If this is the case, then I'm pretty sure that this knowledge had reached the board long before. Rumors spread fast, after all.
That leaves me to wonder as to the timing of this action. Krzanich received a lot of flak over the past months... it's not entirely unthinkable that the board was sitting on this information and only now used it to get rid of Krzanich without making it look like it's one of the other major issues he could technically be blamed with.
Game of Thrones Season 80x86?
Agreed. AMD is breathing down INTC's neck, particularly in servers. Board wants a different direction.
https://en.wikipedia.org/wiki/Joseph_Nacchio
<tinfoilhat>Covert access to IME may have saved Krzanich's bacon.</tinfoilhat>
If insider trading as obvious as his wasn't prosecuted, it paints the picture that it's only ever prosecuted for political reasons. Which is maybe more true than one would hope.
You'd expect a CEO being fired over such a technicality to at least fight back, instead of fully cooperating.
All of these are good reasons the board might want him gone.
My only other point is that even on Hacker News, everyone assumes it's a female subordinate (count the "she's" in this thread). Not that I have any inside knowledge, but it tells you something in how this policy is interpreted.
The whole semiconductor industry is in trouble right now, though few seem to feel the weight of the issue.
We are looking at just a couple process nodes at best before we reach the end of the road for silicon lithography. Sure, there will be further tweaks on existing techniques which will squeeze out small improvements in power, performance and density.
But long gone are the days when we saw steady improvements in circuit density and simultaneously speed and simultaneously cost.
When this knowledge finally sinks in with the investment community, it will call into question the valuation of the entire computer industry. We're already seeing that in the desktop space. I could replace my 6-year old Intel i7-3770 desktop with 32GB of RAM, but what's out there that's significantly better at a reasonable cost? Well, a used Xeon workstation maybe, but that's about it.
That should be a big red flag to the investment community, but for reasons I don't understand, people don't seem to care yet.
> I could replace my 6-year old Intel i7-3770 desktop with 32GB of RAM, but what's out there that's significantly better at a reasonable cost?
AMD Ryzen 7 1700 for $200. ~10% faster single core and you get 8C/16T. DDR4 RAM is quite expensive, though.
(closest available benchmarks, 1700 is about 3% slower than 2700) [0]: https://www.anandtech.com/bench/product/2111 [1]: https://www.anandtech.com/bench/product/551
AMD Ryzen 7 2700 Passmark Score (<1yr old, ~$290): 15382 [2]
That's a 65% improvement in benchmark performance. So not the "doubling" trend I was used to growing up, but not insignificant.
[1] https://www.cpubenchmark.net/cpu.php?cpu=Intel+Core+i7-3770+...
[2] https://www.cpubenchmark.net/cpu.php?cpu=AMD+Ryzen+7+2700&id...
This is a serious thing. What if you knew about the relationship, and the other person was promoted over you?
I worked at a place where 2 colleagues had an open/secret relationship. One was senior but there wasn’t a reporting relationship so everyone looked the other way. When the senior exec weighed in on the junior’s promotion, he lost all credibility in the organization.
If the CEO does this, they lose the entire organization.
I guess he can always go to Oracle.
Why would a CEO of a microprocessor company be accepted at Oracle?
Kinda like the Oakland Raiders. Sorry Oakland fans.
If she got promoted, would it be because of her work, or her relationship with the boss? If she didn't get promoted, would it be because of her attitude, or her relationship with the boss? If she had an argument with a colleague, was it because she was an entitled slut? If he cut the budget of the department she worked in, was it because he was going off her?
It's pernicious and there's nothing you can do about it except simply not sleep with the people you manage.
If a CEO of a blue-chip like Intel doesn't get this basic rule of management, what other basic mistakes is he going to make? Bring a gun into work? ;)
I'm not sure if I buy this completely. You see, a manager is human after all which means he/she is going to like some people more than others. There is always some kind of relationship with all the others, no way around it. Now obviously if the manager is only going to look at this relationship, his/her personal affection for others and not their work, and give some advantages over others based on that relationship, yes that is bad. Seeing that, and seeing an actual romatic relationship is just a more involved type of relationship, 'simply don't sleep with the people you manage' is obviously not enough. You should be able to put all or most personal things aside. As such I think these rules of no romantic relationships are a bit strange. Even if you follow that rule, but for the rest still manage people based on your personal relationship with them, it's still bad.
