it to me earlier today, accidentally. I wasn’t so mad. Mark: Oh, when I wondered if you would turn into a perv by looking at... Tim: Yeah, it was so...I felt really bad because... Mark: That wasn’t a personal attack, by the way. Tim: No, no no, it wasn’t. And I want to clear this up. I don’t have a whole lot of examples of people, who say things offensive in terms of why this should or shouldn’t be legal or illegal, right. I mean, I’ve had perpetrators during interrogations defended, you know. A guy named Ernst Luposchainsky, for example - you can look him up, we arrested him in Minnesota... And he was pretty, I mean he was offensive, but I mean, geez, he was just such a joke. You are looking at this guy and you are almost, almost...somewhere in between laughter and vomit. You know, you are just like: “Are you serious? You are saying this?” You know, but he would talk about like the benefits of child pornography and how it helps the poor kids. “These kids get paid, they get paid for their sexual services, and we are helping them, we are helping their families.” He would talk about the tiger and the meat analogy. I remember we talked about, and this is all during his interrogation, where he would say, “Look, you have got to feed the tiger meat. If you don’t feed the tiger meat, he will eventually attack human beings.” So, he is actually saying, “Children are being raped, that’s horrible! Now, a consensual sex with a child, that is a different story. But, children are being raped against their will, I’m against that. Oh, I’m so against that!” You know, he would say... Mark: Just for the record, you were quoting him on the “consensual sex is a different story”? Tim: Yes. Mark: Ok, just making sure it wasn’t like... Tim: Yes, quoting. Mark: You, parenthetically saying “Hey, consensual sex...” Tim: I’m sure some out there would love to misquote me on that and accuse me. So, the tiger and the meat, right. “You have got to feed the tiger meat, you have got to feed the tiger meat, and then he will never rape the kids.” And the meat is child porngraphy. “Make it legal. Let them look at it, because then they will just look at it, and then they will get satisfied and the kids will be safe.” Mark: Oh, yeah, totally! Tim: Because it doesn’t, it certainly doesn’t fuel your evil passion by looking at it, right? Like for example, a man who watches pornography, he never watches pornography with an int to actually engage in sex with a woman. He just watches it for, you know, for the pleasure in itself. Yeah...baloney! Any dude, who watched porn will tell you, right, “I would like to translate this to my bedroom,” right. It is no different with child pornographers. They are looking at this, and they want to act out. So it is just the opposite - you are fueling the fire, not putting it out. But, I mean, that was offensive. And, by the way, that Ernst Lupochainsky case, we got to do a show sometime on that. That was the hardest case I have ever did. In the middle of that interview, ok, while he was telling me all this stuff, he would not break, he would not break, he would not break. So, what I had to do...because he believed that all men were closet pedophiles, he just believed that story... Mark: I love this story. Tim: He just believed that. It was his way to justify his own feelings, of course. But this puritanical society - that is what he called it - has stopped the natural flow of love between a man and young, little girls. But on this show, I have got to read...he had this postmortem message he put on all his child porn collection. We will prep and I will read his message. Mark: Oh my gosh. Tim: It’s unbelievable. Unbelievable. But the point I am making here is, I had to go undercover - this is just a teaser - I had to go undercover... Mark: Don’t blow it, because I know the punchline, and it is unreal. Tim: Yeah..as myself. So, I pushed my buddy away, the other agent, who was interviewing the guy. I was still wired up undercover, you know, and I said, “Hey, listen man, listen Ernst, help me out. I mean you are right. Reading your stuff - it makes me trust you. I have got to look at this stuff all day long. What do you think that does to me? It makes me want that. But there is no one I can talk to. Can you talk to me? Can you help me?” Sure enough, his eyes just light up. He believed it! I couldn’t believe he bought into it. I was...I was...It is one thing when I am Brian Black, you know, or I’m some alias in an undercover operative. Mark: That is a cute name. Did you make that one up? Tim: That was the name that I used to use, yeah...Brian Black. So, here I was, Tim Ballard, U.S. agent/pedophile. So it was a totally different thing. I was myself, and that went on for...and then you know, I reported it to my supervisors; they loved it. And that kept on for at least a month, until we could get all the information out of this guy we possibly could about his contacts and networks. And he opened up to me, thinking he was helping me enter into, you know, induct me into the beautiful world of pedophilia. So, someday we’ll do that story, because that is an amazing story. The guy is still in jail. Mark: Good. Tim: So, that is kind of somewhat offensive, but the time I blew up...the sweetest lady on earth - she was, she was just...Lived down the street, sweet kind lady, and I was working in child porn cases, kind of mad - you know you’re just mad a lot, thinking about it. And she said to me, “So, how many agents, you know, end up…?” And again, the same thing you just said, but I didn’t blow up at you. Mark: Good grief! I feel like such a schmuck, especially in context of the story you have just told me. Tim: Yeah, it was the first time... Mark: Because I know you are not susceptible to that. Tim: Right. And, I would honestly argue that unless you are predisposed and you enter the child crimes group so that you could access it, I think it is just the opposite. And, you know, she said, “So, how many end up pedophiles themselves, being exposed to this?” Mark: Legit question! Tim: Yeah...I mean it sounds like a legit question, unless when you are in it, you are like “Wait, whoa, whoa.” Yeah so, by the hundredth time I am watching a child scream in pain, by that time I am like, “I am digging this.” But, I went off, I went crazy. I said, “Do you think it is that?! Or maybe it is, ‘I can’t believe I have to watch this again! I can’t believe I have to subject myself again to this video, and my stomach is punched again and again and again.” It was so bothersome to me, because it is just the opposite of what she was saying. It is like, I have got to endure this. It is like saying this, here is a good analogy: someone who has been doing chemotherapy for a year, right, and every three months they got to go get another dose of chemo. It is like someone saying, “So, how many cancer patients become addicted to chemo? Even after the cancer is done, they still take chemo just because they are addicted to it?” Right?! That is analogous right there. Mark: Yeah... Tim: Ok? And, it is just like, “Wow, wow,” you know, it killed me. I get it, but it was just, it is...What they don’t understand is the potency of this. It is not! What they think is, she was probably still thinking 16-year-olds, 17-year-olds. I was like, are you kidding me?! It is not what we are talking about! If there is a 16-year old in a child porn video, we wouldn’t even prosecute that, unless you absolutely knew it was a 16-year-old, in like specific cases where, you know, uncles taking pictures or something. Mark:Yeah. Tim: But otherwise, you wouldn’t. You would be like “Eh...” If you can’t tell...The majority of the child porn cases we prosecuted: 5 years old, 7 years old, 10 years old, that range, right. I know, it’s just... it is just things the vast majority don’t have to see, and I don’t want them to see it. Mark: Yeah. Tim: I don’t want them to see it. But they need to know it is happening, so that they can be part of the solution. Mark: On that same thought of things that people unintentionally say that are