"Business is simple; it's people that are difficult."
Jeff Serra
Credentials:
- Founded ReNEW Energy and Eyes of Texas Partners
- Former chairman, president and CEO of Phibro Energy
- MS industrial management, Purdue University; B.S. civil engineering, University of Virginia
A founder of a successful technology company and a successful investment firm-- as well as a former chairman, CEO and president of one of America's largest energy refining and marketing companies-- Jeff Serra got an early start in business.
"I started my first business in Germany at age eight, selling candy to army brats on the weekend. I was one of a small number of children who were allowed to ride their bicycles off the military base to access these products, so I learned early about barriers that keep competitors at bay. I enjoyed two years of fifty percent gross margins before competition arrived. Financing working capital was done through an advance against my twenty-five-cent-a-week allowance--a negotiation with my father that I'll never forget."
"The refining and marketing business was much tougher than selling candy. I listened when Warren Buffett told me: 'When a terrible business meets a terrific manager, the business usually wins'. That convinced me it was time to sell our interests in the downstream energy business!"
"Whether its candy or refining crude oil, I have always believed that business is simple. It's merely a matter of selling each widget for more than it costs to make, and selling enough widgets to cover your overhead. Once you understand that, you can focus on the hard part, which is choosing the right people, aligning their incentives, and motivating them to do the right thing."
"I intend to teach my students how to sell widgets at a profit, but that's not enough. Through the case method, I want them to learn to make good decisions about people too. It's when a good business model, sound judgment about people and an ethical entrepreneur come together that great things happen."