Of course not. If a manager runs a tight ship and treats their team fairly, then there shouldn't be anything wrong with a relationship. If as a manager you can't properly separate your emotions and friendships from your management duties, you aren't going to make a good manager anyway. The manager who is going to unfairly promote the person they are seeing is also going to unfairly promote the worker who they are best friends with over the worker who best deserves the promotion.
Why would you think that bringing a gun to work is a "mistake"? Does one's right to self-defense stop the moment they cross the threshold of their office door?
How can you argue or prove any relationship between boss and subordinate is consensual?
But your remark about the "moralising" of US companies has also been my experience. I worked in a Europe-based office for a US-owned multinational company. Alcohol was strictly forbidden. (Needless to say, the fridge was filled regardless and late Friday afternoon, people would have a beer and fraternize.)
If the board got wind of a pending investigation into that incident they might be looking to distance him from the company before the other shoe drops.
And there's no such thing as Friday afternoon beers in the fridge.
You really don't think so? I'm no CEO but I imagine carrying a gun around would at least warrant some public criticism, particularly for a tech CEO in the San Francisco Bay Area.
The company is in Sunnyvale, site of the Richard Farley murders at ESL in 1988. So, yeah, I think the police would be interested in knowing his intentions.
These are short questions that probably can't ever be fully answered and require books to be answered even semi-adequately. That said, a good answer probably has some element of the U.S.'s strange relationships with sexuality and Christianity, going back to the particular kinds of European settlers who showed up here. This is often referred to as "Puritanism," although the Puritans actually had a much more complicated and less prim experience than is commonly supposed with the slur "Puritanism."
At the same time, in the last several decades (maybe 50 or 60), there have been various strands of feminism; two particularly noticeable parts could be labeled as "sex positive" (Camille Paglia is a good person to read on the subject) and... I actually can't think of a good label for the other one. But the other one actually has quite a bit in common with the old-school and religiously motivated views of sexuality as dangerous and in need of extreme restraint or channeling into "appropriate" spaces. This one has quite a bit of currency, currently, and it has a lot of continuity with past aspects of U.S. culture.
It's not just the specific act(s) but the fact that he knowingly broke policy, which raises the question of whether he decided other policies also didn't apply to him. CEOs have a lot of power and enormous compensation and, at least in theory, that's founded on their judgement.
Risk exposure to lawsuit is incomparable to the relationship case but it was consensual.
Not just in the US but almost everywhere people tend to extremize moral reactions to the point their judgement in a situation is being impaired. Generally morals are used to drive people actions away from cold rational reasoning, and they also make strong arguments during war time or elections.
Unrelated, but strong example: take a toy gun and a sex toy then ask 1000 people if they would let their children play with one or the other or both. Pretty sure all of them would say no to the sex toy in disgust (which would be my reply as well, just to be clear), but most wouldn't mind letting their kids play with the toy gun. That would be a pretty normal reaction, so no problem here, apparently. But we can also describe a sex toy as a device to simulate the act of creating a life, and a toy gun as a device to simulate the act of taking away a life, so the question would be: why our morals which rightly prevent us from giving dildos to children don't prevent us from giving them toy guns as well?
Or consider Mozilla's week-long CEO who years earlier donated $1000 to a popular ballot initiative supported by most California voters.
Be careful how you vote, citizen. Your livelihood depends on it.
Honestly, I get why these policies exist, but sometimes it feels heavy handed to fire somebody for having a consenting relationship at work. After all, when you work long and hard hours often times coworkers are the people you get to know best and your inner circle.
The military has a policy that treats an affair between an officer and the spouse of someone in their unit as non-consensual. It is treated basically like statutory rape. What the spouse says is irrelevant because you can't eliminate the possibility they are basically being blackmailed into claiming it was consenting.
If you have enough direct power over someone, you can't really determine if it was mutually consenting. I think this is a root cause of a lot of the he said/she said stuff where men are all astonished that they are being accused of anything when they felt it was consenting.