offensive, how about this? And I have got this one before, even with my little bit of involvement: “Well, she looks like she wants it.” Tim: Oh, yeah...I get that quite a bit. In fact, right in our documentary, in “The Abolitionists”. Mark: Yeah! Tim: I have heard a couple of people say that. In an early screening that happened, and my wife who was in the room, it was a very early screening, we brought some kind of influential people in to watch. Mark: I was there! Tim: Oh, right! You were there. That’s right! Mark: I was sitting by your wife. Tim: You were there. A sweet lady - I think you know her, I think you know who she is - totally innocent, you know, she just...she said, “Can’t you show like a little darker side to this, so that people know? Can’t you show us some kids who are not looking like they want to be here?” And, if you remember my wife, she’s like... Mark: Oh yeah. Tim: “Alright! This is tragic, what is happening to these kids! This isn’t a scripted film, this isn’t - we can’t make this up. This is real, and it is their hell. And just because you can’t see it, because you are not the spirit inside of that body,”... know, my wife just… bless her heart, she went crazy. Mark: She is not outspoken. Tim: No. Mark: Right? For her to... Tim: For her to do that... it touched a nerve. Mark: Yeah.. Tim: And again, back to the misconceptions. Are you going to find cases of kids chained up and locked in closets? Absolutely, you are going to find that! The vast majority, the vast majority? No, that is not what it looks like. And in the documentary - most people get it, it is not usually a big problem - but in the documentary, I mean, you are watching the filmmakers put the ages of the kids - of course cover their identities - but they put their ages, their numbers like over their blurred faces. And so you are watching this 12-year old-girl, it says twelve, you know, and I remember that little girl, I remember that she actually had fear in her eyes. But if you weren’t looking straight into her eyes, she did walk into the party, and she knew what was going to happen to her. Mark: And she was dressed like a 21-year-old prostitute. Maybe not her, but some of the others. Tim: Some of them were, that one wasn’t, but some of them absolutely... This little girl was wearing like long basketball shorts and a white t-shirt, and you will see that in the documentary. But others were, the 12-year-olds... Mark: They are not picking their outfit here. Tim: Right, right. Mark: For the most part. Tim: And they are walking in and people say, “Looks like they want to do that! They want to do it! Look at, they... No one is forcing them to walk in.” And again back to Elizabeth Smart. When you will bring her on the show, we can talk to her about it, and she...If you thought Catherine, my wife, got passionate, wait until Elizabeth answers that question. And she says, because they bring it u, she had plenty of opportunities, in theory, to run. She did. She was in public areas, policeman came up to her, right, but what they don’t understand is trafficking, slavery, so much of slavery is mental. These traffickers enslave these kids mentally, emotionally, not just physically. In fact, they don’t want it; if they can get away with not enslaving them physically, all the better. Remember, they don’t want to kick up a lot of dust around them. So, if they can figure out how to enslave them mentally and emotionally, that is always the first choice, and they do it by the grooming process that we described earlier. They groom them, and then they control them. They control them! And this is why the rehab part is so important, because you have got to undo the damage, and that doesn’t happen overnight. It is a long process. I don’t know, I mean, I have talked to a lot of victims of trafficking, who are adults now and have families of their own, and they have told me, “You know, you don’t ever fully, fully heal.” I mean, there is always something there you have got to battle. And that is what happens, that is why when Elizabeth’s father runs to her, she still denies who she is for a second, and then she opens up. Because it is like a spell, and if you haven’t been through it - and I haven’t, so I can’t fully comprehend it, but I’ve been around it enough to know that you can’t comprehend it, unless it has happened to you. And a child’s mind is not like an adult’s mind. Children don’t think like adults think. Their minds are at different levels of development, they don’t have a lot of experience, they don’t understand the consequences like adults can and do. And so, it is not so difficult for the traffickers to play those mind games, warp them, brainwash them, and make them slaves. Mark: Well, I think that...we’ll get into, I think, in shows down the road, we’ll have Throwback Thursdays. We’ll go revisit missions and do things, but I feel like that can give our listeners a little bit of insight into your passion, your feeling for what it is you do and how it affects your life. It is not a job you leave at the door, as you are hearing. And so if you have any parting shots along the lines of ‘Here’s Tim’, ‘Get to know Tim’, let’s go and leave our listeners with that. Tim: You know I...I’d say this that I understand completely. We are talking about awareness, we are talking about people’s ability to see this problem. And I can’t sit back and judge and say, “Come on, open your eyes, open your eyes!” I was the worst of everybody; it was right before me and I was denying. I was denying it. I didn’t want to do it. It took me a long time to say yes, and even after I said yes, I was very apprehensive about how far I would go in this. So, I get it. It is a hard barrier to get around. And even when it is in front of you almost...you know, and then, when it is not in front you, of course, it is sometimes near impossible to get around. So, I get it, I get it, but I also understand that when you see it, when you allow yourself to open up to it, you become converted. And part of that I think is from God. I think God, more than anybody, wants these children liberated. I think he weeps more than anybody for these kids. So, if he can find an adult, who is willing to open their mind enough and not walk out of the room, he will help convert you, and put that passion into you, fill you with his spirit, and call you. He will call anybody, if you are going to help save his kids. And I just want people to go through the same conversion that I went through. I am kind of a missionary for trafficking, right. I mean, I am trying to evangelize here and get people converted to the cause, because that is who I am. I have been converted to the cause. And it hurt! Mark: The cause of freedom. Tim: The cause of freedom. But it hurts to be converted, because you must leave something at the door, and that is your innocence. You must leave it. And who wants to give that up? But you must do that. You must make that sacrifice. And it hurts, and you cry, and you have moments that are embarrassing - and we’ll get into some of these. There were times, when I was like a child in my wife’s arms weeping and she is holding me, and I am just shaking. Still happens to me... I used to not talk about it, but I just talk about it now. It hurts, it hurts to get into this cause, because the cause of freedom requires you to fight evil, and evil hurts. But what we want to do here on this show is make converts, because I know this: converts to this cause equals liberty to children. And what greater thing can we do than bring liberty to children? Mark: Thank you. And, because your last words were so good, I’ll sign off for you from OUR headquarters. Good night!
