A long time ago a king died unexpectedly and his young son ascended to the throne. Now this young king was rather spoiled and didn’t quite understand the obligations of being a king. He spent much of his time enjoying the wealth of his kingdom without giving much thought to his duties.
One day his tutor, who had been with the young boy since birth, asked the new king a question.
“Do you know why you have all this wealth at your fingertips?”
The arrogant young king answered. “It’s my birth right! I am the son of a king and now I am the king. It all belongs to me.”
The wise old tutor smiled, nodded, then replied. “You are partly right. But you won’t remain a king long being only partly right.”
The king jumped up from his throne. “What kind of heresy is this. I am king for life!”
“Again, my king, you are partly right. The question is, will you have a long life or a short one?”
Sobered and slightly humbled by the wise man’s reply, the young king slumped down into his throne. “Tell me how to have a long life?”
Seeing that he finally had the young man’s full attention, the tutor began to explain the principle of compensation and obligation.
“Wealth and income is a result, not a birth right. Even for kings. And, contrary to popular belief, it is not a result of hard work, although that is a part of the story.
Wealth, income and compensation are given by the people you govern in return for your duty to your people.”
The young king couldn’t contain himself. “But the people have a duty to worship and obey me, the king.”
“And they will, your majesty. They will even follow you into the fiercest battles, if you fulfill your obligations to them.”
Hands on his hips, the young king demanded, “And just what is my obligation?”
“Your obligation, as their leader, is to rule in such a manner that your country grows and prospers and your subjects have the opportunity to live up to their potential. “
“And what if some are lazy and don’t want to work hard to develop their potential?” The young king was both curious and skeptical with this philosophy.
“Even a great king cannot help those who chose not to work or develop themselves. Your obligation is to provide opportunity, not guarantees or free handouts. And if you do this, fulfill your obligation of leadership, then people will continue to provide you with the wealth, income and compensation that you deserve. “
Man is paid in direct proportion to the service he renders to mankind! -William Penn Patrick
For centuries the principle of compensation and obligation was the only way those in public service and publicly traded organizations achieved significant compensation. That is until Banks-to-Big-To-Fail, Fund Managers, Investment Bankers and CEO Rock Stars came along!
But excessive compensation without obligation has its price. We are already seeing significant shareholder revolt against excessive compensation. And the trend is growing.
Before it’s too late we must start educating ourselves and our young people on the principle of compensation and obligation. We certainly aren’t getting the message from television!
Tight Lines . . .
Great story, John. Yes, the difference between “being in power” and “empowering” can be quite dramatic.
. . . and what a dramatic difference leaders, those who have the authority and the resources, can make by empowering others rather than using them.
It is funny (or maybe not so funny) how fast executive compensation has spiraled out of control. I think we are just starting to see the begining of shareholder revolts (at least I hope so). Great post.