In some cases, I have some sympathy for the guy who may well have not really fully understood the intimidation factor in the situation. In other cases, they clearly are happy to use their power to bully others into getting their way and, no, I'm not sympathetic to their bullshit claims.
How would a neutral third-party observer legitimately be able to tell the difference (assuming the latter is a sociopath or just a really good actor pretending to be the former)?
To me, that seems to be the real benefit to the strictness of some of these rules. It removes an avenue of the unintended intimidation that you mention.
I do think it helps to discuss it and call out these issues so that people understand that they're not just arbitrary or some kind of over-reaction or extreme bureacracy.
Secondly, BK is married and presumably this was a hidden affair, which adds another layer of complexity to this situation.
Given that the other employees did not seek out or allow relationships with managers, their relative disadvantage can be seen as a sort of inverse sexual harassment, as they may see themselves having to put themselves in a sexual situation for the sake of career advancement, even if it’s not explicitly stated by anyone in higher management.
I think that in this case #metoo applies, since the subject is a matter of sexuality and power imbalances, although the content is far, far removed from the Weinstein scandal.
The unfortunate fact about a consensual workplace romance is that if they go sour it can destroy company culture and moral.
However it feels like many people are spending more and more time at work, and it also seems cruel to say: "you cannot get to know anyone romantically during 50-75% of your waking day."
If it's not, maybe he should have chosen a different job.
So obviously relationships are bad when
there's a power dynamic,
In what sense is this obvious? And according to which substantial notion of power?If the relationship continues, the power could be used to favour the subordinate over other subordinates (give them good reviews, etc).
If the relationship ends poorly, the power could be used to spite the subordinate over other subordinates (give them poor reviews, etc).
Yes, power can be abused. But anyone with a knife at home can abuse that knife by stabbing someone. That doesn't make it wrong to own a knife.
What is your source for this figure? I just googled around and every survey appeared to put in the 15-20% range.
I don't see what's wrong with a supervisor dating a suboridinate if both parties are consenting and the supervisor is not abusing their power. This taboo has never made much sense to me.
The supervisor can already be abusive towards their subordinates. You don't need to introduce a relationship to introduce the possibility for abuse. Why does a relationship automatically become wrong when these balanced power dynamics are already in place?
I feel like the solution to this is to engineer society so people spend less time at work, not so that they are encouraged to move their personal lives into the workplace.
Few companies have such strict relationship policies.
If you're CEO, yeah that means you can't date anyone at work. But for anyone else it only eliminates some % of the dating pool.
And who said that love (and/or lust for that matter) can or should be confined by such BS rules? Or that someone would have to chose between that and their job?
"dating pool" makes it clinical, as if every person is an interchangeable potential fuck/partner. In reality people are attracted to particular persons.
Nobody cares if two engineers hook up, but it's a Very Bad Thing if your boss starts putting the moves on you. Relationships where one person holds real-world power over another are prone to exploitation and violation of consent.
It's happened probably 10s of thousands of times in the past few decades... and some of those couples are now happily married. I personally know of a boss who married his secretary and a professor who married a student.
I think the words "Very Bad Thing" are a little excessive. It's risky behavior.
It matters because if one of those people gets promoted it can break the policy.
They're dangerous to the firm and bad for the people's involved careers.
Best rule for everyone is no relationships between co-workers and if one happens both people are fired.
oh wait.
If a relationship is consensual what's the issue? If we're spending a significant part of our waking hours at work, it should be a baked in assumption that at some point, some coworkers are going to end up in a romantic relationship together. Hell, the majority of my significant romantic relationships started out as consensual workplace flirting.
It should only ever be an issue when that relationship causes trouble for the business.
First, he agreed – it was in his contract he couldn't do it.
Second, oftentimes it's hard to tell how consensual it is when there's a large imbalance of power. Was it completely consensual? Maybe. But companies have a no-tolerance policy because it's hard to tell, and you don't want managers going around making subordinates uncomfortable, or employees taking advantage of managers.
Third, he now has an explicit bias toward a single employee.