This week, we have a brief discussion about how third party ad networks affect performance on news sites before talking with Sophie Shepherd. Sophie is a Senior Designer at Ushahidi, a non-profit software company that develops free and open-source products for information collection, visualization, and interactive mapping. We discussed the challenges of designing for international users with minimal data speed, how Ushahidi brings data and information to regions with nearly no connection, designing with task completion in mind, and more. ##Show Links: Sophie Shepherd Follow Sophie on Twitter Ushahidi Lara Hogan - A List Apart - Showing Performance Global Mobile Book Eric Meyer Crisis Design Rust Belt Refresh ##Transcript Katie: Welcome. You're listening to Episode 8 of The Path to Performance, the podcast dedicated to everyone to make the web faster. I am your host, Katie Kovalcin. Tim: And I'm your other host, Tim Kadlec and yeah, you nailed it; this is Episode 8. Well done! Katie: I was like, oh yeah, I totally know which episode it is. Wait: no, I don't. This is Episode 8. Tim: I mean, it's understandable; the numbers are getting higher, it's getting harder and harder. Katie: Totally out of control it's on more than one hand now! Tim: Yeah, once you've thrown that second hand, things get really complicated. It gets worse when you have to start taking off the socks and using your toes as well! That's where I always get hung up! Katie: You can wear flip-flops and then you don't have to worry about it. Tim: True, true. Katie: How are you, Tim? Tim: I'm doing OK; I'm actually wearing flip-flops right now! Yeah, I am! Katie: It's warm in Wisconsin? Tim: It is warm, for once. Yeah, I'm doing good; enjoying my day. And you? Katie: I'm good as well. The sun is shining here, which is a very rare thing in Ohio this summer and I feel like I have been whining about it for so long but today, I'm not whining. Tim: That's good! That's good! I'm guessing, we could maybe one of these times maybe we'll have an episode where we just kind of whine all the way through, but otherwise I think people probably enjoy the non-whining better. Katie: We can just have a bummer episode! Tim: Yeah, just a downer of an episode where we just air all our grievances about everything… Katie: We just talk in emo voice, just like…mwww…yeah, the web does actually kinda suuuuck… Tim: Yeah, exactly! I think this goes over well, I think this is maybe like a special Christmas edition. Katie: That is a really good idea. Tim: Right in time for the holidays. Katie: Christmas Bummer Episode! Tim: This is brilliant. That has to happen; I'm writing this down. Anyway, but glad to hear you're doing good now on this totally not Christmas at all episode. That's good. Katie: Yeah, on this summer-sunshine flip-flop fun-time episode! Tim: Yay! Katie: So, on the note of cool things, there's this episode from the Washington Post where in kind of a similar fashion, I know we talked a couple of months ago about Vox sort of declaring performance bankruptcy, Washington Post kinda did the same thing and talked about in an article the other day and that was pretty cool. They mentioned it sort of being in response to the instant articles and talking about just ads on news sites generally kind of sucky for performance, but I really liked this quite that it ended on that we have very little control over ads that load late or slowly but we wanted to make the core use experience as solid as possible because that is what we have control over and that's kind of a cool way to think about performance, just focusing on making good the core part that you do have control over. Tim: Yeah, and I think that's just generally awesome advice for anybody, because the ad work stuff comes up a lot and you have very little control over those third party ad networks and unfortunately a lot of them are super-slow right now but also essential for business but I like that they made the clear distinction between their core experience and understanding that the ads is just something you're going to have to tack on afterwards but mitigate the issues as much as possible. I think that's just really solid advice for any publisher. Katie: Yeah, absolutely. It's a nice article, it's a quick read; I recommend giving that a little skim or browse. Tim: Definitely. And then of course, Lara Hogan, who has made a habit out of writing good things over and over and over again or providing good performance advice in general, she wrote a post for A List Apart about showing performance; basically getting into some of the things she talked about way back in Episode 1 with us and also in her book about the importance of making performance visual: going into the dashboards and things like that, that they have up at Etsy and making sure that people can actually see the difference in performance. Katie: Yeah, she tweeted a little quick video a while ago and it might actually be in that article, I haven't had a chance to read it yet; it's on my to-do list but she posted a video of their video systems and it's really cool, it's really awesome to see that. Did I tell you that Lara, she talks about donuts all the time and donuts being her reward for good performance, achievements, good things like that, and when I saw Lara in New York a couple weeks ago, she took me to The Donut Spot that's in her neighborhood and I was so excited! Tim: Yeah, you told me. She's never taken me to The Donut Spot. I'm a little disappointed. I'm excited for you though: that sounds really cool. That's kind of… Katie: You know what? It was a really good donut because she says she's not a fan of the hipster donuts with a bunch of stupid toppings like cereal and candy bars and crap. Tim: Like the voodoo donuts thing in Portland? Katie: Yeah. These are just some straight-up home-town donuts in Brooklyn; I guess not really home-town but they were good! Tim: That's good. This is just like plain glazed? I want to know how far down the rabbit hole you went. Katie: We got banana…no, not banana: they were like custard-filled ones with the chocolate icing. I'm not a donut expert but those good ones! Tim: Gotcha, OK. That's a safe choice. Katie: Not the white sugary whipped cream-filled, the kind of yellowy-custard cream-filled ones; those are good ones. I don't know the distinction: is one cream and one custard? Is one icing and one cream? I don't know. Tim: I think it's usually like an icing and cream thing. Depending on where you go, it's almost like pure frosting is what it tastes like you're eating… Katie: Yeah, like you bite in and you're just like, oh my… Tim: Yeah, it's like there's frosting on the outside of the donut and frosting shoved down the inside as well and you just feel the cavities forming as you're eating them. It's great. It's a really good experience. But that's good. No, I did not…you did tell me this and that's very awesome, very cool. It's kinda like… Katie: Sorry; I'm obviously still thinking about that. Tim: I don't blame you. Katie: It was an experience. But, back to today's episode! We are talking to Sophie Shepherd and the big reason we wanted to get Sophie on here is not only because she's an awesome designer but because she has experience with working on products that are primarily used in developing countries that typically have the less than ideal device scenarios that we kind of always talk about in theory but she has some really great insight on talking a bout it in practice and actually designing for those devices and scenarios so it's going to be really interesting. Tim: Yeah, it'll be a nice fresh take, a different perspective than we usually get. Very cool. Katie: Cool. Well, let's go hear from Sophie. Katie: And we're back with Sophie Shepherd from Ushahidi. Sophie; can you tell us a little bit about Ushahidi and what exactly that is? Sophie: Sure. So, the what exactly it is, it's a Swahili word that means "Testimony". A lot of people are like, "Usha-what?" so it's not English so don't feel bad if you can't say it. And the company was founded in 2008 in Kenya so in 2008 what was happening in Kenya. there was an election that was fairly corrupt and there was quite a bit of violence broke out and some bloggers who were in Kenya and living in Kenya realized that they needed to do something to help out as well as just writing about what was happening, so they made a product in which people could submit reports of different places where the