Valuing Yourself – Assessment of Fair Market Value [Part 3]

By: Heero Yuy

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Part 3 – How the Job Market Assigns a Fair Value:

It’s a Wonderful Life beautifully illustrates how the Job Market assigns us our valuation:

This point can further be explained with an example in the following dialog:

[Case 1]

Employee (John): I heard you wanted to see me boss?

Boss: John, yes, please sit down. I like to discuss your performance and we loved how you performed last quarter!

Employee (John): That’s good news! Does this mean I get a raise or promotion?

[Variation 1] Boss: No, we’re just going to fire you!

[Variation 2] Boss: No, we’re just going to keep you as is but keep up the good work!

[Variation 3] Boss: Yes, you are getting promoted! [varying degrees of monetary reward and perks]

[Case 2]

Employee (John): I heard you wanted to see me boss?

Boss: John, yes, please sit down. I like to discuss your performance and we hated how lousy you were last quarter! You’ve finally hit the bottom of the barrel!

Employee (John): Well that sucks, does this mean I will be fired?

[Variation 1] Boss: Yes, we’re just going to fire you!

[Variation 2] Boss: No, we’re just going to keep you as is but keep up the good work!

[Variation 3] Boss: No, we’re going to retain you and pay you more than our CEO!!!

  • Case 2 Var 3 is like winning the lottery. Everyone hopes this happens to them but it is very unlikely. We all strive for a balance between the qualitative assessment of our performance and the quantitative reward for our work. Case 2 Var 3 is a qualitative failure and quantitative success.
  • Case 2 Var 2 is a pleasant surprise for not doing well while still being retained.
  • Case 1 Var 1 is the worst scenario to have where hardwork is rewarded with being let go for no apparent reason.
  • Case 1 Var 2 is the second most irritating when there is no marginal reward for additional effort(s) committed.
  • Case 2 Var 1 and Case 1 Var 3 are the expected results for doing poorly and being let go and doing well and getting rewarded.

Generally speaking, we are thrown out of balance when the qualitative differs from the  quantitative assessment.

The difficulty is striving to find the fine balance between the different values as assigned in the market place for how we sell our time in exchange for money. The entire job hunting and skill building for a rewarding career that pays well is centered around how this game is played between the employer and the employee in determination of the qualitative and the quantitative value of the individual.

The house wants you to lose so that you can add value to line their books with profits. You want to maximize your returns so as to take home the winnings and exchange the loot for goods, products, or services. Know how the game is played so that you can maximize your earnings and also add value to any organization whether the enterprise is an employer or one of your own.

Death of the Middle-Class – Get the Door, it’s the Robot delivering Pizza!

By: Heero Yuy

Friends are those that challenge you and equally you challenge them so that you may mutually benefit from this exercise and grow together in life. Acquaintances are individuals who are more prone to getting hurt feelings during the friendship process, fall to the way side, and can choose to leave and cease communication. This is the law of friends and acquaintances and one shall only grow in life by having more of the former and less of the latter.

Some acquaintances couldn’t understand full well why Automation is crash over everything like a Tsunami and destroy this precious thing we hold dear to our hearts called the Middle-Class.

When debating this topic, the opposing party mentioned that “humanity has infinite potential, we’ve adapt to countless automation measures in the past, and will live infinitely fruitful into the future.” While is this a blissful outlook on whats to come, the reality is far from this case. The survivors have to learn to adapt at a much faster rate than the rate of automation. There will be victims of Automation and the victims will far outweigh those who somehow survived.

This is my response to the above thesis of “everything will just be fine”:

“For this to succeed I see all of the following to align:

1) Learning rate that naturally exceeds the average rate of those in the IT fields (aka they are smart or smarter than the average person applying to those jobs). OR dedication to throw away all your free-time to make up for the fact that you can’t learn faster than your competitors and the only way to get the same yield is by committing ever more time just to keep up let alone get ahead (Gatech syndrome)

2) Spend at least a couple of hundred or (thousand if you are slower) hours getting proficient in a couple of popular programming languages

3) Spend another couple of hundred or (thousand – same as above) of hours getting proficient in AI and ML/DP applications in those particular languages

4) Hope that others who embarked on this journey are now way behind their current skill level

5) Hope that the job flyer they’ve targeted still exist, if not, it exists at another firm and is still open to a candidate of the current skill level

6) Hope that their interview skills are on par or better than all other people running in the same race with more or less experience

7) Make it to final round of interview

8) Actually get an offer and accept it

Or know someone in the industry or do your own startup and hope to get funding. Both of which are much harder than the steps outlined above in 1-8.

Note: Media reports on outlier stories. It is easy to believe that everyone around you is a multi-millionaire/billionaire and that if you apply these 5 easy steps that you too can be rich beyond your imagination. After a couple of iterations of this non-sense and seeing rest of what you read is complete garbage, you know that to find stories on the 0.0001% and report the collection of these findings as the empirical truth for the other 99.9999% that have no chance of making it is fundamentally flawed.

Each step is a conditional probability and the total probability of success for all 8 steps to all be 1 is rather low. Apply this over the masses of people that will be displaced and you will find that a few might luck out and make the transition while most will fall on their swords.”

A buddy of mine made some revisions to my statements above by saying:

“This is a good fucking post. You’ve honestly summarized the last 6 or so years of my life here. I would tighten some numbers – for 2, definitely hundreds not thousands required for entry level. For 3, that is specialization, which can be done after first round retraining. Everything else I agree. I retrained in my free time while earning 30k a year over 3 years so ~100k investment based on my hourly rate is on point”

Figure out your own self worth, reflect on that, and determine your proper market valuation based on jobs that are coming into popularity not existing jobs that are deemed safe.

Stability is the egg from which hatches Automation. You want to be a part of the Chicken and less so the Egg that is laid. There are plenty of eggs in this world and a ton of new Chickens about to hatch when Automation comes into the spot light.

Paradox of Worshiping the Established – How Every Breakthrough in History was Unconventional!

By: Heero Yuy

One of the main failures of Paper Tigers is that they cannot think independently for themselves and worship Elitists. However, as history has it, every single breakthrough in human history has been made through unconventional discoveries which often if not always goes against the views of the establishment and Elitists!

Most want to worship current Elitists because…? Well, their friends, family, or those that they respect follow the crowd and therefore they feel compelled to join the movement without much thought. This is why History is so illustrious with examples of individuals who’ve started movements and rebellions.

The world is filled with examples of cycles where the current establishment, in thought, government, or enterprise are constantly turning over; out with the old and in with the new. Holding onto the past or present precludes the development of the future. What is may not be in the near or distant future. Yet, however, we still want to believe in the current popular mainly because we fail to use critical thinking to think slowly on each and every decision; thinking fast is much easier in comparison so we feel less compelled to use higher forms of the thinking process.

What’s most challenging is when you are the ugly duckling going against the crowd and standing alone with your beliefs. Only when you can endure all the ridicule, mockery, and being thrown various labels can you shut out all the outside distractions and focus on the only thing that matters which is the self.

For anyone who has made in the past did not do so by strictly adhering to tradition as they would have become an ancient artifact themselves collecting dust in some dark corner of a museum.