He doesn't deserve to be blacklisted and grouped in with sexual harassers, however he did violate his contract and brought his fate at Intel upon himself.
This seems to be a way to oust him without having to admit that he wasn't doing a good job as CEO.
Even though what happened between Alice and Bob was consensual, it made it impossible for Bob to do his job. Alice and Bob were both fired.
You can’t effectively distinguish between a “good relationship” and a “bad relationship” so a blanket rule makes the most sense. The issue is not necessarily about whether the relationship itself is ethical, but how it appears to observers and if it affects the organization.
It's almost a virtual certainty that at some point in time, rules be damned, employees will hook up.
This seems like a problem caused by relationship policy and optics rather than the relationship itself. Doesn't Bob have a manager that can get involved to explicitly get rid of Alice?
https://www.sfgate.com/news/article/Oracle-Boss-In-High-Tech...
http://www.businessinsider.com/intel-ceo-krzanich-sold-share...
That said, if the other party gets pissed at the end of the relationship and complains, you are gone.
Did he conceal his relationship with his future wife?
Unsure there is enough information to suggest Bill Gates "got away" with anything.
ps: i'm joking but who knows!
How to discreetly solve the above issues? Have the CEO resign due to a reason that is not related in any way to his capacity of being a CEO. Put new CEO in the driver's position and have the board tell him where to go.
Usually CEOs have a nice package, even with a resignation, with some stocks and goodies so most likely everyone won in this case.
Getting the popcorn out to see how this unfolds...
Those should be good enough reasons.
At the end of the day, they had to get rid of him, not just for the insider trading, which is probably one of those "everyone does it" things in corporate America, but primarily because he seemed completely incapable of keeping Intel competitive against AMD's offensive over the next few years. Plus, under Krzanich's watch Intel lost its multi-year leadership in process technology.
This is absolutely not the case. The dynamic surrounding someone who is sleeping with the CEO will be similar to the dynamic surrounding the CEO's brother. They get what they want, even if they want something dumb that isn't in the company's best interest, with little to no push-back because nobody wants to be on the CEO's bad side.
https://www.oregonlive.com/business/index.ssf/2018/06/intel_...
It looks like another corruption scandal got Condit, no?
Regardless of your gender, orientation... whatever... keep it in your pants regarding the workplace!
That doesn't mean not to say it, but don't be surprised when it happens anyway. Sometimes people don't make the "rational" decision, or don't value their job enough to put the workplace's priorities above their own.
I know it sounds punitive, but it’s really a question of fairness to every other employee working for that manager — nothing improper needs to be done by either party for it to negatively impact the other employees.
It also discourages managers from taking their pick of young staff members, and discourages any lower-level staff who might try to sleep their way to the top.
FWIW, most companies also have a reporting policy where you can report a relationship to HR and request a transfer to another department to avoid violating the policy. But that wouldn’t apply to a CEO — people in that position are simply expected to have better judgment than that.
> It also discourages managers from taking their pick of young staff members, and discourages any lower-level staff who might try to sleep their way to the top.
In addition, allowing these kinds of relationships also raises issues of sexual consent. Imagine this scenario:
CEO: Let's have sex tonight.
Employee: I'm not in the mood.
CEO: Looks like somebody's getting a bad performance review.
Employee: Fine then... let's get this over with.
Back in 2012 the Best Buy founder and the chairman both resigned over an inappropriate relationship the CEO had with a subordinate which went unreported:
http://www.startribune.com/monday-best-buy-founder-quits-ove...
> Krzanich violated a policy that said he could not have a relationship with either a direct or indirect report
Conjecture: Zero.
Does that say anything interesting about humans?
Conjecture: Zero.
Does that say anything interesting about humans?
- abusive relationship was typically considered problematic by at least one participant even at the time.
- Boss / subordinate relationship was typically not considered problematic by both participants at the time.
Classic examples doctor/nurse, pilot/stewardess, professor/PhD student, lawyer/secretary. I could introduce you to several such couplings among my acquintances, and relatives.
That we are an unusually genetically homogenous species. You could do the same thing with practically any activity between two people, desirable or undesirable, because the human population collapsed to practically nothing in the last Ice Age.
No.