election was happening, different polling stations and this way they could say, there's been violence here, someone was killed here or this is a safe place where you can go to vote, or there's fraud happening. And what Ushahidi does is it takes all of these different reports and collects them into one place and provides a list and a map for them. So that's how it was founded; it's now a number of products but the name of our main platform is still Ushahidi and the purpose of it is still too collect data, crowd-source data. It's oftentimes gets mapped but isn't necessarily, we're re-doing the platform right now so that it's not only map data; it can really be anything that users submit. Katie: Awesome. So, spoiler alert, I know Sophie really well so I know the details of what she does and what really struck me and why I wanted to get her on the podcast so bad is because you deal a lot with users that are in places that have really poor connectivity and the products that you're designing are really crucial information that they need to get to. Can you talk a little bit about all of that and the challenges that you face when designing for that? Sophie: Sure. So, I think something that's really interesting is that it's not only poor connectivity but the kind of contexts in which people are using our products are unique. Not exclusively, but oftentimes they're used in crisis situations, so people don't have a whole lot of time. A lot of the time, the power could be down or internet could be down, so it's not only we have to think about connectivity but also ways that people are submitting information. This has been the first project I've worked on where it's not just, when we talk about performance, it's not just people needing to load something fast but it's about access and accessibility so, built into our product is people can anonymously text stuff in and that'll become a part of our system so it's really thinking about this whole ecosystem of access and ways of submitting information rather than just a website. Katie: Can you talk a little bit about what that means exactly, more than just a website? How else are you working around those connectivity and accessibility issues? Sophie: Yes, well, Ushahidi as a whole, not only with our platform but we have a lot of other companies that have spun out from the product itself, so there's a company Brick which is really, really awesome. It was founded by someone who was also a founder in Ushahidi and they make wifi devices that are super-rugged; they work off 3G connections so you can take those anywhere. We were in Kenya and they have all these attachments so it can be solar-powered wifi, so we had a group meeting in Kenya and we were all accessing the internet in the middle of nowhere on a beach from this device we had. So, it's thinking more about getting people information. Similarly we do a lot with SMS so if someone only has a phone they can text in a report or receive a response saying, OK, this has been confirmed, through their phone. Tim: This is fascinating stuff. I always think it's very interesting to hear the perspective outside of what we're used to in the little bubble that we get to live in here in the United States tech industry. This is taking everything in terms of the importance of building something that is going to work on different devices and the importance of building something that's going to perform well and this is really scaling up the importance of doing that, the vitality of doing that from just business metrics to, like you're saying, people's lives at stake in some of these cases. I'm curious; you mentioned being in Kenya and using those devices to get access. You can't obviously develop all the time in Kenya, so how are you finding ways to get that experience here, when you're building stuff from the United States so that you're feeling what it's going to be like on those, a 2G or a 3G connection or whatever it happens to be? Sophie: It's definitely a challenge for me because not only am I working every day on a really good connection but I've never really not had that; maybe five years ago my connection was not as good as it was now but I think I've always been as far as connection speeds in the one per cent, but we have a really great user advocacy team at Ushahidi so this is not only thinking about performance and website metrics, but we have a whole team that is dedicated to making sure that our users are satisfied, listening to what their needs are and responding in that way and also helping them, because this is a product that then gets extended and they can download it and set up their own deployments to use the product so we have a team that works really closely with people who are actually using it, which is terrific because we get a lot of feedback through that. Tim: I was going to say, are some of the team members in Kenya? Sophie: Uh-huh. Yeah, we have one person in Kenya, one person in Canada and then we have as part of, we have a specific user testing wing that's in Kenya but what they do is, since they are so in touch with people who use this stuff all over the world, they're good at being able to not only test it in Kenya but test it elsewhere and talk to…we have a large group using this stuff in Nepal right now because of the earthquake so they're in touch with them, checking that everything's working OK, getting any feedback from them. Katie: Do you tend to look at what specific devices the majority of users in these areas are using and start building and testing there or how does that work out? What's the size of an iPhone, that tends to be our default? What devices are you really thinking about in those areas? Sophie: It's interesting because right now, we are in the midst of re-building this product and so a lot of the people out there who are using it right now are using Version 2 which is the older version and at this point I don't even know how many years old it is but it's fairly outdated. It still works really well but it's not responsive; it's hard, we've noticed that quite a lot of people are using it on a desktop but that's only because it doesn't work very well on a phone so it'll be really interesting, we're launching the new one which is fully responsive and a lot more modern in this way to see how people end up using it. But it's tough because we can't say, iPhone users use this because it's used really everywhere in the world so maybe if it's used in the US it is going to be on an iPhone more, whereas elsewhere, it's Android but we try to cast a really wide net so there's an Android app that will be used for collecting information, you can submit by SMS. The new version's going to be totally responsive so what we try to do is not really focus on one but make sure that everyone can use it. Katie: So, you've been working on a responsive re-design and everything we've talked about has been the poor connectivity and all of that. How has performance played into those decisions when building this site or the product again for this new version? Sophie: It's a continuous consideration and process of checks and balances. One thing is that, thinking about images: part of this new system is we're able to have people submit images as part of their reports so that's something that we still have not quite figured out how we should work with how to then deliver those back to people and also thinking about different JavaScript libraries that we're using. It's a constant balance, so I think we're still figuring it out. We've done quite a bit of user-testing but more UX user-testing but the application itself is not totally done, it hasn't been built yet, so I think that's to come in terms of optimizing how it's going to work exactly. But from the design and front-end, we've definitely been keeping things really light and really the only question that we have is how we're going to treat images. Tim: Is it primarily a matter of using them or not using them or is it a degree of compression in terms of getting them to a point where maybe they're a little pixilated and ugly but they're balanced: the trade-off is that they're going to perform well on those types of networks? What are you battling with, with the images? Sophie: Well, I think basically every single image that is ever going to be on the site is going to be submitted by a user, so we don't know exactly the sizes of images that are going to come in and then at what point we are then going to compress them or shrink them and how we're going to do that and then how they're going to then be delivered back out. Yeah. Tim: So it's getting a system in place for all the user-generated content? Sophie: Exactly, yes. Tim: Gotcha. OK. Katie: So, you talk a lot about style guides and patter libraries and Sophie I know that's how you like to design and work. What is that process looking like? Do you do testing as you go on designs and see how performing it is or how fast it's loading under those different circumstances? Can you just talk a little bit about your design thinking? Sophie: Yeah. What we have been doing is we did all the UX fairly separately, thinking about just user flows and how things were going to be laid out and how things should work and then we did some visual design and then we started combining these by building the pattern library, so we took out patterns from visual design and eventually we've just started building templates and designing in the browser because we have enough of these patterns to build upon and it's been really great; this is the first time that I've worked in this way and what I really love about it is that each of our patterns and components basically stand on their own so it's really easy to look at them and understand exactly where certain weights are coming from. By designing modularly, we can pull those out rather than seeing a page as a whole and not really understand what's causing what. Tim: In a prior episode, we were talking to Jeff Lembeck of Filament Group and he mentioned what he called the "Jank Tank" which is this big box of basically ugly, horrible, slow devices. Considering how wide the net you're spreading, do you have anything similar? Is there a Ushahidi Jank Tank that you guys go to? Sophie: There isn't, but I love that idea. Tim: Yeah, I think we were fans of that too. Sophie: Is it like…what does he mean exactly? Tim: The idea was having… Sophie; …lowest common denominator kind of devices? Time: Yeah, basically grabbing cheap devices or old devices and firing those up: things that are going to be maybe a few years old and are probably going to be a huge challenge to make things feel fluid and work well on those and you have those handy to test them out and see what honestly might be a more typical user would experience than the high end stuff. Sophie: Yeah, we don't have that here in the States; I feel bad calling it a Jank Tank because that's negative-sounding, but in the office in Kenya, they have…they all work in a building and there's quite a few tech companies that work in there and they have something like a Mobile Device Lab and I think it was sponsored by a mobile company there but I was there earlier in the year and it kind of blew my mind; I put a picture of it on Twitter that we can refer to in the Speaker Notes. But that was all of these phones that were phones that I hadn't even necessarily seen, that they don't sell in the States, and they're all used for testing so at some point probably now that I'm talking about it, I'm realizing we should do it sooner rather than later, they have a whole testing lab there that we can test this product on. Tim: Nice. A mobile device lab does admittedly sound a little bit more ??? serious. Katie: Everything that you're saying sounds like, just tying in that accessibility and performance are going hand in hand and it sounds like you've just learned a great deal of empathy in your time there. Is that true and has that influenced your design? Sophie: Yeah, definitely. I think something that has really changed in my mind is thinking about when doing the design, what actions are people going to want to take, so I think that goes with performance too: if we can only load this one button that says "submit a report" and skip all of the images then that's the most important thing, so, really thinking about where to guide people and what the most important and crucial actions are before loading and everything else, so as a designer that's been definitely something that, previously I was doing client work and it was like we had this long list of requirements that we had to fit in and now it's kind of re-assessing and re-prioritizing what requirements actually are and having different levels of this is the one thing they need to really use this app and then here's all of this other helpful stuff that could be called crucial but isn't actually life or death crucial. Katie: That's really interesting. Do you think that there's any way that, for those of us still working on client projects, to have those conversations with the client to try to be like, "no, really, but the marketing video isn't truly required"; exercises in priority and stuff: do you have any tips for paring down those requirements? Sophie: I think it's tough if your talking to a marketing person because they'd be like, "no, literally I'm going to die if I don't get this on there." Katie: And you're like, "no, literally, people are on our products like…" Sophie: Yeah. I think any time it's easier to say, "does this go above this in the priority list" people are willing to answer that question rather than either or. So, in general, communicating and deciding things I would recommend ordering rather than choosing people to sacrifice things. Tim: And it seems like that's clarified too in, I would guess one of the reasons why it works so well where you are is because that task, if you're looking at what the most important thing for the user to do is, it's so very clear and so very critical whereas on maybe on a more traditional thing where you're working with marketers or whatever, they may not have as clear a sense of, what is the ultimate purpose of this site? And then it becomes a lot harder to do the prioritization without that. Sophie: Yeah; it's funny because we're in the process right now of re-designing the company site as well as re-designing the product itself and it shouldn't be, because there's no life or death, but it's so much more complicated to prioritize stuff on the company site because there's so many different types of audiences and services that it needs to provide whereas on the app itself, it's pretty clear to say, what's the most important action for someone to take. Tim: Within the new site, do you still have to take into consideration a lot of the same sort of constraints in terms of the different devices and connectivity because that's who your audience is that you're marketing to, or are you marketing to a different group through the site? Sophie: Yeah, the site will be, well that's up for debate; that's I think what we're still trying to figure out. I think by default it's a good idea to not ever say, "oh well only people in the States with nice phones are going to look at this" just because that's a dangerous attitude to have, but it's possibly less of priority for the site itself. Tim: So, going back to prioritizing performance within the actual apps and stuff that you're doing: did you have set targets that you were looking at when you were working V3 of this? Were there hard-set goals; we are not going to go over this amount of weight or we are not going to take longer than this for the map of data to appear or anything like that? Sophie: Yeah, so we set a performance budget and we've set a few of them; we set one for the front-end so what we've done is build this pattern library and we have all of our, we're calling them "weight-outs" which are basically our different views within the app itself. So we had an initial goal for that, that we've met and then we set a separate one for the build itself and that's still in process, so hopefully we can get around that target. I like this too because instead of having one end-goal we can really check as we go. Tim: Yeah, it's nice to have it broken down like that. Can we ask what the targets are, just out of curiosity? Sophie: I can look them up but I don't know them right now. Tim: That's fine. Just curious. Was it in terms of the weight or is it a different sort of, more like an experience-focused metric or anything like that, that you're targeting? Sophie: Yeah, we did a weight and a load time. Tim: Gotcha. OK. Katie: It sounds like you've worked in some of the perceived performance thinking too when you're saying, what's the critical information to load first. Sophie: Yeah, for me as a designer, that's definitely something that I can relate to more and I think in some ways it's possibly more important. I think they work as a team but… Tim: I think it is. And I think that's…I think or I hope that that's what, within the performance community, the people who really that's what they do focus on, I think that that's where everything is starting to, we're starting to wake up to that and certainly to shift towards understanding that it really is about the experience and making sure that the critical things are coming in, whatever the top task, whatever the most important features are on the page or coming in and measuring those sorts of things, instead of this blind race to the finish that we've kind of had in the past. Sophie: Yeah. I'm curious to see how that thinking changes because I love the idea of a performance budget but I think sometimes it can be a little limiting and you wouldn't want to sacrifice certain things just to fit into the performance budget. Not limiting, but I think it's very concrete whereas it should be a fairly fluid depending on context of the site itself. Tim: Sure, yeah, it doesn't dictate what goes on; it's another consideration or it's part of another piece in the puzzle. Sophie: Right. At the same time, it's the easiest way to communicate goals. Tim: True. It's hard to without it having a hard set thing, it's very hard, yeah. Sophie: Yeah, until you have the design done, you can't say, OK, our goal is that this is going to load and then this is going to load this much later. It helps to have a number that everyone can refer back to. Katie: So, when you say for everyone to communicate, who is that? Is that between you and the developers? Is this something that your leadership is really that's close to their heart as well? Sophie: Yeah, I think when I said that it was more coming from my experience with client work, where you're using this number as a kind of tactic to force a client to decide on certain things. For us, since we're all working internally, I think definitely any…basically, everyone wants to see it be as fast as it possibly can, so we're all working towards the same thing. Katie: Is there ever a push-back to even like, "OK, now that we've hit that, let's try another goal that's even faster"? Sophie: Not yet, because we haven't launched it, but I wouldn't be surprised if we launch it and get certain feedback that it wasn't loading or it wasn't working quite right on something. I'm really curious to see once it's out there and people are using it, how people respond. Katie: Yeah, I'm really curious to see what metrics you find out from that. Tim: Did you make a distinction…there's the cutting the mustard approach that the BBC popularized which is the core experience goes to maybe older, less capable browsers/devices and the enhanced experience goes to everybody else. One of the things that that fails at, or that doesn't take into consideration which seems like it would be really important for Ushahidi is the situation where you have somebody is on a very nice device but the connectivity is really awful. Did you have to make any distinction between different experiences or do you just have one experience and that experience itself is extremely lightweight, no matter what the scenario is? Was that enough for you to accomplish or you needed to do? Sophie: Yeah, that's funny; we had our company retreat in Kenya so it was I think maybe about half, maybe a little less of our company is in the US so we all went there with our snazzy iPhones and still couldn't connect to anything and it really, I think in terms of empathy, made us realize: oh, wait a second. But in terms of yeah, I think we're just going to try to make it fast for everyone. We don't have a whole lot of enhancements for people on quicker systems yet. Katie: When you were in Kenya, were there any things that were especially awful to try to load, like you're used to just being part of your everyday life? I'm just curious. Sophie: I remember reading Twitter, on the Twitter app and everything loaded except for the pictures and it made you realize just how often people supplement their tweets with pictures; I remember getting really frustrated about it. Katie: That's interesting. Sophie: But I didn't even really try to do a lot of stuff because it really didn't look very well. Same thing on Instagram; it's like sometimes this progressive loading thing; I would rather it not load at all than, oh, I see all of these people posted great pictures that I can't look at. I'd rather not know than… Katie: Or like the tweets having fomo, oh, you had a joke and I can't see the punch-line! Sophie: Exactly! Katie: That's really interesting because when we're just designing here in a bubble it's like, "well I think that would be fine for you to just know that it's there but not see it" but then when you're actually using it, you're like: no, this sucks. Sophie: Yeah, it's like actively frustrating. Tim: How often do you get to Kenya? Sophie: I'm new to the company; I've only been here since the beginning of the year but I think they do a retreat every year but not necessarily always in Kenya; I think every other year it's in Kenya. And I think other people on the team, it depends, we'll do these what we call Hit Team Meetings because everyone is remote and then mini-teams will get together and all work together for a week so those have been all over the place since people live on opposite ends of the world, depending on who's meeting they usually choose a place that is fairly central for everyone to get to. Katie: We'll start to have a list of sites, Sophie, how much is this really crappy, wherever you end up going… Sophie: How long does this take? Katie: Look it up and tell me how much it sucks. Sophie: It is cool to have people on the team everywhere for that reason. Tim: Sure, I bet that gives you a really nice overall picture of a whole bunch of different landscapes from a technical perspective. Sophie: Yeah. Katie: I know, I didn't prepare a list of questions like I should have! Tim: It's all right, I'm actually having a lot of fun just going off the cuff on this, knowing almost nothing. I did a little bit of research and I had heard of Ushahidi from this big fat book about mobile on a global scale that was put out a couple of years ago. Sophie: That's cool. What was that book? Tim: It's called Global Mobile. It's six hundred pages and each chapter is written by a different author on a different topic and I think Ushahidi came up twice… Sophie: Oh, that's awesome. Tim: …in the book. Sophie: Do you know what they referenced or what it was…. Tim: One was just talking about how…I don't remember one of the references in much detail. The other one I know that they were talking about a variety of different mobile technological solutions that were out there; I think they were focused primarily on Africa in that chapter or similar areas and they were talking about the different services that are making use of technologies that we might consider a little bit more simple, but they're doing really powerful things with it and so I think that they were focused on the SMS aspect, if I remember right. Sophie: Yeah, it's been definitely challenging, but also interesting that designing a product that is not used for one specific thing; it's very much user-focused and people will download it and decide how they use it, so it's been a challenge to design for that and to keep it well designed but also really, really flexible. Tim: Which is why I guess it's so important I guess that you are getting a chance to experience at least a little bit every once in a while because everybody talks about front-end design perspective, from a development perspective, how important it is to put yourself in your user's shoes and when you're talking about what Ushahidi is dealing with, and it's not just the devices or the browser or the connections: it's the situations; it's just so hard. It's so hard to put yourself in those sorts of shoes and understand what it must feel like to use the application or the site in those sorts of scenarios; that's such a huge challenge. Sophie: Yeah, there's no way that, well it sounds selfish saying it, but hopefully there's no way I would ever actually be able to experience that but I think that is why we have such a strong and valuable user advocacy team so that they can really communicate with them when people are in those situations and as they're using it in those situations. Tim: Do you get feedback from the users that are pertaining directly to things like how quickly they're able to report something or how quickly they're able to get access to the data that's been reported, in terms of it takes too long sort of a thing, not just a usability thing but from a performance perspective? Sophie: We haven't. Or not that I know of. Tim: Well, maybe that means you're doing an awesome job! Sophie: We'll see. It's also tough because the new version is yet to be used on a wide…by a lot of people, so we'll see, but it is great because we have the product is also open source, so we have a lot of community submissions and ideas so this is again the first time I've worked on something like that where I'll just be in my normal task list that we use internally as a team and I will get one from…I'm in Katmandu and this thing is not working; can you add this? So it is really cool to see that people care about improving the product. Tim: That's awesome. Katie: Is there anything that you've learned from going through this process and being hit with all of these pretty heavy design constraints that are just, oh man, there's no way I can ignore that. Has that changed your view on design, even outside of this product in particular? Sophie: I think that this has, compared to how I used to design, I'm keeping things a lot more simple, not even necessarily visually; visually as well but also just in how they work and not trying to dictate how something should work. Oftentimes we'll, with other people in my design team or sometimes with our developers, we'll discuss how something, spend hours doing flows and then just realizing, why don't we just let people do what they want to do and take a step back and not define so much how this should be used, so I think just the fact that so many different people are using it for different ways, I've found that it's often best to leave things open and then to not over-complicate them. Katie: Is that kind of freeing? Sophie: Errr….it's been difficult because I'm so used to not being like that. But yeah, kind of. For me as a designer it's been kind of hard to let go of control. Katie: Yeah, that's usually I think our downfall as designers is wanting to control everything and that's kind of a big part about embracing performance too: it just sounds boring to design for performance, even though it's not and it's just like anything else. Sophie: Yeah, I think that I talked to ??? about this a long, long time ago and I remember it's stuck with me in terms of performance but also it's kind of user advocacy side of design, which is that it's not in conflict with the design; you shouldn't think of performance as taking away from visual design but it's just a piece of design so it's just another aspect of UX and if it loads faster, then that'll make the design better. Katie; It means you did your job well! Sophie. Yeah, exactly. Tim: At the end of the day it's about, especially in your case, but at the end of the day it's really about how quickly can the people using the site or the application get the task done that they came to the site to do and so that makes performance comes right up front and center along with any other bit of the process really, information architecture, clear content structure and good visual design; it all contributes. Sophie: That's what design is, right? Getting people to be able to do what they want as easily as possible. Katie: Is this something that you were thinking about before having these experiences in these other parts of the world, or was that the eye-opener of, oh-whoa, my designs should encapsulate this? Sophie: Yeah, I think it's always something theoretically that I could be like, your designs have to load really fast, of course, but selfishly I've always wanted them to look really cool or try out some latest thing that's trending on the web. So I think it's helped me step out and realize I'm not designing this for me. If I want to try something, I can just do it on my own site. Katie: So, I'm wondering if that's maybe the first step for designers that are not wanting to think about it… Sophie: Make them design something for someone in crisis. Katie: Yeah! Sophie: At an agency, every junior designer has to design for… Tim: Oh man! Sophie: …life or death situations. Katie: It's part of the interview process, you need to whiteboard a crisis design. Sophie: Yeah! Tim: Talk about no pressure right off the gate, that's what you're dealing with! Sophie: Have either of you seen Eric Meyer's presentation? Tim: I have not, but I've heard it's excellent. Sophie: I really want to. Katie: I want to see it as well. Sophie: It sounds really… Katie: Everything you are talking about is making we think of that. Sophie: I would really, really love to hear, I don't know if he would…he could be a good guest on the podcast just to talk about his experience. Tim: Yeah, I'd love to talk to Eric. I've heard the presentation is just fantastic but I haven't had a chance to catch it live. I don't know if it's recorded or not anywhere but if so, I haven't seen it. Katie; I think if any of you want come hang out in Ohio, I believe I would have to double-check, but I think he's giving that Rustbelt Refresh in Cleveland in September. Tim: I do like that conference. I did that last year, it's a lot of fun. Katie: So, you want to come hang out in Ohio and see it? Tim: Sunny Cleveland! Katie: Where the lake caught on fire! Sophie: Oh my God! Tim: I don't think I heard this. Katie; I think it was before I ever lived in Ohio, ten or so years ago. It may have been the river, it may have been the lake, I can't remember. One of them was so polluted that it caught on fire at some point. (45:11) Tim: That sounds a lovely! Sophie: That's terrifying! Tim: My only knowledge of Cleveland, which I think is probably upsetting and insulting to all people who live in Cleveland… Katie: Drew Carey Tim: Yep. So, I apologize for that! Sophie: I've been to Cleveland; I spent two weeks in Cleveland. Katie: What? Sophie: I was going through, you know, being young and wanting to work for Obama during the election but even then, I don't know what's in Cleveland, even after spending time there. Katie: I have been to Cleveland twice and I don't know. I live two hours from it; I couldn't tell you what's in Cleveland. Sophie: Really cheap houses if I remember; lots of empty, cheap houses! Katie: One time I tried out to be on The Price is Right this is when Drew Carey was the host and because I am really bad at being like, wooow, cookie-crazy person to be on The Price is Right, they interview every person that goes through the process and like, "why should we pick you?" and my only response was just like, "I'm from Ohio. Just like Drew. Cleveland Rocks, right?" Sophie: Certainly good for TV. Katie: Yeah, well, we'll talk about Ohio. Obviously I did not make it! Tim: That's sad! Sophie: There's still hope; you could try again. Tim: Don't give up on that. Katie: No, that was actually…. Sophie: Don't give up on your dreams. Tim: No, you've got to follow through. Katie: That was horrific; you're just like cattle being herded for six hours through this line as they interview every single person that goes in the thing, so if you're ever in LA and thinking, it would be fun to go on The Price is Right: it's not. Sophie: Think again! Katie: Sophie, you never did that when you lived there? Sophie: A lot of people I knew did. Katie: Did anyone ever get picked? Sophie: They did it…I grew up in LA and they filmed Jeopardy I think right next to my High School and they would do it as a fundraising thing where you would…they'd get a group things of tickets to Jeopardy and then the cheerleading squad or whoever would try to sell them individually. Katie: Whoa! Sophie: That's the closest I've gotten. Katie: Growing up in LA sounds wildly different from anywhere else! Was it? Sophie: We didn't have any lakes that lit on fire! Katie: Wasn't your High School the one from Grease? Sophie: Yep! Katie: Oh man. Sophie: And Party of Five. Is that what that show was called? Katie: Yeah. Tim: That's kinda cool. Katie: I'm more interested in Rydell High though. Sophie: I think they filmed it in partially different schools but the stadium was our stadium. Katie: The track where Danny's trying to be a jock and running around? Sophie: Yeah, yeah. Katie: Aw man, that's the worst part when Danny's trying to be a jock! Sophie: Wonder Years. Wonder Years, that's the block I grew up on. Katie: Really? Sophie: Yep. Katie: Dang, you have Wonder Years, Alison has Dawson's Creek. Sophie: Dawson's Creek. Way before my time. Katie: I want to grow up on a teen drama! Sophie: The Yellow Brick Road was also the street, from the Wizard of Oz. Tim: Where was the Yellow Brick Road? Sophie: Before the houses were built, they filmed it on the street that my house was on. Tim: What? Sophie: And then years later, they had a reunion for all of the oompa-loompas that I accidentally walked on and I was sort of….what? Katie: Were they dressed up? Sophie: No. Tim: Wait, wait, wait…you just said oompa-loompas, but isn't that…that's Charlie and the Chocolate Factory, right? Sophie: Not oompa-loompas. Munchkins! The Munchkins! Tim: I was like, wait a minute… Katie: Glad you got that 'cos I didn't! Sophie: I didn't either, I was like, this sounds right. Tim: Yeah, OK, I just wanted to clarify which movie it was. Sophie: Can we cut this out? We're going to get complaints from Little People of America organization. Tim: Yeah, that's fine. Actually we could use a few complaints. We haven't got many or any yet. Katie: Thanks for bringing it up. Now we're going to….well, if you're looking for feedback, let me tell you...you can lay off the chit-chat. Tim: We've gotten plenty, plenty of negative feedback and complaints so please don't bother sending those emails or letters. There, that should… Katie: I'm going to write you a strongly worded letter about your podcast! Tim: It happens. Sophie: This really went off the rails! Tim: It did, but you know what? That's cool. That's all right. I feel like… (50:03) Katie: It was getting really heavy, so you know we to lighten it up. Tim: It was, we had to lighten it up and I feel like it's kind of weird that we had gone this far without talking about Drew Carey so, you know, however many episodes we're into this and Drew Carey had never come up; seems wrong. Katie: Really? Sophie: Give us some Drew Carey facts, Katie! Katie: Actually, well I don't know any Drew Carey facts but I'm sure Tim has lots because that seems like that's your era of TV. Tim: I'm not that old, all right? Katie: Yeah, but Everybody Loves Raymond, you'll never… Tim: Yeah, I actually had…. Sophie: Are you Everybody? Tim: No, no. Am I? Sophie: Do you love Raymond? Tim: I do love Raymond; I do. It was a good show, all right? It was a good show. Under-appreciated by the current generation! Sophie: It was the most popular show ever at the time. Tim: It was really popular; really popular. Sophie: Did you just watch it on multiple TVs over and over again to up the ratings? Tim: Errr…. Katie: He had it going on every TV in the house, the whole day and night! Sophie: The syndication too so they're getting those checks, all from Tim! Katie: Tim loves Raymond! Sophie: New TV show! Tim: All right, all right; neither one of you are ever invited back on this podcast; even you, Katie. That's it, that's the end of it. I'm going to go start my own podcast where we're going to talk about Everybody Loves Raymond and The Drew Carey Show and things like that. Katie: Indiana Jones Tim: Indiana Jones, yep. This really did get off the rails. My gosh! Sophie: Yeah, feel weird going back to talking about crisis. Tim: So, well, you know, maybe we don't, there was a lot of really good, like Katie said, it was getting really serious and really awesome discussion, I think, around performance and it was really cool to hear somebody who is coming at it from that global perspective which, it's just not something that we commonly think about a lot, for most of us aren't dealing with on a day to day basis, so it's really interesting to have somebody come in and burst the bubble a little bit and give us a broader perspective. Katie: Yeah, it's great because I think like you said, Sophie, earlier: in theory everybody's like, it's nice and stuff and obviously we talk a lot about performance and everything and it's one of those things that I think everybody is like, yeah, yeah, in theory yeah, we want it to be fast because we don't want to be shamed by Twitter, but… Sophie: Other web designers! Katie: Yeah, basically. So it's great for you to come in here and give us the perspective of what that actually means and hopefully shed some light on that empathy. Sophie: Yeah, thank you for having me. Katie: Yeah, thank you so much for joining us. Tim: Going forward, it anybody wants to follow along and hear more about what Ushahidi's doing or about what you're doing, how do they do that? Sophie: For Ushahidi, I would recommend following Ushahidi on Twitter, ushahidi.com for a lot of information about all their different products and blogposts and then for me, my website is sophieshepherd.com Tim: Very cool. Katie: What about any social media that you may have because, I might be biased, but I think Sophie you have a pretty good account that's pretty funny! Sophie: My Twitter unfortunately is sophshepherd, because there's a British teenager named Sophie Shepherd who took that from me. So, don't follow her unless you want to hear a lot of complaining about tests and boyfriends. Katie: Do you follow her? Sophie: Occasionally! Then I get too mad about it and then I think, what if they think it's me? Katie: Is she also blonde and kind of looks like you? Sophie: Yeah, I've sent her a message; she does kind of. I sent her a message on Facebook once and she went, what are you freak? And then that was it. Katie; Really? Sophie: Yep. Katie: She called you a freak? Sophie: Yeah. I'll put a screenshot in our speaker notes! Katie: OK, well follow the real Sophie Shepherd then. Sophie: Yep. Tim: Well, thank you and we'll definitely have to have you on again to discuss because I feel like there's a lot more we could get into in terms of Drew Carey and Ray Romano, so in a future episode. Katie: You can do that on your separate…Everyone Loves Ray. Tim: And Tim Loves Raymond. Yeah, that's good. It'll be the initial episode. Sophie:: Tim and Ray. All right. Thanks. Bye. Tim: Thanks; bye. Katie: Thanks. Bye. Tim: Thank you for listening to this episode of The Path to Performance podcast. You can subscribe to the podcast through iTunes or on our site pathtoperf.com; you can also follow along on Twitter @pathtoperf. We'd love to hear what you thought so feel free to drop us a note on Twitter or leave a raving and overly kind review on iTunes. We like to read those. And if you'd like to talk about being a guest or sponsoring a future episode, feel free to email us at hello@pathtoperf.com